The Benefits of Shared Living
Jorge's story emphasizes that personal finance is highly individualized. What matters most is aligning one's financial choices with their values and goals, ensuring that spending is sustainable within their financial means. Shared living can be an effective strategy to manage living expenses, allowing individuals to allocate resources to what matters most to them. Ultimately, Jorge's approach to spending is a reflection of his values and priorities, and that's what makes it meaningful to him.
While some people would not agree with how much Jorge spends on attending the Cowboy's game very Sunday in the fall, if it is what makes Jorge happy, I think he should continue doing it. Jorge works hard for his income and he also cuts his discretionary spending by adopting a shared living style. There is no rule of how much of an income that someone can use for discretionary spending, and with Jorge's lower income, he is adaptable and only buys a standing room ticket so he can afford to watch the Cowboys. Jorge could watch the game at home, it would not bring him as much joy, and he it lower his living standard. There is not a right or wrong on if Jorge making the right decision, but in Jorge's opinion he is doing what keeps him happy and that is what's important. Also this spending only happens for four months out of the year, so his discretionary spending for the rest of the eight months would be lower. Personal finance is about budgets and income vs spending, but it also about finding a balance between standard of living and how much you can afford. So, as long as Jorge is maintaining that balance, he should continue what he is doing.
The story in the post is important to keep in mind as finances can be hard to understand when you are young and beginning a career. Jorge is maximizing the importance of personal finances and maintain his level of comfort and happiness. He offers us his level of understanding for budgeting for things that really matter to him. Everyone has different spending habits and reasons for purchasing the things we do. Personal finances looks different and is not the same for everyone. Jorge should not sacrifice his happiness and save if it does not benefit him. While it is good to save money personal financing should be on an individual basis and match the needs of the individuals to enhance their standard of living.
If Jorge can sustain this level of discretionary spending, he has every right to do so because it brings him happiness and fulfillment. Personal finance isn't just about saving and pinching pennies; it's also about living a life that aligns with your values and passions. Jorge's choice to indulge in his love for the Dallas Cowboys, despite his relatively low income, is a testament to the importance of finding joy in life. It's a reminder that financial decisions should ultimately be guided by individual priorities and values rather than conforming to external judgments or one-size-fits-all advice.
Jorge's passion for attending Dallas Cowboys games exemplifies the importance of personal choices in financial planning. Despite a modest income, Jorge balances his expenses by embracing shared living. This showcases how personal finance decisions can account for individual priorities and living situations, while also allowing one to explore and embrace passions and hobbies. Every hardworking citizen in the United States deserves to enjoy their discretionary spending while not having to worry about their basic needs. I believe that the money Cortez spends attending Cowboys' games significantly enhances his quality of life and contributes to his wellbeing more than living alone would. Cortez's story provides a valuable lesson on living within your means while enjoying life.
I enjoyed reading this post because it highlights the idea that there is no "one size fits all" policy in financial planning. A lot of people, especially the older generations, frown upon young people like Jorge, who decide to spend their savings on discretionary spending. However, many of these older people have saved money their whole life, but when it's time to use that savings balance, they are too old to do the cool, fun things that young people do. All in all, although you could argue that Jorge's current savings plan, which includes splurging on NFL games, is not financially responsible, at least he has a plan and is aware of how his joy at football games outweighs his temporarily suppressed savings balance.
There is not a singular mold that fits all standards of livings. Each persons personal finances varies based on income and spending patterns. In this case of Jorge Cortez and his love for the Cowboys it shows us a forgotten approach on shared living. In my opinion I believe that this article outlines may advantages to shared living. If we look at Jorge's expenses of a single household compared to a shared household. We see a difference $6,120 not having to be spent on non-discretionary expenses. In this situation shared living benefits Jorge because it allows him to enjoy the finer things in life such as the cowboys. People, especially younger adults with lower incomes should be more aware of shared living and the advantages it has. It helps minimize non discretionary expenses and allows you to maximize your ability to spend on discretionary expenses, allowing more enjoyment and passion in one's life. Even thought it is seen that low income individuals have very strained budgets and live paycheck to paycheck, shared living is a great avenue to be able and change this belief.
In my opinion, financial decisions are not a one-size-fits-all scenario. Spending choices are essential to ensure you are still financially safe for necessary items. This mainly relates to low-income workers or young adults. Jorge Cortez likes spending money on Cowboys games, and there is nothing wrong with that, but in order for him to do so, he has to save money in other areas of his spending. We see in this article that Jorge lives in a shared living space. Shared living is a great way to improve one’s living standard without increasing discretionary spending. This effective living strategy allows Jorge to save enough money to continue spending money on the Dallas Cowboys without straining his budget. It is important that individuals make financial decisions that align with their values and passions, and this is precisely why Jorge spends his money on Cowboys games.
For Jorge, shared living allows for his standard way of living. Even though many may not agree with his spending habits, Jorge can still manage a standard of living while partaking in Dallas Cowboy's festivities. As mentioned in the article, living alone would be a 26.7% increase in Jorge’s living expenses. However, one thing to consider is the future. Does Jorge see himself getting married or having a family? What if his roommate decides to leave and now all the rent is placed on Jorge’s shoulders? If there are any concerns would Jorge consider just tailgating at the stadium and not getting a ticket or going on special occasions? For many, shared living is appealing because it lowers expenses, company is always provided along with still having personal space. Each person is subject to their own spending habits and what areas they wish to spend more money, for Jorge, he is able to afford non-discretionary expenses while splurging on the Cowboys.
In our day and age, spending possibly more on discretionary desires is sometimes crucial. With the amount of pressure put on young adults, attending events that bring an individual joy is quite necessary. Despite not being perfectly aligned with a financial planner's "ideal" spending suggestions, without it, life becomes routine. By accounting for his discretionary spending in other ways like shared living, it gives Jorge the ability to do what he wants. With real estate prices on the rise in many major cities, shared living proves to be the most financially stable way for young adults to prosper.
I really enjoyed the perspective of this article. I think oftentimes in our society we act as though only those with excess income should be able to partake in non-essential spending for things they enjoy doing. Further, some people attribute lower income individuals as low income because they don't save. However, this article highlights that just because someone has less money, doesn't mean they shouldn't be able to enjoy life and their passions. Jorge actually is saving money in another aspect of his life through shared living to be able to afford the luxury of going to NFL games. Jorge chooses to live with someone rather than by himself so he can afford these other activities. This shows that everyones preferences vary and as long as Jorge is living within his means, he too can enjoy these "non essential" expenditures.
I think the article addresses a rarely addressed topic in personal finance, "I wanna do what I want". This concept is very powerful as despite any sort of consumption smoothing or 10% saving rule, Jorge spends his money and time on things that provide net benefit to his life. Making the sacrifice living with others helps him use money on other things that he deems more important. No CPA or advisor can change his money habits because Dak Prescott is more important to him than some 401(k). However, they would be happy that his spending on the Cowboys usually ends in the beginning of January.
I think it is important to note Jorge's youthful essence in this case. Jorge is still young and has chosen to have more discretionary spending than might be advised by a financial planner based on his net income...but that's ok. While saving is important, it is important for someone in Jorge's age and position to spend money on experiences and have a high quantity of utility, or happiness. Moreover, Jorge can afford to have such high discretionary spending because he can take advantage of his shared living situation. Through shared living, his non-discretionary living expenses are at least halved and his living standard thereby rises; therefore, he can afford to have his love for "dem boyz." Additionally, I do not believe that Jorge, or any young person for that matter, should ever deserve any scrutiny for spending money on experiences and activities that make them happy, even if it is not necessarily financially advisable.
Often times, young adults are scrutinized for the way the spend their money. Since we are our own individuals, only the person themselves can fully understand In sound financial planning, one must live by their standards; thus only the individual themselves can justify their discretionary spending and the psychic benefits that they receive from it. However, by taking advantage of shared living, the intuitive and measurable living standard effect of shared living versus living alone, primary non-discretionary expenses are at least halved, thus can determine someones discretionary spending. Adult living standards increase and one can spend the amount of 1.6 adults and increase their discretionary spending by 25% when they indulge in shared living. The principals of shared living are also what drive divorce settlements and life insurance purchases.