I've added a new post under the 'Know' section, Your Emotions.
Let me know what you think, ... helpful/too obvious/insightful ?
Buy a used Honda Fit (2009 or newer) for your daily driver.
That's it, I'm going to write a bunch to explain why but all you have to do is buy a used Honda Fit and not think too much about it and you'll probably save thousands of dollars a year. Mr. Money Moustache says the average american family spends $4500 per car per year (ref). This will be significantly less than that, could easily be more than $1000 less per year.
My goal is to find the lowest cost per km car and the Fit might not be the absolute lowest cost per km but from what I can tell it is the least effort safest bet in the pursuit of a all around car.
1) They still make them, so there will be supply for a while
2) They are very versatile, they can fit 5 adults, or they can fit a lot of cargo
3) They are consistently on the top of reliability lists
4) They are the cheapest Honda model, and they look pretty good
5) They are near the top of all fuel economy lists, they'll beat out some hybrids
6) The model range has all the features you could want
7) They are typically at the top of the lists for cars that retain their value
Tips to avoiding headaches:
1) Try to avoid those smaller private used car dealerships. They cost less but they generally deal in cars which have been in accidents. The prices are cheaper but you never know if all the accidents have been reported or not.
2) Use CarProof not CarFax in Canada. Some dealers in Canada provide a CarFax report outlining the accidents, but a more reliable source for Canadian information is CarProof. This happened to me, I was told a certain car had an accident and the driver side door was repaired. There was a CarFax to back this up. I got the CarProof and the car had been in multiple accidents, the second one was an insurance write off (total loss).
3) If you want help negotiating a good deal consider using a broker. Here is an example of one in Ontario http://automallnetwork.com/. Contrary to what their website says, they want you to contact them before you contact the dealer. You can do some searching but when I talked to them on the phone they were quite adamant that once you walk into the dealership you are the dealer's customer not the broker's. The broker wants to negotiate the price and then have you go test drive the car. They said if you do contact the dealer don't give them your full name or contact info. If you are contacting them by email don't use your normal email account. I don't know how this works if you end up not wanting the car. It seems like you just get their negotiating help with one car at one dealership for $195.
If you really want to dive into how to save money a bit more here is an article outlining how having a series of cheaper cars can save thousands of dollars vs. buying an expensive car and having it for 10+ years. The idea behind it is that it allows you to pay less interest on other loans, or investing the extra money. It might seem complicated, but it's just really just as simple as having less money tied up in your car so you can get the other money to work for you.
On the topic of auto loans here is a scary video about those small dealerships that give credit to anyone. Watch out for these traps
If you're all the way down here I'll let you know an even cheaper option.
If you read enough personal finance advice you'll hear someone say you can Drive For Free (DFF), or even make money by driving. This is not quite accurate, what they are generally saying is, you can become a (one car at a time) used car mechanic/salesman easier than you think. Many people sell cars undervalue because they don't want to put in the effort to tuning them before selling them, they just want to move on and spend more money. This is real, you can do this, you could even take it to the next level and have a hobby of fixing exotic cars and really make some big money while doing something you enjoy. If this sounds appealing look into it. If you just want to drive a car, buy a Honda Fit.
Here's an article on DFF
I'm reluctant to mention other options because as soon as you get too many options you can get overwhelmed easily. If you don't like the Fit consider a used Civic.
If you want more options ..., I'm warning you, this can take up a lot of time ...
I highly recommend Phil Edmonston's Lemon-Aid Car Buying Guides. Just buy it and read through it and try to stick to the low cost cars that he gives a 'Recommended' rating to. You can go to a library to read it or a book store to get some tips, but to really get all you want out of the book you'll need to spend a lot of time reading all of his general car buying advice, in addition to the specific advice for each car, so I'd lean towards buying it and considering it part of the price of the car you are buying.
Generally the lowest cost cars are more reliable, it's like they know those customers won't put up with unreliable cars, unlike people buying for looks or performance, they'll push the limits of reliability in order to have the latest and greatest.
Here is a list of 10 cars to consider, but cross reference these to the Lemon Aid book before considering them too seriously.
Save money, save gas, save your headaches with costly repairs, buy a nice looking economical car, with as many features as you need. I'm not recommending buying something you don't like, I'm saying take a look at the true cost a car you have or want. Add up the extra money on more gas (sometimes premium gas), larger wheels, insurance, repairs, depreciation. Start to realize the reason companies have to pay their employees so much per km when driving for work, it's because your car really is costing you close to that much per km, it's just hard to see it since the costs are so spread out. Then using that knowledge buy a car you like that is within a price per km you want to spend.
Wanting things can give us motivation to be more productive and to make more money, so wanting a nice car and working hard for it can work out for some people. I just don't want people being tricked into thinking they need to spend more than they need to by marketing and by having the costs spread out so much.
It seems like addictions are in the news these days a lot. The statistics around Opioids alone are startling. I don't think I know anyone addicted to them but it seems like statistically we all probably do. I know a few people that took OxyContin after surgery and luckily they didn't get addicted.
In terms of what you can you
1) If they are prescribed to you I'd ask if there is an alternative
2) Michael Botticelli former Director of the USA's National Drug Control Policy recommends talking about it more. If you need help, ask for it, if someone asks for help don't think less of them, provide them help like you would to someone with a broken leg, addiction is a disease.
3) Change the words you use:
Excerpt from Times Colonist article by Sarah Petrescu
Some of the suggestions are using terms such as “person with a cocaine-use disorder” instead of “cocaine user” or “addict.” Others include referring to a person having an “addictive disease” or “substance-use disorder” rather saying they are a drug “abuser” or “junkie.”
Counterintuitive things you should know:
1) Our whole mental model of what causes additions is not quite right, check out the first video below. I put it at the top because out of all of these because our mental model dictates so much of this problem, and most of us are walking around with on that's not backed up by science. By knowing this we can see there are more factors to addiction than just the drugs, and how big a factor the stigma around addiction can compound the problem. Link to the article where I found it.
2) Criminalizing drugs has not been as effective as decriminalizing them. Portugal is the first country I heard of that decriminalized all drugs put their resources into helping and they've seen an amazing turn around. Check out the clip from Michael Moore's documentary
Here is Michael's TED Talk - Addiction is a Disease
Here is John Oliver's take on Opioids
And here is a terrifying article outlining the plans to spread the epidemic beyond North America to the rest of the world. This reminds me of Stephen Hawking's quote that "we should be more afraid of capitalism than robots". I'm not against capitalism, just based on my cursory look into this it seems like a huge risk of human suffering is being taken for the sake of making money.
OxyContin Goes Global - We're Only Just Getting Started
I don't know what to do to stop this, any suggestions?
I love the parable of the blind men and the elephant. A number of them encounter an elephant they each reach out and touch one part of it and argue over what they think it looks like until they realize they are all right. I think this applies throughout our lives. We often disagree with others but we are often both right, or at least have good reasons for backing up our opinions. I also think it applies to advice, we all get a lot of advice and I think it is all valuable, but it is often only one part of the elephant, so I'd like to systematically review advice and add to my picture of the elephant that it is. Today I'll look at the advice from a TEDTalk on time management.
Laura Vanderkam - How to gain control of your free time
What she says:
- Many people try to shave off time here and there to fit in more things (i.e. fast forward commercials)
- She doesn't think striving to shave time is the right approach, she thinks we should choose what's important and having the time will take care of itself. She gives the example of someone with a busy lifestyle that has a flood at their house. Resolving it takes 7 hours out of the persons week. She many people don't think they could find 7 hours a week to exercise or meditate or whatever, but when you have to you just do.
- Her big take away is when we say "I don't have time" we are saying "It's not a priority"
- How do we realign our priorities?
- For work pretend it's the end of the year and write up your ideal performance review, listing all the things you accomplished.
- At home pretend it's the end of the year and write up your ideal Christmas letter, saying all the great things you did this year.
- From these future write ups get 6-10 goals for your year
- Break them down into manageable tasks
- Week by week take some time to plan out your goals for the next week. She recommends doing it on Friday afternoon when you're a bit drained from the week but willing to assign tasks to your future self for next week.
- She says we all get 168 hours a week, and she thinks if we look closely we'll see we've got probably 50-60 we could be using better, i.e. towards our priorities.
So, let's unpack this. She says
1) Things we already know - we make time for 'must do' activities, example, emergencies.
2) Gives us tips we won't do - write out our priorities and just do them.
This is like that email forward about the rocks and sand in a jar, do the important things first. The part about changing "I don't have time" to "It's not a priority", is I've suggested taking 'lazy' out of your vocabulary and replacing it with "It's not important enough for me to do right now"
I think Tony Robbins does a better job of this when he describes 'musts' and 'shoulds', and I think Kelly McGonigal does a great job outlining why we'd fail in The Willpower Instinct.
So overall it's nothing we haven't covered yet on the site (no new insights) but a nice reminder, it might spark your memory or finally push you to taking action. Personally, I like the specific examples of how to pull your priorities out of your brain with those year end reviews ahead of time, I might add those to the list of things you can do. I also like how she simplifies the categories down to three things Career, Relationships, Self. The goal setting program I did recently had a lot more categories and was a lot more complicated.
One great life hack I've come across to help you hold yourself to your priorities is to have a computer call you every night to ask you to rank yourself on those goals you pre-set for yourself. Below the TEDTalk is a video about it, and here is a link to a robot service that will do this for you, there's even a free two week trial. www.triggersdigital.com
I'm using it and I'm really finding it makes a difference for the little things you can overlook, those medium size rocks that can get neglected and left off your year end reviews. You know what, I'm going to put this video on top because I think you might be better off watching it that the TEDTalk, it's more focused but it's a technique that might help you with everything else.
My new plan is to do a post every Wednesday. I see & hear so many interesting things in TED talks, books, articles, facebook posts I could write a few posts every day, but my goal is not to just have an interesting list of articles, it's to build a framework that can be populated by others, populated in a way that is easy for anyone to navigate, to get high quality information to help them achieve a goal quickly and efficiently. Think of it like uber, the creators of uber are not trying to be everyone's taxi driver, but they want to connect people looking to be a taxi with someone that needs a taxi, as efficiently as possible. I want to try to do that with the information you need to live the life you want to live, and achieve your goals. So I'm going to resist too many posts to spend some time building the framework.
What you can do in term of finding interesting stories? I highly recommend using the TEDTalk Video podcast, as an audio podcast while you commute, or anytime you're looking for something to listen to. There is an audio only podcast but last I checked they didn't post as many talks as the video one, and it's the exact same as simply not looking at the video. So, put your phone down, do what you're doing and just listen to the video. The nice thing is if there is something you want to see you can just pick up your phone rather than go look up the video.
I recommend just listening to every single one as they come out. Don't look at the title and wondering if it's worth your time, you may not realize it is interesting until you listen. You may not think it was worth it until the end, or a little later. Some you may think weren't worth it, but that's a small price to pay in mind.
If you want to know some old ones you've missed, ask a friend, they might not have heard of the podcast or they might have a few they'd love to share.
Here is one that my friend loves and re-watches every so often.
I'm only going to give you the link so you can't watch it here, just go there, download it and try it as an audio podcast.