Tag Archives: missed opportunities

Maximizing Your Lifestyle Responsibly

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The following article was originally post as a guest post at Cashflow Sherpas, to view it in it’s original form, click here.  The following article is an updated and slightly improved version of the article, but updated enough to make both stories significantly different!

During my college years, I had a fun time, but even so, I think I could have had more fun while at the same time optimizing my finances.

While I was very frugal and did have some investments, I did so by living a fairly frugal existence in college.  Often times, my college roommates would find clever activities for us to do because nobody had money make then.  While I participated in some of the cheaper activities, I missed out on the ones that others would charge to their credit cards.  Today I look back and I believe I could have had a better mix of frugality and spending.

Now don’t get me wrong, I’m not saying it’s okay to use credit cards and build up debt!  But if I had to do it over again, I definitely would have used some of the money from my investments.

In fact, if I had to do it all over again, I would have invested money that I made from working since I was sixteen into investment.  I would also invest all the money I got over the years from birthdays and Christmas, into investments that would yield dividends.

Next, I would have created a spreadsheet that tracks all my finances including the dividend stream from my dividend stocks.

The beauty of having such an income stream would be that I could have maximized the money to use to have more memorable experiences back then.  Many of these are age specific experiences that once you miss them, you really can’t go back!  So I would urge others to do such a thing, especially if you are too frugal like I was!

I was so frugal, that there was a point in my life where I wouldn’t even go on a date because I felt like I couldn’t afford it.  Luckily, I was still able to find a few girlfriends that I was able to go out with while staying on a frugal route!

The above is only part of the process though.  It’s the bean counting part that while crucial, in just part of the puzzle.  The other part is spending intelligently, and keeping your eyes open for opportunities to make money.  In fact, I think being aware is the most critical piece of the maximization puzzle.

While I don’t see any obvious, risk free opportunities that would have made me rich in college, there were definitely opportunities that may have made it happened if I tried!  If you don’t explore and try such things, you’ll never know.  You don’t have to start the next Microsoft, it could be a small money making venture, experiment!

While I have missed some life experiences, for my kids I’ve already creating an investment portfolio that will contain a portion that will have stocks invested in dividends, They will be able to use that money from the dividends for their potentially fun college fun expenses in the future.  That way they will get to experiences more than I did while going the college thing!

In the end, it’s about developing a financial balance that would maximize your life.

Bests,

MR

Seeing Opportunities That Others May Miss

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Two years ago, my son’s soccer team didn’t have a coach for 1 particular season, so our soccer organization asked the parents of my son’s team if one of us wanted to become the coach for that season.  I wanted to do it, but my wife talked me out of it because of my lack of experience.

So instead another dad took over, but he knew less that I did.  Now two years later he is the coach and unfortunately not the best choice.  I missed my opportunity, but it’s my own fault and although it’s a small regret, I kn0w that I will regret it for the rest of my life.  Believe in yourself, even if others don’t…  they don’t know your capabilities and passion!

So today when I was reading an article at www.freemoneyfinance.com called Would You Waste a Year of Your Life for $100k?, I saw an incredible opportunity, but not for me at my current stage in life.  The deal was the coupon site Groupon would pay a person $100,000 if they try and live on coupons only (no cash) for a year.

Now personally, with me having two kids I couldn’t do that, but if I were a college student, this would be a great challenge!  Especially if the student could take a few classes online.  The company payed for the person to stay in a hotel for a year, so living accomadations was taken care of.

Most of the freemoneyfinance commenters shot this down, but I think this opportunity requires a 2nd look, and below is a list of reasons why:

  • This person (a male) would learn to be an frugal expert via saving with coupons!
  • The company might pay him after the fact as a spoke person
  • TV show might find him appealing and so he might get paid interviews after the experiment.
  • He would write a book about what he learned since he would be the ultimate coupon using expert!
  • He might even develop a seminar that taught others his tricks.
  • He gets $100,000 and free living conditions!!!
  • The limited contact with others would enable him to concentrate on his studies (this would be like getting payed to study… a win win)!
  • Did I mention that he gets $100,000?  That’s a lot of money for a college student!
  • Fame!!!  This is definitely a feather that you could put in your hat.  At the very minimum, it would be a great family story!!!

So, I think this would be a great opportunity for a college student, especially if he could do that college year via online classes!  I would take some of my hardest classes that period, since I couldn’t do much else!

Yes, while I couldn’t do it now (wife, kids, etc), I would definitely do it as a college student.

What I make of it after the experiment is over and I have $100,000 in my pocket…, would depend on how ambitious and creative I was…

So, do you think this is a hidden opportunity, a diamond in the rough so to speak?

-MR