Breaking Bad: Why Netflix is $700 Better than Cable

One thing I accomplished this summer: watching all of Breaking Bad from Season 1 until now.  And be warned, Breaking Bad is as good as everyone says.  Possibly better.  It may be the best TV show I've ever watched.  The characters have so many facets, I've found myself rooting for or against everyone multiple times.

I'm a late comer to Breaking Bad, like I am to most trendy TV shows.  It usually takes critical mass of 3 or 4 friends saying "You HAVE to see this" to get me tune din.  And once I watch, turns out they were right.  I get hooked.

I didn't start watching the Office until season 3, after years of my friends camping me to Jim Halpert.  Then it became my obession.  I had an Office ring tone.  I dressed like Dwight for Halloween.  I could quote most episodes.  When the finale ran I felt that ache inside, the one you get when someone dear to you leaves, and you know you may never see them again.

The Walking Dead won my heart last year.  Though it's a zombie show, it's not really about zombies.  It's about people and the choices they have to make when the world around them goes bad.  A world where good intentions are often fatal and the cruel thrive really makes you question what kind of person you would be in the zombie apocalypse, and what kind of person you are now.   This spinoff game for my iPad puts you in a survivors shoes, and I've never played anything that has affected me so much emotionally.

As great as those shows are, TV can be an expensive hobby in terms of two of life's most precious commodities: time and money.  I cancelled TV awhile back because I found myself coming home from work and plopping down for an hour of Family Guy.  Then something else (like Office reruns) would grab my attention. Or my roommates would watch something and I'd get sucked in.

The price for all of this time wasting?  $72 a month from Direct TV.  There are so many other things I'd rather do with my life than watch a screen for hours each day.

When it comes down to it, I want a TV for three things:

1.)  To watch my beloved Oregon Ducks play.
2.)  To watch any of my "shows."  The Walking Dead or Breaking Bad at the moment.
3.)  To watch the occasional movie.

That's why Netflix fills my entertainment needs way better than cable, and at a fraction of the cost.

I pay $8.99 a month for streaming service.   Netflix caught me up on season's 1-5 of Breaking Bad this summer.  The current season isn't on Netflix, but I can buy an episode for $2.99, or the whole season for about $20 on iTunes.  If I buy the new season of Breaking Bad and the Walking Dead, then I'm out $40, give or take.  Those two seasons still cost significantly less than one month of Direct TV.

My total savings over a year?  Over $700.  That's not chump change.

As for my Ducks, going to a friends or down to the bar to catch the game is a simple option.  Even better, the new trend around here is to show Duck games at local pub theaters.  At Northern Lights they show most Duck games, admission is free, and they make their money off of food and drink. The atmosphere is the next best thing to being at Autzen Stadium.  People are yelling and screaming, and your view on the movie screen certainly beats your view from most seats in Eugene.  In fact, another local pub theater has started showing new episodes of Breaking Bad every Sunday too.

Bottom line, Netflix meets my entertainment needs with a more efficient use of my time and money.  It's a win win.  It's probably worth looking at in your own budget.  What shows do you really value, and what could you do without?  You could save some real money.

Part Time Summer Job Results: Auction and Ebay

Lazy summer day here.  Got up early and took Winston to Butte Lake and then to Butte Creek Falls.  The water drags in mid-August. Butte Lake appeared more a murky marsh than Cascade Lake.  The Falls tinkle along, shadows of their spring selves.  It's hot.

I did a little accounting today, seeing how much I actually made attending the Woodburn Auction and selling the stuff I bought on Ebay and elsewhere.

Totallng up my Paypal transfers this summer, I transferred in almost exactly $1,550.  This is after the 15% cut that Ebay and Paypal combine to take.

Add a few random sales on Craigslist, Amazon, and from a small and largely unsuccessful yard sale, and that number is more like $1,650.

I probably spent about $700 purchase the items, leaving me with a profit of $850.

Really, it wasn't a bad part time summer job.  The auction is a ton of fun, and I scored a few treasures.  The biggest find easily was a $10 box of Rage: The Collectible Card Game trading cards.  For those of you unfamiliar with Rage, you probably were the unpopular kid in school and for that I'm sorry. It is much like Magic the Gathering or the Pokemon card games.  You build a deck, and play opponents.  Only this game deals with Werewolves that get really angry apparently.  Hence the name, Rage.  That $10 box ended up netting nearly $700, including 1 card that sold for upwards of $100.

The downside?  I collected a lot of stuff I don't need.  I've made three trips to Goodwill last week trying to reclaim my garage.  Two of the weeks I bought a ton of stuff thinking I could turn it all for a profit, when that wasn't the case.  That involved hours of sorting, listing, and packaging for ship.  My girlfriend deserves a huge award for helping me.  Collectible plates?  Turns out they aren't collectible.  Purses?  Only if you want to work full time selling purses and making about $2 a purse.

I've become a lot more selective in what I buy, only getting items I'm sure I can flip for more than $25 gain.  I bought nothing last week, and only spent $5 the week before.   My most consistent money maker?  China sets.

All in all it took up a few hours of my life each Tuesday, but they were fun, social hours.  I brought friends.  We got lunch afterwards.  I'd like to think it was time well spent.  Probably a difficult way to make a living, but not a bad way to make some money on the side.

Good with a Little, Good with a Lot

Money.  It's always on my mind.  I like to make budgets, track my finances, set goals, invest, log my spending.  I spend a lot of time thinking about money.

I think I'm good with money.  I'm a Dave Ramsey disciple, though I've taken a few liberties.  I save a ton for retirement, have very little debt, and have a nice cushion of cash in the bank account.

One thing I don't do anymore: Give.  I used to give all the time.  I'd tithe.  I supported Global Giving.  I supported a friend's non-profit.  Now, I do almost none of that.  I support one charity at $38 a month.  That's it.  Mitt Romney gives a considerable larger percent of his income than I do.

The problem with money is that there's never enough.  There's always one more goal to conquer.  Right now I want to buy a second home as an investment house.  Then I could give, I think.  But not really.  Another goal would come up.  Then another.  Then another.

Maybe you understand my thinking.  We all probably think, "if I won the lottery."  But the truth is, if I can't give now with a little, I won't give then with a lot.  It's the same reason why many people who win the lottery end up in financial ruin anyways.  Or that  78% of NFL players end up broke eventually.  If you're not good with nickels and dimes, you won't be good with hundreds and thousands.  If you know how to budget and spend when you're poor, you'll do the same when wealthy.

My goal:  Force myself to give.  Carve some more room in the budget.  Find a project I'm passionate about.  Life is short, and its certainly not about things.  Examples of rich, unhappy people abound.  Where we spend our money really speaks to who we are. I want to be the kind of person who uses what resources I've got to make the world a better place.  I'll let you know how it goes.

Back to Blogging: Airbnb, Creepy Chalkboards and Small Toilet Seats

Back from a week long trip to Canada.  Hit Victoria then Jasper.  Fantastic stuff.

The real world started today before I woke up.  My dog beat the alarm clock with his barfing unk! unk! unks!  We didn't make it outside.  We didn't even make out of my room.  On the way to the door I stepped in a whole different pile of puke.  Poor guy.

Spent the rest of the day fixing my gas fireplace and ramming my head in the small places under my sink trying to replace my hot water heater.  Now I'm eating canned Progresso soup and drinking wine straight from the bottle.  I deserve this indulgence.  I love owning a home, and even enjoy most of the maintenance on it, but sometimes it can feel endless.

But your house is an asset and it can even generate cash flow, thanks to the latest and greatest from the interwebz: Airbnb.  This site, if you're not familiar with it, essentially lets you turn your house into a bed and breakfast.  You post your listing, people reserve online, and you make a little extra cash.

I've used the service twice, both times while traveling with my girlfriend and puppy.  The first time was in Bend, Oregon.  The room cost $76 a night, Winston had a yard to run around in, and the whole house had a very cool, functional, Oregon fung shui vibe.  Money well spent.

The most recent time was in Victoria, British Columbia.  The place was advertised as a "House with Foodies" for only $49 a night.  It was close to downtown and also had a yard for Winston.  We arrived late.  Everything is so spooky at night, especially if its unknown.  The guy who answered the door, Bernard, seemed friendly enough.  Walking into the main hall way I glanced in the dining room and saw a little kid chalkboard.  Written in child's handwriting was "Help me I'm trapped."  I involuntarily urinated.

I really did have to pee.  But after showing us our tidy little room, Bernard proceeded to go and take a huge dump in the bathroom.  Apparently this house only has one bathroom and 6 people living in it.  His dump stunk forever.  When I finally did muster up the courage to go in there and use the bathroom myself, I found the toilet seat to be impossibly small.  I mean, everything didn't fit.  I thought of this awkward Brian meme:



What bothered me more was that Bernard was a big man.  I had heard stories, terrible stories from a friend who shared a toilet with a very large man, who often left poop smeared on the seat.  Bernard needed a bigger toilet.

The night passed fitfully.  Winston went nuts barking at something around 3:00 AM.  A little light kept flashing, probably a hidden camera.  And somewhere a little boy was trapped.

In the morning we awoke to coffee and our hosts cooking us blueberry pancakes.  Turns out, they were a very nice family, and delicious cooks.  All in all it was a good experience.  Everything is clearer in the daylight.

Why you are a Socialist, why Marijuana Kills (just not those who smoke it), and why Blake Shelton might not be a Good American

Thought trains lead me to interesting conclusions.

Yesterday I hiked Table Rock with my roommate.  If you're in the Portland area it's an absolutely gorgeous drive and hike.  

We were making good time, and I was sweating a lot.  Then the thought train started:

1.)  I'm sure glad I'm wearing this Nike Dry Fit shirt.

2.)  This shirt only cost around $12 at the Nike Employee Store, globalization and capitalism are amazing!

3.)  I wonder if anyone at those WTO protests in Seattle or elsewhere wore a Nike shirt to the protest?  That would be ironic.

4.)  Those people are probably socialists (if this is inaccurate please understand all these thoughts happened in about .5 of a second).

5.)  If they want to redistribute wealth, they should buy another shirt!  

Eureka!  I'm so smart sometimes.

The term "Redistribution of wealth" pops up during political campaigns, usually to label someone a socialist.   Truth is, every time you spend a dollar you redistribute wealth, and few things  in this world have a bigger impact than how you do so.  And I'd argue that few people appreciate where there money goes.

Back to that Nike t-shirt.  When I bought it, I got a great price on a good product.  Most people's thought process stops there: "What value did I get for my money?"  

And that's the beauty of our economic system, businesses have found ways to get us better products for cheaper and cheaper because it makes them rich.  The average American today lives a better life than all but the wealthiest of people a few hundred years ago.

But my purchase had other effects you might not think of:  

• It paid the wage of a laborer in Indonesia.
• It funded its trans-Pacific voyage by plane or ship.
• It enriched Phil Knight (who in turn enriches my beloved Oregon Ducks).

Or you could put this spin on it:

• It helped outsource an American job.
• It contributed to global warming by needing to be shipped thousands of miles.
• It made an obscenely rich man even richer.

The point isn't to argue the merits of globalization.  Rather, I'd just like you to think about where your dollars go.  Take marijuana.  America likes to light up.  It was such a scary bad thing growing up that it took some adjustment when I realized a lot of my friends, and a lot of adults I know smoke it (the author of this blog has never smoked marijuana).  

When you buy that pot, you get high and get munchies.  And you also help fund cartel violence in Mexico, here in the United States, and even in my beloved Oregon.  This is part of the reason why I think pot should be legal.  Just like Prohibition made Al Capone and other bootleggers rich, so our ban on marijuana artificially limits the supply while doing nothing to the demand.  The result: big money for those that can grow it.  But I digress.

Oil is another one.  All that gas you burn makes a lot of people rich in Venezuela, Russia, and Iran.  These are not exactly America's strategic allies.  So while Blake Shelton celebrates rednecks driving big ole trucks, unless those fellas are hypermiling, he's also celebrating some of American's worst geo-political foes getting rich.  And I bet he didn't know it.

I won't tell you to choose the farmer's market over the grocery store, or to shop local instead of at a big chain.  I'd be happy if more people just started thinking about where their money went and what it supported.  There are more costs than just dollar signs.  Once you start to factor those in, you'll draw your own conclusions.  

You have, are, and will leave an impact on this world.  What kind of world do you want it to be?

Purses, Plates and Broken Ebay Dreams

I have about 30 purses sitting in my garage.  Clutches, Shoulder Bags, Travellers, Hobo Bags, you name it.

Awhile ago I wrote about the auction I went too.  On my second trip there, I decided to try to make some money.  I bought a few things I thought I could resell on Ebay.  A box of old music magazines from the 20's.  An odd piece of Japanese art.  And a box of Rage cards for $10.

I'll assume you don't know about Rage cards, because I didn't. Rage is a collectible card game like Magic the Gathering or Pokemon.  Except you play werewolves.  The cards are gruesome:

Turns out, they're also worth a fortune.  The game is discontinued but still has an avid following.  While little else sold, I was able to get about $600 for the cards.  Not a bad day's work.  I figured I would plan on making about $500 or so every Tuesday from now until the end of summer.

The next two weeks I rummaged through the boxes, smart phone in hand.  I scanned bar codes and looked at what had sold on Ebay.  Eyebrows raised when I snagged not one, but eight purses out of a lot.  There was tuttering over a box of china I snagged.

My girlfriend blushed with embarrassment when I showed her my haul of plates and purses.  Werewolf cards she could understand, but she suggested I stay away from handbags.

Still, I was unashamed.  I figured I made about $30 an hour for the work I put into the box of Rage cards.  Not a bad rate.  Plus I had done my homework, everything I bought had sold on Ebay previously, for lots more than I paid.  Easy money!

I spent hours doing the listings, sweating amidst faux leather in my garage.  Somehow, I talked the girl into helping me.  The auctions started and I waited.

Then a few things didn't sell.

Then many things didn't sell.

And when my auctions ended, most things didn't sell.

Apparently, I am a terrible Ebayer.

Now, one corner of my garage holds:

30 purses
10 bobble heads
16 old magazines
5 pieces of vintage Samsonite Luggage
1 antique chocolate box
1 very creepy doll.
1 clock shaped like a cat
18 various books
3 framed paintings
12 collectible plates that no one wants to collect
8 different sets of china.
1 broken dream.

If it's too good to be true, it probably is.

Every Dollar Is An Investment

Before I start, credit where credit is due. Treating every dollar as an investment is the third step in the Motley Fool's 13 Steps to Investing Foolishly.

I read that article awhile ago, leaving the idea percolating in my head.  

In your life, you will only get so much money. That amount can be higher or lower based on a number of things in and out of your control.  But the amount is limited.  As your momma said, "Money doesn't go on trees."

While you might not think twice about buying $3.40 latte (for example), the implications of doing so loom large.  Especially when multiplied hundreds or thousands of time. That $3.40 can never again be spent on anything else.  Is it really worth it?

Another way of looking at it:  Each time you spend a dollar, you value the object purchased more than the dollar.  You also value the object purchased more than anything else you could potentially buy with that dollar.  And some things I'd rather spend money on other than lattes.  For example:

• Travelling around the world.
• Supporting an awesome cause.
• Growing my little garden.
• Doing anything with my friends.

A whole other category of ways to spend that $3.40 exists.  Ways that make my money make more money (reread that part carefully), also known as investing.  For example:

• Saving towards the down payment for a housem where I can build equity.  
• Paying off credit card debt, instead of owing the bank 14% or more.
• Funding my retirement account or otherwise investing in the stock market.

The first options are good and the second superior.  Investing wisely now means more money later to do the things I want. 

Back to the coffee.  Never buy a latte?  Not at all.  At times a latte has been the best money I've ever spent.  Do treat each dollar as an investment.  Consider and value each purchase.  In doing so, you will stretch your money much farther.  Some tips:

1. Make a Budget and Track Your Expenses:
   Know where your money goes. I estimated $250 a month for food on my first budget.  The reality? $400-$500!  Those Subway stops, Starbucks run, and nights out added up, without me knowing.
   
2. Find the Low Hanging Fruit: Once you know where your money goes, you can find ways to save.  Some are easy.  Pack a lunch to work instead of eating out.  Brew your own coffee instead of a daily latte.  The savings add up quick.  Consider the math:
   
   Home brewed coffee = $.25.  Latte = $3.40.  Weekly Savings = $16.75.
   
   Ask yourself what's really important to you and what's not.  Are you investing too much money in your car every month?  Sell it and buy a cheaper one.  Can you get by with just using Hulu?  Then cancel TV.
   
3. With Your Extra Money Pay Off Debt, Save, and Invest!
1. First of all, Debt is Dumb. If you have any that's not your home mortgage, pay it off! I've been debt free for about a year now, and the freedom feels great.    
   
2. Once that's done, sock money away.  Choose an amount and save it every month.  Once you see your accounts grow, you'll get addicted.  Seriously, it's fun!
   
3. Invest.  Make your money work for you.  Fully fund your retirement.  Open an IRA.  Check out a site like Prosper.  Build wealth!
   
   Read Dave Ramsey for the full scoop.  His baby step plan is great, and I did not do it justice here.
   
4. Spend Your Money on What Really Matters To You (In Cash):  
   Use some of your savings to do what you love.  I love travel, but not on Visa's dime.  Gardening and bike riding are also hobbies of mine.  I pay for them in cash.
   
   Get those season tickets you want.  Go to the ballet.  Buy that motorcycle.  Spend your money on the things that matter to you.  Find a cause you're passionate about and give.  

You work hard for your money.  Use it to live the kind of life you want, without going into debt, while building wealth.  It might sound impossible, but when you think about where your money goes, you'll be amazed at how far your money goes.  

  

Garage Sales: Descent into the Unknown.

Garage sales are the Cracker Jack Boxes of America.  Inside each is a prize.  A musty old sweater of cats for 25 cents.  The surprisingly classy coffee table I'm resting my feet on for $5.  Or a pair of detached baby doll heads, price not listed.


The one on the left kept blinking.  


You will never find better deals than at garage sales.  Not on Craigslist, not in the classifieds, not anywhere. My couches, my coffee table, my driver, and my fishing pole I all got at garage sales.  All are high quality, all are in good condition.  The combined price total?  $137 bucks.  70-90% off retail is common.  Every dollar saved at garage sales is a dollar I can invest elsewhere.

On top of it all, garage sales are fun.  My friends and I hit five different sales last Saturday morning.  Sure, there's loads of junk. Sifting through people's undesirables is its own odd delight.  You will uncover some gems.  Last weekend I found not only those baby heads, I also test drove an electric scooter.

And nothing beats the feeling of finding something you need a great price.  Jackpot.  If you really like to save money, or screw your neighbor, bartering is a totally accepted part of the experience.

If you've never been, it's easy to get started.  Some simple tips:

1. Bring Cash:  No, the sweet old lady down the street will not take your credit card.
2. Scout out the sales on Thursday and Friday:  Check the local newspaper, Craigslist, grocery store bulletin boards, and/or that street corner where everyone posts stuff.
3. Arrive Early:  The best stuff goes fast.  I'm fairly certain this is a top-ten favorite old person activity, and they get up before you do.  But if you can find away to rise and shine early on Saturday morning, sharpen your elbows so you can beat granny to that blender.
4. Don't Be Afraid To Barter:  Garage sales happen because people want to get rid of stuff.  Most people are willing to take 10-20% off the price listed.  That number goes up the later it is in the day.  Nobody wants to pull their junk back into their garage.
5. Make It An Outing:  Make it a guys (or girls) day out.  The next date you go on?  Mix it up, take her to a garage sale.  You'll never lack for topics to talk about, and plus you can show of your witty, zany side by trying on the sweater with cats.  Or show her what a tough guy you are by negotiating the price of that remote control truck down to $8 from $12.  The romantic possibilities are endless.

Let me know about your own experiences and tips.  Happy hunting!

Use or Be Used

I like to listen to the Rich Life on KXL 750. It's a money show, but not your typical one. Its tag line; "accumulating wealth and developing a lifestyle rich in the things money can't buy," highlights the show's bottom line: Money exists to make your life better. Your life doesn't exist for money.

Big words from a guy whose life revolves around money, it's easy to say that when you're loaded right? Well, he gave me a reason to believe his sincerity with some of the most spontaneous and unusual talk radio I've heard.

Towards the end of a segment about markets and investment's the host said "Money isn't important," followed by a long pause. I waited for a commercial, or for him to continue, but he didn't. I wondered what was happening. Then he came back on, in a choked up voice. "Money doesn't matter," he said again.

Fighting through tears, he recounted the story of a friend who had died unexpectedly of a heart attack. Even though the whole purpose of his show is money, he continued, that ultimately doesn't matter. In the blink of an eye your life could be over. He ended with "money, stocks, and all that, it's all crap." and then off to commercial.

Wow. You can hear the preacher tell it but you know its real coming from a man who makes his living selling financial advice. "It's all crap." Not a great way to convince people to buy mutual funds.

I say "amen." It's very true. In the end little does matter, least of all your bank account.

In honor of the Rich Life and its straight talking host I have compiled a top five* list of things that do matter in life:

1. Family: No matter what else happens they're still blood and that makes them unique.
2. Friends: God's greatest gift to us.
3. Faith: Something bigger than us, our hope for tomorrow.
4. Making a Difference Where you Can: Each of us can help in our own way. Leave the world better than how you found it.
5. Living Life to the Fullest: Laughing, loving, traveling, giving, experiencing- all the things that make life good!

*I tried to make a top ten list but found it too difficult.

Debt Sucks!!!

It's not sexy, adventerous, or particularly world-changing, but living well means knowing how to manage your money.

The enemy of your money is debt. It's everywhere on the news these days: foreclosures, bankruptcy, crushing credit card debt. Anyway you cut it debt is no good, but credit cards are particularly insidious with their late fees, endless minimum payments, and rocketing rates if you miss one payment even by one day.

You might have heard these numbers before but they are worth repeating:

• A typical credit card has an interest rate of about 13%. Try getting that in the stock market.
• At 13% it would take you about 11 years to pay off a $5,000 balance making on the minimum payments. You would pay nearly $2,000 in interest.
• The average American credit card debt is $9,200.

Including mortages, cars and student loans it all adds up. I have plenty of it myself with credit card debt and student loans. Last year I nearly became one of those credit card horror stories you hear about. I had about $10,000 on the card, but at a reasonable 5.99% percent. I was one day late on the payment and I called the company and begged the representative to accept my payment via phone. She assured me that my rate would not increase, a point I pressed her on repeatedly.

Much to my surprise then, when I recieved my next statement my rate had rocketed to 24.99%! There were nearly $200 in finance charges alone. Just in interest! I called the company right away and told them I was assured my rate would not change. To their credit (ha) they reviewed the phone call (yes, they really do record those) and changed my rate back, but had it stayed I would have been in trouble.

So if your crushed with debt what can you do? Aside from going on Deal or No Deal or calling one of those shady debt relief hotlines, it may seem dire. But there is hope! And its name is Dave Ramsey. Check him out right now. I love this guy, just love him. He has a radio show dealing with debt reduction and money management that airs here in Portland and around the nation, and he knows his stuff plain and simple.

To get out of debt he advocates the debt snowball. It works like this, list your debts from smallest to biggest and interest rates be darned. Cut back on ALL needless expenses; the gym, netflicks, Starbucks, and pay down the SMALLEST debt first. Free from that payment, you attack the next smallest amount until one by one your debts are gone. Using the debt snowball I've paid off $6,000 since January!

I love one of his sayings, "Live like no one else so you can live like no one else." That means eating rice and beans to get out of debt, so when you're debt free you can use all that extra income to really live. I keep thinking about the day I'm debt free and instead of giving my money to a big bank I can spend it as I see fit. Someday I'd like a house, a new car, to see the spots on the globe I've missed. I'd also like to support foundations like Global Giving more. Giving is something Ramsey is big on, he's not about accumulating money for money's sake.

So check out his website, stop living past your limits, and pay for things in cash! Leave me comments and let me know what you think.