For one of my classes this quarter (Spring), I have to read three books, the first of which was The Laws of Simplicity by John Maeda.

I am not one to actually read an assigned book, but I found this book engaging from the get-go and finished before I had to. The ideas presented are almost common sense, though in this complex world, John was lucky to publish them first. He as broken these ideas down into 9 laws summarized in a 10th consisting of 3 keys and done it in just 100 pages, making it a quick read.

I have personally noted ways that these laws can be applied to personal finances and debt reduction, which I have chosen to share my insights in a 13 part series.

To wrap up, I will present the laws and keys as presented in the table of contents.

The laws:

1. Reduce
2. Organize
3. Time
4. Learn
5. Differences
6. Context
7. Emotion
8. Trust
9. Failure
10. The One
    1. Away
    2. Open
    3. Power

You can read more about the laws by buying the book or by visiting The Laws of Simplicity.

At least for those of us who truly want to get out of debt.

I just received notice from my highest interest card that a substantial portion of the balance was just paid, thanks to successfully opening another card with a VERY LOW fixed rate for transfers. The high rate was 24%, the new rate for that portion of my debt is now under 3% (better than a personal or consolidation loan).

The only unfortunate part is that the new card posted the transfer on the closing date of my March billing cycle, so I have to make the first payment in April, instead of the planned extra amount to finish off the high rate card in April (maybe I’ll transfer the rest, since both cards have the same limit).

Regardless, I am psyched about the increased speed this presents.

Oh, by the way, I have an interview in half an hour (heading out the door now) and another interview tomorrow at 8 AM… Wish me luck!!!

Yesterday, Frugal Dad asked “Is it easier to lose weight or pay down debt?” One thing that stands out to me his is comment “…if we focus on one plan or the other we seem to have success, but we struggle when trying to work on them concurrently.” This one comment made me think about an article I had to read for class, ” Slow Down, Brave Multitasker, and Don’t Read This in Traffic,” published by the New York Times on March 25, 2007. Though it focuses on dangerous multitasking, one paragraph seems to corroborate Frugal Dad’s observation…

The human brain, with its hundred billion neurons and hundreds of trillions of synaptic connections, is a cognitive powerhouse in many ways. “But a core limitation is an inability to concentrate on two things at once,” said René Marois, a neuroscientist and director of the Human Information Processing Laboratory at Vanderbilt University.

While attaining healthy debt levels (i.e. $0) and attaining a healthy weight are distinct and generally done at different times of the day, they are also both rather abstract concepts requiring concentration on the details of attainment. I would also posit that trying to reduce debt and eat healthy can often times clash, since the healthier alternatives are often times , though not exclusively, more expensive than the not so healthy alternatives. As an example, take a look at your local bread selection, you’ll notice those 100% Whole Grain breads are generally more expensive than the plain old white breads, which I really question, since whole grain flours just need grinding, while white flour goes through grinding; sifting to remove hulls, etc., and bleaching. Now, I said not all healthy alternatives are more expensive, I say this because where I live, fat free milk is cheaper than whole milk. This again is counterintuitive to what you’d expect based on the level of processing, since by nature the only processing whole milk goes through is pastuerization and homogenization, while fat free milk must be filtered and pasteurized.

As for the answer to the question, I think debt reduction is easier. Reducing debt accomplishes one of our basic emotional needs, security. Having that emergency fund and not worrying about covering debts in unforeseen events makes us feel more secure. On the other hand, weight reduction goes against one of our biological needs, “When will I next eat?”