The Difference Between Getting Ahead and Not Falling Behind.
I cashed out all my frequent flier miles a few months ago to buy a $700 ticket home to Wisconsin. It was an unexpectedly expensive ticket, and I was proud of myself for having enough points to get it essentially for free (taxes and fees apply). I saved $700 and felt good about myself for doing so.
But something about that $700 nagged at me during the trip. Where did that money go? In my heart I felt like I saved it, but in my head I couldn’t account for the extra $700. It didn’t end up in my savings account, or my investment account. My pockets weren’t lined with crisp new $100 bills! So what gives?