Tuesday, October 12, 2010
It pays to be stingy
Have you heard the story about the Economides, "America's Cheapest Family"? Theirs is a heartwarming story about how frugality allows them to thrive and live their dreams despite not having a huge income. Their story is real-life proof that you don't have to have a ton of money to have it all. I've known this all along. You don't need to pay your employees a high salary for them to live well. They just need to learn to live more economically on a lower salary. That's my American dream: a company full of economising low paid employees who aren't draining the company coffers. If the Economides can live off of a single $35K salary to support a family of seven, then there's absolutely no reason for salaries to grow beyond that. Without the kids, that salary would be like a king's ransom. So next time you have employees clamoring for a raise, just tell them the story of the Economides and tell them to get smarter with their finances.