Eating well for your health and wealth

I have been reading a lot about food additives recently and how most of the things we eat are of less nutritional values than the same product 25 years ago. This is due to the extent that chemicals, hormones, and genetically modified foods have been used.

I feel that by eating well (such as staying in the bottom of the food pyramid, whole foods, etc.) you can not only do wonderful things for your health but can also save money. When you look at the food pyramid, you will notice that the bottom of the pyramid (foods that you should eat more of) are grains, fruits, and vegetables. These foods are more affordable than the means and dairy at the top of the pyramid! By simply following the pyramid you can eat better and save money.

I am trying to eat more organic produce and would ideally eat at least half of my produce from organic farmers markets. However it is very difficult to do this where I live and it would be more expensive. I still think that if I buy whole grain pasta, brown rice, soy milk, and cheap produce like organic bananas from the local HEB, and occasionally go to farmers markets for other foods I will be eating well.

Monopoly

Here is a quote which is a bit scary how true it is.

"If the bank runs out of money, it may issue as much money on its own as it may need by merely writing on any ordinary paper" - The rules of monopoly, Parker Bros, Inc.

For some videos on how the monetary system works.

Money as Debt

Fiat Empire

I like how when you leave money in a bank account the bank could literally create 10 times more money and loan it out at higher interest then they provide. And I mean I like it in a sarcastic way.

Choices

I have just found out today that I will be receiving an $825 pay raise next year. I am deciding between putting this money in the Roth or to simply leave it in my savings account.

I haven't really planned on what to do with random bonuses on income. This bonus will turn out to be about $55 more a month, which is definitely not a lump sum, but something I feel like I should place somewhere automatically (so I never actually see it).

What are your thoughts? I am planning on making posts in the future on how to deal with windfalls and raises.

Stopping bad habits through habitual saving

Are there things in your life where you know deep down inside you shouldnt be buying but you buy them anyway? I think that one way to stop this habit is to create an account that you put money in whenever you do not buy that item as an incentive to stop buying that particular item.

When I was about 5 years old I remember my dad smoking all the time. He told me that he used to smoke 2 packs a day! Besides the fact of not being a positive example for me, it was costing him a lot of money. My dad also was taking the train into New Rochelle to pick me up, then going back to NYC, only to do the same thing again to drop me off. What my dad did to stop smoking was to simply put the money he would have spent on cigarettes and placed it into an envelope. After about 6 months of doing this he saved enough money to buy a cheap used car that he used to pick me up whenever he came to see me. By the time he bought the car he did not feel dependent on smoking.

I have been thinking of this story for a while now, and how it relates to not only me but other peoples finances. I feel that most people have habits that do not represent their values in life and could be used in a more constructive manner. In the book, "Your money or your life", (a book I highly recommend as the first book people read for personal finance) the authors talk about how you should spend money that is aligned with your values. If you have a habit such as smoking, drinking, or gambling, I think that a good way to see the negatives of these habits is to save money in an account and see how much you are really spending.

My dad literally put money in an envelope and constantly went to the bank to get the right amount of money. Luckily in this technological age you do not have to do that. You can simply open an ING subaccount and name it for whatever your habit is. Then, whenever you feel like doing your habit, just make an electronic withdrawal from your checking account to this subaccount. Not only do you not have to put money in an envelope, but you will earn interest.

I feel that having some type of goal for this money will keep you in your plan. For instance you have a drinking habit and you put $15 in the account every time you want to drink but dont. The plan is to spend this money on a trip somewhere you want to go. With this plan you will be much more likely to keep on your plan.

As always, comments are encouraged!

Fiscal Fast Day 4

The challenges of getting through the day without spending any money.

Good day. I went to Barnes and Nobles, saw a special someone, and read a bit of "your money or your life", which really is a good book. This years fast is a bit easier than last years.

An estimate of how much money I would have normally spent that day.

Housing = $13
Food = $3
Gas = $3
Total = $19

An observation (positive or negative) about my fiscal fasting experience that day.

It was another good day, as I feel that I am not completely dependent on money. The past few months I have been spending more than it seemed necessary,but I think after this fast I will be a little more responsible. I have made some subaccounts at ING, most notably for vacation and for car repairs, and I think that when I get out of debt I will add additional categories such as housing and car.

Fiscal Fast Day 3

The challenges of getting through the day without spending any money.

Not a bad day today either. I mostly stayed at home, and I went to my open enrollment meeting for health benefits.

An estimate of how much money I would have normally spent that day.

Housing = $13
Food = $4
Gas = $1
Total = $18

An observation (positive or negative) about my fiscal fasting experience that day.

I made a pizza from scratch which was really fun and came out better than I expected. I read a lot of an economics book, and played some video games. The stock market went way down today, but it is what it is.

Fiscal Fast Day 2

The challenges of getting through the day without spending any money.

It was a really easy day, mostly because I was treated to lunch from my principal, and dinner from a special someone. The only challenge I had was to bring lunch and dinner on the road because I wasnt planning on staying home during the day.

An estimate of how much money I would have normally spent that day.

Housing = $13
Food = $9 (if i paid for buffet, $2 is I dont count it)
Gas = $4
Total = $26

An observation (positive or negative) about my fiscal fasting experience that day.

It was an easy day considering I was treated to two meals. Money is not as important as the relationships and friendships you build.