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Old 08-08-2012, 07:54 AM   #1
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How to go broke on 100k a year

When I did financial planning, I saw this far to often:
http://www.mybudget360.com/family-bu...e-urban-areas/

A family that makes $100,000 a year, does not think they are spending to much in any one area, yet are still running in the red or just breaking even.

Looking at the this guy's breakdown of expenses, he is fairly spot on for typical household expenses including many of the common mistakes made.
Mistakes I see:
1) Family owes 3.5 thier annual gross income on their mortgage
2) They have both phones and cell phones.. I never understood that one
3) Double car notes... NEVER have more than one car note at a time.. I actually prefer to only buy cars in cash
4) Paying to eat out for lunch on work days... Pack a %$*# lunch!
5) Large entertainment budget
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Old 08-08-2012, 07:58 AM   #2
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Follow up article related to how much house you should realistically be buying:
http://www.mybudget360.com/you-canno...sehold-income/

His idea is to take your Net Income divided by three to calculate how much you can afford (maximum) to pay in housing costs.

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Old 08-08-2012, 08:01 AM   #3
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Benjamen,
Since lunch is my primary meal of he day, I like to eat out about four times a week as well. My lunch budget is around 85 bucks a week. Other than that, I have no car notes [I drive a company vehicle, a Nissan Titan] and the wife's car we paid cash for. The house note is less than four hundred bucks and nearly paid off at that. We do not borrow money........ever. I think the idea of paying crazy interest to buy a fucking car is insane. When my wife wanted a GMC Envoy four years ago, we saved up the cash and bought a used one with 20K miles on it. Debt is for those who don't mind serfdom.
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Old 08-08-2012, 08:29 AM   #4
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Originally Posted by benjamen View Post:
Looking at the this guy's breakdown of expenses, he is fairly spot on for typical household expenses including many of the common mistakes made.
Mistakes I see:
1) Family owes 3.5 thier annual gross income on their mortgage
2) They have both phones and cell phones.. I never understood that one
3) Double car notes... NEVER have more than one car note at a time.. I actually prefer to only buy cars in cash
4) Paying to eat out for lunch on work days... Pack a %$*# lunch!
5) Large entertainment budget
1) Just 3.5? I've seen that number go up to 7 back in '05-'07. I lived in a Ski resort in Oregon that had basically no jobs other than the service sector and/or real estate. So many people with basically no incomes piling on debt. When the market finally collapsed, it was surreal. Almost as if there was an awakening.

2) My wife and I have cell phones and then I have a single business line (since I work from home). I wouldn't have bothered with it but it was "free" with a bundle deal and i get shit reception in my house.

3) Always pay cash for your car. The amount you get off the sticker price vs sticker+interest makes even luxury cars substantially more affordable.

4) Well.. I work from home..

5) The entertainment budget isn't a big deal IMO. The problem I usually see is that people put "vacation", "new TV" or various other expenses outside the entertainment budget and THEN spend the full amount of their entertainment budget. I'd consider eating out and a movie to be 100% entertainment related. Most people would split that up.
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Old 08-08-2012, 04:16 PM   #5
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Any time people spend all of their money on consumables, at best all they can do is to maintain the status quo. If you cannot afford to pay CASH for consumables (food, entertainment, transportation, etc), YOU CANNOT AFFORD THOSE CONSUMABLES. And if one does not invest money, one never gets out of the revolving credit trap.

In my book there are only 3 reasons that credit makes sense, and only if there is no other alternative. First, an AFFORDABLE home (SINGULAR), not something that pegs one as trying to keep up with the Joneses. Second, any time that the cost of credit is less than the return on investment, but the credit MUST be IMMEDIATELY repaid upon selling the investment. Third, in a DIRE emergency of a life and death nature.

I know I need a new vehicle as mine has 359,000 miles on it and is starting to nickle and dime me to death. So, I have been saving 10% out of my gross income for the last few months for a replacement. Today, for the first time, I actually looked at a used vehicle to buy. I might buy it as the scrap value across the scales is $500 and I can get a good running, low mileage (212,000 miles) 1995 vehicle with current tags (Dec 2012) for only $750. Low blue book on that vehicle is about $1500 and around here they generally sell for around $2000-$4000 on the used car lots.
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Old 08-09-2012, 12:55 AM   #6
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Originally Posted by benjamen View Post:
Follow up article related to how much house you should realistically be buying:
http://www.mybudget360.com/you-canno...sehold-income/

His idea is to take your Net Income divided by three to calculate how much you can afford (maximum) to pay in housing costs.

That is quite the budget! And there isn't even anything in there for giving to charity. Nothing.

Dave Ramsey is very adamant that you cannot afford to buy a house unless:
1) you can put 20% down
2) you can pay it off in 15 years MAX

Anything less than that and you are better off renting. He has the numbers to prove it and I would pretty much agree.
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Old 08-09-2012, 07:01 AM   #7
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Originally Posted by Jetstream View Post:
Dave Ramsey is very adamant that you cannot afford to buy a house unless:
1) you can put 20% down
2) you can pay it off in 15 years MAX
That is AMAZING! I've arrived at the same numbers myself, but there was a lot of "gut-feelings math" involved. Thus I stayed away from the property market here in Ireland - even if I "could afford it", by the popular standards back then, and "rent is dead money", as I've heard from then-happy house-or-flat-to-rent buyers around. You should see their faces today, when I show them the numbers, how much I've SAVED, by paying the rent for the last few years - if I was to buy their house at today prices, paying down 20% upfront, and getting 15 years mortgage TODAY. It is in the region of hundreds of thousands Euro (depending on the house price, quite often the savings are in the region of €250k - €300k - yes, that "k" is for THOUSANDS for the properties in the range I am looking at, and they are not McMAnsions, just regular family homes, or dilapidated small farms), if you do your diligence, and calculate the WHOLE payments, over the entire mortgage servicing period - and not just sheeplesly look at your "monthly serfdom costs".

Basically, my spreadsheets & guts are telling me now, that I will most probably buy something now, because today it will cost me LESS than renting, and getting 15 years mortgage, the overhead is NOTHING like it was when they were taking on 40-years ones, 105% of the home price (why, surely everybody "needs" some fancy Italian-designed appliances, and despite all that, house prices can only go up, nah? ). Actually, it feels more like an actual NOTHING - example: total payments on €170k, 10acre farm (this one in a very good nick throughout), with only 10% down pay, over 15 years, is according to mortgage calculators online ~€190k-ish. Now, the rent on ANYTHING that size (land excluded - I am talking comparable house rent only!), for 15 years, would cost me AT LEAST ~€115k+ (and it is quite conservative rent estimate). So the cost of capital required to purchase it, practically without my own capital involved too much (stack is untouchable, until absolutely required!), is maybe a fourth/fifth of the rent over the same period of time, and I would be fully repaid just around the time when my kids are going to a college - hopefully, with my stack intact (or bigger). Now that makes sense, in my book!

Additionally, I fully expect massive money printing during that mortgage repayment timeframe, with artificially low interest rates - there is simply no other politically accepted way for western governments - least full-on economic breakdown, in which case, my stack should come in handy for mortgage payments, until the dust settles. So I'd rather tap on the "easy money" train today, together with JP Morgans of that world. Well, of course I am not getting anywhere near the 0%, but I still firmly believe it will be NOTHING, comparing to inflation that is inevitable to come. Maybe not in housing initially, but surely enough, at some stage housing will be back on the map - why, with the Irish government now bulldozing the "ghost estates", that they have previously taken off the balance sheets of the insolvent banks or otherwise bankrupt developers And I thought that joke is but a joke:

Q: What it is, TWO Irish, one digging one-spade deep hole in the ground, the other filling it back with the dirt, and moving on two meters, to repeat all over again?
A: They are tree-planting crew, normally THREE man strong, only the one that is putting the seedlings in, has a day off.

DISCLAIMER: I've heard that joke from my Irish friend, I don't mean to insult Irish, only I think that this example of an utter nonsense serves as a brilliant example of the stupidity of the governemnts, that all the nations got captured by - they genuinely think, that such barking mad policy of first fanning the fire, to waste time money and energy to build hundreds of thousands houses, and then taking on all that misallocated capital on the taxpayer's balance sheet, only to later DESTROY all these unwanted houses (=to reduce glut in the supply, thus supporting artificially high housing prices), is the way to achieve economic progress, to create wealth! That-is-unthinkable, for any sane person!!!!!!

Originally Posted by ancona View Post:
Benjamen,
I think the idea of paying crazy interest to buy a fucking car is insane. When my wife wanted a GMC Envoy four years ago, we saved up the cash and bought a used one with 20K miles on it. Debt is for those who don't mind serfdom.
I've made that mistake once in my life - I was young and inexperienced, single & was making good money - so I have taken on the credit to buy a new car. You are getting double-whacked - the resale value of the car plummets in it's first years (well, it is getting few grands cheaper the moment it leaves the dealership - that's some achievement!), and the interest you paying, is ridiculous. So after three years of paying monthly car notes, I've sold it, and it was just enough to cover the rest of my credit remaining - with some ridiculously small spare change left. So, thinking about that, despite paying non-insignificant amount of money to the bank, for a car that was theoretically "mine", was I effectively it's REAL owner - If I couldn't get back ANYTHING, really, after selling it?

Since then - I only buy reliable, trusted models, between 5-10 years old, with low mileage and documented full service history, cash payment with a handsome discount because of that, thank you very much . And laugh all the way to the bank at my colleagues, thinking that I am "extravagant" at best, and more like a weirdo, in the mean case - for driving "clunkers", that can "break up at any moment, and they just need a car that simply can be trusted that it works, and has a warranty". Each of these "clunkers" I've owned, can eat their new plasticky toys raw, in every regard: max speed, 1/4 mile, cornering, reliability, and pleasure to drive. And it cost me maybe a fifth of what they are paying (at most), over the whole life cycle/TCO. And it breaks up less than most of their cars still on a "warranty", but somehow, they still have to pay extremely expensive (in my opinion) service charges in the authorized dealership (=official monopoly - nothing like that to get your dick right up the customers' arse!), to avail on that guaranty. And still somehow, they quite often manage to get something broken, that accidentally, isn't covered ;-). True, my cars do not have integrated iPod docks, nor dash-installed GPS SatNav. I had to buy both, again for a fraction of the cost of these "options" (-:
Usually I am able to sell the car back after a year or two, for roughly the same amount I've bought it originally (I am diligent car shopper), to another happy owner.

cars (especially, NEW ones) + credit = big "no-no" for me. Farms, at the bottom of the market, with artificially suppressed interest rates, (thus allowing me to keep my PM stack largely intact), and at the verge of expected high inflation period - Hell Yeah!!!
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Old 08-09-2012, 03:10 PM   #8
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Bushi

Regarding property in southern ireland ( ok south west ) what can we get for approx 150k euro ?

Rough n ready but with land /woodland, or just a basic simple place ?
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Old 08-10-2012, 07:07 AM   #9
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rblong,

Hard to say, really - that's not the area I was looking at. Definitely west coast is much cheaper, (north west especially) if you are in the position to live away from civilization/cities, you could probably score something quite nice with this amount of money to spend in these areas. Here is a different example from what you will be looking for, I guess (east coast) - 31 acres of land, but it is an absolute top "prime" rural location in Ireland - short & easy commute to Dublin, and on the footsteps of Wicklow mountains - cannot be more prime for rural land, than this, and it is for sale for €175k:
http://www.daft.ie/searchsale.daft?id=665294
at 5.6k/acre there, it is nothing short of a bargain here.

you can also try your scouting at:
http://www.daft.ie/searchsale.daft?s...91;advanced]=1

http://www.adverts.ie/property/for-s...rice_1-200000/

http://www.donedeal.ie/find/sites/for-sale/Ireland/

put in your parameters, and do some scouting. Although I haven't find the optimal online search for rural land in Ireland, it seems when you are driving around, there's more properties with "for sale" signs around countryside, that comes up in my online searches. Strange, one might think that if you want to sell, you'd like to appeal to potentially most buyers out there, but that's how it seems to be.

You might also want to screen boards.ie, in their farming & forestry thread, to get the general feeling:
http://www.boards.ie/vbulletin/forumdisplay.php?f=845

In general, if you can get close to €6k (or below)/acre for land w/o buildings/permits (just land), it is considered a good deal, I believe. With buildings/planning - it is obviously north of €15k, I'd say - and in the middle of nowhere. Closer to towns/cities - it goes up again.

More remote parts of Ireland, would probably be possible to score something nice - but God knows how to search for it without being there! DCFusor is 100% right, seemingly, and I was wrong, thinking it will be relatively easy to find reasonable farms via Internet searches - this kind of folks seemingly is rarely advertising their sales on that Internet "thing" - local auctioneers/local papers, is the most probable way of finding your deals...

Not that it is impossible, but just not as often as one would think.

EDIT: just recalled one of the West Coast auctioneers, who list their offers online:
http://www.spencerauctioneers.com/site_land.htm
I love that one - unfortunately, we agreed with my wife that we do not feel like being in the position of moving there (two little kids, I cannot really take them somewhere remote, we believe they need other kids around, to socialize and learn their place in life)
http://www.spencerauctioneers.com/munterowenS0172.htm



Best of luck (and give me a shout when you plan to set your foot on Emerald Isle )
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Old 08-10-2012, 09:31 AM   #10
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The golden, or second universal rule, is produce what you consume - or more.

A long time ago, a guy taught me - a little more production, less consumption, you're there. If you like having some lazy time, really go after that comsumption - and always remember, money is a rate, not an amount. A drip can fill an ocean (or make for an amazing water bill).

I took him to heart on that. I now have one bill - phone/internet. PP taxes are nominal - I deliberately built "off the gird" and to them, it's all worthless, as they don't know any better. I live quite well, while still getting the "how can you live like that?" here and there. Yeah - 50 or so acres, two vehicles with 15k miles between them, a full machine shop, lab, 4 "homes" (one of which has plumbing but all have beds and kitchens), every cool toy I want. Yeah, how can I live like that.

Monthly expenses around $500. I take more than that out of my trading account so I can have some fun too.

OP, BTW, was quoted almost verbatim from "The truth about money" by Ric Edleman.

I moved to this area and shared a room with a horse. No kidding - at least he was cool and laughed at my jokes - rent=0. But I wanted out of that, got a "beneath me" job fixing small engines (if you can't do this, you can't live around here, practically speaking - chainsaws, lawnmowers, tractors...you need them). So I got educated for pay.

I bought my first half acre, post timbering, for $700 - a rip, but a toehold. Lived in a tent for awhile (or back with the horse at a neighbor's). I found a distressed trailer for 5k and bought that, and started learning how to fend for myself - producing what I consumed. I made a lot of mistakes, some causing pain, but...I was established.

Then the land next to me went up for sale, about 35 acres for 17k. I did borrow money for that (from my family), and long since paid it back - it was "too good to pass up" though at the time we thought it a little expensive - the woody part of a farm, not so much useful, though I could have done the cow thing if I'd broken my back and budget putting up fence. Now I could really go somewhere and do some things, springs, a creek, good garden, nice places to hang out, wildlife.
I built on that, having learned from some of my mistakes on the first go - the original trailer is still there but is used as storage for my excess physics/electronics gear, and still has its own solar system and water system (mostly).

I built a storage shed on part of it for a guy who wanted to rent it. That paid for itself about 2-3 times before he died and pulled out, now I have the building and it's a nice one.

Then I managed to score a free trailer from a guy wanting to sell his land (more on that later) and who thought he'd do better with raw land than having this dinky, old, aluminum wired trailer on it. He even drug it down here with his dozer.

I installed that, and started the digital audio recording business in it. That didn't make money (I was too soon in the game, and most musicians aren't rich, I had no clue how to get venture money and take it big then) but it led to consulting work, having turned into the best advertisement of my skills imaginable. The consulting work turned into a couple other "contractors" who worked in that trailer and about 10 million dollars income over a few (5-6) years. That building is the one with the nice plumbing, a ton of computers, my food stash, the spare bed...and so on.

Then I bought the building I'm in now. A 17k "storage shed" from Home Depot (contractors). 1k sq feet on two floors. Took another 5k or so paid for materials and local help to finish the inside the way I like - super-insulated, tight and right, but not pretty. My milling machine doesn't care about that.

The whole time - if it broke, I fixed it. Scrounged, traded, dumpster dived. Most of my money went to enabling stuff - tools. If I could buy a new capability I previously lacked, I did. I invested in myself, not anything else. "How can you live like that, all your clothes are over 10 years old?". So? Beater cars I could keep running. Old farm gear I fixed up and used, then sold to repeat the process with better stuff.
Got my roots down. Made a lot of friends from lumberjacks to EMT's (some of that latter the hard way). Played rock and made money at that too. More friends, mostly musicians. Still got the "how can you live like that" crap.

Then the land that crappy trailer was one went up for sale, after I missed getting it for 11k earlier - by then it was 20k for 10 acres. Got it anyway, share it with neighbors to ride atv's on and generally check out deep dark nature places (it has a 200ft plus difference between the high and dry and dark and wet, and some places I swear no one has stepped on since before the whites came here). So now I own
a crapload of land, a lotta road frontage, but more valuable to me - a lot of very private interior - if you don't like what you see me doing - get off my land, you're trespassing.

Somewhere when I wasn't looking - things turned around. I now can say "how can you live like that" to most of my over-leveraged neighbours. I hear more than makes me comfortable "do you have a will" kinds of questions even from those older than me who think my lifestyle and crazy ways (believe me, I've had practice and might be in better shape to outlive them than they hope) might net them a nice prize if they kiss my ass now.

So, much more extreme than just cutting out a lunch-out budget. And yeah, even when the money was pouring in - we brown bagged it. When your crew is making hundreds an hour and the nearest lunch place is going to take at least an hour and a half to get to, eat and return from - we worked it out - cheaper to have fedex bring in Russian caviar than go get a burger - that effectively cost us $500 in unpaid time. So we put a nice kitchen in the office, and kept it stocked up. People thought it was weird. We thought it was smart. And now, we are all retired and well off, while still being young enough to enjoy it - not a case of "Which way you want your wheelchair pointed?".

So I'm the extreme case of that. I have what I have, you could call it anything from primitive to wealth, and I don't give a shit what you think, and will never have to.

So, what was your goal in life again? Mere money? Friends? A stack? How about a life? I went through a lot of stuff that tried to kill me, and while not all of it made me stronger, there are a lot of hidden chuckles (and belly laughs) in my memory and gestalt now.

And the key was - don't consume it if you can't produce it (or equal value somewhere else and trade for it). No credit, or nearly none - my family stepped in to help a time or two, and I returned the favours with interest, more often than not it wasn't money on either side of the deal.

Then they died off and left me a ton more money, and more stuff - just getting out from under the "stuff" at this point, and living off my trading the net stake.

A key has been to notice when the universe was trying to tell me something, noticing the actual changes going down and not being distracted by the noise - I probably don't have a week of TV watching in the last 20 years. Did I miss anything?

When you're rushing toward a cliff - and many tracks in life amount to that in some way - the universe will try to turn you, gently at first. You might think "bad luck, I stubbed my toe" but more often than not - you're being told you are on a wrong course. As you near a cliff, the warnings get more and more "loud" and painful, and "pushing through" those turns out not to be smart - listen! If you do push through, you find yourself going over that cliff - and that's what it takes for most people to learn, maybe multiple times, maybe they never learn. Again, a mentor taught me how to listen to this and turn before the cliff was immanent. And by living at various extremes, I had a lot of chances to learn, and have had more fun than most here I'd bet - it's been my speciality.

I hope this doesn't come off as boasting - it's history, not back-patting (well, mostly).
And now I'm free to chase a dream I had when I was 17 - fusion, and I'm doing that, and even making money selling products I designed that help amateur (and pro) scientists get there too. And having fun with you guys and others - that's a constant, fun is my mantra.

I still don't have that level of physical wealth that most think of as necessity. I have to make the heat happen, no buttons - or it gets cold in here. I still have to feed the animals, pull the weeds, and so forth - no servants, no push-button lifestyle, no cable TV. The last 10 or so years have been a race against time to automate these kinds of things faster than I get older and too weak to keep doing them, but it looks like I won't lose the race.

Is this life for everybody? It's a lot more sustainable than almost any other. But it does take land, not as much as I have; I went overboard putting land that used to belong to enemies (of one another) back together and tear hate fences down.

I don't know if there's enough worthwhile land on the planet for everyone to do this, and frankly, the weaklings would have died along the way a few times - I've come all too close a number of times - it's a good thing I'm hard to kill (at least from my POV, your opinion might vary).

The point is, and someone asked recently - what if you died tomorrow? Well, most people won't have the amount of life - and good living - I've had ALREADY if they live to be 150. I win! As the Buddhists might say - quality.

Yes, it made me the ultimate practical prepper, and I'm almost there after working at it since about '79 - that's how long it takes, and I didn't dally. But prep for what? What reason? I put myself in the place that most fear is what's going to happen, because I wanted to test myself, not because I feared "the end of things as we know them". I was so pissed at the system I dropped out - it was already "the end of things" from my POV. If you're going to "bug out", why wait? You're going to find it challenging enough even when the rest of the world isn't trying to turn parasite on you even more than it is now. I can look back over my life and go "yeah, that was cool". To me that's much more rewarding than looking at a pile of money, or a trophy wife, or any of that crap people think keeps the score for them.

I didn't do it for a prepping type reason. I fail to see how becoming the king of a very degraded hill (most preppers secret dream if you ask carefully) is a great thing, it will suck, frankly. yeah, I'd be in a good position to help and teach people in very nasty outcomes, but that's not something I really look forward to just because I'd come out on top bigtime - it just wasn't the motivation. I wanted to be on top now, and from my POV, it's not so bad, even though, again, I was constantly bugged with "how can you live like that" from the "well off" types. But also constantly complimented by another set of crowds for my skills in music, engineering, science, and how I am "good in the woods". It's a good life, if wearing at times.

And, I didn't go broke even on 8k/year - what I have lived on a few years here and there. I built good habits then and can still live on that - or less. And be happy doing it. If you're not your own best investment - against all comers and competitors like mere money wealth - fix that first, then go after the rest.

/rant off - have fun guys, I will, even today when I gotta run around and do errands like paying phone bill, getting a trailer tire fixed, preparing for a divorce, and wiping cat ass (she's getting better, but). A life is more important than "things" after all, and I'm lucky to temporarily have both, I hope with a proper disdain for the "things" part. I've been rich a few times (in various measures) but I learned this about the universe - you listen when it's warning you, or those things get taken from you, and you get back to zero and have to start over. This time, I plan to listen up and keep the things and the life.
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Old 08-10-2012, 10:02 AM   #11
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6) Don't drink.
7) Don't smoke.
8) Don't buy new clothes until your old ones disintegrate.

That's how I save.
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Old 08-10-2012, 10:06 AM   #12
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I'm with you on the clothes. I'd have to take some pics of my "patchy pants" to give the idea. Some jeans over 20 years old.

But I drink and smoke, the smoking I'd like to lose, but compared to every other drug, it's pretty damn hard to quit. The other ones kinda leave you alone after the initial withdrawal, not smoking - I did quit for a few years, and it only took one life-crash to find myself doing it again, harder. Woke up with a half-smoked pack on the nightstand after a night of my pals getting me drunk to console me over a failed relationship. And it's more expensive by far than drinking (in money, not time perhaps). I even caught myself halfway to the store in jammies one night - to buy cigs during the time I'd quit - before I woke up and returned home. It's like having a little demon on your shoulder whispering in your ear constantly, 24/7. It makes water torture look nice.
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Old 08-10-2012, 07:03 PM   #13
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Join Date: Jun 2012
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Originally Posted by benjamen View Post:
When I did financial planning, I saw this far to often:
http://www.mybudget360.com/family-bu...e-urban-areas/

A family that makes $100,000 a year, does not think they are spending to much in any one area, yet are still running in the red or just breaking even.

Looking at the this guy's breakdown of expenses, he is fairly spot on for typical household expenses including many of the common mistakes made.
Mistakes I see:
1) Family owes 3.5 thier annual gross income on their mortgage
2) They have both phones and cell phones.. I never understood that one
3) Double car notes... NEVER have more than one car note at a time.. I actually prefer to only buy cars in cash
4) Paying to eat out for lunch on work days... Pack a %$*# lunch!
5) Large entertainment budget
1) We owe < 2x our gross income. Put down 20%, and then put down more when we refinanced to 3.92%.
2) No home phone. Company pays for cell phone. My BIL who owns a cell phone company pays for my wife's.
3) I have a company car. I financed at 0.9% for my previous car (still own it) and my wife's car.
4) Our lunch budget went from $250/mo to < $50/mo after we started tracking expenses and realized how much we were spending. My $2 turkey and Havarti sandwich this afternoon was delicious, and probably saved me $3.
5) This is where we need to cut back. Family gatherings can get expensive.

Originally Posted by mike View Post:
6) Don't drink.
7) Don't smoke.
8) Don't buy new clothes until your old ones disintegrate.
6) NEVER!!! But I usually drink at home without paying the restaurant's exorbitant markup. Nothing better than a cold beer after working in the yard all day.
7) No problem here.
8) Can't wear ratty clothes to work so I have to buy clothes, but only shop on sale and no dry-clean only clothes.
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Old 08-11-2012, 01:23 AM   #14
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Originally Posted by mike View Post:
6) Don't drink.
7) Don't smoke.
8) Don't buy new clothes until your old ones disintegrate.

That's how I save.
My wife cuts my hair (I think I have gone to a barber less than 5 times in my life.
Stay out of debt. Don't buy until you save up to purchase and PAY CASH!! Amazing how this stops the impulse buying.
Most important of all ... marry the right person.
I married a wonderful lady who does not shop for a hobby. She would rather spend a day on the lake with a fishing rod than go to a mall.
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Old 08-13-2012, 05:01 AM   #15
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Originally Posted by DCFusor View Post:
I'm with you on the clothes. I'd have to take some pics of my "patchy pants" to give the idea. Some jeans over 20 years old.

But I drink and smoke, the smoking I'd like to lose, but compared to every other drug, it's pretty damn hard to quit. The other ones kinda leave you alone after the initial withdrawal, not smoking - I did quit for a few years, and it only took one life-crash to find myself doing it again, harder. Woke up with a half-smoked pack on the nightstand after a night of my pals getting me drunk to console me over a failed relationship. And it's more expensive by far than drinking (in money, not time perhaps). I even caught myself halfway to the store in jammies one night - to buy cigs during the time I'd quit - before I woke up and returned home. It's like having a little demon on your shoulder whispering in your ear constantly, 24/7. It makes water torture look nice.
Hmmmmmm... stacking smokes could be more lucrative than PMs
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Old 08-13-2012, 05:03 AM   #16
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Originally Posted by Jetstream View Post:
My wife cuts my hair (I think I have gone to a barber less than 5 times in my life.
Stay out of debt. Don't buy until you save up to purchase and PAY CASH!! Amazing how this stops the impulse buying.
Most important of all ... marry the right person.
I married a wonderful lady who does not shop for a hobby. She would rather spend a day on the lake with a fishing rod than go to a mall.
Right on. I also pay for everything with saved money, and I cut my son's hair.
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