Scott Alan Turner used to be a money moron. (In his words.)
He traded a Jeep for a Porsche in his 20s, purchased a 3,000 sq. ft. house with two mortgages, and bought luxury furniture on credit.
The Porsche cost him $800 per month. The house cost $200,000. The furniture? Who knows.
Scott didn’t have a budget and never tracked his spending. He only knew that he could afford the monthly payments on these luxuries … until one day he realized his mortgage was due in a few weeks.
And his bank account was rather empty.
And he didn’t have an emergency fund.
Scott realized he was drowning in debt. So he decided to make a change.
He sold the Porsche and paid $6,500 cash for a truck.
He paid off his credit card.
He aggressively attacked the mortgage on his house.
Step-by-step, he made strides toward improving his financial future. After listening to Clark Howard on the radio, he realized it was important to free his money from the grip of debt and put it toward savings and retirement.
Once he got married, he sold his house and downsized to his wife’s town home. They then downsized to a 1,000 sq. ft. rented house, and downsized once more to a 300 sq. ft. bedroom with his in-laws.
Throughout all of this downsizing, Scott kept saving money. He eventually saved enough to become a millionaire at age 35. Today he writes and speaks about personal finance full-time. He hosts the Financial Rock Star podcast. And he’s stayed debt-free — including mortgage-free — since 2009.
How did he go from money moron – buying expensive cars and furniture – to disciplined saver?
He can answer that question in one word:
He doesn’t need to buy more, because he’s happy with what he already has.
Scott credits his frugality to feeling satisfied with his possessions, rather than running on a hedonistic treadmill of always wanting more.
While he still appreciates fine craftsmanship — a gorgeous house, a designer car — he realizes that he doesn’t need to own luxury items. He can appreciate art and design without making a purchase. He prioritizes spending on his values: more time with friends and family; more life experiences. He doesn’t spend to impress others, which is a losing game.
Discover Scott’s fascinating philosophy on the link between frugality and contentment (and learn from his money mistakes!) in this episode.
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