Okay, so we all know that the lottery is also referred to as the "Stupid Tax" because you are basically handing cash over to the state in exchange for an infinitesimally minute chance at winning The Big One.
However, it is a useful mental exercise to think about what you would do if you actually did end up with a giant pile of money in your lap. It helps to clarify your priorities and put things into perspective.
If I won the lottery, I would:
- Pay off my house. Our house is not enormous, and I don't think I would really want an enormous house. Sometimes I think I might want to add another bathroom or a sun room onto it, but that urge passes pretty quickly when I think about the cost in building, heating, cooling and maintaining an even larger place. I would just pay this one off. Cost: $130,000
- Take care of all the "deferred maintenance" issues. New roof? Done. Additional energy savings items? Done. Cost: $6,000
- Pay off my student loans. Cost: $50,000
- Donate to some "pet" charities. Cost: $10,000
- Total: $196,000
Are there other things that I would like to do with a large sum of money? Sure. I would enjoy travel, extra time, and paying some sundry expenses incurred by Mr. C and his penchant for financially supporting his children (I love a responsible man). As far as immediate gratification is concerned, though, I could make our lives a lot easier for only about $200,000. In fact, simply paying off my mortgage and student loans would make the charitable donations and the deferred maintenance issues a breeze.
So, for $180,000 I could make myself a wealthier and more relaxed individual. Wow.
When I think about it this way, I am able to grok that winning the lottery is not necessary for me to achieve these things. $180,000 is a lot of money, to be sure, but it is not the seemingly unreachable amount of a $32,000,000 lottery jackpot. It is also a goal that can be reached, little by little, if I apply myself on a regular basis.
Sometimes a little thinking about what we would like done for us for free can give us the power and the ambition to do the same things for ourselves.
Oh, and you can go
here for a free roofing estimate calculator.
Labels: budget, frugality, web link