Where Does it All Go?

 

In the classic 80s comedy “Married with Children,” the opening credits began with the patriarch of the family, Al Bundy, sitting on a couch holding a stack of dollar bills high over his head. As Frank Sinatra crooned, “Love and Marriage,” in the background each member of the Bundy clan approaches Al only to snatch money from his outstretched hand and scurry away.

I’m sure most of us have felt that like at times, figuratively if not literally. It seems that only moments after payday, our newly filled coffers are severely depleted.

But where does it all go?

Glad you asked.

After researching a myriad of articles on the subject, I have taken the unsolicited liberty of compiling a list of some of often overlooked areas that successfully and often clandestinely, siphon money.

Stop me if you’ve heard these before.

1.       Food. Inarguably, food is an unavoidable expense. But did you know that the average American spends nearly $3,500 a year on restaurant meals – whether eating out or using services like Door Dash? Try cooking more at home. Not only will you save money, but you won’t be scrambling to figure out how much to tip. And you can always BYOB.

2.       Cable and Internet. Have any of you really scrutinized your itemized cable bills? Often, they can read like the Congressional Record with charges that require your accountant to break down. Don’t pay for subscriptions that you never use. One person I know ran up a cable/internet subscription that cost more than $350 a month.

3.       Hidden banking fees. A few years back, I noticed my checking statement included a $25 monthly fee. When I called up to inquire, I was told it was the bank’s charge for using their services. Since I had a mortgage loan with them and my checking and savings accounts rarely fell under four figures, I warned they had better discontinue it or I would be happy to go to their competitors who were literally across the street. On average, bank maintenance fees hover roughly $14 a month.

4.       General spending. Whether on gifts, a vacation you really cannot afford or simply an impulse splurge, a recent survey showed that nearly a third of those polled had not paid off the debt they incurred the previous year as a result of overspending. Best to adhere to the 50/15/5 rule advocated by most financial advisors: 50 percent of take-home pay for necessities, 15 percent into retirement savings and 5 percent toward unexpected expenses.

Perhaps if Al Bundy had a financial advisor, that stack of bills might have lasted just a bit longer.