Quick story - what's wrong with people's thinking

[hokies2688]

Just a quick little anecdote that I thought this forum would appreciate. My company recently canceled their bonuses but rolled them into our salaries effectively giving us a raise that equals our bonus. (IE my salary was $60k plus 8% bonus but now it is $64800 with no bonus) On top of this, they gave us back pay as if the salary increase was retroactive back from January 1 so I got like an extra $975. Yesterday when everyone got to the office, the obvious buzz was about the extra money everyone got direct deposited to them this past weekend. Everyone kept asking what people were buying and most people were saying new purses, clothes, or other ridiculous expenditures like fancy dinners. When I was asked, I said I used the $900 to max out my Roth and the rest for mother’s day. I was basically looked down upon because I wasn’t buying anything extravagant. I obviously could care less because I know that I’m helping myself out in the long run. I just think it’s ridiculous that at 24, I’m more responsible than the majority of the other 25 people on my team. I wish I could just strangle people or give them a lecture on personal finance, but it’s obviously not my place. Just though I’d share with you all.

[bjl584]

All too common. Just keep saving. You will win out in the longrun.

[Eleanor]

Oh dear, it's weird how people think about money/finances so differently when it's presented in different ways. I'm guessing they weren't saving their bonuses either but I imagine they spent them on vacations or Christmas or something at least a little more substantial than expensive purses and fancy dinners.

[elessar78]

To put it in more sexy terms, when people ask you what you did with your money, tell them what you ACTUALLY did with it.

"I bought a (piece of a) company."

Most people buy the things that the companies produce. You buy the actual company.

[JBlock]

To put it in more sexy terms, when people ask you what you did with your money, tell them what you ACTUALLY did with it.

"I bought a (piece of a) company."

Most people buy the things that the companies produce. You buy the actual company.

Well that's the principle of economy. To buy and sell.

[disneysteve]

I wonder how many people comprehend that they haven't really gotten a raise or anything extra but just money they were going to get anyway.

Something similar happened at my office last year. We switched from paying our health insurance premiums from after-tax to pre-tax and the change was retroactive to January 1 (this was around September). So we all got a paycheck with a big "bonus" because we basically got refunded the taxes we had paid on that money for 9 months. Of course, it wasn't really extra money because it would have come back to us when we filed our taxes, but still people treated it like free money.