How To Be “Rich”
I moved to a new apartment last week. My lower back still hurts.
I went from living in a large apartment building with key fobs, elevators, people, and doors, so many doors, to a one-bedroom apartment in a split-level home. I have office space! A real dining room! Counter space! A yard for my dog! My reason for moving is because my previous rent was astronomical and while large building amenities are nice, my new place is almost $700 cheaper.
Anyways, the most exciting part about moving is DECORATING! I am fanatical about making my apartment feel like me. My style is eclectic, and I’ve been known to keep Christmas decorations up year-round. Not all of them, just a select few. Interior design is a passion of mine, and while I’m not about to win any design awards, I am trying to surround myself with joy and make my guests smile.
Recently, in my group chat, we were discussing what we like to spend money on. Some of us are prone to emotionally shop for vacuums, others prefer spa treatments or electrolysis and I’m like, “Both!” (I like to live beyond my means.) One of us owns a home in the suburbs, one prefers to live in an apartment building in the city, and the rest of us are suburban. Close enough to the city, close enough to the suburbs, a comfy space right in between.
Thanks to social media, we are able to see where people spend their money and what they value. Often, it can lead to envy or judgment. I am guilty of that, for sure. When I see someone get a designer bag AT FULL PRICE (aka not severely discounted at an outlet in New Hampshire, specifically, due to the lack of tax), I question their sanity. Then again, I currently can’t find my wallet because I don’t know which jacket pocket it’s in and every time I reach into a pocket, receipts come pouring out like confetti. Who’s the insane one here?
Then I read about healthy money perspectives and the work of Ramit Sethi through this blog post. I love the idea of creating your own “rich life”. I am always feeling behind in life because I’m almost in my mid-thirties and don’t own a home, or have a healthy savings account, or a robust 401(k). I feel ashamed for starting so late and wasting money on frivolous things in my twenties.
But when it comes to building your own “rich” life, it’s up to you to define what that looks like. I like the idea of focusing your spending on what matters to you and reworking your budget around that. Well, ya know, if I had a budget then I would do that. Sounds nice. I just rework my little spending around what I care the most about, and pair down elsewhere.
I love to cook at home, so I spend high on groceries. In return, I very rarely eat at restaurants or order delivery. As I mentioned, I like to decorate my space so it represents my style. I’m home nearly every minute of every day, so I don’t feel guilty about spending money there. I’ll splurge every now and then (like on this fireplace surround, and this gold bear head) but do cheap decor a lot of the time (like this plush reindeer head made for children!) I don’t spend as much money on fashion, or purses, or jewelry because I just don’t care about that stuff as much. I drive a Honda because I only need a car to get me from Point A to Point B. (Point A being my apartment, and Point B most often being Target.)
The point is: you do you! Define what matters to you, and then just work your spending around those priorities. Make sacrifices where you can so you feel less guilty about spending so much money on “frivolity”. They won’t feel so frivolous if you’ve intentionally decided that’s where your money goes. Nobody has to know that you sleep on a futon in order to afford that FABULOUS FUR COAT!
Financial experts say that you should divide your spending into a 50/30/20 ratio. Most of your spending goes to basic monthly expenses, 30% goes to your future, and 20% is for the extra stuff. When I did this calculation on my own income/spending, it definitely didn’t level out perfectly. I’m probably like 92/5/3 right now. Society isn’t built for financial freedom these days.
That hefty 3% goes to my yoga/barre membership, Spotify, the occasional home decor purchase, a weekend or two away, an annual massage, and the rest goes to bottles upon bottles of pink champagne. In exchange, I make coffee at home every day and share log-ins for various streaming services with my family and friends. I get my books through the library app. I recreate my favorite restaurant dishes at home and I host friends instead of going to restaurants.
Becoming more intentional about spending has helped me pretend to be rich. Can I drop a thousand (or even a hundred) (or a dozen) dollars on anything I want at any time? No! Yet, I feel like my life is full and happy and I have everything I want and need.
Well, the only other thing I want is a FAMILY ESTATE (/compound) where I can build various homes for all my friends/family (/cult members) to live in a perfect community (/cult). No amount of Cheesecake Factory dish recreations is going to help me save for that one!!!