I'm someone who doesn't have any debt. I'm in my mid-20s AND I have a little bit saved just in case of a rainy day (just like my parents told me).
So, when a 24-year-old woman called in to ask if she should purchase a purse that cost $1,500 I screamed, "No way. She can't afford it!"
And then Suze analyzed her current monetary situation, learning the following: she has NO debt, over $30K in savings, $25K in retirement, and $15K in some other account. Yeah, Suze approved her!
Okay, I'm officially a loser.
That's what I thought after listening to this young lady who is so ahead of the game in her life. Oh, and did I mention that her rent is only $600 a month?!
It makes me wonder if I am on the right path? Am I taking a huge risk by investing a lot of my savings in my passion--writing--and hoping that something comes of it? Well, yes, I am taking a risk. Will anything ever come of it or will I end up broke and alone with nothing to show for it?
Okay, I know, I'm being dramatic. But, I think it's a concern that MANY people have in life. WILL I SUCCEED? Will all of my hard work pay off so that I can sip on a margarita in Hawaii for the last twenty years of my life?
Here's what I think it comes down to -- what matters to YOU. If you are happy sharing a studio apartment with your smelly friend so that you can afford to live in Los Angeles, do it. If you are like that young lady on Suze's show who needs a nice cushion and a security blanket, I feel ya!
AND, if you're like me...you'd rather risk it all so that you can at least say you tried -- adjust that a little bit.
Even Oprah has a 401K.