The Price of Petrol

Driving to work the other day, I saw something I couldn’t believe…gas for $1.99/gal!  Of course, the line at that gas station was three-cars deep.  I had to pass it up or else I would be late for work.  But, it had me thinking about it all day.  I can’t remember the last time I saw gas for under two bucks!  In fact, I barely remember when it was under three. 

The next day, I had to fill up my gas tank.  Unfortunately, the place I stopped was $2.07/gallon.  Still, what an incredible sight to see my total bill around the $30 mark.  Considering the fact that I don’t drive an incredibly fuel-efficient Prius, filling up for $30 is fantastic!  Back in April, my husband and I were driving around the West Coast in a van (we were camping) and having to spend jaw-dropping amounts to fill up on gas.  $65 here.  $75 there.  I’m definitely happy about $30. 

So, now what am I going to do with that extra cash in my pocket?  Well, I could increase my already somewhat vast collection of either jeans, shoes, purses….  Or, I could do something a bit more responsible.  Perhaps, pay down some debt or increase my savings – that’s always a tough one, especially in these econmoic times.  What people have to consider is the time value of money.  That is, the value of a dollar now versus in the future.  And with annuity payments or lottery winnings, this is exactly the thing you have to consider.  Is the value of a chunk of change now worth more than the same amount promised in the future?  For most, the answer is yes.  Why?  Because, as any investor will tell you, the lump sum can be taken and invested, which will result in bigger pockets for you!

So, back to expanding that collection of shoes…

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