Split the check (1) May 9, 2007
This New York Times article (via Kottke) talks about splitting the check between several different people when eating at a restaurant.  The general idea is that half the people pay less than what they should, and the other half get screwed.  This happens to me all the time.  I don't usually drink alcohol at restaurants, I never (ever, ever, ever) get an appetizer (except that one time at Applebee's recently), and I usually don't get dessert.  My bill is pretty predictable.  But whenever I'm with a group of people (people who have high-paying jobs, live with their parents, and have no expenses), I'm usually stuck paying more than my share.  And while it's true that in the grand scheme of things, a few bucks here and there means nothing, it's more about the principle:  I shouldn't have to pay for more than I get, and other people definitely shouldn't be allowed to pay less than what they owe.  I guess I should just follow the advice of the article:  "If you're going to a party at a restaurant, you need to be prepared to split whatever the bill is. Then you can complain about it later to someone who wasn't there." #money
Rich Feb 9, 2007
Money can't buy you love, but it can pretty much solve every problem you could ever encounter.  Sometimes I think being rich would make life a bit easier.  If, for example, there was an extra "0" at the end of my salary, I would no longer have any bills.  My house, car, insurance, electric, cell phone, internet, would all be paid for.  With quite a bit to spare.  Heck, I'd really only have to work about a year or two before I'd make more than enough for retirement.  But the more I think about it, the more I realize I couldn't deal with being rich.  If the above scenario was true, one of two things would happen:  Either I would (a) adjust my life to match my enormous income or (b) continue living as normal, with a massive savings account and permanent financial stability.  Since (b) couldn't possibly happen, I'll go with (a).  I would probably try to keep things under control at first, but I think I'd end up realizing how many things are broken and how easily they can be fixed with money.  "I don't like having to go outside to warm up my car in the morning, so I'm gonna buy an automatic starter.  But oh wait, I have a ton of money.  Why don't I just move to Hawaii?"  This is the kind of logic that I would imagine is impossible to dismiss when an almost endless supply of money is at hand.  If I somehow developed the self-control and perseverance to adhere to (b), I don't think it would work as nicely as I'd like.  Let's say I continued living life as normal, paying bills with interest, shopping at cheap stores because ... well, I'm cheap.  But all the while, there's a huge sum of money continually growing, funding savings accounts, investments, retirement, college education, etc.  I think at some point, something would come up.  Maybe my liver would fail and I'd need to buy a new one.  Or maybe my mortgage company would decide they wanted all my money now instead of in 30 years.  My current way of life couldn't even come close to paying for these things.  But if I had all kinds of money saved up, it would be stupid to not use it to pay for these kinds of things.  Maybe I'm a pessimist (maybe?), but I just think something would happen that would prevent me from ever being rich.  Oh well.  I can deal with that. #money
Worth Dec 29, 2006
Similar to value, I've noticed that different objects that cost the same amount of money have different relative worth.  For example, I have a laptop that cost several hundred dollars.  It serves as one of my primary communication devices at home, plus it stores a bunch of information, files, and probably every picture I've every taken.  It's important to me, and I treat it like it's worth a lot of money.  But at the same time, I'd be willing to part with it.  I have my files backed up in several different places, and computer hardware generally becomes obsolete every few years.  At the same time, I own a similarly-priced guitar.  It's a beautiful piece of art.  Every note sounds like the earth was created for the sole purpose of hearing its sound.  It took a while to actually gain possession of it because the guitar store had to order it from a different store and then eventually ended up ordering a brand new one from the manufacturer.  Whether that plays a role or not, I wouldn't be willing to part with this guitar.  Its relative worth is much greater than that of the laptop.  It can't be easily replaced.  It won't become obsolete any time soon, let alone at all.  I treat it like it's worth more than it actually is. #money
Zopa Oct 31, 2006
Zopa is another peer-to-peer lending website offering online loans to online people.  It's pretty similar to Prosper in that it enables humans to lend money to other humans without the need for a bank or other lending institution.  CNN's Business 2.0 wrote an article a few weeks ago calling Zopa one of 11 major "disruptors" in the world today.  It disrupts the huge profit margin made by banks by competing with their 19% interest rates for credit cards and their 2% interest rates for savings accounts.  The average interest rate for Zopa loans is around 7%, making it a nicer investment than a CD (for lenders) and a better rate than a credit card or bank (for borrowers).  The main problem I see with it is that it's probably not as reliable or trustworthy as a bank that's been around for 100 years and has billions of dollars of assets and is FDIC insured.  Their FAQs give a little insight as to how the company is currently being regulated and what would happen if the company failed.  It offers a little comfort, but I'm still a little skeptical.  Awesome idea though, and I'd be much more willing to participate if I had more money to throw around and if I heard from people who've used the service successfully in the past. 

This is a sponsored post. #money
P2P lending Oct 20, 2006
Prosper is a peer-to-peer (or people-to-people) lending network, meaning that an average Joe can use the website to loan money (with interest) to another average Joe.  It sounds like a pretty crazy idea at first, but when you think about it, it's actually kinda cool.  People with money can make more money by letting other people borrow it.  And people without money can borrow money from someone other than a big, stinky bank, usually at rates lower than a normal lender would charge.  The rate is actually up to the lender.  This other site, www.utopialoans.com, is a group that exists within Prosper that provides information and advice to borrowers and lenders using the Prosper service.  Plus, they currently have a group contest whose goal is to earn the highest number of points by listing new loans, closing existing loans, and referring new people to the program.  The one with the most points at the end wins cold hard cash. 

All in all, Prosper sounds like a pretty cool service.  In terms of security, their website has some good security information and looks to be legitimate (VeriSign Secured).  In terms of price, they charge different percentages for borrowing and lending, and they have a few different delinquency fees.  The service is kinda cool in that it resembles eBay's method of selling and bidding:  A borrower lists an amount, a time period, and a maximum interest rate; lenders look through these listings and "bid" a certain amount for a certain time period at a certain rate; at the end of the listing period, the bid with the lowest rate is selected, and payments are automatically deducted from the borrower's bank account (that part I don't like).  Interesting idea. 

This is a sponsored post. #money
Million Oct 13, 2006
If I had a million dollars, I'd pretty much do the same thing I'm doing right now.  Maybe I have trouble imagining it, or maybe it's just that $1M isn't that much money these days.  Sure, I'd pay off my house, car, bills, and invest the rest, but it wouldn't get me all that far.  It's not like I could buy a yacht or a mansion.  Heck, to get a nice-sized house in my neck of the woods, I'd have to spend about $500,000.  Plus, smart financial advisers say to invest all the money and continue paying normal bills because the investment will presumably make more money than it's costing to pay off the house. 

But anyway, the question is asking what I'd do if I didn't have to work or worry about anything.  I guess I might do some traveling and spend some more time pursuing my expensive hobbies (snowboarding, skydiving [since when is a one-time-thing a hobby?], snorkeling/scuba diving, etc.).  I might buy a few cool gadgets like a nice camera or a GPS device.  But I have trouble envisioning my life changing very much.  What I'd like to do is continue living my current life, but take care of all the little things that get in the way of my enjoyment.  For example, I wouldn't set my alarm for 6am.  I wouldn't set my alarm at all.  I'd get up when I wanted to get up, and that's how I would start my day.  I'd probably keep going to work because my job provides me with a relatively comfortable workspace and a nice computer.  But instead of splitting my time between work and personal interests, I'd just eliminate work from the equation.  And I'd do something about the overwhelming quietness in my office.  And I'd find the thermostat and punch the building manager in the face.  But I'd continue reading things on the internet and writing things on this site.  My after-work life probably wouldn't change too much either.  I'd continue going to Bible studies.  I'd continue watching NFL on Sundays.  One thing I might change is the fluctuation of gas prices.  I like paying $1.99 a gallon.  I liked it even more when I paid $0.99 a gallon.  So I'd make sure the gas I put in my Toyota (which I wouldn't replace) would only cost $0.99 a gallon.  I'd probably continue shopping at Walmart, though I would probably make more frequent trips to Target instead.  I'd probably continue fixing my house, but I'd hire a professional to figure out how to make my grass grow. 

So I guess I'm either not answering this correctly, or I'm just really unexciting.  I'm supposed to say something along the lines of all the cool things I'd do and all the fast cars I'd buy.  But I'm so uninterested in things most people are interested in.  Oh well.  So I'm unexciting.  But I'd be an unexciting millionaire.  And think of all the candy I could buy with that kind of money!  The possibilities are endless. #money
Want to want (1) Jul 10, 2006
I heard a phrase recently, and I can apply it to a few situations in my life.  The phrase is "Want to want".  Used in context:  "I want to want to go to the gym, but I just don't."  Another way of saying it is "I wish I had the desire to go to the gym."  It's different from "I want to go to the gym."  It implies a lack of desire, and a desire to change that lack of desire. 

I went to a financial advisor recently.  This guy explained the inner workings of money to such detail that my brain actually shut down.  I died for a few minutes and was only awoken when he said something about chocolate-covered dollar bills.  The thing about money is that as long as I have some, I really don't care about it.  It doesn't interest me in the least.  I find it very boring to hear about finances and stock options.  I don't understand annuities and life insurance, and I don't have the desire to.  I wish I had the desire to learn about money.  I'd love to have the desire to study economics and learn about the federal reserve.  I want to want to learn about the value of the dollar and how compound interest is calculated.  But when it comes down to it, I just don't.  I wish I wanted to, but I don't. #money
Overfill my gas tank Jun 28, 2006
Living in New Jersey is a continually joy-filled process.  One of the things that annoys me a little bit is the fact that I can't pump my own gas.  Most people in NJ don't even realize that other states usually force you to pump your own.  I would at least like to have the option.  One good thing is that paying people to pump my gas apparently doesn't cause much of an increase in the price of gas, seeing that NJ's gas prices are pretty low compared to neighboring states. 

But one thing that really annoys me is when the gas station guy (it's always a guy; I've never had a girl pump my gas, not that there's anything wrong with that) overfills my tank, especially when I'm paying with a credit card.  I can definitely see the purpose of overfilling if cash is involved.  Carrying around change and handing it out is a pain in the butt.  But when I go to places and give them my credit card before they start filling, we all know I'm paying with my credit card.  And whether it costs $32.99 or $33.00 makes no difference in the world.  So there's no point in overfilling my tank.  And what really annoys me is when the guy overfills while trying to overfill.  As if it wasn't bad enough that you're giving me $33.00 worth of gas when I only need $32.47, it's infinitely worse that you're giving me $33.01 when I only need $32.47.  That kills me. 

And apparently, this kills the Environmental Protection Agency too.  They have a website set up with information on why we shouldn't top off our gas tank.  Besides the annoyingness factor, they mention four major things: 
1.  Topping off the gas tank can result in your paying for gasoline that is fed back into the station's tanks because your gas tank is full.
2.  Gasoline vapors are harmful to breathe.
3.  You need extra room in your gas tank to allow the gasoline to expand.
4.  Topping off your gas tank may foul the station's vapor recovery system.
In my opinion, the most important reason they give is the first one:  Gas pumps are equipped with vapor recovery systems to reduce air pollution so that "Any additional gas you try to pump into your tank may be drawn into the vapor line and fed back into the station's storage tanks."  So that extra $0.53 (or $0.54 depending on the stupidity of the gas-pumper) of gas might not even make it into your gas tank.  In other words, that's a waste of $0.53.  Unfortunately, that's not much a hit in volume of gas ($0.53 of gas at $2.85/gallon is about 0.19 gallons), but it's the principle that matters. #money
Credit Mar 24, 2006
One time, many moons ago, I thought about buying a really expensive guitar.  I didn't have enough money at the time, so I thought about financing it.  I talked to the credit people at the music store about applying for a card.  Their first question was, "How's your credit."  I was 19 years old.  I never had a credit card.  My parents always talked about how evil they were.  I answered, "I don't know.  I guess I don't have any credit."  The credit guy slowed down and started to put the credit application back where he got it from.  "I could put in the application for you, but you won't get approved unless you have a certain credit score.  You might want to think about building up some credit."  Now there's an interesting paradox:  You can't get approved for credit cards unless you have credit, and you can't get credit unless you have credit cards.  It's sort of like applying for a job that requires a certain amount of experience.  In order to gain experience, you need to have a job. 

But then I found out that credit card companies give credit cards to any idiot who asks.  That's how they stay in business.  They know that a certain number of stupid people will charge as much as humanly possible on their credit cards, will be unable to pay the bill, and will therefore be forced to pay outrageous financing charges.  Why do you think the APR on most credit cards is around 15-20%?  Because credit card companies can.  If they could, they'd change it to 100-200%, but there are laws against that. 

I told my dad I was thinking about getting a credit card, and he said, "Why do you want to do that?"  I answered, "Because I need to build up my credit."  He said, "Oh, you don't need to worry about that."  But yes I did!  How else was I going to get credit history?  I'm not sure where he was going with that line of thinking. 

Now, 29 years later (or maybe 4), my credit history has enabled me to buy everything from a diamond ring to a car to a house.  Big time stuff.  But I never charge more than I can reasonably afford.  And I fully take advantage of credit card rewards.  I (and Wendy) currently charge everything we possibly can on our credit card so that we'll gain an unbelievable number of points.  These points can be used to redeem gift cards to restaurants, hotels, and stores.  We've already spent a $100 gift card at Ruth's Chris Steak House, a $50 gift card at Hard Rock Cafe, a few $25 gift cards at Applebee's, and a $50 gift card at a Marriott.  There's nothing like getting free stuff for doing nothing.  It almost seems weird that Citibank is giving us free money for using their cards, but then I remember all the interest-paying idiots that are financing my free meals and vacations.  Thanks, idiots.  (Note:  Some people are forced to pay finance charges because of certain unfortunate financial situations, and these people aren't idiots.) #money
ATMs Mar 1, 2006
The Automated Teller Machine is a great invention.  You don't have to talk to anyone or write anything down.  You can just press some buttons and get some cash.  Good deal. 

...except when ATMs are out of cash, like the Wachovia in Landing, NJ.  It's one of those ATMs with no bank attached to it; just an island in the middle of a parking lot.  I went to it last night to get some money.  I put in my card, typed in my PIN, and pressed some buttons to get cash out of my checking account.  And then it tells me, "We're sorry, this machine is temporarily unable to dispense cash."  What do you mean "unable to dispense cash"?  What other purpose does an ATM serve other than to dispense cash?  Yes, I know it has balance-checking and money-transfer capabilities, but who goes to the ATM to do stupid things like that?  And why did this stupid machine wait until I inserted my stupid card and pressed a bunch of stupid buttons before it stupidly told me this?  Couldn't it say it at the beginning so it wouldn't waste my time?  That really burns me up. 

I went back to it this morning before work, and it was covered by a big plastic thing that said it was out of service.  I was mad, but definitely a lot less mad than if it had done the same thing as last night. #money