Newspapers: utility or entertainment?
Are newspapers and magazines more of a utility or merely entertainment? Naturally, the answer depends upon whom you ask (and which publications you’re referring to).
I ask because I’ve been using a nifty online personal finance tool called Mint that allows you to quickly categorize your spending. Newspaper subscriptions (I have two) go under Entertainment. Cable TV and Internet, meanwhile, go under Bills & Utilities.
Here’s the full breakdown …
Bills & Utilities: Home Phone, Internet, Mobile Phone, Television, Utilities.
Entertainment: Amusement, Arts, Music, Movies & DVD, Newspapers & Magazines.
It’s a subtle difference, but I think an important one. A utility is something nearly indispensable, while entertainment is totally optional. Maybe 5-10 years ago, it was the other way around. But now, if you’re executing a “cost-reduction plan” at home (and who isn’t in this economy?), you’re much more likely to discontinue newspapers and magazines than cable or internet. (Personally, I think the most optional item on the list is the home phone. What a waste!)
The folks at Mint appear to have their head on straight, too, since the Food & Dining category also features subcategories for Alcohol & Bars and Fast Food. So there’s no hiding your from your dark side under something general like “Restaurants.”
And there’s an entire category for Kids. So they know where the bulk of my budget goes every month.
Focus just on utility and answer this question: Do you need to pay for information (newspaper) when information is flowing everywhere, in radio, television and in Internet?
Eight years ago, the news agency I worked in used to charge a low amount to its clients every month. But it started to have less and less users because it has no sense to charge for something that goes free in other sources.
There’s no alternative, Mark. Cut one of your newspaper subscriptions. And good luck!
Greetings from Lima.
I LOVE Mint, by the way. I think it’s great. I also like that you can recategorize or create your own categories.
To your question, I like Cesar’s point. INFORMATION is a utility. However, paid information isn’t, necessarily. I liken it to the sales tax argument that we have in PA. Food/groceries are not taxed, because, hey, you need to eat. BUT… prepared foods are taxed, because you don’t “need” that convenience; it’s a luxury. Paid news content is somewhat like that. You can get the info without the cost.
At least, that’s one argument. Since my newspaper subscription is handled through the paper I work for, I can’t complain to much!
argh, that’s “too” much.