I joined MyLot recently. It's a forum where you get paid by posting. One of the questions that I answered was posted by a guy who was offered two jobs and he chose the higher paying one. He said his father advised him that "it's not what you earn really that is important but what you save". A lot of forum members agreed on that. I begged to disagree (and earned $0.01 for posting my reply).
Now, why didn't I agree?
When I was still working in a manning agency, there's this seaman with the rank of Ordinary Seaman or OS. He earns roughly $500 per month. He has a wife and a seven year old daughter and he is proud of his wife because she manages to save 20% of his monthly allotment.
Then, there is this vessel master whose position is more popularly known as the ship's Captain. He earns $6,500 monthly. He's got a wife and a seven year old daughter too and just like the seaman's wife, his wife also manages to save 20% of his monthly allotment.
Which family do you think has a greater savings? The captain's family, right?
What you earn is a great factor in determining how much you can save. All things being constant, the bigger your earnings, the greater is your chance to save more.
More points tomorrow.
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