This page may contain affiliate links from our advertising partners for which we many receive compensation. This may impact how and where products appear on this site. This site does not review or include all companies or all available products. We are thankful when you support this site by using our links.
We’ve heard the debate (and the lecture) over and over again about whether the points and miles arena is right or wrong for you.
The main gist of this debate is always that you should only be playing with the big girls and boys if you are financially secure and can afford to pay your credit cards monthly, as otherwise the gains might be losses. Check. I’m financially secure. Check. I can afford this.
Similarly, they also say you should not enter the manufactured spend arena unless you are sufficiently comfortable with the activities, whether you know how to shimmy and dance to the MS dance. Check. I’ve got enough and I can dance just fine, thank you very much. In fact my main problems with manufactured spending are the limited ability to find opportunities in New York City (but I’ll save that topic for another post).
So, I can afford this, and I choose good credit card deals and I manufacture spend. So what exactly is the problem?
This is the problem: credit cards, travel, manufactured spend – it’s all very exciting. The rewards can often be seen somewhat instantaneously before your eyes be it with miles or money or trips. So, there’s the instant gratification factor too. I’m a busy person and only have so much time in a day. I’ve spread myself thin. This is too much fun, right? I’m dancing – can’t stop, won’t stop.
But perhaps I’ve blinded myself too? I keep promising myself that I’ll wisely invest my savings. But despite the calls from my brokers and others, including my dad (an astute investor), I seem to always be too busy working, running, blogging, reading blogs, Flyertalk, etc, you name it, and I never get around to wisely looking after my money that primarily sits in out-dated funds, bank checking accounts and money market accounts earning point zero zero something. I’m a bit scattered! I know I haven’t allocated my time properly – I’ve put some things in the wrong order – and yet I’m always too busy to take the time to really fix this because, after all… there’s a cool new airfare sale, another race, more work, a party, and a cash back deal all in front of that. And so another day goes by without me being financially responsible with the money I’ve worked so hard to save. One hand giveth, the other taketh?
So, where am I going with all of this? Playing with credit cards, points and miles, and manufactured spend will not put me bankruptcy or the poorhouse. But nevertheless, if I’ve been blindsided by points and miles to the exclusion of other things that also require some focus and time, then I could ultimately be doing a financial (or mental) disservice to myself.
Perhaps we all need to regularly review the entire process, including the costs and benefits, as they pertain to each of our lives?
I realize this post is not artfully composed, but I have to think that this is a real issue for many involved in this exciting world we live in. Don’t worry – on balance, I like my life and my world. I’m not leaving the game, and I’m not stopping blogging or traveling (a lot) or running (a lot) any time soon. But I need to promise myself (as I think we all do) that I will regularly reflect upon and examine all components of my life, that I will do the things I need to do, and that I won’t let things get (too) askew.
Editorial Note: The editorial content on this page is not provided by any of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author's alone.
A New York frequent flyer who elegantly combines her passions for worldwide travel, running a gazillion marathons all over the globe and staying fit ... without sacrificing her fancy for good wine and food.
So, so true! For me too! And I am not spread near as thin as you. But I do think that making time for investing is different from other things; people put it off in part because the decisions are hard and involve risk. Certainly my 20something son falls into that category. He is making good money and spending little of it but it sits in low interest accounts as he has trouble deciding how much of it to invest and whether to invest at all.
As for me, I am supposed to be doing a bunch of things after seeing a financial planner to give him more data to help us transition to retirement. The stuff is all spread out on the dining room table as a daily reminder, but instead I am here 😉 and then off to load BB, buy some MOs, etc. when I really should be sitting down with a spreadsheet to get him the numbers he needs. Which may very well be penny wise and pound foolish, in the long run.
But The Forum, and the blogs, and the latest gig, and the next trip fill my spare time. Thanks for this good reminder, but also, don’t be too hard on yourself. I think you accomplish much more than 99% of us!
Why are you worrying about your 20 something? He’s a big boy. He doesn’t need Mommy holding his hand. Did it ever occur to you that perhaps your handholding is what allows him to be so unconcerned? Because he knows if it hits the fan, he’s gonna get bailed out?
Best thing you can do is tell him he isn’t getting a dime of inheritance. That will wake him up. Tell him you’ll LOAN him some $ for his first home, but you get paid back within a few years WITH interest. You’ll give advice IF he asks. But if not, be quiet and let him run his own life – many only learn the hard way…
Or maybe it won’t wake him up and he’ll remain oblivious the rest of his life. But that’s his problem, not yours.
In either case, you shouldn’t be holding his hand any more.
wow, that was rude.
Rude and a huge over-reach. You do not know me. To generalize how I parent from reading one sentence is the epitome of arrogance and impertinence. I bet you’d never say such things to my face; my speculation is that you do your bullying on the net. Don’t bother to reply because I won’t engage with you any more.
Very well said. People fail to recognize the “hidden” costs associated with some of these activities. For people with an abundance of time (certainly not me), no issue with what they are doing – that said, in some cases these pursuits come at the expense of other things (doing better at your job, spending more time with your family) – so there truly are hidden costs there.
The one major thing that has occurred to make me rethink it entirely is the changes in UA’s frequent flyer program. What a wake up call that was to find that loyalty is not a two way street. It has made me re-evaluate other areas of my life which were give, give, give with little to no return and I have divested myself of them. As a result, I am finding more and more spare time to deal with the things that I didn’t have time to deal with before. Life is really shaping up! 🙂
Wow – I can totally say I know how you feel… (well, except for the running part). Its a gentle balance, and really the true question of each activity is: What is the benefit, and whats the opportunity cost. I think you hint at the opportunity cost of not managing your investments better… But, if the activities you choose to spend your time on are more beneficial, then, perhaps all is ok? Or find an easy “automated” way to manage what you don’t enjoy.
I really enjoyed this post though. Really speaks volumes!
I enjoyed reading your post, as I was redirected here from TravelBloggerBuzz, glad that I read it. I understand how you feel, and I went through a very similar feeling a few years ago. I had to sit down and think about this, not just once, but over several weeks and really contemplate how much time should be allocated to this endeavor, our hobby, our exciting minimal cost trips, etc. I also happened to read several books regarding work time management, my personal time management, and general well-being and how I should allocate my limited resource, 168 hours per week.
In your case you may feel that your personal finance planning may be neglected due to this hobby. It is very easy to keep on reading/researching/applying your hobby instead of focusing on another endeavor. One of the main reasons, you are good at it, and you enjoy it, so that makes perfect sense. Just like a lot of people would rather watch 1 hour of TV vs. 1 hour of running/walking/exercise. I do not equate this hobby to TV watching, but hopefully you get the analogy of self-gratification vs. something else you want to do but it is harder to jump start.
Maybe carving out a small amount of time per day, say 15 minutes for it as the first thing in the morning. Making a rule to yourself that you will not use internet (for your hobby) or do anything related to your hobby till 10am. It’s amazing if you force yourself not to do it till 10am, how much time all of the sudden you have for other things. You may end up sitting and staring at the wall for a while and just contemplate, just because you are not able to open up your browser (or your iPhone) and read Flyertalk!
The most interesting thing, I think I became even more efficient in this hobby as a result of limiting myself to certain time frames during the day. Granted, I do not read every blog post in my Feedly feed anymore, I do not read every single MileBuzz response in FT anymore, and maybe I do not post on FT as much as I used to post. However, I feel that I get more results per minute spent. I imagine that you are extremely good at this, you are a veteran (there are many of us out there) and you are able to pull back a little bit and not be as involved but still have impactfull presence in this hobby.
My comment may have rambled on too long, sorry for not being more concise, but I don’t have enough time allocated to reread it right now, it is 11am, and I am off to the gym — my daily priority! 🙂
Cheers,
PedroNY
Pedro! Thank you so much for these comments. Yes, everything you say makes total sense. I did move off of the “I have to read every post in FT or I’ll miss something” obsession a while ago, thank god. It’s still a lot to juggle everything – but your suggestions are great. I’ll try some of them! You are great!
Pedro, I’m reading this fromm the gym, so that’s a good start.
I realized how much got sucked in to this hobby when I had almost unlimited points/miles, yet no trips booked for next year.
The pursuit of points/miles, the fear of missing out on a deal and the obsession with keeping up with the information can easily get in the way of the true goal of why we got into this hobby in the first place.
I finally got around to booking something for 2015; 24 hours on Emirates First, Capetown, Dubai and Mauritius.
I hope I’m back on track..
I agree! I will try to implement some of your ideas too. And so nicely put. I have enjoyed reading your thoughtful and helpful comments over at TBB and also elsewhere. Great to see you here too!
I’ve reduced my MS significantly too and am trying to take back my life. MS is very similar to a gambling addiction (except you always win), and some days I realized I was “working” for minimum wage. When my AwardWallet balance hit 10 million, it was time to reevaluate my priorities.