4 ms·

We put our children's savings (money for good school results, birthday money, eid money, etc.) into 3 separate envelops, equally: SPEND, SAVE, CHARITY. SPEND:

We put our children's savings (money for good school results, birthday money, eid money, etc.) into 3 separate envelops, equally: SPEND, SAVE, CHARITY. SPEND: They are encouraged to spend 1/3rd of the money. Whatever they want to buy. They have become online discount shopping experts, whether getting rubiks cubes, roller blades or harry potter merchandise. SAVE: 1/3rd goes into savings, which we will let them tap once they need it. Not sure when: once they are 17/18 perhaps? In all cases, it will be a big payout compared to the amounts they are used to "spend". CHARITY: And 1/3rd goes to charity envelop. So whenever an opportunity comes up, they can use that towards any charity event. Good thing is that they usually spend it all in one go. Great!

judge2020 5y ago
I guess this is the type of modelling CNBC used for millenial spending in their infamous tweet[0]; I don't know many people that actually donate >10% of their income to charity. 0: https://twitter.com/CNBC/status/1076173906455810050?s=20&t=ZkNQymUoMej6Xpw3znrFDQ https://twitter.com/CNBC/status/1076173906455810050?s=20&t=Z...
- photochemsyn 5y ago
  What you want to do is set up a charity in a Third World country and give them a steady stream of money that goes to the governmental leaders for their own personal projects, like a school or something. Do this for a few years and then you're positioned to get control of the country's natural resources at well-below market prices due to, ah, corrupt local leaders willing to sell out their country's interests in exchange for more 'charity'. See: Bill & Melinda Gates Foundation, etc.
  - oblio 5y ago
    I get the first part of your plan, but do you have some sources for the second part? How is that foundation exploiting the first step, in practice?
xivzgrev 5y ago
My mom had a similar system. She had also split savings into long term and short term. So LT - 40% ST - 30% Spend - 20% Charity - 10% I don’t recall what the term was for short term, maybe a few months. Something about it worked. Today I follow a similar system, tho percentages are different (spend obviously higher) and no charity.
gcheong 5y ago
Nice given the time frame do you plan on further dividing save into save/invest at some point? In other words is the big payout coming only by the total amount saved + interest or by potentially greater returns through something like an index fund?
foobarian 5y ago
I like that this balances out the usual puritanical "must save at all costs" attitude. I feel my family was way in that direction due to circumstances (own a place to live with zero property tax, but very little pension/income). But now even though I do well for myself, I end up doing illogical things like never using an unopened set of oil paints. I feel that teaching to spend money/resources is also important (I could have used it at the very least!).
scarface74 5y ago
I hope by “charity event” you mean “an opportunity to give” and not an actual “event”. https://www.socialvelocity.net/the-problem-with-nonprofit-events/ https://www.socialvelocity.net/the-problem-with-nonprofit-ev...

judge2020 5y ago

I guess this is the type of modelling CNBC used for millenial spending in their infamous tweet[0]; I don't know many people that actually donate >10% of their income to charity. 0: https://twitter.com/CNBC/status/1076173906455810050?s=20&t=ZkNQymUoMej6Xpw3znrFDQ https://twitter.com/CNBC/status/1076173906455810050?s=20&t=Z...

photochemsyn 5y ago
What you want to do is set up a charity in a Third World country and give them a steady stream of money that goes to the governmental leaders for their own personal projects, like a school or something. Do this for a few years and then you're positioned to get control of the country's natural resources at well-below market prices due to, ah, corrupt local leaders willing to sell out their country's interests in exchange for more 'charity'. See: Bill & Melinda Gates Foundation, etc.
- oblio 5y ago
  I get the first part of your plan, but do you have some sources for the second part? How is that foundation exploiting the first step, in practice?

xivzgrev 5y ago

My mom had a similar system. She had also split savings into long term and short term. So LT - 40% ST - 30% Spend - 20% Charity - 10% I don’t recall what the term was for short term, maybe a few months. Something about it worked. Today I follow a similar system, tho percentages are different (spend obviously higher) and no charity.

gcheong 5y ago

Nice given the time frame do you plan on further dividing save into save/invest at some point? In other words is the big payout coming only by the total amount saved + interest or by potentially greater returns through something like an index fund?

foobarian 5y ago

I like that this balances out the usual puritanical "must save at all costs" attitude. I feel my family was way in that direction due to circumstances (own a place to live with zero property tax, but very little pension/income). But now even though I do well for myself, I end up doing illogical things like never using an unopened set of oil paints. I feel that teaching to spend money/resources is also important (I could have used it at the very least!).

scarface74 5y ago

I hope by “charity event” you mean “an opportunity to give” and not an actual “event”. https://www.socialvelocity.net/the-problem-with-nonprofit-events/ https://www.socialvelocity.net/the-problem-with-nonprofit-ev...