Establishing a techology fund

Personal finance advisors such as Suze Orman and Dave Ramsey stress the importance of an emergency fund. Some other advisors recommend more specific funds for things such as home repair and car maintenance.

Should we add a technology fund to the list? What?

Everyone recognizes how technology plays an indispensable role in the lives of Americans. And these tech products have shorter & shorter shelf lives. Meaning, you have to spend more frequently to keep up to date. That’s great for a corporation’s quarterly earnings and for shareholders but what about your wallet and bank account?

I had to purchase a desktop computer recently. My present computer’s hard drive is failing. I’ve owned my present computer since March 2005.

When I mentioned to my sister that I needed to purchase a new computer, she remarked that I should be purchasing a new computer every two years. Every two years? Apparently the technological pace is so fast that one’s 2008 computer is likely out of date.

But who has money to purchase tech products every two years? Have you budgeted for that next tech product? I didn’t.

To avoid credit card debt, it’s smarter to save a little out of each paycheck for tech products. And these products, though indispensable, should not be funded from one’s emergency fund.

So, considering the above, maybe establishing a technology fund is worthy of consideration.

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