Blogger issues the Save $1,000 in 30 Days Challenge
Posted
Oct 31 2008, 04:16 PM
by
Karen Datko
Rating:
There are two ways to build wealth -- cut spending and earn more money. Ramit Sethi at I Will Teach You To Be Rich is definitely one of the earn-more-money guys. So it's truly a departure for him to launch the Save $1,000 in 30 Days Challenge because it includes a healthy dose of frugality.
Ramit said he "hates" frugality. Until recently, he believed that for most people it's a hopeless pursuit.
What prompted Ramit to issue the 30-day challenge, which begins at his Web site on Nov. 1? He was amazed by a CNN story about how 80% of Americans are stressed about the economy and their own financial well-being. "I found that astonishing," Ramit wrote. "Although people's behaviors don't change overnight, nearly everyone I've been talking to has been worrying about their money."
Ramit said the challenge will follow the "CEO model." "C" is for cutting costs by, for instance, dropping a bad habit or eating out less frequently. "E" is for earning money by selling something you own, freelancing or creating other sources of income. "O" is for optimizing spending, like getting a better cable TV deal.
He'll be offering daily advice but also promised "no stupid frugality tips," like starting a garden or buying day-old bread (gee, and probably a bunch of other things that we and lots of other people we know do to save money).
Ramit has a different approach: "As I mentioned, I hate frugality and all the frugality sites that waste my time focusing on saving money on frozen orange juice and rice cakes so I can save $1 per week. One dollar? I find that much money in my shoe every day."
But the 30-day challenge won't come without some pain, he said, "because Americans suck at stopping consumption."
