Finance in Hollywood: Michael Scott

World´s Best BossIn The Office, Michael Scott is the ultimate example of horrible personal financial management.  He is a hilarious, obnoxious version of what not to do.  His antics can actually teach us something about how to manage our money.

At one point, Michael was in a relationship with a woman named Jan Levinson. Jan, his former boss, was accustom to a certain lifestyle. That lifestyle involved spending a ton of money. Despite her unemployment, she latches onto Michael and influences him to live a lifestyle that he cannot afford.

While it is funny to watch Michael struggle through the situation, it is one that is very familiar for many people. Whatever the reason, living beyond your means is not sustainable.

Many guys have been drawn into a relationship where they feel that they have to spend a lot of money to impress the girl. I am no relationship expert, but even I know that is not a healthy relationship. Dating should be based on mutual respect and enjoying each other’s company, not money.

Michael has made other critical mistakes along the way. In one episode, Michael bought a new condo. Yes, it is a good idea to buy if it is the right thing for your situation. However, he got in too far without understanding the implications of the transaction.

If you are going to make any long term financial decision, such as buying a home or car, it is incredibly important to understand what you are doing. At one point, a string of bad financial decisions leads Michael to “declare bankruptcy.”

Michael is the reason I have a blog. He is a person that has a good, stable job. He should be in great financial shape. However, he lives beyond his means. He spends money that he shouldn’t. He enters into contracts that he does not understand. He is, simply put, horrible with money.

I really do enjoy watching The Office. I work in an office and enjoy the antics on the show. I can often relate to the situations the characters face. However, I do not look to any of them as an example of how to deal with my money.