Don’t Be a Miser
By: Debesh Choudhury
Tags: Self Development, Money, Wealth, Life, Number One Tip

Number One Tip | Wealth

Don’t Be a Miser

Photo by Jason Leung on Unsplash

We read Warren Buffett’s advice, “Do not save what is left after spending; instead spend what is left after saving.” I and many have been following this even before hearing the name of Warren Buffett.

Throughout our life, we have been doing exactly what Warren Buffett has preached. But, hold on. Are we becoming misers? To some extent, yes. Some of the savers like me, who has got a little bit of less intellect, have been transformed into something similar to a miser! It may not be literally that, but in effect, we haven’t spent enough to enjoy life.

Why may I/we need a modification of Warren Buffet’s wealth management tip?

Why should I modify Warren Buffett’s advice? Or should I try changing the world’s one of the greatest investor’s advice? I know that most of you are speaking these inside your mind.

When I look at many of my friends’ spending and saving habits, I get the idea. We have seen some in our friend circle who never get the gut to spend a good amount of money for something worthy in their lives.

I remember from my college days that there used to be some guys who never paid a single penny when we went for tea or coffee in a shop. Those are very few. They are specially designed humans who always trembled to pay anything.

At the time of paying the bills, they would invariably say, “Oh shit, I forgot to bring my purse!” They are the misers. And I can bet that they aren’t happy in their life. They are religious followers of Warren Buffet’s advice without even knowing that.

How may I/we change Warren Buffett’s advice and adapt to balanced spending and saving habit?

The need is the mother of spending. Now we have to judge the importance of the need. We have to self judge the needs and make a decision. That is the challenge.

We may analyze the following category of needs and decide to spend the necessities and don’t spend on extra-ordinary needs.

The needs must be the basic needs. Like food, home, dress, basic utensils, sleeping accessories, toiletries, writing/working utilities, such as computers, stationaries, going out to eat, watching films, etc.

The needs mustn’t be extra-ordinary needs like designer’s dresses, a luxury apartment, luxury cars, such as Tesla, Roles-Royce, luxury travels, etc. During college days, a costly phone would also be considered as an extra-ordinary need.

The misers may analyze and decide not to spend even it is the basic necessity

A miser thinks, “OMG, I have to save at least 75% and then manage with the balance 25%. So I will minimize spending on basic needs. I can’t buy new dresses. Let me take a bath only once a week and save the cost of toiletry.”

When the miser needs to buy a new laptop because of problems in the old one, he/she may think, “I can’t afford to buy a new laptop this month; I have to manage without a computer for at least six months.” And something like these.

A miser would never buy a car even if necessary, and he/she would manage to pay the EMIs. They may use public transport even in the middle of their career and have extended family members.

The balanced people may analyze and don’t hesitate to spend on the necessities

They don’t hesitate to spend on the necessities, such as food, dress, rent of apartments, basic utensils, toiletry, stationery, electronic gadgets, etc.

If computers and the mobile phone become unrepairable/unserviceable, they don’t hesitate to buy a basic one that serves the purpose even under installment EMIs.

After analyzing the savings and monthly spending, the balanced people won’t hesitate to buy a decent car that he/she can afford to pay the EMIs. But they never go for a luxury car or a luxury apartment, which aren’t the basic needs.

May I now write down the modification of Warren Buffett’s advice on wealth management?

In fact, most of us are already following a modification of what Warren Buffett advised. In this world, there are more balanced people than misers. I am not saying that if you follow Warren Buffett’s tip religiously, you will fall into the trap of a miser. I try to reiterate what many of us adopted in life.

“Don’t always decide in advance what you would save. Sometimes judge cautiously if you need to spend a little more than what you spent last month. Don’t be a miser and carry the miseries with you till the last day of your life.” —Debesh Choudhury

Saving is not always a good option. Spending is also not always a bad option. We can’t always save more and spend less. It is the balance between the two that can make our lives sustainable. We must understand that great people preach many things that they didn’t do exactly in their lives. The track Warren Buffet followed is not the same as what we can follow in our lives.

The extent of our life is limited. Let us not limit our enjoyment intertwined between the laws of saving and spending. We must spend and save as much as required to make it fulfilled.