when (and if) you are profitable do you save any money? I was just reading that the average american spends 10k on Xmas alone and for some it is home equity or credit card debt, some make it and spend it. Do you, can you save? There is a common trader syndrome of flaunting and spending when on a winning streak and suffer the consequence when things are not all that rosy. The rich I know is very tightfisted and the same can be found it the book, the "The Millionaire Next Door" by T.J. Stanley
Hello, I believe you have some very erroneous information. Certainly the wealthy and what they are able to spend would skew the average upward on what is spent on average. To say that this average is $10,000 is ludicrous. I have not the data to back my amount, as I heard it on the radio or T.V. news recently, and it was just over $700. Much more realistic in my opinion. As for me and my immediate family, the amount spent during this time of year for the so called holiday is $0.00 over the past several years. We agreed among ourselves that the excess commercialization of the period, had removed the supposed intent of the time. An aside for those who really know the true meaning of this time of year, know it's founding has little to do with Jesus Christ, and that the exact time of his birth is undeterminable by scripture. I will digress no furhter. Kelly
frankly I can't recall where I heard that figure... after doing some searches on the net I see that Xmas alone is much less. nevertheless we spend like our gov't. like drunken sailors and least one can afford more one spends - it seems.
Don't believe: 1) That the average American spends 10k on Christmas (not even close) 2) That the rich are very tightfisted....Many of the rich instead of buying a new Caddie will buy a 2-3 year old low mileage MINT Caddie at a great price after the original owner got whacked for the immediate depreciation as soon as he or she drove it off the lot.... Those who are rich and do this are not being tightfisted, they are being very smart! Now to answer your question, yes, I save money..lots of it..
i believe that as a trader, you are aware of money managment issues which in turn often carry into daily life. well, as a good trader
I distribute earnings on a weekly basis. As Tony Oz used to say "Friday is payday". I haven't missed many fridays. Naturally a percentage goes to savings. Another good saying that works is "pay yourself first". I have found that those who really understand that one generally have savings, while those who don't "get it" are living paycheck to paycheck. See ya Steve
There is a big issue of taxes - many self-employed find taxes and health insurance as the biggest show stopper of their success. I imagine when filing as a trader you get some extras but still TAXES can kill ya unless you have some other source of income too.
I pay taxes on my business's earned income like any other businessman. I have no other business so I pay quarterly estimated taxes. I suggest you see a good accountant if you have questions. Steve
If you are a good trader you will make more money than you spent. And as on this forum there are only very very very successful traders they are pilling up the money in the bank. So your question was a stupid one: you could have known the answer in advance. But there are always people who are glad that they can tell over and over again how good they are. So they take advantage of this opportunity.