Special thanks to Kimber Ricks, Chair of the Madison County Board of Commissioners for the following GUEST POST:
Luke has asked me to occasionally share some ideas gleaned from my years of experience as a CPA and financial planner … and father. Hence, the following three thoughts:
Most of us would like to be “rich”, especially as I like to define “rich”. Rich is simply spending less than I earn. If I spend less than I earn I am rich. If I spend more than I earn I’m not rich.
Think about it. That simply means that I can become rich by earning more or spending less.
My second thought is that saving is more productive than earning. Let me explain. If I want an extra dollar in my pocket, there are two obvious ways to get it there. I can work and earn it. Or I can reduce an expense and save it. However, if I decide to get the extra dollar by earning it I must earn more than the dollar (say a dollar and a half) in order to get the dollar in my pocket after I pay the taxes and the costs associated with getting to work to earn it.
On the other hand, if I save a dollar the whole dollar stays in my pocket.
My third thought is to never accept the first offer. No matter what the product or service or the offered price, always ask: “Can you do any better?”. If the answer is “No” you’ve lost nothing. You’ll be surprised how often the response to that question will put a dollar or two or more in your pocket.
Kimber Ricks can be contacted at firstname.lastname@example.org