Saturday, April 19, 2008

Book Review: The Ultimate Cheapskate's Road Map to True Riches, Chapter 2

Chapter 2

Fiscal Fasting: The First Step Down the Road to True Riches

This was a good chapter for me to re-read in The Ultimate Cheapskate's Road Map to True Riches this week because I have really been wanting to go spend some money. Books, some new clothes, a few things to organize around the house and it didn't help that I was dreaming up ways to spend my stimulus check either.

In this chapter he recommends a fiscal fast which entails denying yourself the use of money for a specified perioid of time, usually a week or longer. It is important to note that ALL SPENDING IS PROHIBITED no matter what it is for. You can however make some exemptions if clearly stated at the begining of the fast like commuting costs. But if you can, try to avoid having to spend anything. You can even pre-pay your bills in advance so you don't have to spend during the fast. If you really want to be hardcore, some people go without electriciy or other utilities during the week.

Everyone in the family should play but if someone isn't, its against the rules to make purchases on someone elses behalf or luring them into spending something. No hoarding in advance is allowed and it's a good idea to keep a notebook during the process.

The benefits of doing a fiscal fast include a clearer perspective on your spending habits and where all that money goes everyday and your perspective on life will change as you realize you already have more than enough.

So if you think it sounds hard, he suggests the following reads during your fast to help you keep your perspective {you'll have to check them out at the library, for free of course!}:

Adrift: Seventy-six Days Lost at Sea

Alive: The Story of the Andes Survivors

Anne Frank: The Diary of a Young Girl

Children of the Great Depression

Endurance: Shackleton's Incredible Voyage

Follow the River

Into the Wild

The Prize Winner of Defiance, Ohio

Trail of Tears

Voices from Slavery

I was also going to check out The Greatest Generation, a story about American citizens who came of age during the Great Depression and the Second World War and went on to build modern America.

So I think I'm going to gear up for this challenge. I need a little more perspective and I can't wait to read some of these books! Chapter 2 actually has two exercises in it, but I think I will go over the next exercise next time, after I finish the fiscal fast.


Re-read Chapter 1

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