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Last year when I went to China to visit my grandparents my granddad presented me with an old essay book from the year right before I left for America. In it there were weekly essays written by me for Chinese class. One of the highest scoring essays in the entire booklet is titled “Savings Jar”. I seriously did not remember writing any of the essays in that booklet, but I really enjoyed reading this particular essay, and it really shows that I have been saving ever since I was a kid. Since the original is in Chinese, I am translating it here for your reading pleasure

 

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I have a pretty savings jar made out of colorful porcelain. It has a small mouth, but its tummy is quite large. It is rotund and has a hemispherical cover. It looks just like a fat child wearing a set of flowery clothes and a multicolored hat. Its black bottom has drawings of large pink flower buds and tiny yellow blooms with blue and green leaves and a yellow stem. The jar’s rim has a decorative border that looks like lotus flower petals that are blue, green, and red. Its many colors look as if they’re dancing and it’s extremely beautiful.

Its large stomach can hold many things. Originally It was used to store stamps, but when my first pig-shaped coin bank broke, my mom gave this jar to me for saving money. The money in the jar is all saved by me on a daily basis. Whenever I am given a coin I would put it in. Just like this days turned into months, what was small grew large, and grains of sand became a tower. After several years, the jar now contains more than ten yuan, and it is quite heavy when it is held.

One day, I was showing off my savings jar to my grandmother. Because it is very heavy I accidentally dropped the cover on the ground and it broke in two. I was so sad that I almost cried. Then I heard that my uncle has all purpose glue in his factory, so I carefully put together the pieces of the cover and wrapped it up with paper. Afterwards, my uncle used the glue and repaired the cover, and my jar was perfectly restored.

Savings jar, you are my little bank. You are not only beautiful on the outside, but you also are training me to maintain the good habit of saving money!

Anyway I hope you enjoyed reading this as much as I enjoyed translating it. The teacher underlined some of the poetic parts indicating that she liked it, and she didn’t edit this essay at all. If you’re curious, the ten yuan I collected in that jar was worth about $1.60 back in the early 1990s, but it was possible to buy quite a lot of things in China with it back then, at least from an eight year girl’s perspective. The lowest scored essay in the booklet was titled “An Event I Found Deeply Moving”, and it was about an old woman barfing on the street non-stop. That essay seriously made my mom choke from laughter when she read it. Do any of you guys remember your piggy banks? Was it a fond memory?

 

 

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I think it’s funny that most people always wonder how much money their friends and coworkers make, but rarely talk about it. It may just be an American thing, because in China my parents and grandparents tell anyone they know how much money they make. I think because of them I am usually pretty open about how much money I make when people I trust ask me about it, but really, very few people ask. Here’s a story of how a friend reacted when I told him how much I was paid.

So I have known this guy for more than ten years now. He was a year above me in high school and we had several classes together. We went to different colleges but studied the same major and still kept in touch online and played games together. We never really talked about money very much because finances didn’t really matter when you’re young and in school and your parents paid for most of it. Our conversations mostly consisted of him making up funny nicknames for me and random stuff. So after he and I both secured our first real world full time jobs after college he asked me how much I was paid. As I stated in a previous post I made $60,000 a year when I graduated from college. It turns out that he was making a bit more than $40,000 per year and I told him he was definitely underpaid. He was outraged and went straight to his boss for a raise even though he had been working there for about 3 months. His boss definitely knew he was underpaid because the company immediately gave him a $13,000 raise and bumped his pay from 42,000 to 55,000 per year. I think he was happy about the raise, but still a bit miffed that I made more than him and he was doing a job he hated. But now he was definitely more confident about his skills and worth, because he went on to look for a new job and got a lot of interviews, and finally he took an offer at that ginormous search company which rhymes with oogle.

So we’re still friends after that, but now he feels rich because he has a lot more income. He looked into buying a condo in 2006 because a coworker was into real estate investing. He asked me about it and I told him many reasons why I thought it was a bad idea to buy at that time. He was thinking of putting 5% down and buying a 499k condo in Fremont that was less than 900 square feet. He was throwing all those arguments such as “I will have equity” and “housing will go up” at me. Then I said to him, “You know that equity means the amount of money you have paid on a home and not the price of a home, right?” To this he replied, “What? That sucks!!” I think that at the peak of the housing bubble a lot of people just repeated what the realtors said without really researching what each of the buzzwords meant. My friend isn’t stupid, and he didn’t buy the condo. Now more than a year later he is gladly renting an apartment with a roommate and recently he told me he probably would have bought the house if I wasn’t against the idea so much. I also told him about other investments such as mutual funds, bonds, and stocks and just explained what each of them were and he realized on his own that the investment gains on a home probably isn’t more than investment gains on stocks in the long run. He bought some money market funds, treasury bonds, and stocks on his own. We both agree that we want to be homeowners, but a home shouldn’t be an investment vehicle, and the current Bay Area prices are way out of line.

Now after less than a year he is totally debt free and has saved a substantial amount of money at the age of 24. According to him he is learning about capitalism and he needs to understand capitalism to beat it. So I’m glad to see that his basic ideals has not changed by having and saving more money. In fact, he has grown much more responsible just by learning about finances.

What is the moral of this story? I guess one important thing is that you shouldn’t be afraid to discuss finances with your friends and family. You learn a lot about a person by how they deal with their money and you can also get tips on how you can manage your money. It’s also possible that you will find a friend who is really in need and an opportunity to help someone. Another thing is that twentysomethings really need to have a guide on how to manage their lives when they’re thrown in the real world. It’s pretty hard to transition the talks of fun and games to serious financial issues when you have friends that you’ve had silly conversations with for years and years. And finally there is the cliche lesson of believing in yourself, because ultimately my friend did whatever he wanted to do without compromising his values. I fed him information, and he made his own choices to save and invest for his future. My friend wanted me to write this story because he’s quite proud of where he is now, and I think anyone can do what he did if they choose to.

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When I came back from my honeymoon I had a lot of news to catch up on, and the headline that made me laugh the hardest is that a lot of consumers were angry over the At first Steve Jobs and then offered a $100 Apple store credit. This event made me reaffirm my belief that if people want to save money they should never buy things on launch day, and especially don’t buy a new product on launch day. Here’s why:

1. over the counter viagra alternative– Most of the time technology products are shipped with bugs. If it’s a good company making your desired product they will try to make sure the bugs are minor, but the sheer number of bugs a product could ship with may astound any consumer. The problem with first generation products is that they haven’t be mass-tested in the field, so uncaught problems are more likely to surface. When bugs are caught in the “production environment”, or by consumers, they’re considered especially bad, and the company will issue patches and new versions of the product. So it’s best to let the first generation of the product be a field test before you buy some horrendous bug and waste your time with recalls or refunds.

2. over the counter viagra alternative — I call the resellers of popular products on launch day scalpers because they are basically feeding on the fanaticism of people who want their stuff right away. Some crazy examples include PS3 consoles selling for over $6000 each on eBay. Apparently a large percentage of launch day purchases for PS3s were made by these scalpers. Do you really want these people to make money off of you? I certainly did not. Now several months later, the PS3 console also went through a price cut and is more widely available.

3. over the counter viagra alternative– Discounts happen to all products. Most stores have seasonal sales where they give out percentage off coupons or just have specials on items. If a product is not selling as well as intended then pricecuts happen (i.e. the PS3 & iPhone). If you’re not a fashionista and don’t care about the newest line or brands you can buy last season’s clothing for huge discounts in clearance. The point is that if you buy something on launch day there’s a very slim chance that there is a sale or discount.

So how long should one wait until getting that super awesome gadget or sweater? My answer is, well, as long as you don’t need it don’t get it. The longer you wait the more likely you’ll lose your itch for that splurge or maybe you might get it for free or discounted. Basically, if you want to be frugal, be steadfast and don’t get into the hype for anything. And if you are one of those angry customers who bought an iPhone before the price cut, don’t feel so bad because it’s not as bad as the pain suffered by one of those folks who bought a new home in the last couple years only to see the builders offering huge discounts of six digits and above now on unsold inventory. I’m not against buying new things, but it’s always best to wait and watch the market a little bit.

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So the hubby and I signed up for a Netflix trial since we no longer pay for cable TV. The trial includes unlimited DVDs and also an instant watch option to watch movies and TV on Netflix’s viewer. It’s quite funny but Netflix recommended that I watch , which is a documentary on debt in America. So I took the bait and clicked the “Play” button. After watching it a while I felt like I have seen it before, and I was right. Quite a few juicy and informational parts of the movie came from the award winning Frontline episode , which is available for free at PBS. Both programs featured lengthy interviews with the dewy eyed and passionately outspoken Elizabeth Warren, who is a Harvard Law School professor who researches bankruptcy. I think she’s very interesting, and I first heard of her when I saw the book . Her research is quite eye opening and I guess that’s why she’s a featured interviewee.

After an hour into the movie, I felt that Maxed Out was a bit more disorganized than the Frontline report and focused more on individual credit nightmares. For example, the movie showcased several people who committed suicide over their debt. It was sad to see the families of these people retelling the tragic deaths of their loved ones, but I’m not sure how helpful that is to people who are trying to learn about credit cards and debt. Another woman was charging her mortgage onto her credit cards and eventually lost her home and I didn’t know if I pitied her or wanted to slap her. The movie also had a banker-educator figure named Mr. Money, who was teaching two youngsters about credit. That part was quite funny because the movie makers juxtaposed Mr. Money’s sage advice with the actual actions of the banks.

Maxed Out did point out that the United States government is making some horrible choices and increasing the national debt instead of attempting to reduce it. The federal government actually ran out of money a few times in recent history and that’s quite alarming. I want my tax dollars to be spent wisely, but that’s basically a cry in the dark. I suppose the only thing I can do is to save as much of my after tax income as possible.

So in conclusion, I have to say that Maxed Out was an eye opening but rather depressing movie focusing on individual credit card debt. What I took away from the movie is that consumers are not educated enough about credit cards and fall into the traps of high interest rates and ridiculous fees. The government is basically owned by the banks and consumers are at a disadvantage so we have to empower ourselves with knowledge. If you want to learn about the credit card industry you should definitely watch The Secret History of Credit Cards at PBS which contains an awesome interview with Ben Stein. I am really waiting for someone to make a documentary focusing on housing foreclosures and subprime lending because I want to understand how that happened.

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I am back from an absolutely awesome trip to Kauai. The hubby and I totally splurged on food and massages on this trip and I felt that it was well worth it. The highlights of the trip for me are still some of the “free” things. Here they are:

over the counter viagra alternativeover the counter viagra alternative- We saw quite a few Hawaiian monk seals! One day we saw four different ones. They are so cute and they were just sleeping on the public beaches. They are supposed to be the one of the most endangered species in the world since there are only about 1400 or 1500 of them left. It is a felony in Hawaii to approach these seals and they can bite even though they’re so cuddly looking, but we were only about 10 to 20 feet away since they couldn’t close down the entire beach. Here are some pictures of these lovable creatures:

Another endangered species we saw was the Hawaiian green sea turtle. It wasn’t as cute as the monk seals, but it was still pretty interesting and just lying on the beach.

And finally, another wild animal that runs rampant on Kauai is the chicken. The story is that during hurricane Iniki in 1992 all the chicken coops on Kauai got blown open, and now after 15 years there are flocks of these birds all over the island. The roosters crow at all hours of the day and sometimes they fight:

over the counter viagra alternative– Most attractions on Kauai are admission free if you are willing to drive there yourself. Very close to our hotel are two attractions — The Spouting Horn, and the National Tropical Botanical Gardens. The Spouting Horn is a natural lava tube that spurts out columns of sea water as the waves push through it. It also makes a very loud moaning noise as the water comes up so the Hawaiian legend states that there is a giant lizard stuck in the tube yelling for help.

The Botanical Gardens is basically across the street from the Spouting Horn Park, and it has ten acres of flora and plant collections that visitors can walk through daily for free. The hubby took some gorgeous photos here, but was savagely attacked by bugs and now has bites all over his legs. I was also bitten multiple times. Here are some photos the hubby suffered for:

Other awesome free attractions include Waimea Canyon, Hanapepe the home of Lilo and Stitch, the Hanalei Valley, and ofcourse the miles and miles of white sand beaches on the island. We spent the entire first day there just driving along the main highway on the island and visited all the little towns along the way and that was pretty fun.

over the counter viagra alternativeover the counter viagra alternative — These aren’t exactly free since we paid to stay at the hotel. However, I learned from my mother how to get the most out of the complimentary items. Basically, she would take all of the shampoo,soaps, and lotions that are free and put it in the suitcase. The next day the hotel staff would replace it. So often my mom would end up with a whole bag full of just hotel toiletries. Then she would give them as gifts to family and friends in China, who really love American branded things. So amidst the ridicule of the hubby, I took the shampoos and teabags and put them in my suitcase. I regret that I didn’t do this everyday since I forgot to gather up everything a couple days when we left quite early for our adventures. The hotel had some really nice eucalyptus scented shampoo.

One thing we did to save some money on the island is to go to the local Kmart and buy drinks and snacks. The six packs of Hawaiian Suns we bought at the Kmart lasted us for the entire trip and cost a little less than 2 bottles of water at the hotel. There was also a coupon in a tourist pamphlet for a free box of chocolate covered Macadamia nuts at the Kmart so we got that. So betwixt all that splurging, a little bit of frugality shined through.

So now I’m back in San Mateo, and the colors seem a little more muted, but this is home I suppose, and I am so glad that all wedding related expenses are done with.

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