math question about suze orman show

[rigz]

a lot of times when they show the "Can I Afford it?" or "How am I doing?" segments of the show, they will first show peoples income, monthly expenses, debt and assets. people who have seen the show know what I'm talking about.

however, sometimes ill see something like this (made up numbers but just for sake of discussion):

Income: $6000/month
Expenses: $4000/month + $1500/month into savings ($5500 total)

I dont get this. if they spend $4000 and "save" $1500, where is the missing $500? where does it go? either you spend it or save it, right?

[MonkeyMama]

Taxes.

[Blessed]

a lot of times when they show the "Can I Afford it?" or "How am I doing?" segments of the show, they will first show peoples income, monthly expenses, debt and assets. people who have seen the show know what I'm talking about.

however, sometimes ill see something like this (made up numbers but just for sake of discussion):

Income: $6000/month
Expenses: $4000/month + $1500/month into savings ($5500 total)

I dont get this. if they spend $4000 and "save" $1500, where is the missing $500? where does it go? either you spend it or save it, right?

Your right it has to go somewhere!

[rigz]

Taxes.

doesnt suze only talk about after tax income?

[disneysteve]

I think they only show a snapshot of the situation. Suze Orman has them fill out an extensive packet and worksheet that has all of the details. What they show on the screen is just a brief summary so the numbers may not add up.

[rigz]

I think they only show a snapshot of the situation. Suze Orman has them fill out an extensive packet and worksheet that has all of the details. What they show on the screen is just a brief summary so the numbers may not add up.

i guess what i dont get is what they call "saving"

if i earn $6000, spend $4000, isnt the rest automatically saving? i dont know why they have to add their savings per month in there.

it bugs me that it doenst add up

[phantom]

I've only seen the show once or twice. So, while I know the segments you mean, I don't know Suze Orman well enough to do more than guess. But, perhaps the gap represents money that is left unbudgeted. Maybe some months they spend that money and some months they save it.

[Kircheis]

a lot of times when they show the "Can I Afford it?" or "How am I doing?" segments of the show, they will first show peoples income, monthly expenses, debt and assets. people who have seen the show know what I'm talking about.

however, sometimes ill see something like this (made up numbers but just for sake of discussion):

Income: $6000/month
Expenses: $4000/month + $1500/month into savings ($5500 total)

I dont get this. if they spend $4000 and "save" $1500, where is the missing $500? where does it go? either you spend it or save it, right?

It's probably cash spending which is hard to account for unless one is keeping track of all spending using some kind of system (notebook, app, software).

You can probably write into the show and ask. ^_^

[shaggy]

They have more data that isn't shown on air.

The producers ask for a ton of information well in advance, so that Suze/her staff can come up with a comprehensive recommendation. Not all of the information given is shown on air, because it's not relevant or would take too much time.

This is probably even more true in the Can I Afford It? segment, where the time spent on air with each caller is very short.