Shultice Financial

Does it Matter?

That one simple question can reveal and eliminate a lot of unnecessary worry.  It can also save us money.

An example- The broken gas cap:

About a year ago, I pulled into the gas station to fill up the Civic. Unfortunately for me the gas cap release trigger had conked out since the last refill, so I had no idea how I was going to fill up.  Things weren’t looking too good; I probably didn’t have enough gas in the tank to get home, and certainly not enough to make it to the Honda service shop.

Thankfully I was able to track down the number to the Honda shop, and the guy on the phone helped me find a quick fix.  I had to pull back the carpet-lining in the trunk and remove the cable-locking mechanism that held the cap in (see picture below).  When I was ready to lock it back up, I had to plug the cable back in.

After the Honda guy saved my day, the rest of the conversation went something like this:

Me:  Well then I don’t really need to have it fixed, do I?  I can just do this every time.
Honda guy:  Well you could, but I would definitely recommend having it fixed.
Me:  Right.

I think he could tell the chances of me having it fixed were slim to none.

And honestly, why would I?  It’s only a minor inconvenience, taking probably 5-10 seconds each time I fill up my car.  In January when it’s 2 degrees outside the inconvenience factor is a tad higher, but I still don’t think it’s worth taking the time and spending the money to have it fixed (especially with the cost of labor).

• Does it affect the performance of the car?  Nope.
• Does it affect the value of the car?  Yes, but I will drive it until it falls apart anyway.
• Does it affect the safety of the car?  That’s a negative.
• Is the inconvenience great enough to justify spending money on it?  Nein.
• Do I look a little goofy filling up?  Maybe, but I don’t care.
• Could I put the repair money to better use.  Absolutely.

So, in the grand scheme of things, it’s clear that the broken gas cap doesn’t matter in the slightest.

I can think of a few other areas in my life where this question puts things in perspective:

1.) The old, faded, sandals:  I don’t know how old they are by now; probably 6-7 years.  I’ve had to superglue them the sides back on 3 times now, but it’s a quick fix and they’re good to go again.  My grandma, upon seeing how dingy they look recently, swore to buy me a new pair as a college graduation gift.  I don’t see why they need replaced though; they’re perfectly functional!

2.)  The Goodwill shirts.  A couple buddies and I used to go to Goodwill just to have a good time and buy funny, completely random shirts costing between $1 and $2.  A few years later, a couple are still in great shape, so I still wear ‘em.  They don’t fit in with all the Abercrombie shirts around, and I don’t even know what the heck the writing on a few of them mean, but it’s like the sandals; they’re functional and clean, so who cares?

There comes a point when inconvenience, cleanliness, or discomfort makes a level of frugality irrational or just plain dumb.  But for the most part, we can still save money without really sacrificing anything at all, simply by questioning what really matters.  In a world of limited resources, the question ‘does it matter?’ can certainly help get our priorities in order.

Even If Global Warming Isn’t a Threat

The debate continues as to whether human activity is likely to cause harmful and irreparable climate changes.  Until there is concrete, indisputable proof either way, it will continue to be deliberated.  It’s entirely pointless to waste so much time and energy arguing this issue though.

Let’s say that we conclude, beyond a reasonable doubt, that global warming is nonexistent, and the environmental movement receives a crushing blow as a result.  Then imagine that, 20 years from now, we realize we were wrong.  Not good. As Scooby Doo would say, “Ruh roh, Raggy!”

But what if we decide that global warming is a threat to humanity, make a committed, unified effort to fight that hazard, only to find out 20 years later that there was no serious threat in the first place?  Were our efforts wasted?  Nope.  Far from it.

If global warming doesn’t exist, yet we believe it does, our “blunder” will be a tremendous benefit to all who inhabit our planet.  Consider the following:

1.)  Energy Security:  Since our imported energy is composed entirely of dirty fossil fuels, transitioning to cleaner sources of energy necessarily means fixing our energy imbalance.  No longer will we be at the mercy of OPEC.  No longer will our nation instigate conflict in the Middle East to secure energy supplies.  Instead we will power our nation with the natural, renewable resources that we have in abundance.

2.) Less Environmental Destruction:  Conversationalists have been around since long before global warming was on anyone’s radar (like this dude), but their efforts have certainly been aided recently by broader environmental movements.  Conservation is now accepted as far deeper than simply preserving the beauty and diversity of natural ecosystems for future generations to enjoy.  Now we see conservation as vital to the well-being of the planet as a whole; to our very existence.  We’re discovering how interconnected we are with the entire living world.

3.) Less Human Injustice:  We remain in trade agreements that foster continued exploitation of the poor for the benefit of the rich, all the while creating more and more environmental damage.  Our corporations travel to remote corners of the globe, blatantly violating human rights (often of indigenous populations) in the ruthless exploitation of resources ranging from oil to cheap labor.  The way we treat each other and the way we treat our planet is highly correlated.  A movement to address one is almost invariably related to the other.

4.)  Stronger Communities:  We’re learning that it’s not sustainable (nor desirable) to live in the franchised, outsourced, isolated world we do.  Small-town America has been overrun by fast food chains (”do you want fries with that?”) and box stores, causing local businesses to fail.  Our inner cities struggle as suburbia continues to expand.  Our clothes come from China, many of our fruits and vegetables from Central America, and a good portion of our fuel from the Middle East.  More efficient, locally-based economies are not only better for the earth, but arguably much more rewarding as well.

~

The movement to combat global warming is about far more than the possibility of rising temperatures.  It’s about bringing meaning back to our lives.  It’s about questioning our values (why again are we working so hard to buy more stuff we don’t need?).  It’s about reconnecting with our planet, with each other, and with ourselves.

Global warming or no, we have the chance to go down in history as either those who ushered in a new era of meaningful existence, or those who perpetuated the status quo and handed our successors an even bigger mess.  What’s there to debate?

Note: For my next Toastmasters speech (mid-September), I’m planning to give a speech similar to this.  My first two speeches have been more of the informative type; now I’d like to try my hand at a persuasive style. I’ll probably post it here when it’s done.

Beyond Economic Growth

Does economic growth by its nature include positive development, or vice-versa? I certainly don’t think so. These concepts are not always positively correlated, and it is a mistake to use the terms interchangeably.

Paul Hawken said it best in The Ecology of Commerce:

“A growing economy is getting bigger; a developing economy is getting better.”

It would make logical sense to focus the brunt of our efforts on the development of our economy, but a quick browsing of the Wall Street Journal or a few minutes of watching CNBC proves this is not the case. The GDP apparently is the all-important measuring stick. It’s simple, really. GDP falling = bad, GDP rising = good. Most economic policy is based in some way off of this assumption. Sadly though, it’s an assumption that desperately needs to be challenged.

Just because something is growing does not automatically it is improving. As it is, we ask “Is our economy growing?” and “Are profits rising?”. If we can answer yes to both of these questions, then the economy is generally thought to be moving in the right direction.

But what about the questions that really matter?

• Are people genuinely better off, or happier, now than before (not just materially)?
• Are businesses adding actual value?
• Are we becoming healthier?
• Are our ways sustainable?
• Are the 49ers in the playoff hunt?

These are questions of development, and they unfortunately get less attention than the questions of growth.

I’d like to point out two industries in which growth clearly takes precedence over development.

1.) Energy:

The fossil fuel energy sector grows by degrading the planet and exploiting its resources. Ecosystems are destroyed by expanded drilling and mining. More CO2 is released in the atmosphere as we burn fossil fuels, and we remain ever-addicted to finite, dirty sources of energy. Yet, the economy, as measured by GDP, grows, and supposedly this is good. This is economic “progress”.

On the other hand, energy development might not increase the GDP much, but we would certainly be better off. We could make our transportation more efficient, walking, biking, and utilizing public transportation more than we do (bonus: Americans get more exercise!). We could build more efficient buildings, or better yet, retrofit the buildings we already have to be more efficient. We could foster the development of food networks that provide locally-grown options. In this environment development would take precedence over unconditional growth; any growth that results is a byproduct of achieving true progress.

The alternative energy field represents an area where growth and development are in alignment. Installing wind turbines helps the economy grow and develop at the same time, as we simultaneously reduce our dependence on dirty fuels. This is desirable as well, but we should not expect to solve the energy and climate crises simply on growth alone.

2.) Health Care:

Isn’t it ironic how the “health” care industry grows as people become more and more unhealthy? Sick care would clearly be a more appropriate name.

This is an industry that thrives on treatment, not prevention, because treatment is where the big bucks are. When people are sick (or think they are), we can prescribe them expensive pills and put them through expensive treatments. This boosts the profit of everyone from shareholders of Merck to the physician down the street, and the GDP grows (as health-care costs and insurance premiums skyrocket). This is clearly another instance where growth does not equal progress, yet the nightly news would be giddy over the rising economic figures.

Instead, if we put aside our concerns for the stock prices of the pharmaceutical companies and focused on development, we would be immensely better off. We could actually concentrate on, rather than paying lip-service to, preventative medicine; simple things like eating healthier and exercising. Instead of sending an obese person home from the doctor with a handful of new prescriptions, they would be sent home with an earful about their couch-potato lifestyle and poor eating habits.

~

Eventually, we will need a new economic paradigm that isn’t entirely dependent upon infinite growth. This shouldn’t be a surprise, given that our resources are finite in nature. In fact, we’re probably already close to surpassing (if we haven’t already) our planet’s sustainable carrying capacity.

Such a model is hard to fathom right now, as our entire capitalistic structure is supported by future growth prospects, but there are ways us individuals can do our part. Most of them have to do with minimizing our negative impact on the planet, and/or taking better care of ourselves.

• Use less energy.
• Use more human-powered transportation.
• Reduce, reuse, recycle.
• Shop for value and longevity rather than the cheapest price.
• Fully wear things out before discarding.
• Eat locally grown food.
• Scrutinize your wants vs. your needs.
• Exercise consistently and eat healthy.

In the grand scheme of things, some of these actions may seem miniscule. I believe in the extraordinary potential that grassroots movements have though (Ron Paul 08! haha). As more and more people begin to take notice of these vitally important issues, I think we’ll naturally move towards a society that rightfully values development above all else.

Financial Consciousness 101: Part 2

In my last post, I wrote about the potential benefits of tracking income and expenditures all the way down to the penny. While this habit is certainly helpful in itself, we might as well fully utilize our thorough recordkeeping. I’d like to explain how I do just that.

At the end of every month, I tally up three totals:

1.) Total Expenses
2.) Total Income
3.) Alternative Income (Total Income – Work Income)

Alternative income includes all incoming cash flows outside of a traditional job; dividends, home business, Forex trading, web-income, embezzlement (just kidding!), etc.

This figure shows how dependent you are upon paid employment. If your work income ended without warning, what portion of your expenses could you cover with other income sources? Clearly, the higher percentage, the better. In this event, most of us would likely still be tapping into savings (hopefully a healthy emergency fund!) to temporarily get by, but alternative income sources would help mitigate the damage.

And of course, if this figure were to surpass your expenses consistently, you could potentially be in a position to leave your job if you wanted. Even if you would have no desire to, it would still be a good feeling to know that you are there solely on your own terms.

I’ve seen enough graphs and charts in my econ classes to last a lifetime, but I still like to make data visual when I can. Using my incredible Microsoft Excel skills, I did the following:

Note- I just made these numbers up. My real spreadsheet only has one entry so far, so it doesn’t look like much yet. Besides, I’d feel like a show-off posting my real income from my student work-study job!

Then I inserted a simple line chart:

The authors of Your Money or Your Life recommend doing this on a physical piece of graph paper and hanging it on your wall. That’d work great too, and it would be motivating to actually see progress on a consistent basis.  But I’ll opt to use my 21st century technology and save some trees.  The Excel file is saved on my desktop, where I can easily refer to it anytime.

The time investment is minimal, and I think it’s well worth it. I don’t know of a much simpler way to observe financial progress over time. Just remember, that which is measured generally improves.

Financial Consciousness 101

I’ve written before about managing our money with a higher level of consciousness. But I have yet to discuss any concrete ways to work on developing more financial mindfulness…

In Your Money or Your Life, Joe Dominguez and Vicki Robin draw an interesting parallel between finance and meditation. In most forms of breathing meditations, we strive to become more aware, more present, by watching our breath. To accomplish a similar outcome with our finances, we watch our money- every penny of it, by keeping detailed records.

It’s pretty simple:

Every penny that leaves your life is recorded as an expense.
Every penny that enters your life is recorded as income.

At the end of the month, it’s helpful to tally up the totals. Then you can figure out the net difference (which is hopefully a positive figure!) between money-in and money out.

With this one little number you get a reliable indicator of your financial health. You probably worked hard over the past month, but what do you actually have to show for it financially? Do you have more savings now than 31 days ago, or did you bleed more cash than came in? Either way, the documentation you kept along the way provides a means to scrutinize what happened.

There’s really no specific goal or end in mind, other than increasing awareness. It becomes nearly impossible, however, to spend money without giving it at least some conscious thought. For that reason, it’s likely any costly spending habits that have long gone unacknowledged (insert crack about $5 Starbucks lattes) will be exposed.

I’ve done this off and on several times in the past, but I never considered implementing it as a ongoing habit (read: I got lazy). I started again last month with that intention though.

Here’s a couple of guidelines that I’ve identified for myself:

1.) Use specific descriptions. For example, an entry labeled ‘food’ doesn’t mean much. This could be anything from staples at the grocery store to an expensive dinner out on the town. Big difference.

2.) Don’t go too overboard. Speaking of groceries, it almost certainly wouldn’t be worth the time to list out every single item. I would just list the total. Just look at the receipt if you want to see it in more detail.

Then again, don’t cheat. Don’t buy magazines at the grocery store and sneak them in under ‘groceries’. Make a separate entry. Same goes for alcohol, and probably should as well for any empty-calorie food or beverage. Honesty is key here.

3.) Voluntary contributions to 401k’s and similar tax-advantaged accounts should probably be counted as income. Even though they are pretax dollars, and you never actually see them in your paycheck, it’s still money you earned and are voluntarily saving. This will also give you a more accurate end-of-month figure how much you are actually saving. Of course, hopefully this won’t be your only savings though.

4.) Big, lump-sum payments can be broken down into monthly expenses. For example, if you pay for 6 months worth of car insurance at once, it only makes sense to divide the payment by 6 and apply it over the next half-year instead of all at once.

5.) You’ll also need to decide how you treat interest and dividends. I consider all interest and dividends received in taxable accounts as income. The fact that I don’t use it like normal income doesn’t matter much to me; it’s still money coming into my life. Plus, I’ll record any taxes I pay next April as an expense, so it’ll be accurate. As for dividends received in my Roth, I don’t record these. Outside of actual portfolio maintenance, I basically just pretend like that account doesn’t exist.

There may be some other quirks that you may need to consider, but it’s not meant to be complicated. Once you take the time to get organized and make it a habit, the ongoing time investment is minimal. I just use a simple spreadsheet, which works great, but paper would work just fine as well.

So this is my challenge; if you don’t already do so, try tracking your expenses and income, down to the penny, for 30 days at the bare minimum, then reevaluate. A longer trial (90 days maybe) may be preferable, but my guess is that even one month is sufficient to make it a habit you won’t want to give up.

Part 2: An overview of how I plan to use Excel to visually observe my savings progress over time.

Note: A big thank you to J. Money over at the awesome blog Budgets are Sexy, who agreed to publish a guest post of mine why he is on vacation. Thanks J!

The Fulfillment Curve- When ‘Enough’ is Enough

Does spending money increase fulfillment? To an extent, probably. All else being equal, we probably feel more fulfilled in a position where quality shelter, food, and clothing are at hand, as opposed to being in a chronic state of severe poverty.

But exactly how much satisfaction can be purchased?

I’m currently reading ‘Your Money or Your Life’ by Vicki Robin and Joe Dominguez, which far exceeded my already high expectations going in. The authors describe the point of ‘enough’, the upper limit of fulfillment that can be reached specifically through spending money on things.

Their Fulfillment Curve explains it best; I recreated a similar curve below.

Mostly self-explanatory…

I’ll let Robin and Dominguez explain what the point of ‘enough’ is. “At the peak of the Fulfillment Curve we have enough. Enough for our survival. Enough comforts. And even enough little ‘luxuries’. We have everything we need”.

As you can see, beyond the point of enough, the curve doesn’t simply level off. Living in a state of excess not only fails to add fulfillment, it actually decreases it. Spending more money can actually cause us to become unhappier?

“(At the point of enough) there’s nothing extra to weigh us down, distract or distress us, nothing we’ve bought on time, have never used, and are slaving to pay off”.

It all relates to one of the main concepts in the book- that of ‘Life Energy’. Our time on earth is finite, therefore we only have so much Life Energy with which to work. By investing our time, energy, and resources into material gain beyond the point of enough, we certainly aren’t using it wisely. We’re drowning in our excess.

Obviously we must know where ‘enough’ is, otherwise we could easily blow right past it without realizing it until later. Essentially, we must become more and more conscious with what we spend our money on. The authors do a tremendous job putting forth a plan to do just that, so I won’t do them any injustice by attempting to summarize their work here.

The fact that the Fulfillment Curve falls beyond ‘enough’ is a testament to the fact that we humans desire meaning in our lives. We may attempt to trick ourselves into the delusional belief that we can fulfill the hunger within with gluttonous consumerism, but the gaping emptiness reveals that it isn’t working. The Fulfillment Curve falls because we know, deep down, that we should instead invest in self-actualization; in becoming part of something bigger than ourselves. When we do this, our meaning and fulfillment can absolutely blow away that which can be had through things.

Check this…

This altered Fulfillment Curve shows what’s possible when we forget about searching for happiness in things and turn our attention to achieving what matters most to us.

The vertical line that begins at the point of enough is one that the authors talk about in the book. At this point a person knows they have enough, and they invest more of their time and energy in pursuits that mean a great deal to them. The person can achieve much greater fulfillment with the financial and material means they already have. Volunteering is a good example. So is a person who forgoes more luxuries to cut back on work and spend more time raising their family.

The diagonal line is another possibility. After a person has enough, spending more money doesn’t necessarily decrease fulfillment; it depends on what we spend it on. If we shift our attention away from increasing our material well-being and invest our resources in causes that we are deeply passionate about, we can rise far above the material fulfillment ceiling. For example, a well-off individual begins a non-profit to address local environmental issues, and the organization’s goals are more effectively met because of the healthy capital infusion.

Of course, neither of these alternative routes are easy. It’s much easier (and common) to continue seeking fulfillment in the material world even when we have enough. It’s probably frightening to admit that one has enough though- it forces us to really ask ourselves what we want out of life, or even question what our purpose is, but it might be the only way we can live for something greater than consumerism.

Save Energy, Money, and the Planet with Negawatts

Eco-conscious citizens are crying out for clean sources of energy; wind and solar power, geothermal, smart grids, hybrid, electric, and fuel cell cars…the list goes on. We know that, with the climate crisis threatening the well-being of the entire planet, developing cleaner energy sources is crucial and urgent.

Lucky for us, the quickest, easiest, cleanest, cheapest, and most readily available source of energy is already within our capacity. On a widespread scale, we can tap this resource far more than we currently do. Best of all, it hardly costs a thing. In fact, in many cases it will actually put money back in our pocket.

I’m referring of course to becoming more energy efficient. We focus a great deal of attention on where our energy comes from, more so than we examine how we actually use it.

Even with a monstrous effort, it will take decades to overhaul our sources of energy. Advances in technology, infrastructure development, and capital raising can only progress so quickly, especially since our country has grown into an empire entirely dependent upon cheap, abundant fossil fuels.

Energy efficiency can help close the gap between the supply of clean energy and our energy needs, a gap that is currently filled by burning fossil fuels. In reducing the amount of energy that we need to create, efficiency is essentially a source in and of itself (this is the Negawatts concept). Despite the numerous benefits of becoming more efficient, we’re still a nation that apparently enjoys being wasteful.

We have made positive strides- CFLs are now commonplace in American homes, compact cars have reemerged from the dead, and we’re a bit more mindful about our thermostats. However, we are still embarrassingly wasteful, from seemingly trivial individual habits to the global operations of Fortune 500 companies. We’ve picked a lot of low-hanging fruit, but there is much more work to be done.

Consider our driving habits. If you jump on any highway in the U.S. and drive the speed limit, it won’t be long before you feel like a slug. Even semis will blow your doors off. Our lead-feet bode well for the budgets of police stations and the Highway Patrol, but we burn through copious amounts of fuel in the process. Of the 20+ million barrels of oil our nation uses every day, I wonder how much is burned simply by speeding drivers. How much money and energy could be saved literally overnight if we would simply change behaviors like these? It would be substantial.

Seriously, the speeding thing irks me. We’re in an economic meltdown and 90%+ of all American drivers are still voluntarily throwing money down the drain by little habits like these. What gives?

Efficiency has been mostly ignored in the United States, probably due in large part to our cheap energy supply. We could afford to be ignorant to our wasteful ways. People don’t conserve resources that are abundant and cheap. That spells big trouble when those same resources suddenly aren’t so plentiful, nor inexpensive.

It would have amounted to political suicide to even mention the possibility, but had we gradually made burning fossils fuels more expensive (as Europe does with their high gas taxes) long ago, our economy would be light-years ahead of where we are today. Unfortunately though, the crooked politicians in Washington seem to care more about their own special interests than the well-being of this country. The lobbyists working on behalf of Exxon Mobil and Chevron have far more clout than anyone pushing for bills that will actually reduce our energy needs, so our government has done next to nothing on this matter.

Then there’s the almighty GDP. We believe that growth is king and our savior. We somehow believe we can develop new technologies that will simultaneously save the planet and grow our economy, no sacrifices needed. Come on, this is America! We don’t save energy, we create new sources of it.

A smaller, simpler economy is all but certain to be our future reality however.  Growth was a major cause of our problems; downscaling is one the solutions. The previous economic model was characterized by gluttony and excess, but the new model won’t be able to accommodate such waste.  We will be efficient by necessity.

Our individual ability to influence national policy may be fairly small, but we can sure make many positive changes in our own lives, which is where real change and progress begins anyway. All Americans are going to reexamine and transform how we live, whether we want to or not. Becoming far more efficient is one of these changes, and it’s beneficial all-around; we can save money (at least in the long run), save energy, and help the planet at the same time. Might as well embrace it now.

Here are some resources that might be of use:

Treehugger
Planet Green
Mother Earth News
National Geographic Environment

Image Source:

Consumerism! The Musical

By White Stone Motion Pictures, here is Consumerism! The Musical.

“I got a 700-something on my FICO score, which means I don’t own a thing and I can buy even more!”

Here is a tribute to what Joe Dominguez and Vicki Robin, in Your Money or Your Life, describe as ‘the all-American form of substance abuse’.

Hat tip: Beating Debt.

Tyler Durden’s Words of Wisdom

Chuck Palahniuk’s book, Fight Club, and the movie adapted from it have developed quite a following since their respective releases in 1996 and 1999. I only recently saw the movie for the first time, but I’m certain I will not be forgetting it anytime soon.

The coarse, violent, and gloomy story limits Fight Club’s appeal to the masses, but it’s essential to the message it portrays. At it’s core, I believe it’s a tale about stepping out of our comfort zones of half-conscious existences and superficial pursuits and living for something bigger and more meaningful. Rather than sugar-coating this in a feel-good story, Fight Club acknowledges how difficult, painful, and even frightening this can be.

With that, here are some of my favorite Tyler Durden thoughts from the movie (I’ll try to avoid any spoilers for those of you who haven’t seen it):

1.) “You’re not your job. You’re not how much money you have in the bank. You’re not the car you drive. You’re not the contents of your wallet. You’re not your f’n khakis. You’re the all-singing, all-dancing crap of the world.”

American consumerism has long had us searching for happiness, identity, and meaning in more money, bigger houses, and more stuff. I highly doubt anyone has succeeded in doing so, yet it remains typically American to try.

2.) “God damn it, an entire generation pumping gas, waiting tables; slaves with white collars. Advertising has us chasing cars and clothes, working jobs we hate so we can buy shit we don’t need. We’re the middle children of history, man. No purpose or place. We have no Great War. No Great Depression. Our Great War’s a spiritual war… our Great Depression is our lives. We’ve all been raised on television to believe that one day we’d all be millionaires, and movie gods, and rock stars. But we won’t. And we’re slowly learning that fact. And we’re very, very pissed off.”

One of the best scenes from the movie…

3.) “No fear. No distractions. The ability to let that which does not matter truly slide.”

I love the little thought experiment where we ask ourselves if something will matter 5, 15, or even 100 years down the road. In order to do something truly remarkable, we have to let go of trivial matters and focus on where we can actually make a lasting impact.

We have no shortage of convenient distractions to drown out our longing to do amazing things and remain safely within our shell .

4.) “This is your life, and it’s ending one minute at a time.”

This could be interpreted as a cynical phrase, but I don’t see it that way. Rather, it reminds us of the finite nature of our existence here on earth. The time is going to pass no matter what you do, whether you’re playing video games, watching TV, working towards more material “success”, or busting your ass to do something worthwhile.

5.) “Tomorrow will be the most beautiful day of Raymond K. Hessel’s life.  His breakfast will taste better than any meal you and I have ever tasted.”

Taken out of context, this doesn’t mean much. If you’ve seen the movie though, you probably remember this scene. While Durden’s method of instigating Mr. Hessel to follow his dreams is a bit over the top, this is in essence what we collectively need. We need someone to get in our face, shake us up a bit, and convince us to quit settling for mediocrity and do something more.

~

Fight Club certainly isn’t inspirational in an uplifting kind of way like a cliché-ridden sports movie, but I think it offers a deeper sense of motivation that lingers long after the closing credits are done rolling. If you haven’t seen it, do so.

Image Source

Experiments in Hypermiling

In recent years, expensive gas changed a lot Americans’ driving habits, and even spawned a new term- hypermiling. By making adjustments to one’s driving techniques and car maintenance, it’s possible to achieve significant savings in fuel consumption (check here for specifics from the guy who coined the term).

Not too long ago, the EPA updated their testing to reflect more typical driving conditions. The effect was that mileage estimates dropped quite a bit- the window sticker on my ‘04 Civic says 29/38, but with the new testing methods the revised estimate is 25/34.

^That’s her and I during our spring break trip.

By driving sensibly and taking care of your vehicle, you can easily get far better mileage than what the sticker says. My car has 112,000 miles, but I still routinely get between 33-38 overall. The majority of that is highway miles, but it’s still better than estimates.

Basically, I do the following:
-Drive the speed limit.
-Limit hard accelerations and braking.
-Keep up on maintenance.
-Keep tires well-inflated.
-Limit idling time.
-Try to cut back on A/C use when possible.

Most of these things should be common sense, but it blows my mind how many people still waste way more fuel than necessary by driving like maniacs. Ironically, it’s very likely that many of these lead-foot drivers are the ones who complain the most about high gas prices. That’s like complaining that you’re overweight as you down a Big Mac meal.

Why hypermile? There are several good reasons too.

1.) You help the environment. Less fossil fuel burned, less emissions, less carbon in the air.

2.) You save money at the pump. Even global warming conspiracy-theorists can’t argue against this one.

3.) Your car will likely require fewer repairs and last longer. My grandpa’s old Ford Escort is still running at 230,000+ miles. His secret? Regular maintenance and driving sensibly. Imagine that.

4.) You help reduce our dependence on foreign oil. President Obama acknowledged this one. Remember the off-shore drilling debate during the presidential race? Obama stated that if Americans would simply keep their tires inflated to the recommend levels, we would save as much oil as what would be produced by proposed off-shore drilling plans. The “drill-baby-drill” Republicans criticized him heavily for this remark, not surprising given their coziness with big oil. Obama was absolutely right though, and I hope at least some people took note.

Maybe I’m just nerdy, but I enjoy trying to get the best gas mileage possible. It’s like a game; I just tap into my competitive side and try to beat my mileage on the last tank. I keep a log in my car, then enter the numbers into an Excel Spreadsheet (screen shot below), where I can easily see my MPG’s over time while keeping a running average (35.567 since buying the car).

I’m also beginning a new experiment (which is noted in the last entry). Here in Iowa the 10% ethanol blend usually sells for 8-12 cents cheaper than the regular unleaded, so I always used to fill up with it without even thinking. However, it’s a well-known fact that ethanol burns less efficiently than gasoline, but enough to make up for the price difference? I figured that warranted a test. So for the next 10 fill-ups, I’m putting in the regular unleaded blend. Then I’ll calculate whether or not the (likely) increase in mileage is enough to make up for the higher price. It’ll probably be a matter of nickels and dimes either way, but it will interesting nonetheless.