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You can pay for it, but can you afford it?

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Bronze Contributor
Oct 5, 2007
Mendoza, Argentina
Nice read, so true!

No more parking for you ;)

BTW Can you afford your vacation? Just a though, because I can't afford mine...


New Contributor
Feb 12, 2008
Ottawa, Ontario
I can afford it. I've got a pretty substantial savings because I put half the money I earn away into savings (always have). The real problem now is how to repay my savings having paid for the ticket.

The goal is to earn ~3k and put that all into savings to pay for the ticket and the extra half I need to earn to spend money, and to do that before I leave for vacation.

PS: Thanks for the rep speed :D!


Bronze Contributor
Aug 4, 2007
Nice article, but here's my take:

You can only afford it after you have purchased or created an asset which produces the passive income to cover the payments for it.

Eg: I want a new car. If it's $500 a month, which asset can I buy or create and at what rate of return, in order to produce $500 a month?

Then, the car is free*. Everybody can afford free :)

Rep+ for the article, thanks.


* Free because the asset pays for it, and the opportunity cost of the capital/time invested is offset by the value produced by the asset after the car payments stop.


New Contributor
Dec 2, 2007
Bay Area
Honestly, I skimmed through the article. I think most people here are financially smart enough to know if they can afford something or not. Seems like Suze Orman type your money, put it in mutual funds and enjoy yourself when you're 65. Yeah no thanks..

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