How To Rid Yourself Of "broke Folks" In Your
Life
Author: Daryl D Green
Life
Author: Daryl D Green
Ima Rich is a classy lady. She drives a fancy car, lives in an
exclusive neighborhood, and associates with upscale people.
However, Ima is one of the "Broke Folks." She lives paycheck to
paycheck. Her life is filled with debts and worries. Although
many people envy Ima's luxurious lifestyle, Ima is constantly
haunted by her financial fakeness.
The Financial Fact
Do your family members hound you because you're financially
sharp? Are you ridiculed because you are a saver instead of
spender? Many Americans live flashy lifestyles (fancy cars and
expensive houses) but lack a strong financial basis for living.
In our early years of marriage, some people tried to influence
our living habits. We were professionals. We needed to act the
part. You live in a certain neighborhood and possess the finest
things. Fortunately, we didn't buy-in to this hype. It was all
about image but no substance.
The media bombards us with lies that acquiring material things
will make us happy. This falsehood confuses our children and
makes us "Dream Brokers." It appears that many Americans have
bought this superfluous living. Therefore, we have created a
nation of Broke Folks.
What are Broke Folks you may ask? Broke Folks relates to
individuals who try to portray an upscale image but lack the
financial asset to back it up. It's not about a high paying
job. There are numerous examples of professionals (lawyers,
doctors, etc.) who are deep in debt but refuse to correct it
because of this image. Being broke is now normal.
The Hard Core Truth
Dave Ramsey, author of Freedom Peace, constantly runs into
Broke Folks on his nationally syndicated talk show. Ramsey
explains, "If you are taking advice from Broke Folks then you
are stupid." The following 2004 statistics by Bankrate mark the
increase of this social class:
Average per US household debt, excluding mortgage debt, is
approximately $14,500.
A typical credit card purchase ends up costing 112 percent more
than if cash were used.
Some 40 percent of US families annually spend more than they
earn.
Approximately 60 percent of active credit card accounts are not
paid off monthly.
Average credit card debt among US households is approximately
$8,400.
Much of the problem with these statistics relate to not
delaying personal gratification. Most Americans can handle
their money better. We are no exception. However, the myth
exists that rich people spend a lot of money. Stanley and
Danko, authors of The Millionaire Next Door, maintain that most
Americans don't understand how to build wealth.
They explain, "Many people who live in expensive homes and
drive luxury cars do not actually have much wealth…Many people
who have a great deal of wealth do not even live in upscale
neighborhoods. Obviously, the media promotes this urban legend
of the "Rich & Famous." To help you with building your wealth,
here's a summary of wealth building tips from the Millionaire
Next Door:
Live below your means.
Allocate your time, energy, and money in ways that help build
wealth.
Build good character so that high social status isn't more
important than financial stability.
Teach your children to be economically self-sufficient.
Be prepared to take advantage of any market opportunities.
Do your homework on career selection so that you find the right
occupation.
Financial Freedom
Become financially sound and responsible. Financial
independence is more than show. Don't let your family and
friends talk down to you because you are managing your money
wisely. Don't be discouraged because your friends are living
the Glamour Life while you eat "beanie weenies" for dinner.
Take the offensive by continually getting financial education
and by staying away from "Broke Folks." Build your financial
portfolio. It is not too late. Start today!
About The Author: Daryl and Estraletta Green, decision-making
coaches, have been noted and quoted in USA Today and AP. For
one free session, you can email them at
http://www.darylandestraletta.com.
exclusive neighborhood, and associates with upscale people.
However, Ima is one of the "Broke Folks." She lives paycheck to
paycheck. Her life is filled with debts and worries. Although
many people envy Ima's luxurious lifestyle, Ima is constantly
haunted by her financial fakeness.
The Financial Fact
Do your family members hound you because you're financially
sharp? Are you ridiculed because you are a saver instead of
spender? Many Americans live flashy lifestyles (fancy cars and
expensive houses) but lack a strong financial basis for living.
In our early years of marriage, some people tried to influence
our living habits. We were professionals. We needed to act the
part. You live in a certain neighborhood and possess the finest
things. Fortunately, we didn't buy-in to this hype. It was all
about image but no substance.
The media bombards us with lies that acquiring material things
will make us happy. This falsehood confuses our children and
makes us "Dream Brokers." It appears that many Americans have
bought this superfluous living. Therefore, we have created a
nation of Broke Folks.
What are Broke Folks you may ask? Broke Folks relates to
individuals who try to portray an upscale image but lack the
financial asset to back it up. It's not about a high paying
job. There are numerous examples of professionals (lawyers,
doctors, etc.) who are deep in debt but refuse to correct it
because of this image. Being broke is now normal.
The Hard Core Truth
Dave Ramsey, author of Freedom Peace, constantly runs into
Broke Folks on his nationally syndicated talk show. Ramsey
explains, "If you are taking advice from Broke Folks then you
are stupid." The following 2004 statistics by Bankrate mark the
increase of this social class:
Average per US household debt, excluding mortgage debt, is
approximately $14,500.
A typical credit card purchase ends up costing 112 percent more
than if cash were used.
Some 40 percent of US families annually spend more than they
earn.
Approximately 60 percent of active credit card accounts are not
paid off monthly.
Average credit card debt among US households is approximately
$8,400.
Much of the problem with these statistics relate to not
delaying personal gratification. Most Americans can handle
their money better. We are no exception. However, the myth
exists that rich people spend a lot of money. Stanley and
Danko, authors of The Millionaire Next Door, maintain that most
Americans don't understand how to build wealth.
They explain, "Many people who live in expensive homes and
drive luxury cars do not actually have much wealth…Many people
who have a great deal of wealth do not even live in upscale
neighborhoods. Obviously, the media promotes this urban legend
of the "Rich & Famous." To help you with building your wealth,
here's a summary of wealth building tips from the Millionaire
Next Door:
Live below your means.
Allocate your time, energy, and money in ways that help build
wealth.
Build good character so that high social status isn't more
important than financial stability.
Teach your children to be economically self-sufficient.
Be prepared to take advantage of any market opportunities.
Do your homework on career selection so that you find the right
occupation.
Financial Freedom
Become financially sound and responsible. Financial
independence is more than show. Don't let your family and
friends talk down to you because you are managing your money
wisely. Don't be discouraged because your friends are living
the Glamour Life while you eat "beanie weenies" for dinner.
Take the offensive by continually getting financial education
and by staying away from "Broke Folks." Build your financial
portfolio. It is not too late. Start today!
About The Author: Daryl and Estraletta Green, decision-making
coaches, have been noted and quoted in USA Today and AP. For
one free session, you can email them at
http://www.darylandestraletta.com.
