Don’t Become A Slave To The Rat Race

[Onward]

This is a recent blog post that I particularly liked. It makes the very interesting (and logical) point that your employer benefits when you are as heavily burdened with debts as possible.

That day, I have learned a valuable lesson. I learned that big shiny assets and large salaries do not equal freedom. On the contrary, they can make us slaves to our jobs and place us on a path that we must stay on for years unless we make a conscious choice to downsize and drastically change our lifestyle.

The full post is here.

 

[Meadbh]

This is so true!

Many megacorps, mine included, have a roster of real estate agents on call at their recruiting offices. Recruitment visits for newcomers include a meeting with the real estate agent and a tour of the (most beautiful areas in the) city. The purpose of this is to lure in the potential recruit to the housing dream and get his/her commitment. And once the mortgage is signed on the dotted line, exit costs can prevent the recruit from leaving. Some megacorps will even pay off a mortgage in another city to compete.

Young physicians (particularly surgeons) seem to be particularly vulnerable to this brainwashing. Eventually they realize that they have to work long hours and do many surgical procedures to keep said mortgaged house going.

 

[Onward]

It's the modern version of "I owe my soul to the company store."

 

[headingout]

I find it ironic that conservative top executives, who probably loathe the idea of any sort of national health plan, are happy to offer a high-end corporate health plan, free flu shots, health screenings, corporate "wellness officer," wellness site on the intranet, etc, etc. In other words, no problem with big brother being involved with your personal health matters, as long as it serves the purpose of binding employees to the job.

 

[Sarah in SC]

My boss said that when he was in sales, the sales manager always encouraged the young guys to get big car payments right away so they'd be hungrier.
]
He is moderately disconcerted to see my POS car in the parking lot with the Dave Ramsey sticker. He knows it is only through benevolence that he keeps me around here, as I have no debts to bind me to his employ.

Long ago, boss' family owned a manufacturing concern that paid people half in money and half in "company store credits" to ensure that they were indebted to the company. I don't think he'd try that #$%^ on me.

 

[HFWR]

I find it ironic that conservative top executives, who probably loathe the idea of any sort of national health plan, are happy to offer a high-end corporate health plan, free flu shots, health screenings, corporate "wellness officer," wellness site on the intranet, etc, etc. In other words, no problem with big brother being involved with your personal health matters, as long as it serves the purpose of binding employees to the job.

But you could quit anytime...

 

[Texas Proud]

I remember way back in college a speaker that said something similar...


He said as an employer he liked to have the young person who has just bought a house and had a kid.... they worked the hardest to pay of their debt...

 

[Purron]

Yup, it's all about control. Personally, I like being out of control. That why I like cats. And Zombies.

 

[MasterBlaster]

I remember way back in college a speaker that said something similar...


He said as an employer he liked to have the young person who has just bought a house and had a kid.... they worked the hardest to pay of their debt...

The corollary is that if you don't have debt you work less hard, and perversely enjoy it more.

 

[Free To Canoe]

He is moderately disconcerted to see my POS car in the parking lot with the Dave Ramsey sticker.

Don't mess with the power of the Dave Ramsey sticker.
I love it!

 

[easysurfer]

So glad that I decided to FIRE when I did and didn't sell my soul to megacorp .

 

[obgyn65]

Very true. +1

I find it ironic that conservative top executives, who probably loathe the idea of any sort of national health plan, are happy to offer a high-end corporate health plan, free flu shots, health screenings, corporate "wellness officer," wellness site on the intranet, etc, etc. In other words, no problem with big brother being involved with your personal health matters, as long as it serves the purpose of binding employees to the job.

 

[travelover]

So glad that I decided to FIRE when I did and didn't sell my soul to megacorp .

Me, too. It was strictly a rental with NO option to buy.

 

[Moscyn]

This post is so true. I used to follow moneyning blog but have strayed for a year or two - this reminds me to re-visit it now and then. I had a message saved on my mobile for a few years before I RE - the message was "Debt Free". It has now been erased as it has been accomplished.

 

[Jay_Gatsby]

This is a recent blog post that I particularly liked. It makes the very interesting (and logical) point that your employer benefits when you are as heavily burdened with debts as possible.



The full post is here.

Interesting post, but this quote seems more significant than being free from the chains of corporate America:

"Above all, they were free from caring about what others thought about them"

 

[friar1610]

He is moderately disconcerted to see my POS car in the parking lot with the Dave Ramsey sticker.

One of my post-Navy retirement jobs was with a large national software corporation. The young hot-shots working there were very aggressive and made very good money. But every time they got a promotion or a big bonus it seemed like they had to go out and get a bigger, better car, so I don't think they gained much by their promotions/bonuses/raises.

My immediate boss (who was quite a bit younger than I) got a promotion and all of a sudden his leased 1997 Lexus ES-300 wasn't good enough for him any more (or didn't project the right image for his new title.) He went out and bought a Mercedes. I ended up buying his Lexus with only 13K miles from the leasing company before it got into the hands of a retailer, thereby saving about $5K. (This was in 1999 - at the time I was driving a 1987 Volvo 240 with 175K miles on it.) The Lexus now has 178K miles on it and I am debating whether to ditch it after "one more winter" or try to make it 200K. I'm sure my former boss has gone through several more cars since then.

 

[Amethyst]

Great turn of phrase I gave the Govt a long-term lease on my brain. They don't have any use for my soul

Amethyst

Me, too. It was strictly a rental with NO option to buy.

 

[ziggy29]

One of my post-Navy retirement jobs was with a large national software corporation. The young hot-shots working there were very aggressive and made very good money. But every time they got a promotion or a big bonus it seemed like they had to go out and get a bigger, better car, so I don't think they gained much by their promotions/bonuses/raises.

Yep -- lifestyle creep and "affluenza" are definitely FIRE-killers.

 

[Jay_Gatsby]

One of my post-Navy retirement jobs was with a large national software corporation. The young hot-shots working there were very aggressive and made very good money. But every time they got a promotion or a big bonus it seemed like they had to go out and get a bigger, better car, so I don't think they gained much by their promotions/bonuses/raises.

My immediate boss (who was quite a bit younger than I) got a promotion and all of a sudden his leased 1997 Lexus ES-300 wasn't good enough for him any more (or didn't project the right image for his new title.) He went out and bought a Mercedes. I ended up buying his Lexus with only 13K miles from the leasing company before it got into the hands of a retailer, thereby saving about $5K. (This was in 1999 - at the time I was driving a 1987 Volvo 240 with 175K miles on it.) The Lexus now has 178K miles on it and I am debating whether to ditch it after "one more winter" or try to make it 200K. I'm sure my former boss has gone through several more cars since then.

Saw that in my last large software company job. Most folks had Mercedes, BMWs, Lexuses, etc... I started the job in 2005 with a 1994 Honda Accord and eventually caved into pressure from my boss (who said "Buy a new car, I pay you enough money") and bought a 2006 Honda Accord. Still driving it today. My now-former boss was a Corvette affcionado and would buy a new one every 3 years, but never the base model (more like the Z06).

The problem with owning a nice car is that people will ding and dent it as much as if it was an average car. This is why owning a "beater" car is good. People won't park/drive near you because they're afraid you'll hit them.

 

[ziggy29]

The problem with owning a nice car is that people will ding and dent it as much as if it was an average car. This is why owning a "beater" car is good. People won't park/drive near you because they're afraid you'll hit them.

I don't really want to drive a "beater" but I don't feel a need to repair every dent, ding and scratch on a depreciating asset. I'd sooner spend that money on proper maintenance so it may look ugly but is not likely to break down.

 

[Jay_Gatsby]

I don't really want to drive a "beater" but I don't feel a need to repair every dent, ding and scratch on a depreciating asset. I'd sooner spend that money on proper maintenance so it may look ugly but is not likely to break down.

Fair point. Once a car reaches the 5-year mark, it's expected to have dings and nicks. However, significant dents that are flaking paint and/or rusting don't convey a good impression. An older car doesn't need to be in mint condition, but it does need to look well maintained.

 

[TomG]

What does she mean by "big shiny assets?"

If it is a true asset -- even diamond rings -- should be easy enough to turn into retirement funds once that conscious choice is made

Large salaries can only create freedom, not slavery. If someone earns and spends $25 000 per year, that means someone else who takes home $250 000 can work one year and take the next nine off

The stuff is never what forces us to continue working and spending. A person can always walk away. It is the mindset that forces someone to do that. And that, too, can always be changed at any time. If it can be dropped at anytime, that isn't slavery

If a person is working 80 hours per week to afford their expensive cars, houses and vacations all that means is they value those things more than they value relaxing at home with coffee and a newspaper. Just as we are free to work however much we want, we're also free to not judge people based on those sorts of values

 

[ziggy29]

Fair point. Once a car reaches the 5-year mark, it's expected to have dings and nicks. However, significant dents that are flaking paint and/or rusting don't convey a good impression. An older car doesn't need to be in mint condition, but it does need to look well maintained.

Agreed, but by the time a car is 5+ years old, how much will cosmetic repairs cost compared to how much it will increase resale value?

By the way, I consider rust removal and rustproofing damage which exposes bare metal as part of proper maintenace.

 

[Onward]

The stuff is never what forces us to continue working and spending. A person can always walk away.

That is far too rosy a picture IMO. Most working Americans are trapped in a web of debts and other obligations. They can't walk away. They are not free. Only the very smart or lucky ones find a way out.

 

[TomG]

That is far too rosy a picture IMO. Most working Americans are trapped in a web of debts and other obligations. They can't walk away. They are not free. Only the very smart or lucky ones find a way out.

So what you're saying is that it is the liabilities, not the assets. Or the exact opposite of what was claimed in the original quote

Further, you can't always walk away from the stuff you bought last year. But you can always walk away from buying more stuff