This past weekend my wife and I made a fairly large purchase. We purchased a sleep number bed with the total price tag ending at a whopping $5,000 dollars! When I got to work Monday morning and told my co workers they instantly broke out in harassing laughs and comments. To sum them up in short they couldn’t believe that I spent such a large amount on a “bed.”
When I tried to explain the true cost to own a Sleep Number bed I was met with more laughter and head shaking. In an attempt to keep my sanity I put my headphones on and went back to work. The unfortunate truth is that when you are financially literate you may often feel alone in the decisions you make. Some can even argue you feel like the only sane person in the room, but don’t give into the pressure, stay strong!
Let me layout some facts for you so you can see my reasoning!
- My wife and I are debt free (minus our mortgage)
- We have signifcant cash flow left over every month that we invest
- We paid CASH for this bed. (Actually we used our Chase Credit Card and got $50 cash back)
- The hourly cost to use our bed will be $.09!!! ($5k Purchase Price / (7hrs sleep * 365 * 20yrs))
- We have a 20 year warranty
- No additional maintenance or upkeep costs unless something breaks
As a financially literate individual the purchase I find pretty funny and ridiculous is the individual that purchases a $25k car. Wait let me correct myself, the individual who BORROWS $25k to buy a car that instantly depreciates in value the second they drive off the lot. The unfortunate truth and reality is the majority of people value a sleek looking car over a good night’s sleep and are willing to pay insane amounts of money to do it. Take a look at the list of examples I’ve compiled…
- Hourly Rate to Drive $25k Car = $10.68
- Interest paid on $25k Car loan over 4yrs @ 3.5% = $1,827
- Periodic Oil Changes
- Major maintenance that is required throughout the lifetime of the car
- 5 year warranty
As you can see quite clearly the purchase of my sleep number bed was nowhere near as absurd as my coworkers thought.
Here’s to our Wealth!