Both the husband and wife are wage-earners.
This job offers fat paycheck.
Today is pay day.
I have a family to feed.
Living expenses eat most of our income.
We paid 2000 dollars in tax last year.
She records every income and expense.
I often set aside some of money for emergency use.
We need to figure how much money we are spending and what we are spending on.
Well, I think we could be saving more.
Really? Well, okay. Get the receipts out.
Let's see. We spent $700 for our home loan payment, $400 on groceries, $75 on utilities, $250 on gasoline, $100 on books, and $300 on entertainment last month.
We put $500 into the savings account, and $750 into our stock account.
$3075, our pay checks are $3300 combined. That means we don't have any receipts for $225.
OK. So where do you think we can save more money?
Well, we couldn't eat anymore. That 300 dollars for entertainment is mostly going to restaurants.
Yes. That's a good idea! And you like to cook. What about the books?
No, I need my books.
Come on! If we save more money we can retire earlier and you'll actually have time to read all those books you buy.
Well,what about the 50 you spent on shirt? You could have gotten something for less!
Ok, let's compromise. If you agree to only spend 75 on books I'll agree to only spend 50 for my next shirt.
All right. That sounds fair!
Rachel: How are your stocks doing, Jim?
Jim: Oh, all right. I lost a bunch of money in the last two years, but this year has been pretty good.
Rachel: Yeah. I lost money investing in the Internet, too.
Jim: Just goes to show that you should buy companies, not ideas.
Rachel: I changed my strategy around too. I invest in good companies now.
Jim: Yeah, me too. Did you hear about Ted?
Rachel: No, what happened?
Jim: He lost his kids' college money by trading.
Rachel: Oh, boy! His wife can't be happy about that.