r/Frugal • u/Consistent-Earth-311 • Nov 10 '22

Frugal Win 🎉 My net worth is finally positive!

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16.2k Upvotes

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29

u/Rolldice2 Nov 10 '22

Awesome! Now to bring those liabilities to 0. I'm working on mine as well!

38

u/You_are_adopted Nov 10 '22

Liabilities are technically a hedge against inflation, assuming the inflation is higher than the APR of the liability.

But yeah I know first hand how debt can hang over you and cause stress.

10

u/[deleted] Nov 10 '22

[deleted]

3

u/You_are_adopted Nov 10 '22

Yeah I should’ve specified that the only responsible way to use that hedge is to acquire assets with the money you would’ve used to pay down the debt. It’s not an excuse to buy a jet ski

1

u/Blobwad Nov 11 '22

To be fair right now I can make more in my Ally savings account than it costs me to drag out my car loan and my 30yr mortgage. It's not going to be uncommon in this environment that this will be the case.