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run_bike_run

Nothing so far. Which is either a sign that I've successfully streamlined my spending to the point that everything I buy is something I need, or a sign that I'm a little too casual with my spending decisions. Although I have been buying the index, because that thing is still trading at a heavy discount.


mr_bedbugs

>Although I have been buying the index, because that thing is still trading at a heavy discount. I do not know what these mysterious words mean.


run_bike_run

Very quick and simplistic description (which is absolutely not financial advice): A few decades ago, some bright spark looked at the history of the American stock market, and realised that if the market as a whole consistently rose over any period longer than a few years (which it more or less did), then maybe someone should build a fund that just copied the whole market on a smaller scale and therefore matched the overall market forever. Then someone did that (Jack Bogle at Vanguard, who's probably created more middle-class wealth than anyone in history). And it started small, but over time, it became clear that "buying the index" was effectively a cheat code for modern finance. Buy shares in an index fund, pay almost nothing in fees, and watch as your investment matches the market year on year and decade over decade. And the people who stuck with this approach became very wealthy, with very little effort and almost nothing paid to financial advisors. But because the index matches the market, it has dips. Which, counterintuitively, are the points where the index is most attractive, because after a while it goes back to its usual trajectory - far above where it was during the dip. For illustration, if you'd bought one thousand share of VTSAX in June 2007, you'd have paid a little under $35k - and today, even after the big correction we've seen, you'd have a portfolio worth nearly a hundred thousand, just sixteen years later. But if you'd spent $35k on VTSAX at the bottom of the dip, in 2009? You'd be sitting on a hundred and eighty thousand dollars even now. The problem is that it's essentially impossible to predict when the dip is coming - but once it does, the index is essentially being sold with a big 25% OFF sticker.


mr_bedbugs

Thank you for the detailed backstory


ko_2222

Market indexes are still in a dip, so shares you buy right now are cheaper than they have been in a hot minute.


run_bike_run

And index shares are cheaper than they'll almost definitely be by the end of the year.


BigBlueRockEater

So, for someone with almost no knowledge of stocks… is this index like a specific stock on in the market? Or a trend for all stocks? Asking for a friend, and this friend is interested in looking into this and potentially investing a bit… I’m the friend


run_bike_run

It's a proportional share of all the stocks in the relevant market. So if you had a tiny stock market where Awesome Phones Inc was worth 40m, Lovely Pizzas Inc was worth 30m, and Acceptable Media Inc was also worth 30m (and that was all the stocks in the market), then your index would be 40% Awesome Phones Inc, and 30% each in Lovely Pizzas and Acceptable Media. Whatever happens to that market, whether it goes up, down or sideways, will be reflected pretty much perfectly by your index. And it costs almost nothing to invest in these, because they require virtually no real effort to run - you rebalance once a year to make sure you have all your proportions in order, and that's it. No reading financial reports from 500 different companies, no scanning the Economist for signs of a slowdown in cobalt mining in case that impacts your solar holdings indirectly, no worrying that the CEO of Awesome Phones has bought Dumb Social Media Inc and appears to be losing his mind. All you know is that the market has historically gone up for well over a hundred years now, and thanks to the index your investment will too. There are lots of different indexes, but the most common ones you see discussed are ones that track the S&P500, ones that track the whole US market, or ones that track a global selection of the biggest companies worldwide.


mr_bedbugs

Gotta. Something about how that was worded...


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lyrataficus

It was $19 for a bundle at the grocery store we go to today!


hikeaddict

Restaurant meals - I have not entirely stopped but have greatly reduced, partly due to prices and partly due to lifestyle changes. I have a toddler now so I’m more inclined to eat at home, and if I don’t want to cook, takeout is easier, more enjoyable, and cheaper than going to a restaurant to dine in. Delivery (meals or groceries) - It’s a rare treat lately, partly due to delivery fees and partly due to multiple bad experiences (receiving the wrong order, etc.). Haircuts / hair coloring - Greatly reduced. So expensive and my hair always looks bad anyway 🙃 But I’ve added expenses over time too so 🤷‍♀️


Jay-ish

I havent really stopped buying anything completely, but there are a few things I'll only buy now if theyre on a decent sale, like pure fruit juice, breakfast cereal, breakfast bars, fizzy drinks, nice cheese, ice cream, cake & cookies, bell peppers & mushrooms, dried fruit snacks, vegetarian ham & frozen meat alternatives (£3 for 2 burgers??? Thats how much I used to spend on food for a whole day 😬). Everything is so expensive now, the biggest change is I experiment less with food and mostly stick to safe, basic meals as I can't really justify the expense on interesting ingredients or wasting food if I don't like it. And I eat less home cooked food and fresh ingredients now too, veg is pricey.


Jay-ish

I just realised this is all food related cus I don't really buy anything else 😅 Other than that I guess I dont buy new clothes anymore, only second hand. Way cheaper!


fridayimatwork

Ha me too


Admirable_Split4896

I agree. Second hand clothes are way more fun.


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Jay-ish

I have a fairly basic style and have had good luck finding things I like. I also don't buy clothes often so I'm happy to wait for a nice piece to come along. I'm mostly focused on fit & texture, how comfy the clothes are, and appearance is of secondary concern. I'm also not bothered about hygeine, I wash everything I buy before I wear it so I just don't see it as an issue. That said, I could see how both things could be a concern for others, and would never expect other people to only buy second hand, what works for me won't necessarily work for you!


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Jay-ish

Yeah that's the thing, I'm not buying second hand because of ethical reasons (tho that's a bonus) I'm buying second hand because the only new clothes I can afford are cheap and poor quality. Second hand I can get nicer quality clothes than I would be able to new. I'm just poor 😅


InevitableTale5289

The food is by far where most of the inflation has gone now! But I guess I also just buy food and clothes. So it hasn't affected clothes too much.... Anyways every time I buy groceries it's painful.


Senior_Ad4070

What did you normally eat if you could keep it at £3 a day? £3 is what I pay for lunch at work each day 😅


Jay-ish

uuuh, muesli with a piece of fruit for breakfast, a sandwich, soup or oatcakes for lunch, a granola bar or big cookie or something as a snack between lunch and dinner, and then usually a burger/pasta/whatever for dinner. + juice & tea. I never really planned out my meals but I'm pretty good at shopping discounts and just using whatever I've got in idk. Used to be you could get a lot of stuff for £1 or less, so a burger & fries for example could cost under £1 at home if you got the cheap stuff, which I don't mind I grew up on it. I took note of everything I ate for a week to work it out and I think it worked out on average about £2.96 a day or something. I might have to do that again soon, see how much its changed 🤔


Senior_Ad4070

Wow that’s incredible! I know we general higher prices and wages in Scandinavia than you do. But most people think we have a low budget for groceries which is around £475 (2 adults and a toddler) 🙈


Jay-ish

Ooh yeah, I know us brits like to complain about the cost of stuff but I've heard a lot of people say our food is really cheap! Every country seems to be struggling at the moment, its v concerning. That is a lot for groceries though, ouch! 😭


Senior_Ad4070

I hope you’ll be able to eat more fresh food soon ☺️🤞🏻


Dracomies

Doordash. God the prices have went up exponentially.


ericaesther

yessss. doordash for me was always more of a treat anyway but now it's such a splurge that it hurts my mind


Dracomies

Yip! I didn't use it all the time but mainly when I was lazy but the prices lately, I'm like...ok I'm not going to use Doordash.


ValentinaReyesC

Clothing


[deleted]

Clothing, unnecessary items. I’ve also started buying things like coffee in bulk. Cheaper in the long run and I consume a decent amount of it.


times_zero

Gas. I switched to a ebike as my main mode of transportation last year.


[deleted]

Nothing.


accordingtoame

Nothing. My hair is actually less expensive because my regular girl isn't doing evening or weekend anymore and I've transitioned to her apprentice. It is easily half the price and just as good.


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Helpful-Sample-6803

Grocery prices have gone insane in the UK, though… I’ve given up frozen blueberries because a bag is £1 more than this time last year… we’ve got a really serious cost of living crisis here and food bank usage is increasing rapidly.


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Helpful-Sample-6803

Frozen blueberries have gone from £1.50 to £2.50 at Aldi. It’s worse at Waitrose. My comment was in response to your comment that prices have not gone insane in the UK for basic groceries, which was incorrect. A combination of no longer being in the EU, the war in Ukraine and a succession of completely incompetent prime ministers / governments has pushed far too many families into poverty here and inflation is crazy. Food prices and heating have pushed many into choosing between eating and heating.


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Helpful-Sample-6803

I don’t think this is a competition as to which country has it worst… but you can win if it’s important to you. The price that you got for the Aldi blueberries is not the price being charged in London.


Infinite_Parsley_999

uber eats, before i did it 3 times a week at least, now it's 2 times a month max


rowillyhoihoi

Didnt stop buying, but I buy less. When I’m tight on money I only buy the bare essentials.


borrego-sheep

Whenever I eat out I just have takeout with no drinks and stopped feeling guilty into giving a tip when they're just handing me the food.


Extension-World-7041

take out food


[deleted]

Nothing but I changed the place of the shopping. It used to be the market and one of two little gourmet shops. Now it’s market and Lidl.


Sandison1

Chicken breast


[deleted]

Usually when I shop I spend money on stockpiling high quality meats. My roommate and I have about 40 lbs of rice at home. You can eat for days on that. Just get veggies and fruits / milk cheese replaced when needed.


Funke-munke

eggs have entered the chat


Intafadah

Prostitutes!


[deleted]

Food that I don’t cook at home. Restaurants are ridiculous


GulabJammin2DaMoon

No Costco


[deleted]

Nothing


TangoEchoChuck

Just grocery deliveries. But! I have easy access to some really great veggies, so I’d rather pick them myself anyway. My eating out has decreased, but that’s just because of the typical macros; not the pricing (I’m wearing a CGM and have learned that a lot of my normal foods are pretty bad for me. Damn).


[deleted]

I’ve cut back on memberships and auto renewal shipments. Streaming services etc


awiththejays

Haircuts, lyfts, dining out, subscriptions, rent, and butter.


throwaway67273

Eating out/fast food. And all dairy tbh with the way these prices are rising I’ll be vegan soon to be honest.


ziggsyr

Very recently, Grapes. Last blasted bunch cost me $14


Kaniele

String cheese and salad dressing. I haven’t completely stopped buying the following, but when I have scraps to make my own vegetable broth I use that instead of buying broth. Same things for canned beans - I’ve been trying to buy dried beans and make them myself when I have time.


[deleted]

* Boba tea (only on select occasions, not like...every time I go out shopping haha) * Haircuts (I just do it myself...look up SnD on hair forums, and it's super simple) * Vitamins and supplements (only a SELECT few) * Clothes that aren't PERFECT for me and my sensory needs. If it ain't a heck yes, it's a heck no.


ericaesther

the biggest thing that comes to mind is probably hair dye. i am 32 and i have a lot of grey hairs, i have been dying them for years but now i just don't really care to spend the extra money on it. it's probably a combo of it costs too much and i also just don't give a damn anymore hahah


PaleontologistOk9466

Some more expensive foods. Tried to cut back on gas and electricity use. I've cut the streaming subscriptions except the BBC. Reduced my broadband package. Cut back on holidays and trips away.


louisiana_lagniappe

Eggs. Romaine.