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Financial Erosion, Are You Starting to Notice?

Erosion is defined by as ‘the process by which the surface of the earth is worn away by the action of water, glaciers, winds, waves, etc.’ As we all know, erosion occurs every day, but it can take a hundred years before anyone notices it’s happening.

I found a perfect example of erosion online. A large rock jutted out of the water at Nye Beach in Newport, Oregon. They called it, “Jump-off Joe”. If you follow the link, you can see the pictures of good ‘ol “Jump-off Joe”; the first photo was taken in 1890 where the large rock is shown in its full glory. Then, as the pictures continue (in increments of 20 years), the large rock slowly dwindles to a few pebbles scattered on the beach a hundred years later. Erosion is certainly an amazing occurrence. Without reviewing the photos though, I don’t think anyone would have even noticed the change of scenery.

For me, I feel like my finances were a lot like Jump-off Joe. Life was good, all the bills were paid; everything was going great, but then the car needed a new alternator. It set me back a little, but no big deal. Then I couldn’t quite pay for school, so I took out a small loan. Again, not that big of a deal, I’ll pay it back soon. Then my car quit completely and I needed another one. Well, I borrowed some money from a friend and promised to pay it back soon. It continued on like this, and I didn’t really think much of it.

Remember how we realized that Jump-off Joe wasn’t looking so good anymore? We looked back at the pictures. Well, I started hauling out the bills that I had previously put out of my mind and suddenly realized that I wasn’t looking so good either! I had racked up a five-figure debt!

It’s amazing how quickly the debt can pile up isn’t it? If you haven’t already, get out a piece of paper and write down all of your debts. I suspect that you are in over your head too and you didn’t even know it. If you are, don’t worry, there is a way out.

If you need a little help, make sure to check out “7 Steps to Financial Freedom”, “101 Ways to Make More Money”, and “Debt Snowball”. These articles will provide you with the necessary instruction to get started immediately and to ultimately finish strong. Good luck!

Budget Money


My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.

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