Myth: Keeping Up With The Jones’
The Word on the Street
Everyone wants to have possessions as fine and expensive as their neighbors do. Most people try to spend in such a way as to ensure that they appear no different than “everyone else”.
While it is totally possible to keep up with the Jones’, do not do so without an understanding of where it will lead.
If you keep up with the Jones’, that means that you must be on the same track. Where the Jones’ track leads, you will go. So what exactly do the Jones’ get in the end? John Cummuta, in his Transforming Debt into Wealth system, cited the following fact:
95% of American’s FAIL to achieve a true definition of finanical independance, where they are independent of having to work or get charity or help from the government or help from family members…What does that mean? It means that most people, the Jones’ for example, are doing it wrong…The Jones’ are chasing a barely achievable, unsustainable model of success.
If the 5% who achieve financial independance are spread equally among people of all income levels, that implies that only 2.5% of people with above average income (about $60,000 in the U.S. for a family in 2006) actually become financially independant. Why not? Because they spend all their money before they have a chance to earn it trying to buy a lifestyle that they cannot yet afford. So, you can keep up with the Jones’ if you want, but beware: they may be leading you into bankruptcy.
Posted on 21 Sep 2008