McDonald’s: Luxury Dining

Meet this week’s three guests of honor: At their maxima, these suet inhalers weighed 1035 pounds, 980 pounds, and 850 pounds respectively.

Kenneth Brumley (fl. 2009)

Renee Williams (1977-2007)

Billy Robbins (d. 2010, to estimate it conservatively)

That’s a total of 2,865 pounds. The New York Knicks’ entire roster is listed at 2,585 pounds, notwithstanding that pro athletes notoriously overstate their sizes.

So what does controlling your appetite have to do with Controlling Your Cash? Tons.

Mr. Brumley, the late Mrs. Williams, and Mr. Robbins (or as his overbearing mama calls him, “my titty baby”) have one thing in common. (Aside from unwashed genitalia, dizzying sloth, and toenails that appear to have been grafted on from some reptilian genus.) Each at least partly blames the preponderance and ubiquity of fast food for somehow contributing to their size.

None of the three appears to have (or in Ms. Williams’ case, to have had) much money. Which enables them to use the same excuse that millions of slightly-less-disgusting corpulent people use while stuffing their faces and doing their darnedest to drag our nation’s average lifespan down – some variation on “fast food is cheap, it’s all I can afford, curse Wendy’s and Burger King for making their unhealthy food taste so good and cost so little.”

To quote a British tabloid,

Only deliveries of fast food from (Mr. Brumley’s) partner Serena break the monotony of the day. Because of this weakness for junk food, Kenneth is among 2 million Americans who are over (560 pounds).

Mr. Brumley certainly has plenty of weaknesses: his life appears to consist of nothing but. The implication seems to be that if Serena were spending a little more money to make runs to The Cheesecake Factory or Joe’s Crab Shack, Mr. Brumley’s weight might be – oh, somewhere down in the neighborhood of three digits.

As of this writing, a fresh whole chicken at a local Food4Less goes for 67¢/lb. If it takes 5 ounces of chicken to make a decent entrée, that’s 21¢. Pasta costs maybe $1.19/lb. Half a pound constitutes a pretty generous serving, which would be 60¢. Throw 4 ounces of reduced-fat sauce on there, out of a $3, 2-lb. bottle, that’s another 38¢. Remember water? Depending on where you live, it can be either heavenly out of the tap (Juneau) or straight-up brackish (Detroit). If your water tastes like the latter, get a Brita filter and the price of your water will go up about .0005¢ a glass amortized over the life of the filter.

So dinner costs $1.09, maybe $1.09005 if you filter the water.

Here’s another:

At the neighborhood Wal-Mart, a gallon of non-fat milk routinely costs $2. The store’s equivalent of Cheerios (the healthiest cereal available that isn’t sold exclusively in vegan co-ops peopled by patrons who talk about their chakras and think that all Mahmoud Ahmedinejad needs to calm him down is some yoga) runs about $3 a box.
The price of frozen concentrated orange juice is flexible, but usually costs something like $1.50 for a 12-ounce can.
Eggs are about $1/dozen. Bagels, $3/dozen.
Louis Rich/Oscar Meyer turkey bacon, which tastes better than and has one-quarter the fat of pork bacon (and doesn’t involve slaughtering animals that are as intelligent and affectionate as dogs) costs ~$2.50 for 14 slices.

On a per-use basis at home, pepper, salt, spices and cooking spray are too cheap to meter.

So for a fairly indulgent breakfast consisting of

  • 1 pint of milk (25¢)
  • a bowl of Wal-Mart off-brand cheerios (30¢)
  • a blueberry bagel (50¢)
  • 1 pint of orange juice ($1)
  • a 6-egg-white omelet (50¢)
  • 4 slices of bacon (71¢)

…you’d pay $3.26.

A quick examination at the local McDonald’s shows that you’d get barely a 24-ounce orange juice for that price. If you wanted the protein available in 6 egg whites – say from 6 Eggs McMuffin – you’d pay 12 times what you’d pay to make a homemade egg-white omelet. To stay as healthy as possible, you’d also have to eat your way around the yolks and pretend the eggs weren’t fried in grease and slathered with butter, either.

Hell, you can even break up the home-cookin’ as 2 meals; a $1.05 carb-laden one before the gym, and a $2.21 one full of protein and fiber after: as long as you’re the kind of person who doesn’t sit in bed all day growing chins and testing the limits of Newton’s gravitational constant.

We’re not here to bash McDonald’s for gauging customers: far from it, especially since gauging doesn’t exist (if you don’t like the prices, don’t buy the product.) Furthermore, if you’re driving through a town like Tonopah, Nevada, and don’t have a multi-element hot plate and a fridge in your glove box, a smoke-free McDonald’s owned by a franchisee who has to practice quality control to keep his franchise is probably going to be the finest available restaurant within several leagues.

The point of this post is to disabuse fatties of the notion that their caloric intake is directly correlated to their financial situation. If anything, there’s an inverse correlation: beyond a certain baseline, the more you have to economize on your meals, the healthier you should eat.

Living large on minimum wage

Do the exact opposite of everything this woman does, and you should be in good shape.

 

This is 26-year old Marjorie Dillon, a recent business administration graduate of Robert Morris University. In a languid economy with shortened prospects, she has to suffer the ignominy of working at a job that she was qualified for out of high school – in her case, a part-time gig serving drinks in a bowling alley. Not sure how that distinguishes her from tens of thousands of other graduates, but keep reading.

A year before she was scheduled to graduate, Ms. Dillon made the curious decision to get pregnant. The story doesn’t mention whether she’d already lined up a well-paying job with child-care coverage, but it’s reasonable to assume that she hadn’t if she’s now working at the bowling alley.

Ms. Dillon borrowed money to go to college. Lots of it. She’s $120,000 in debt, putting her in a hole 6 times deeper than that of the average college graduate. A hole that’s exponentially harder for her to dig out of.

Granted, we’re viewing this only through the lens of Pittsburgh Post-Gazette writer Tim Grant, but Good Lord.

(Let’s not forget photographer Darrell Sapp. “Okay, look pensive. Forlorn. Desperate.”) Perhaps he asked her to “put a little Florence Owens Thompson into it.”

If you think this poor distraught woman (Ms. Dillon, not her Dust Bowl predecessor) deserves your sympathy, please stop reading and delete any bookmark associated with this blog.

Let’s not bury the lede any further here. This woman has a $150 monthly cell phone bill!

The authors try to use exclamation points as sparingly as possible, but if any statement calls for one, that one does.

“I can’t remember the last time I went grocery shopping,” Ms. Dillon said.

Which can mean one of two things:

a) she operates a large vegetable garden in her apartment complex’s common space;

b) she eats out.

She might go to food banks, but that seems like a point that the reporter would mention. It’s possible that the reporter is going out of his way to make Ms. Dillon look bad, but it certainly seems as though he’s doing the opposite. He leaves unasked a few obvious questions:

Why the hell did you have a kid?

She was 25 when she got pregnant. She wasn’t a confused, inexperienced teenager. She’s a college-educated adult who presumably knew what happens when sperm make contact with an egg. (Answer: they cost money.)

Who’s the father?

Oh, sorry. Is this turning from a financial blog into a post on morality? Only to the extent that Ms. Dillon’s creating a kid hampers her already shaky financial position. Without a breadwinning man around to ease the pressure on Ms. Dillon’s cash flow, her job – her duty – of creating wealth becomes more than twice as hard. If she was left on her own by a philandering cad – which would certainly elicit sympathy – she’s being awfully quiet about it.

Does that sound heartless? No, heartlessness is having a child without giving that child the opportunity to grow up with even a hope of prospering. Heartlessness is saying, “I have no intention of earning enough money for myself, let alone a baby. I’d much rather have my industrious neighbors pick up the tab while I watch my debt grow.”

The circle of pain and aggravation caused directly by Ms. Dillon starts impacting people long before it extends to you and me. Ms. Dillon’s 80-year old grandmother is running the risk of losing her house because she co-signed for Ms. Dillon’s loan. Not that the grandmother is exonerable here – she should have read what she signed and understood the risks – but she’s clearly suffering as a result of Ms. Dillon’s stunning lack of priorities.

Buy assets, sell liabilities. We’ll say it again. And if you can’t sell liabilities, at least don’t incur them. In case it isn’t obvious, $117,600 spent on a degree that results in a $7.25/hour job is not an asset.

Staying out of debt is not merely a smart thing for each of us to do, it’s a moral imperative if you plan on being a contributing member of society. Feed and clothe the poor? The best thing you can do for poor people is to not add to their ranks.

Yeah, her kid’s suffering. Fine. The post isn’t about the kid. It’s about a woman who made idiotic decisions (from her choice of college funding method to the spreading of her legs) and who leaves taxpayers to clean up the mess.

If anyone you know is thinking about applying for welfare or food stamps, tell them to do the adult thing and rob a bank instead. They’ll still be stealing, but at least with the latter they’re incurring some risk and engaging in an activity that has consequences.

“(Ms. Dillon) didn’t keep close track of how much she borrowed or completely understand the agreements.”

Why, were they printed in Farsi? She “borrowed” money from Sallie Mae, whose terms of agreement are fairly clear for a government organization. She presumably had at least one face-to-face meeting with a lender. She certainly met with someone in her college’s financial aid office, unless Robert Morris’ vice president of enrollment is lying.

That vice president, who pays more attention to detail than Ms. Dillon could be bothered to, points out that “she borrowed $43,290 in excess of the cost of tuition and fees.”

Read that again. As a college student – probably the one time in her life where it’s socially acceptable and even somewhat amusing to be financially struggling – she borrowed more than her likely annual post-graduation starting salary in addition to everything else. In the words of the legendary Ricky Watters, “For who? For what?”

So can’t you say anything productive or helpful?

Work hard at the $7.25/hour job. If you truly love your kid, do the noble thing and let someone more responsible take care of it. Pay cash for everything. Lose the cell phone and the car ($329 monthly) and the cable and the internet ($120).

In a society that’s busy redefining health care as a right rather than a necessity, it’s certainly easy for a 26-year old with a sense of entitlement to feel that other rights can include HBO and not having to wait for a bus.

The article also states that she has $300 monthly credit card payments. At a conservative 19% interest, that means she’s got about a $19,000 balance there, too. Ms. Dillon is certainly of the right age, sex and appearance to make decent money sharing the stage with Sinnamon, Sienna and Skye here. If she’s worried that such a career decision would cause her family shame and embarrassment, much better that they lose their homes and read about her in the local paper.

Why Target thinks you’re stupid

Woman in the process of being offered a Target card

You stop by your local Target to pick up gardening supplies, a new bike, or a flat screen TV. The clerk asks you if you want to apply for a Target charge card and save 15%.

Should you do it?
$800 x 15% = $120.

Were you planning on paying cash for that TV? If so, open the account, pay the balance in full and then close the account. This will affect your credit score*, so only do it if it’ll save you at least $100. And plan your purchases so that you’re not opening new accounts every weekend. The road to debt-free living is paved with good intentions and department store credit cards.

Let’s see how much an idiot Target customer “saves” when she takes the discount and pays it off at typical American consumer speed.

The original balance was $680 with an interest rate of 18.5%. If you make only the minimum payment each month, it’ll take you just over 6 years and cost $1,110.

* The formula for calculating your credit score is the closely guarded secret of Fair Isaac & Company, a publicly traded company that makes money selling its scores to companies that lend money and assess potential borrowers. Having lots of revolving debt (e.g. department store credit cards) reduces your score. If you’ve recently taken on debt, or had someone inquire about your credit, that’ll also lower your score.
Up to a third of your score is determined by your ratio of debt to available credit. Carrying a zero balance on a credit card with a $5000 limit isn’t quite as good as carrying a zero balance on a card with a $10,000 limit. It’s this ratio that makes people hesitate to close accounts. If you’re Controlling Your Cash, charging your expenses to one card & paying it in full each month, your debt-to-available-credit ratio should be fine.