By: Roshawn Watson
The post entitled: Diapers, Diapers, Diapers (see below) got me thinking about running an economically productive household. Activities that are productive for one house can negatively impact the wealth of another. Someone may go out of his way to save a few bucks (good defense) whereas someone else will allocate most of her time to earning income (good offense) while avoiding waste . Who do you think is worth more? There is no clear answer.
Also, sometimes looks can be deceiving. It may appear frugal to do your own plumbing to save $150, but you are trading in your time, may not do as good a job, and may buy inferior parts. Thus, being “first-cost” sensitive may not be as productive overall as being “life-cycle-cost” sensitive. Remember, frugality is about obtaining maximum output while being parsimonious with your resources (not just dollars). There is a reason why the majority of millionaires are not do-it yourselfers. It may be much more economically productive to focus on playing good offense (earning money through your career).
None of this really answers the question of whether to use disposable or reusable diapers though. I’ll let you be the judge after reading Carol’s article!
Thought Question: What is your least financially productive activity?
Now, it’s time to do the weekly Uncommon Money News and Yakezie Round Up.
Uncommon Money News and Yakezie Round Up
In preparing to write my posts, I often come across noteworthy and sometimes bizarre financial and business news. Below are links to some of these sites. Enjoy!
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Personal Finance
Is it Worth it to Have an Emergency Fund Or Should I Pay Off My Mortgage? at Invest it Wisely – Kevin’s unintentionally controversial post that caused me to create so much new content in the comments that I decided to use that topic for Friday’s post (When Paying Down Your Mortgage is a Bad Idea?)
529 Plan at Joe Taxpayer – If you have kids, you want to consider a 529 plan for investing in their education (especially if you earn a lot). Joe teaches some essentials about this plan.
Simplify Your Finances One Tackle at a Time at Simple Financial Lifestyle – B Simple has advice for simplifying your banking, debt repayments, insurance, retirement, and other areas of your financial life.
Do You Buy These Overpriced Items? at KNS Financial – Khaleef expands on a enlightening Yahoo Finance article about how we unnecessarily overpay for common items.
Diapers, Diapers, Diapers at In The Trenches – Carol conducts a detailed analysis on the pros and cons of disposable and reusable diapers. (I would have to adjust these numbers by the yuck factor of reusable diapers personally). She has a suggestion for that too though!
Business
Android to overtake Blackberry and Apple
Bank Screws Man For $900, He Tells Others, Ultimately Costing Bank $100,000 In Lost Business
Entertainment Money News
Movies By The Numbers: Resident Evil‘s Afterlife Rules
My Guest Post
- Thanks to David (Money Ning) for publishing my motivational article: Seize Your Wealth Today
Carnivals I Participated in
- Carnival of Wealth at Personal Dividends (Economists Blame ME for the Slow Recovery)
- Carnival of Personal Finance at Danielle Liss (When Is Paying Down Your Mortgage a Bad Idea?)
- Yakezie Carnival at Engineer Your Finances (7 Surprising Facts About Millionaires)
- Carnival of Financial Planning at Watson Inc (multiple)
- Festival of Frugality at My Personal Finance Journal (My Big, Fat Trashy Home: The Fall of the McMansion)
Round ups that linked to posts from this site
- Wise Bread’s Best Money Tips (Editor’s Pick) – 5 Tips for Those Working at a Job They Hate
- Joe Plemon at Personal Finance By The Book – Photo Exhibit Round Up
- Kevin at Invest It Wisely – Weekly Reading
- Nicole at Penny Frugalistisa– Posts that Piqued My Interest
- Khaleef at KNS Financial – Emergency Fund Edition Round Up
- Ken at Spruce Up Your Finances – Link Bonanza
Thanks for including me, Shawn!
My recent post How To Un-Accumulate Stuff at a Profit Using Ebay
You are welcome Joe!
My recent post Dirty Diaper Round Up with Uncommon Money News
I remember driving around looking for cheap gas stations. I would burn up so much gas just looking to save $.02/gallon at times! Not financially productive at all!
Thanks for including my article in your roundup!
My recent post Roundup for the Week of 090510 – Emergency Fund Edition
Yes, that is unproductive AND I have been guilty of this too (although a long while ago like you). At least, we didn't buy energy efficient vehicles for the purported financial savings that never materialized. Yes they are green, which is good. That benefit is distinct from the financial hit (not benefit) that one takes to own one.
My recent post Roundup for the Week of 090510 – Emergency Fund Edition
Thanks for including my post.
My recent post Simple Sunday Finance Blogger’s Roundup – Football Season Edition
Who knew I would have stirred up so much trouble 😉
I agree that sometimes it pays to, well… pay. I don't believe in extreme frugality nor doing everything yourself. Without the division of labour we end up back in the caveman days.
Thanks for linking out to my post 🙂
My recent post How Much of Your Paycheck Do You Need to Survive
Kevin, I think like Dean Burke mentioned in your comments, people who handle their finances like you are not the primary concern. However, people who are not as sophisticated (most people) can really get into trouble unnecessarily by skimping on their EFs.
At the very least though, your posts are getting a good amount of response. That's an accomplishment in itself.
Kind Regards,
Shawn
My recent post Dirty Diaper Round Up with Uncommon Money News
For us, doing just about any home repair ends up being more costly than if we just paid for someone to come do it. Not to mention the frustration, the fighting, etc!
Shawn, You concisely stated one of my basic premises; what is the best use of my time at any one moment? It is a difficult question to answer, yet, time cannot be replaced and money can.
My recent post A Sneak Peak Inside Barbara Friedberg’s Personal Portfolio-Part 3
Frustrating is correct. I remember one time I spent over 4 hours working on a "small repair." It wasn't that complicated. I just really didn't know what I was doing. Thanks for the comment!
My recent post Dirty Diaper Round Up with Uncommon Money News
Excellent point. Time is more valuable, and if it isn't, then perhaps the best use of time is to make it more valuable.
Kind Regards,
Shawn
My recent post Dirty Diaper Round Up with Uncommon Money News
Those people apparently comprise at least 60% of the Canadian population, going by one poll. I have a post for them too that went up today 🙂
My recent post How Much of Your Paycheck Do You Need to Survive
Funny.
I bet you the number is higher that the 60% (hence your at least).
My recent post Dirty Diaper Round Up with Uncommon Money News