Another fine mantra of pfbloggers is “don’t keep up with the Joneses.” The pfblog community as a whole loves to assume that the Joneses are debt ridden, know nothing about finances, have flashy and glamorous stuff, have nothing to save for retirement, and have no emergency fund.
But what if the Joneses are doing everything right?
One of my roommates in college is now very successful. I’ve never seen him use a credit card. While he may not know what “beta” means in terms of mutual funds, I’m sure that his retirement accounts are well funded. He has a nice SUV that he paid mostly cash for, shares a huge apartment in the heart of the yuppiest neighborhood of Chicago, goes on vacation a couple times a year, and regularly buys everyone rounds at the bar. This behavior isn’t atypical for my group of friends.
If that’s what the Joneses are doing, why wouldn’t I want to keep with them?