Fiscal Responsibility

[Homebrewer]

I've often thought about this subject when I read about how some posters are waiting to get paid in order to buy cigars. If you're waiting to get paid to buy something, then that means you probably have zero savings.

I built up a lot of debt in my 20s, buying expensive meals, booze and cigars. When I was making $12/hr, I was smoking Ashtons and Hemmingways every day. Now that I'm going to be 40 I look back and can see the error in my ways. I'm fine financially now, but it took me YEARS to dig myself out.

That being said, now may be the time to extend yourself and buy some boxes. If these new taxes take effect, who knows how much they may cost in the future.

[pnutbutrsangwich]

Originally Posted by Homebrewer

That being said, now may be the time to extend yourself and buy some boxes. If these new taxes take effect, who knows how much they may cost in the future.

And here, I'd say the nail has been hit on the head. This attitude (unfortunately, in my own personal experience) is what can, if left unchecked, lead to destruction.

"Oh they'll never be this cheap again"

"I'll never see these again"

"That's a great price on those"

These are all thoughts that have cost me a considerable amount of money.

[RGD.]

Originally Posted by Homebrewer

I've often thought about this subject when I read about how some posters are waiting to get paid in order to buy cigars. If you're waiting to get paid to buy something, then that means you probably have zero savings. . . .

I don't know that this could be true in all circumstances. I may wait until I get paid to buy certain cigars because cigar money does not come out of house money - it comes out of whats left over - play money if you will. Currently I spend $150 every two weeks, budgeted, on my staple cigars. So any cigar money outside of that is from what ever is leftover after bills, savings, etc are paid. That money though could be spent on books, tools, computer parts, truck parts, etc etc - just about anything that I don't really need -


Ron

Nice!
I especially like what DGAR had to say.
There are so many good cheap sticks out there.
I grew up dirt poor so pinching pennies comes naturally.

[Da Klugs]

Nice post by Mark the OP.

Hobbies are supposed to enhance our lives with fun and inveraction. Most aspects of ours does. The downside of the "slide" is that it can addict those so inclined to an ever increasing load of purchases. Good news is that you can always resell them without significant material loss if you buy right.

One contrarian point that has only to do with timing. If as part of "your plan" regarding prudent cigar purchasing you anticipate and budget a larger than normal portion of your budget in the "now to christmas" period, much $$ can be saved by significant sales.

Or you could be homeless my January.

[hoyohio]

Originally Posted by Da Klugs

One contrarian point that has only to do with timing. If as part of "your plan" regarding prudent cigar purchasing you anticipate and budget a larger than normal portion of your budget in the "now to christmas" period, much $$ can be saved by significant sales.

Very true...but only if you are managing your collection to a finite space. If you simply add storage as your collection increases, then "sales" purchases become incremental -- rather than opportunities for "savings."

I committed to a space (albeit a big one) and that is how I keep spending under control. It is impossible for me to store additional cigars beyond my agreed upon storage space without compromising their condition. I also only buy cigars with debit -- never on credit.

[Da Klugs]

Originally Posted by hoyohio

Very true...but only if you are managing your collection to a finite space. If you simply add storage as your collection increases, then "sales" purchases become incremental -- rather than opportunities for "savings."

I committed to a space (albeit a big one) and that is how I keep spending under control. It is impossible for me to store additional cigars beyond my agreed upon storage space without compromising their condition. I also only buy cigars with debit -- never on credit.

Your willpower is an example to all!

Me? I'm gonna buy another cooler on Friday.

[hoyohio]

Originally Posted by Da Klugs

Your willpower is an example to all!

Me? I'm gonna buy another cooler on Friday.

I vowed never to go back to coolers. They drive me bonkers.

Willpower? Well, I don't think they make a bigger Aristocrat...lol.

[Snake Hips]

Originally Posted by hoyohio

Very true...but only if you are managing your collection to a finite space. If you simply add storage as your collection increases, then "sales" purchases become incremental -- rather than opportunities for "savings."

I committed to a space (albeit a big one) and that is how I keep spending under control. It is impossible for me to store additional cigars beyond my agreed upon storage space without compromising their condition. I also only buy cigars with debit -- never on credit.

That's my plan. The Vino and the desktop are as far as I go. Once the Vino is filled, my spending will go way down. A few singles at the B&M and replacing stock as I smoke it. No more $500 sprees for the sake of filling space...

[Drazzil]

I have had to address this problem in my own life as of late. I wont mention on what but I most certainly overspent on cigars recently. I got suckered in by the "I wont see it again" mentality.

I have recently witnessed my financial aid (University grants) slashed by seventy percent, and I don't know how I am going to finish school (on last six months of business degree) and yet I spent two hundred and thirteen dollars on a bundle that I thought I really wanted. Granted they are good smokes, but they are NOT worth my financial peace of mind, which is why I am selling half of them.

I used to spend between one and two hundred dollars a month on going out to eat for lunch. Now I pack my lunch.

People are conditioned to be this way. And it's just a matter of conditioning ourselves to deny every little impulse that comes our way.

[neoflex]

Great post and oh so true. This philosophy should be used on all aspects of life and if everyone used this mentality the country and economy would be in a lot better shape right now. I have put myself in the credit card hole many times in the past and now we try to use cash for most things to avoid that mistake again. I have been working my ass off to get rid of a lot of dumb bills with side work and it has worked and I feel so much better knowing I can pay cash for things now and can put money into savings again. As far as my Cigar budget, it is almost Nil these days just with the economy being the way it is and the fact that there have been major layoffs at work and you never know if your up next. Went a little crazy this month with a handful of purchases but I did it as sort of a reward for myself for working so hard the last year but overall I have cut my purchases down a lot but than again I could probably honestly go a year without making a single purchase and still have plenty to smoke. Yet another reason why I have slowed myself down.
Just don't do this with cigar purchases. Use it in every purchase of your life. Hell, I hate seeing the people in my neighborhood who over bought and than can't afford to do basic landscaping or improvements to their homes because they are house poor. Again, if everyone learns to budget a little better and not over extend themselves than the country as a whole will improve financially. Unfortunately, most of us learn this the hard way. I know I did.

[awsmith4]

Originally Posted by RGD.

I don't know that this could be true in all circumstances. I may wait until I get paid to buy certain cigars because cigar money does not come out of house money - it comes out of whats left over - play money if you will. Currently I spend $150 every two weeks, budgeted, on my staple cigars. So any cigar money outside of that is from what ever is leftover after bills, savings, etc are paid. That money though could be spent on books, tools, computer parts, truck parts, etc etc - just about anything that I don't really need -


Ron

I agree, I don't ever dip into my savings for my hobbies, I just use whats left over from payday. That is unless I set up an additional savings pot with the extra money specifically for that hobby.