Imran Peer Small Expenditures Article Reflection Personal Finance

Report on Article I read through the entire 5 pages of the article quite thoroughly and came to a couple of conclusions and inferences about it. Firstly I thought the article !as quite simple. It essentially informed !hat !ould ha"e been general #no!ledge to most people. It may help those !ho don$t ha"e a clue about finance and those !ho don$t ha"e much common sense on ho! to deal !ith money. %et I cannot say that it !asn$t informati"e at all. &he article does ma#e some strong points such as some luxuries that many people ta#e as necessities. I notice a lot of people dri"ing cars that they cannot afford by paying a monthly installment that uses up their entire monthly budget. I thin# the only !ay that the article !ould pro"e to be useful to me !ould be the part that it mentions that small expenditures that !e may thin# are not going to ma#e a difference actually add up in the budget and ma#e a significant difference. For example a cigarette chain'smo#er may smo#e ( pac#s a day. An a"erage cigarette pac# costs

) dollars. &hat is *+ dollars a day. It doesn$t seem li#e much. ,o!e"er *+ times -. ma#e +(. dollars. +(. dollars a month is a large amount of money. In fact that !ould be ho! much I paid for my tuition at Richland /ollege0 1ther things such as eating out at fast foods or high end restaurants are unnecessary yet people consider it a necessity and hence spend a lot of money that they could sa"e. &o ans!er the questions you as#ed of me in the extra credit assignment sheet I !ould first say that I am an aspiring dentist and hope to be earning an a"erage of around *(. ... dollars a year. I thin# from the #ind of expenditures li#es and disli#es that I ha"e I !ould !ant to sa"e up at least )5. ... dollars for retirement. E"ery month I hope to sa"e at least *52 of !hat I !ould be earning. &o conclude the assignment I thin# that the article !ould ha"e been "ery beneficial to someone !ho has not studied about personal financing or is facing a financial crisis and has no help !hatsoe"er.