Cheddarblog

Along time ago, in a neighborhood far, far away….

The Swiss_Mouse and Mrs. Swiss_Mouse set up house and had a young mouse-ling.

Things were going well for the family and then one day, Mrs. Swiss_Mouse decided she wanted something “nice”.  She wanted a nice leather couch.  And she found just the one that she wanted too, for $3800.

Swiss_Mouse was disturbed.  “Please, no, we don’t need a 38 hundred dollar couch…”

BUT Mrs. Swiss_Mouse would not hear of it.  NOW, the Swiss_Mice were doing well at that time, but they did NOT have that amount of cash on hand.  And Swiss_Mouse was opposed to paying “on credit”.   Swiss_Mouse suggested we wait a few months, save up the cash and buy the couch, with cash.

Mrs. Swiss_Mouse was livid!  She did NOT want to wait for the couch.  SHE WANTED IT NOW.  In fact she was SO adamant about it that she said “ALRIGHT! WE’LL JUST TAKE MONEY OUT OF THE 401K AND PAY FOR IT!!!!”

Swiss_Mouse could not believe his ears.  Surely, Mrs. Swiss_Mouse hadn’t done the math. “Honey, you realize, that we will pay a penalty for early withdraw and taxes on that money?”  Swiss_Mouse waited.  Surely Mrs. Swiss_Mouse would have an epiphany an see the error of her ways.

“SO!”

GADZOOKS!  Mrs. Swiss_Mouse didn’t care.  The Swiss_Mouse then had to lay out the numbers.  Just guestimating, he determined that in order to SEE the $3800 he’d have to withdraw in excess of double that amount!  So $7600 easy.  Not knowing what the penalty might be.  He presented those numbers to Mrs. Swiss_Mouse and called this “the $10,000 couch.”

She was unmoved.  She wanted it.  Swiss_Mouse refused.

Eventually the Swiss_Mice saved up the money in just a few weeks and bought this “must have couch”.

CONCLUSION

One day about 1 week later, Swiss_Mouse arrived home from his day on the wheel.  Mrs. Swiss_Mouse said “LOOK!  Young mouse-ling has poked holes in the couch.”   “OH, I don’t think he’d do that….” Just then the pet cat walked up to the couch…and she started ripping at it.

$3800 for a leather couch.

1 week until it was destroyed.

BUT the savings was $6200, because it could easily have been a $10,000 couch.