When it comes to money –making it, managing it, and spending it – everyone has an opinion and everyone is willing to give advice. But that advice isn’t always accurate. Some of it is based on old sayings that most of us think are true, but really aren’t.
In today’s entry, we take a look at four of those financial falsehoods, including whether money really can buy happiness and the truth about kids being “so expensive.”
“I’ll Be Happier If I Have More Money.”
It’s an age-old question: Can money buy happiness? The answer, in almost every case, is no. In fact, many “rich” people are just as stressed out and unhappy as Average Joes like you and I. The main reason is because that six-figure salary usually means they have a six-figure lifestyle with six-figure expenses. Which also means they’re just as stressed about paying the bills as you are. And sometimes they’re a lot more stressed because they’ve got a lot more to lose!
“You Get What You Pay For.”
We’ve all heard this one. The thinking is, the more you pay for something, the higher the quality will be and the longer it will last. That’s true in some instances – appliances and clothing (sometimes) to name a few – but not always. A $30 bottle of wine doesn’t necessarily taste better than a $10 bottle of wine. And will a $50,000 car last twice as long as a $25,000 car? Not really. In fact, the cheaper car might last longer!
“Kids Are So Expensive!”
This one is sort of true, but that’s really up to the person raising the kids (and paying for them). If you buy your kids every toy imaginable and send them to pricey schools, yes, kids will seem expensive. The trick is to avoid falling into the trap of spoiling them (hard to do sometimes, I know), and making wise decisions about what to spend money on and what not to.
“If I Deserve a Raise, My Boss Will Give Me A Raise.”
What most employees forget is that their boss’s first priority is improving your company’s bottom line and helping the company make money. Sometimes that means giving raises to deserving employees, but it usually means convincing hard-working employees to work even harder for the same pay as last year. In other words, your boss might give you a raise before you ask for it, but more often than not, you’ll have to ask for that raise yourself if you really want it.