Your Entertainment Budget Should Be Less Than $1/Day

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The average American household spends $2,482/year on Entertainment and consists of 2.5 people. We can then reasonably estimate the average North American spends about $1,000/year on Entertainment by themselves. This is less than optimal. I’m about to show you how to get by on $1/day and be more entertained than ever. If you’re 30, your savings from this could amount to $93,925.05 extra in your retirement account by the time you’re 65. (Ask me for the math on our Facebook and I’ll happily show you.) Ready? Let’s kill your Entertainment bill.

First up, no more cable TV. TV subscribers are dwindling, and that seems to be driving prices up: “The average TV subscriber’s monthly bill ticked up from $65.25 in 2014 to $66.08 in 2015.” It’s just getting worse. Meanwhile, Netflix humbly asks for only $8-$12/month depending on your package and offers you immediate commercial-free access to “3 years, 202 days, 12 hours and 14 minutes” of Entertainment. Now, I get that you’re never gonna marathon Paw Patrol, but that’s fucking unreal. If you sleep for 8 hours and work for 8 hours on weekdays AND watch every waking minute you’re free including weekends, you’re looking at 8.3 YEARS of Entertainment for, like, $8/month. Meanwhile, I’ve spent hundreds building my paid iTunes library, but Spotify memberships range from full-of-ads “Free” to $10/month, and they both offer 30 MILLION SONGS. If each of those songs is just three minutes long, that’s 171 YEARS OF MUSIC! IF YOU STARTED LISTENING IN 1846, YOU’D BE DONE NOW. I really don’t understand how paying for individual songs is still a thing. Streaming services are obviously the future. (I like to think most of you know this already.)

Netflix and Spotify together? Even if you paid the individual maximum, that’s $22/month, or $264/year. Wanna get even spendier? Burn your money with a PlayStation Now membership for $100/year and stream 500+ PS3 and PS4 games. That adds up to $364/year, or just under $1/day. It’s almost like I planned it.

If reading’s more your jam, use your local library. You’re already paying for it in taxes, so use it. It warms my little nerd heart to know millennials are using their local libraries more than any other generation. Keep it up.

What I don’t advocate though is piracy. If you’re stealing something, you don’t deserve it. I place a lot of value on art – especially movies – so don’t do it.

Finally, MAKE your own entertainment! Some of you roll things like dining out into your Entertainment budgets, but cooking at home is better. While you’re at it, learn to draw, or play the guitar, or pick up a camera and take pictures of every stray cat in the neighbourhood. I know too many people who can tell me every plot point of Breaking Bad, but when I ask them for the last time they went swimming in the ocean or hiking up a mountain, they draw a blank!

The point is $1/day on Entertainment is already first-world luxury at its finest. Your ancestors didn’t have screens and they did a lot more than just stare into a fire. Realistically, with libraries and nature, your Entertainment budget could actually be ZERO, but $1/day for everything I described above seems like a fair trade. Just don’t spend an ABSOLUTELY INSANE $1,000/year on Entertainment like everyone else. This family can buy one person’s groceries for half a year on that.

How To Get Your Kid Set For Retirement

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I’ll just cut to the chase: When your kid is born, put $12,400 in an investment generating 7% interest, and they’ll be a millionaire by 65. I know that sounds crazy, and I’m making a LOT of assumptions, but you can find all the justifications for my logic in this post here. Again, this is presented as data ONLY. Listen up, new parents. It’s time to make your kids millionaires.

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All of these equal $1M:
0 – $12,400 x 65 years of 7% growth
1 – $13,200 x 64 years of 7% growth
2 – $14,100 x 63 years of 7% growth
3 – $15,100 x 62 years of 7% growth
4 – $16,200 x 61 years of 7% growth
5 – $17,300 x 60 years of 7% growth
6 – $18,500 x 59 years of 7% growth
7 – $19,800 x 58 years of 7% growth
8 – $21,200 x 57 years of 7% growth
9 – $22,700 x 56 years of 7% growth
10 – $24,300 x 55 years of 7% growth
11 – $25,900 x 54 years of 7% growth
12 – $27,800 x 53 years of 7% growth
13 – $29,700 x 52 years of 7% growth
14 – $31,800 x 51 years of 7% growth
15 – $34,000 x 50 years of 7% growth
16 – $36,400 x 49 years of 7% growth
17 – $38,900 x 48 years of 7% growth
18 – $41,600 x 47 years of 7% growth

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By this logic, you should actually reconsider sending your kids to university! The average four-year university undergraduate degree costs $84,000! DO YOU KNOW WHAT THAT CAN DO FOR A 23-YEAR-OLD? Invested at 7% interest – (I know some of you are still skeptical, so here’s further justification from someone far smarter than me) – THEY’D HAVE OVER $500,000 IN THE BANK BY 50. Wait 10 years more AND THEY’RE MILLIONAIRES. Here, crunch some numbers and get back to me. What’s especially wild is these are essentially set-and-forget investments: NO FURTHER CONTRIBUTIONS NEEDED! How are NO new parents doing this? It’s goddamn insane! Index funds, FTW!

If I’d known at 18 what I know now, I would’ve skipped post-secondary entirely. One of the richest and most successful people I know didn’t have any formal schooling AT ALL. Another friend is an artist and is set to retire with $800,000+. It turns out financial success isn’t all that linked to skills or intelligence at all. All you need is (a little) Money and (a lot of) Time!

If you completely ignored my post about not having kids, don’t ignore this one. Making a new millionaire from scratch costs $12,400 and your kids will be grateful forever. I don’t know about you, but that sounds like the best damn deal I’ve ever heard.

Wishing you and your kids riches,
Unconbentional

I Want You To Half-Retire (HR)

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I worked this week. Well, kinda. Yesterday, I drove a few towns over and dropped off a wedding photo delivery I’d shot two months ago. Between lazy shifts at my liquor store and prodding at Lightroom edits for the past few weeks, I’ve been averaging 20 hours a week for a few months now. It’s enough to get by. Considering that a week has 168 hours, working 20 hours is only 12% of that. Not a bad trade, I figure.

Anyway, I know a lot of you work 40 hours a week, and that’s certainly smart. Everything you invest now is worth 10x more, so I can see why you’d want to put in your hours and aim for an early retirement. I mean, what’s better than never having to work again? Well, as I found out, the closer I got to No Work, the worse my mental health was. When I was working just 30 days a year, I was definitely less than sane. What eventually happened was the idea of Half-Retirement, or HR. Statistics Canada “examined data for more than 265,000 workers over 28 years” and “shows that of those Canadians who exited a long-term job at age 55 to 59, 60% were re-employed in some capacity within 10 years”. Based on that, it looks like Retirement is as ill-defined as ever. Even when shown Early Retirement, most people chose Half-Retirement instead! What gives?

Well, I’ve theorized that people need to actively work on something in order to feel truly fulfilled – progress equals happiness, after all – but after some basic digging, it turns out research backs me up. In the Netherlands, over “half of Dutch workers are on part-time hours” and they consistently rank as “one of the world’s happiest countries”. Meanwhile, this article suggests “people who keep working after age 65 tend to be much happier than their peers who are retired”. This was particularly interesting to me because full-on Retirement no longer seemed like what to aim for. The goalposts had been moved. If Half-Retirement was what made people happiest, WHAT’S STOPPING US FROM DOING THAT RIGHT NOW?!? All we need is basic frugality.

I certainly feel content with a light workload, and I’m confident my decision to not frontload all my moneymaking towards my youthful years is a good one. While I’m young and dumb, I want most of my weekdays off, and I’m honestly not just fucking around with them. I’m taking time to learn skills and meet people who will benefit me for years to come. This past month, I’ve taken time to hike with FI nerds, I’ve started work on a new garden, and I’ve expanded my writing opportunities by applying for an ACTUAL writing job that I can’t even tell you about yet! It’s all stuff I couldn’t accomplish if I were working a 40-hour 9-to-5, but here I am, financially stable (though admittedly, debt is an issue) and happy as can be.

I’d also argue if you take the time for self-care early on and use an HR mentality, your health won’t degrade as much and working part-time in retirement age would be more rejuvenating than torturous. Why not half-retire now by being frugal, AND EXPERIENCE THE SAME LEVEL OF FREEDOM AS SOMEONE WHO’S 65?

Consider that Tim Ferriss wrote “The 4-Hour Workweek” after presumably mastering a 4-hour workweek. He then wrote “The 4-Hour Body”, “The 4-Hour Chef” and “Tools of Titans”. IF A 4-HOUR WORKWEEK IS THE IDEAL AMOUNT OF WORK FOR A PERSON TO DO, WHY IS HE VOLUNTARILY TAKING ON A LARGER WORKLOAD? I humbly suggest a workload of anywhere from 20 hours (working for someone else) to 40 hours (working on your own projects). Maybe fulfillment isn’t just chasing Happiness. Maybe fulfillment has something to do with Usefulness.

If HR is the goal, WE CAN ACHIEVE THAT NOW WITH FRUGALITY. Then, we can coast our entire lives on a lifestyle that even retirees find preferable to full Retirement! As someone who’s lived it, it’s fucking wonderful.

Imagine this: Most of the week, I wake up without an alarm. I poke around in the kitchen and decide what I want to make for dinner. I make sure the gardens are okay, leisurely edit some photos and maybe blog a bit while having a beer, then shop for ingredients. Making dinner is a joy. If I’m feeling particularly adventurous, I ride my trike to the brewery and pick up a growler. I go to bed whenever I feel like after some screen time. If I work in the morning, I set an alarm. Even then, it’s usually just 8 hours at the liquor store for a day, or an 8-hour wedding. It’s good to know I’m needed somewhere. I can honestly say coasting like this forever is what I want. I will never tire of this. It’s goddamn magic.

If this all sounds too good to be true, it’s not. If rent is too high, live with someone. If you’re short on cash, you can always make a buck. If paying for gas is killing your budget, live closer to what you need. If you spend too much on events, don’t pay for them. If you drink too much, use smaller glasses. And so on, and so on. You can live HR now, and it’s better than full-on Retirement. It’s just frugality and part-time work!

I had trouble finding Unconbentional’s core message before, but this is it: HR is better than Retirement, and you can have this now. Build your wealth and optimize your situation until you can live on part-time work. Give yourself the gift of free time, especially while you’re still young enough to make some memories. Work isn’t a bad thing. You need it to live a fulfilling life. What you want is work-life balance. Don’t blindly sacrifice your youth chasing a day when you no longer have to work, but also don’t be a dumbass with your money. HR is the goal now. You can make this work, and you’ll be miles ahead of the modern workforce. You. Yes, you. You can do it.

I believe in you.

Am I nuts? Tell me on Facebook.

The 5 Love Languages, and How Knowing Them Can Save You Money

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This is gonna be the sappiest post I’ve ever made, so buckle up. There ain’t no brakes on the love train. I’m gonna show you how to improve your relationships AND save a boatload of money. You don’t even need to read this book! Since I’m a huge fan of book summaries, let’s see if I can knock this out in 700 words. It’s time to make YOU sexy and rich.

Listen, unbridled generosity sucks. In this article, I discouraged people from spending money on their loved ones when there are so many free ways to show you care. “Be generous with your time,” I said. Well, love is a tricky thing, and I was foolish to oversimplify. The fact is: EVERYONE EXPRESSES AND ACCEPTS LOVE IN DIFFERENT WAYS. In Chapman’s book, “The Five Love Languages”, he outlines the five main ways people show and accept love: quality time, devotion, physical touch, words of affirmation, and gift giving. Take a wild guess which one’s my least favourite.

Anyway, how I express love – in the past, gift giving – wasn’t necessarily how my friends or partners RECEIVED love. In my mind, because I’m such a cheap bastard, a gift that cost me MONEY was a big fucking deal. I once bought a $500+ smartphone for a partner, for instance. To her, my gift wasn’t valuable because that wasn’t a form of affection that spoke to her. Needless to say, that relationship ended quickly.

This doesn’t just apply to romance either. After some reflection, I realized I also don’t give a shit about gifts, and in many cases, took my family’s generosity for granted. They put me through my post-secondary, for example, and I really didn’t VALUE that at the time (though I do now). My mom also performs unexpected acts of service for me to show her devotion, but these usually end up inconveniencing me in annoying ways, like that time she decided I needed a tune-up and I was like, “Uh, where the fuck is my car?”

Whether you’re trying to save money or not, it’s important in any relationship to figure out what forms of generosity really speak to your loved ones. Expensive gifts or events are almost never the solution. One of the worst offenders to come to mind is going out for a movie together. “Hey, let’s go spend quality time together by staring at a screen and not talking for two hours! This is how people form close bonds!” Ridiculous, right? There is, however, a caveat in all this… I mean, what if your partner ACTUALLY accepts love in the form of gifts? Like, what if, in all sincerity, that’s what you have to do to keep them around?

Well, decide if that’s worth it for you. No lies, this’ll probably fuck with your FI plans, but life’s about more than money. If necessary, communicate that giving gifts isn’t how YOU show love, and hope they understand. It’s rare to find relationships where your “love languages” align, but now that you’re aware of that, you can: a) stop blindly throwing money at things and events in the hopes that someone will like you, and b) start communicating in a way that will make your relationships stronger!

Figure out your “love languages”. Learn how you each GIVE and RECEIVE affection in a way that’s meaningful. Do your best to keep money completely irrelevant. This won’t make you rich overnight, but it’ll help.

In my monthly spending breakdowns, I used to have a line item for gifts, but I don’t anymore. My relationships are better than ever. As always, keep more money in your pocket and use it on what REALLY matters. Besides, if you have to constantly buy out your loved ones, you’ve got bigger things to worry about. Here’s to a richer and happier you.