Thursday, April 17, 2014

Umer Haider: Luxury is just another Weakness

In Mr.Money Mustache's blog post he talks about the issues with having luxurious goods. Many of us, even me want the best things, so that we can live "comfortably". People slowly start taking out loans on there credit cards in order to get something that they cannot even pay for. "When you borrow money to buy a consumable product, you are instantly teetering atop the ultimate house of cards." It is a big financial decision to borrow money for something that you don't even need, but something that you want. By borrowing, the consumer puts their financial security at risk. What if you buy a new car you, and you can't pay a bill? What happens if the economy collapses?  All of these issues can lead to you going into debt or even worse becoming homeless and on the edge of living. In his post he describes luxury as being a drug. Like any other drug you get such a good feeling that you don't want to stop. Having a nice car, might lead you to buy another one because they are just so fun. Luxury is a dangerous drug because it can put you on the streets if you can't afford it. It also makes you become too dependent on certain luxuries that if you were to go out and try to live a regular life style you couldn't. Some people have the luxury of having air conditioning. Imagine trying to live in a place that didn't have A/C! It would be extremely difficult because you have not been accustomed to it. Luxury isn't always bad, but too much of it can change your life for the worse, especially if you can't afford luxuries. I enjoyed this blog, because I will be honest I try to get things I do not need/afford. I keep eating out when I am just a broke college student living off financial aid and his parents. This is a conflict I have with myself to spend less. If I stopped spending money like I do, I might be better off in the future and not so dependent about things that I don't need.

On the bottom is a picture of a leather car with heated seats and a nice interior. Cars are one of the biggest ways Americans waste their money. There are so many other forms of transportation that may be cheaper. I mean you could get a car that may not even be as expensive as long as it runs. By buying these expensive cars that look nice you are just wasting money for the looks. Ninety percent of Americans buy cars on loans. By doing this you are making a big financial decision that could ultimately put you in debt. I know I like nice cars, but I have slowly stopped myself for wanting a new one. Debt is a scary ordeal, and can change your outlook on life completely.

Picture of a leather car


  1. I have seen this kind of thing happened. People going to dinner, having very high bills and then BAM their card is declined. I think Mr.M is on to something here. A lot of people do become dependent on certain luxuries. You read about people not having money to pay this or that and then you see them out shopping. Cars can be a huge waste of money. Living simply and driving a reasonable car should be something we all strive for.

  2. This is a very interesting summary. I know I spend too much money on my car. I used to live in Chicago and rode my bike or walked everywhere. Not only did it save me a ton of money I was very thin too. (o:

  3. I agree, luxury is completely unnecessary yet so addicting! There are so many things I can be saving up for when instead I eat out a lot and buy a bunch of clothes. And when I think about what kind of car I want when I am older, it'd be such a waste.

  4. This article is very interesting because of how people use money inefficiently. Luxuries are nice but they are somewhat useless. Also I believe having some sort of status ties in with luxuries and you want to make people conceive you as "that guy". I like the picture you posted and I agree that people are way attracted to cars than anything. Everyone wants a Lamborghini or any kind of sports car because it looks cool but it's just an ordinary car. People obsess with luxury and end up wasting money.