If you actually get the $100 per month raise, and you join a club that costs exactly $100 per month, that is counting your chickens before they've grown to maturity, been slaughtered, fried, and are sitting on your dinner table.
Extra money is never what it seems. It's actually shrinking from both ends.
First off that $100 isn't going to be a full $100 when it hits your paycheck. Even conservative estimates would turn that $100 into $80 after taxes. If you are a saver or a tither, you can take another 10% off, and now you're down to $70.
Since you've been anticipating this money, you've probably already spent it in your mind several times over. Your husband is thinking, "This extra $100 will mean I can eat lunch out more often." While at the same time, you've been thinking, "I wonder if we should use some of this extra income to buy more power tools." Eventually you agree together to buy a pair of gym memberships for $100 a month. Only they aren't really $100. They are $100 + tax.
So now your expense is slightly more than your expected income and your income is somewhat less than you expected. You brought home $70 but spent an extra $108. You are actually poorer than you were before you got the raise!
But wait it gets worse. Remember those lunches your husband was looking forward to? He started taking them anyway. Remember those power tools you wanted? Well, you just bought a table saw because you'd been tracking prices, and well... you got a really great deal!
So in anticipation of the increase in income, you not only overspent your extra income, but the time you spent anticipating this extra income has left you filled with expensive dreams and inclined to more reckless spending habits.
Bottom line: be sure you know how much money is coming in and going out of your wallet, or you'll be in for a very sad surprise.
Marcia
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