those who are actually disciplined enough to run their life within a financial budget on a monthly and annual basis are probably tempermentally disinclined to consumption smooth, EXCEPT for life stages such as higher education.

And now I have to go find something to clean up the coffee I just spit-taked onto the monitor, while I thank my lucky stars that as a woman I’ll never have to deal with THAT one.

Trent, you make a brilliant point, especially in this economy. We SHOULD figure this out on our own, but it helps to have it in writing so we have a visual.

This also goes for the not so youthful, in regard to handling windfalls. Just because you’re flush now, doesn’t mean it’ll always be that way.

Saving $X amount could be oversaving or overspending depending upon the context of one’s life. Check on the lifestyle of early 20th century millionnaire Hetty Green for someone who oversaved. Among other odds behaviors to save money she ate oatmeal that was cooked on a heater, wore old clothes, and treated her own son’s broken leg (which had to be amputated due to gangrene). She moved from various locations to avoid having a taxable residence and refused to have surgery because it cost money.

Here’s the thing: when you are young you have very little overhead costs. The reason I save as much money as I do is because I live at home. Sure I will be making more money in a few years BUT I will probably be living on my own. I will be spending more money on different areas of life that I never even thought existed.