Quote from: Smilevictorobinna on Today at 06:14:47 AM

Quote from: JayJuanGee on Today at 05:04:00 AM

[edited out]

What I was trying to say is that, if you are working and you are been paid $1500 a month and you are investing $300 every week on Bitcoin you are investing aggressively because if you invest $300 every week you will be lift with $300 how then can you save your emergency, reserves and float funds remember this emergency, reserves and float funds those not just appear you save for it and you keep saving for it.

To me it is still confusing, since in order to figure out if something is overly aggressive or not, we still need to start with figuring out what is our discretionary income, so you need to start by showing income as compared with expenses in order to show what is the discretionary income. So from my point of view you seem to be assuming too many things, and sure you might be correct in some of those assumptions.

Another thing that I already mentioned is that if your emergency fund, reserves and float is already in place, then there would be no need to build them or have money for them because they are already there. However, if you are building them up, then surely they get built up from the discretionary income, so that takes away from how much discretionary income that you would have left for investing into bitcoin.

Any prudent person would not decide how much to invest into bitcoin prior to knowing his discretionary income, even though you may well be implying that the amount selected is within discretionary income, while at the time trying to provide an example that is obviously over the top, but you should not get that extreme (or also unrealistic from my point of view), since like I already said you need to give some kind of numbers for expenses so that we know how much money we have, and if you are saying that the whole $1,500 is discretionary income because the expenses have already been taken care of, even that seems unrealistic even for a guy who might be living with his parents. Everyone has some levels of expenses.

Another mistake that many of you are making is to presume that there are 4 weeks in a month, when the fact of the matter is that there is like 4.33 weeks in a month (remember 52 weeks in a year, not 48 weeks), so that makes a difference.

Quote from: Smilevictorobinna on Today at 06:14:47 AM

So if you follow the example I gave when you are lift with $300 how much will you save for your emergency, reserves and float funds and how much we be lift for you to run your expenses.

Maybe you do live with your parents if you believe that you can get all of that, including your expenses from $300 per month.

In other words, you cannot be fucking around with hypotheticals that are all over the place. Tell us from the start what are the expenses. Yes, they are going to vary with people, but for the sake of the hypothetical, we need to know that in advance prior to figuring out how much we have left for investing and/or for building our emergency funds and reserves, in the case that those systems are not already in place.

If you do not have emergency funds, reserves and/or float, I personally suggest to build them simultaneously while investing into bitcoin, yet of course, there is going to be quite a bit of personal discretion regarding how to do it in terms of how nervous any of us might be in regards to whether we have enough emergency funds, reserves and float, and part of the reason to have those things in the first place is so that you do not ever have to dip into your bitcoin investment at a time that is other than your completely own choosing, so if you do not have any bitcoin investment, then you are just building your various funds and holding cash which surely does not tend to be a great place to keep a lot of value, even though you do need to keep some amount of value in cash and more and more in cash the larger that your bitcoin investment grows. since you would not want to be forced into selling BTC at a time that is not of your own complete choosing.

Details are going to vary, but I personally would choose to build the emergency fund at the same rate as building the BTC holdings at least until you get up to 3 months worth of expenses in your emergency fund, and then once you reach 3 months in your emergency fund, then you might want to start to build some of your reserves (and many of us already are used to having some kind of float), but reserves can be used for all kinds of things.. for example, money set aside for buying BTC on dips, saving for a bicycle, keeping money in reserves to go out to special restaurant from time to time, saving for a new car or perhaps keeping a fund for car repairs, and all kinds of miscellaneous categories to the extent that that kind of money might not already be somewhat generally covered by whatever cash float that you might maintain from month to month... .. or between the times of paying certain bills that might have some variance (electricity, food, transportation or whatever those costs could vary quite a bit from month to month and the float might be extra that you have available in case one or the other of them is particularly higher than expected for the month).

Quote from: Smilevictorobinna on Today at 06:14:47 AM

The only way is possible is when you have already saved your emergency, reserves and float funds for years and is enough before starting your investment.

There is no need to presume impossible levels, yet sure there is going to be some variation in terms if people might have already been investing, saving or engaging in sound personal financial management practices prior to getting into bitcoin, but we do not necessarily need to presume that to be the case, yet if someone has very strong finances when coming into bitcoin, then they will be able afford to be even more aggressive in their start to bitcoin as compared to someone who might not have very many of those systems in place.

I have frequently speculated that many normies have practices of perhaps having a couple of weeks of float in their finances, and maybe there are some that might have a whole month or 6 weeks, but many folks tend to run their finances in paycheck to paycheck kinds of ways in which they do not have very much of a cash float. So if they are getting into bitcoin, then they are going to have to build better practices, since merely having only a couple of weeks float or even up to 6 weeks worth of float, is not generally going to be enough to provide strong assurances that the newbie investor is not going to need to dip into his bitcoin investment at a time that is not completely of his own choosing, so anyone who has a 2-6 week float is likely going to need to build their emergency fund from that and to temper their own bitcoin investment levels in such a way that they are building at least an emergency fund of 3 months of their expenses, and yeah maybe their investment into bitcoin and their building of their emergency fund reach 3 months of their expenses in size at around the same time, and yeah, it could take 6-12 months just to get to that point, depending on the level of discretionary income that the person has.. so I am not going to presume that they can build those up very fast if they are already in a relatively weak practice of ONLY maintaining a 2-6 week float... but whatever, individuals may well vary in terms of their abilities to draw from some other sources of savings and/or investments that they might have had.. otherwise all of this is coming from their discretionary income, including that they might need to spend some time building up their discretionary income by increasing their income or cutting their expenses.

Quote from: Smilevictorobinna on Today at 06:14:47 AM

From my first example the investor has not established his emergency, reserves and float funds so if his been paid $1500 and then his investing $300 every week on Bitcoin his over investing.

Yes you clarified it, and thanks for that, yet it still sucks as an example for the reasons that I already stated and additionally, are you even trying to be realistic with this example? since the example does not completely help us to figure out why the guy is overinvesting, even though surely the facts are not controversial, and so maybe in that sense you are creating a strawman hypothetical, yet it is still so unrealistic that it is not really stimulating any of us to think in clear ways, including that you really did not make it clear from the start, and you still are not making it clear because you are failing/refusing to specify expenses.. which should be something that anyone should already have some pretty good ideas about whenever they start to invest, they should have a pretty good idea of their income and their expenses, so that they know how much discretionary income that they have to even be qualified to start to invest (other wise they are gambling and/or too unorganized) and yeah there are people who do not have their finances in order, but we should not be using those kinds of folks as models, but instead trying to help them to show them what kinds of ways they need to "get their shit together".. personal financial matters I mean, and if their personal financial matters are in a pretty BIG disarray, that does not mean that they cannot start investing into bitcoin, but they might have to take a fairly small position while they are otherwise organizing their personal financial matters in a way to make them have cushions so that they never have to sell any BTC at a time that is not of their complete own choosing, and if they cannot do that, then they are gambling rather than investing.. which is not recommended, even though people do it.. but we do not aspire to be like the traders and gamblers.. especially with bitcoin, since that is a losers game, unless you happen to have had developed special skills, and we are not going to presume special skills, so that's part of the reason to start with investing into BTC prior to trading and/or gambling of BTC.