Most of our possessions can be categorized based on several generic types. These types can tell us a lot about whether our possessions are working for us or against us.
- Singe-Use
- These possessions can typically only be used once, and those that can be reused aren’t typically designed to be reused. Several examples include soap, paper plates, toilet paper, and paper towels.
- Pros: They are convenient, and can make life easier, or at least, easier on occasion (e.g. paper plates).
- Cons: Technically, they are not environmentally friendly, but aside from that, they can represent a considerable drain on expenditures. Buying large packs of paper towels and toilet paper can easily cost $50.
- Considerations: I’ve noticed that I grew up with a lot of single-use items! They are not terribly expensive, but I sometimes wonder if I could go with fewer. Food is also single-use, but sometimes one doesn’t get around to using it before it goes bad!
- Multi-Use
- These possessions, as the name implies, are designed to be used multiple times. Examples include things like headphones, computers, ovens, microwaves, and tools.
- Pros: Once you buy them, they generally last you a long time, and so do not constitute a regular drain on your money.
- Cons: They wear out eventually, some more than others, and they often require a higher up-front cost than single-use items.
- Considerations: The value of multi-use possessions can be evaluated on a cost-per-use basis: the lower your cost per use, generally speaking, the greater your derived value [at least, in a financial sense]. Avoid paying a lot of money for things you never use, and don’t be shy to pay a lot of money for things you use all the time. Price isn’t necessarily correlated with quality, but the saying “you get what you pay for” applies more often than not.
- Static
- Static possessions are a special type of multi-use possession whose value can’t easily be assessed on a cost-per-use basis. These are things like bookcases, shelving, hangers, refrigerators, and certain kinds of furniture.
- Pros: They can be very useful, at least when they are actually used.
- Cons: As with multi-use possessions, they generally require a greater up-front cost than single-use possessions. Also, spending more money on them doesn’t necessarily translate into any added utility. A bookcase that costs $200 might not be any worse than a bookcase that costs $2,000.
- Considerations: Although they can’t really be thought of on a cost-per-use basis, you can always ask yourself, “Am I using this?” A bookshelf sitting empty in a garage isn’t doing you any good, and furniture that otherwise servers no function isn’t either.
- Aesthetic
- This just occurred to me. This could apply to several other categories, but can largely be assessed on whether you enjoy it. E.g. art, decorations, curtains, the general style of your furniture, the paint color of your walls.
- Pros: It can turn a house into a home, so the speak, and can have a positive effect on the environment and mood of your living space.
- Cons: It can be expensive, and it can be hard to “get right” if you don’t have an interest in design.
- Considerations: Be very wary of aesthetic elements you don’t actually enjoy.
- Sentimental
- My sister gets credit for bringing this one up. These are items whose value is determined by what they mean to you personally, especially if they are connected to a loved one or positive memories. Examples include wedding dresses, gifts from friends and family, pictures, souvenirs, etc.
- Pros: It can be good to stay connected to the positive elements of your past.
- Cons: If too many of your possessions are sentimental, you might be holding too tightly to your past.
- Considerations: Getting rid of sentimental items can be very hard, because once they are gone, they are usually gone forever. However, keeping some sentimental items can be very life-giving. Unfortunately, it is too easy in the modern world to hold onto everything from your past. This is where the method of taking a picture and either giving away or discarding the item can sometimes be a great way to compromise.
- Protective
- These possessions are not typically designed to be used except in an emergency, and as such, using them is not technically a goal. These are things like fire extinguishers, tax records, and insurance.
- Pros: When you need them, you really need them.
- Cons: They cost money but they don’t do anything good for you unless something else bad has already happened. If you never actually need them, they are spent money.
- Considerations: I may be a minimalist, but I wouldn’t risk going without a fire extinguisher. Insurance is a tough subject, though. Insurance can be important to have, but I don’t trust insurance companies, in much the same way I don’t trust realtors or car salesmen: it’s a conflict of interest metered by an asymmetry of information.
- Productive (Capital-Based)
- These possessions are a means of production. There are technically two kinds: those that earn you money and those that save you money. The tools of a mechanic are income-producing capital, just as the cameras of a professional photographer are income-producing capital as well. The tools of a garage mechanic, on the other hand, are typically only money-saving capital. Hair clippers can be a form of money-saving capital, too, if you cut your own hair, and various kitchen appliances can also be money-saving if you use them to make your own food.
- Pros: Income-producing possessions are some of the absolute best you can own! They literally pay for themselves. Things that save you money help you decrease your dependencies, too.
- Cons: A) These often have a significant upfront cost, B) not all capital is created equal [my automotive tools have saved me far more money than I could save cutting my own hair for a year], and C) it is extremely easy to dump money into “capital” possessions and then never use them. It’s easy to buy “capital” and never get your money’s worth out of it.
- Considerations: Again, these are some of the best possessions you can own, but you can often assess their value on an earnings-per-use or savings-per-use basis, as a function of cost. I think I definitely hit a point where I started spending more on tools than I was really getting out of them, though fortunately I noticed this and stopped. Also, don’t use this as an excuse to buy consumer junk by pretending you’ll use it as capital!
I’m sure one could come up with additional categories, but I think these account for the vast majority.