100 Words On: Why It Pays to Keep It Simple, Stupid

Keep it simple, Stupid. That’s something we’ve all been told at one time or another, for any variety of reasons. That’s usually sage advice — especially when it comes to managing your personal finances. There’s no need to make things complicated. Generally speaking, remember:

  • Minimize or eliminate impulse purchases.
  • Save up for what you can’t afford.
  • Understand where every penny you earn is going.
  • Pay yourself first; make your retirement and emergency funds your top priority.
  • Make sure your credit card balances are paid in full each month.
  • Spend less than you earn.

The bottom line: It really is that simple.

Photo Credit: Ina Centaur


    • 4

      Len Penzo says

      Ha ha! Sorry; I was trying to find a good picture of something that was complicated, and that was the best I could come up. LOL

      It’s lame, I know.

  1. 5


    Diet is simple too. Eat less calories than you burn, yet there thousands of books and diets. It is all about priorities! If getting your finances in order is a priority, you will do it.

  2. 8


    What is so interesting is many people plead ignorance as to why they are in such bad financial shape. They didn’t “know any better”. You mean you didn’t know you shouldn’t buy things you can’t afford? You didn’t realize that you needed to save your whole life in order to retire?

    You are so right in that it is so very basic. People who have basic math skills can do fine with their finances. Hell, I have invested a lot in the stock market over the years based on all my great knowledge, maybe I would have been better off just investing in CDs this whole time.

    Great post.

  3. 12


    Someone years ago told me to make KISS into “keep it stupid, simple.” which makes sense. Over complicating a process defeats the purpose and dumbing it down makes it less complicated. So when it comes to $$$, I keep it pretty stupid.

    • 13

      Len Penzo says

      The thing is, folks who are good at keeping things simple are usually very disciplined. Conversely, people who tend to make things more complicated than they need to be are generally — I said “generally” — unorganized and suffer from a lack of discipline.

  4. 14


    What a short and sweet blog post! KISS is a very prominent theme in my line of work as well. But I like where you are going with it too — it can be useful if we apply it to our lives as well. All too often, people think there is some complicated equation to getting rich or finding success. In reality, this is all much simpler than people think. Your couple of bullets sums this up nicely!

  5. 15

    Angela says

    Sorry I’m having problems posting. Would someone please delete my previous attempts here? I just give up.

    • 16

      Len Penzo says

      When you post a link, Angela, it goes into the moderation queue. In any case, it was broken. I do appreciate you trying though — I bet the rube goldberg link (had it worked) would have been a good one. :-)

  6. 17


    With credit available on such a large scale in the States, folks will be more than hesitant to save or get out of debt.

    People in the old country buy everything with cash. I would say more than 95% population don’t even know what credit card is.

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