How do you spend $$ on yourself?

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Sic Vis Pacem
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Re: How do you spend $$ on yourself?

Post by Sic Vis Pacem »

I took your post as a "how" we budget, not what we spend money on, so please advise if I'm mistaken. DW and I use separate and joint play-money funds. After accounting for our savings goals, necessities, and monthly bills, of course. A certain amount is automatically swept into three accounts every two weeks: equal amounts to our individual allowance accounts and a larger amount to our joint play fund. The individual accounts are ours to do with as we please. DW tends to spend hers on small items and it's usually depleted by the next installment. I tend to save mine for bigger purchases. We also roll our cash-back rewards into the joint account.

The joint fund is exclusively for travel / concerts / particularly outrageous date nights, etc. When the joint account is at or near an amount that will support our next adventure (large or small), we take it, with no heartburn on spending the money. I find it difficult to spend large sums at once, so this type of sinking-fund approach has worked for us. Mental accounting and all that, of course, but it works for us without derailing our larger goals.

Edited to add: based on the signature and the info in your post, you're a relatively early career attorney. I'd just note that this is the time to be building a foundation for your practice and financial future. I know the feeling of seeing a big paycheck after years of law-school debt and minimal income, but there's no need to sprint onto the hedonic treadmill. DW and I spent the first few years out of law school paying down education debt and building a firm foundation for our family before instituting the "budgeting" system above.
Last edited by Sic Vis Pacem on Mon Dec 30, 2019 5:08 pm, edited 1 time in total.
FireFool
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Re: How do you spend $$ on yourself?

Post by FireFool »

I'm FatFire'd so I no longer am in the mode of deciding between saving vs. spending, but the one thing I've learned to spend money on for myself is things that buy me time. I only really started doing that post retirement, and it's something that I regret that I didn't do while working, when time was even tighter. I don't really regret deferring "toys" while I was working, as I really didn't have sufficient time to enjoy them in a big enough way as free time was limited and reserved for family/kids, rather than for myself. Had I spent more on services while working I might have had more time for myself, or even more time for my kids. It seemed like we were always running the whole time we were working.

EDIT p.s. the one thing I don't regret is never wasting my time on budgets and tracking every last expense in categories. Between my wife and myself we always had sufficient income for our expenses and savings, so worrying about how much we spent in utilities vs. groceries never mattered. We never went crazy on bars/entertainment and always could afford nice enough vacations for the time off we had from work.
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abuss368
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Re: How do you spend $$ on yourself?

Post by abuss368 »

I buy more shares in my favorite mutual funds - total stock and total bond.
John C. Bogle: “Simplicity is the master key to financial success."
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Stef
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Re: How do you spend $$ on yourself?

Post by Stef »

I stopped buying toys 2-3 years ago. Now trying to live as frugal as possible. But sometimes I think I'm missing out on things...I would love to buy a drone and play with it for example. But as a tech geek I would buy one for 1.5k $ and that money would be much better invested in stocks.

Hard to tell what's reasonable and what's a waste of money. A couple of years ago I just bought stuff I wanted. Now I'm hesitating to spend >100$ :oops:
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Toons
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Re: How do you spend $$ on yourself?

Post by Toons »

Travel
Technology
Good Food
:happy
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee
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VictoriaF
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Re: How do you spend $$ on yourself?

Post by VictoriaF »

I am trying to be very clear--to myself--what's important to me, and what's not. Many of my wants and dis-wants are idiosyncratic, which is fine with me. I rent an apartment, drive a 1997 Honda Civic, and don't eat in restaurants unless it's with a group I want to be a part of.

BUT:
- I spend 15-30% of the year traveling.
- I spend a lot on supplements that I have concluded may contribute to my healthy longevity.
- I take expensive courses.
- Recently, I discovered American Comedy Institute in New York City that provides excellent training for stand-up comics. I took two workshops in November and December, and will resume in March. The cost of the workshops and the cost of staying in Midtown Manhattan for several days at a time is rather high. But I can afford it, and it's good for me. And so ACI became a part of my "necessary expenses."
- Here in D.C., I take numerous stand-up and improv classes. In 2020, I will also take an introductory acting class and start private sessions with a speech pathologist to work on my accent.

Victoria
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Jags4186
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Re: How do you spend $$ on yourself?

Post by Jags4186 »

It's easier to spend money on yourself the more money you make.

If you make $50,000/yr and save 20% you live on $40,000 and save $10,000. If you make $100,000/yr and save 40% you live on $60,000 and save $40,000. If you make $200,000/yr and save 60% you live on $80,000 and save $120,000.

If you don't jump your basic living expenses with each tier then you have much more discretionary spending.

For example, I have a personal goal of increasing my salary $20,000/yr in the next year or two. If I can do that I want to treat myself with getting a cleaning lady and lawn service. That might cost me $3,000-$4,000/yr. So I'll increase my spending on myself but still increase my savings.
sailaway
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Re: How do you spend $$ on yourself?

Post by sailaway »

Jags4186 wrote: Mon Dec 30, 2019 6:32 pm If you don't jump your basic living expenses with each tier then you have much more discretionary spending.
This is so important to understand. If you are happy with a smaller home or older car, keep them and spend your money on things/experiences that will make you even happier.
nesdog
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Re: How do you spend $$ on yourself?

Post by nesdog »

I don't know..we've always just watched our spending through the working years and don't want for much anyhow. When I retired earlier this year, I did treat myself to a stupid expensive road bike as a gift. Okay, it's just a bicycle but boy was it worth the money!

Other than that, I doubt having a few million dollars in the bank would suddenly change our lifestyle. So we budget for the gym, our vacations and little things as needed. Having hobbies like hiking helps the bank account!
Insert clever comment here...
JakeyLee
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Re: How do you spend $$ on yourself?

Post by JakeyLee »

I am a very simple man.. I want for nothing, and I'm resigned to the fact that my nieces and nephews will someday enjoy the fruits of my frugal behavior and love of decades long purchase of low cost index funds. However, I smoke fine cigars daily... And I enjoy cheap American lager (Budweiser) daily. I'm not proud. But I'm not ashamed.
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watchnerd
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Re: How do you spend $$ on yourself?

Post by watchnerd »

We have an acre of land.

I buy gold coins and have my wife put them inside metal cans, and then go hide them in the wilderness from me.

I then use a metal detector to try to find them. Then I can spend them on whatever I want once I find them.

But sometimes she hides an old sock in the can instead to fool me, so I have to keep looking.

:(
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AlphaLess
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Re: How do you spend $$ on yourself?

Post by AlphaLess »

FireFool wrote: Mon Dec 30, 2019 4:52 pm I'm FatFire'd so I no longer am in the mode of deciding between saving vs. spending, but the one thing I've learned to spend money on for myself is things that buy me time. I only really started doing that post retirement, and it's something that I regret that I didn't do while working, when time was even tighter. I don't really regret deferring "toys" while I was working, as I really didn't have sufficient time to enjoy them in a big enough way as free time was limited and reserved for family/kids, rather than for myself. Had I spent more on services while working I might have had more time for myself, or even more time for my kids. It seemed like we were always running the whole time we were working.

EDIT p.s. the one thing I don't regret is never wasting my time on budgets and tracking every last expense in categories. Between my wife and myself we always had sufficient income for our expenses and savings, so worrying about how much we spent in utilities vs. groceries never mattered. We never went crazy on bars/entertainment and always could afford nice enough vacations for the time off we had from work.
This is a very solid thread. I have not yet figured out how to buy things / services that save me time.
Any additional reading in this respect would be highly appreciated.
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AlphaLess
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Re: How do you spend $$ on yourself?

Post by AlphaLess »

watchnerd wrote: Tue Dec 31, 2019 2:29 am We have an acre of land.

I buy gold coins and have my wife put them inside metal cans, and then go hide them in the wilderness from me.

I then use a metal detector to try to find them. Then I can spend them on whatever I want once I find them.

But sometimes she hides an old sock in the can instead to fool me, so I have to keep looking.

:(
You should tell her to occasionally hide coupons like: "The finder of this coupon is entitled to a one-one dance or something along these lines".
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watchnerd
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Re: How do you spend $$ on yourself?

Post by watchnerd »

AlphaLess wrote: Tue Dec 31, 2019 2:34 am
watchnerd wrote: Tue Dec 31, 2019 2:29 am We have an acre of land.

I buy gold coins and have my wife put them inside metal cans, and then go hide them in the wilderness from me.

I then use a metal detector to try to find them. Then I can spend them on whatever I want once I find them.

But sometimes she hides an old sock in the can instead to fool me, so I have to keep looking.

:(
You should tell her to occasionally hide coupons like: "The finder of this coupon is entitled to a one-one dance or something along these lines".
For all I know, she has done so.

There are 5 coins to find. I've found 4 cans. 2 had socks, 2 had coins.

She confessed the can:coin ratio is >1.
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Nowizard
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Re: How do you spend $$ on yourself?

Post by Nowizard »

Ultimately, everything is either a concrete or emotional expense on ourselves. If you mean after fixed expenses and savings, then fishing and buying things that please my spouse, children and grandchildren. More spending on emotionally meaning than concrete items at this point.

Tim
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Re: How do you spend $$ on yourself?

Post by DesertDiva »

watchnerd wrote: Tue Dec 31, 2019 2:40 am
AlphaLess wrote: Tue Dec 31, 2019 2:34 am
watchnerd wrote: Tue Dec 31, 2019 2:29 am We have an acre of land.

I buy gold coins and have my wife put them inside metal cans, and then go hide them in the wilderness from me.

I then use a metal detector to try to find them. Then I can spend them on whatever I want once I find them.

But sometimes she hides an old sock in the can instead to fool me, so I have to keep looking.

:(
You should tell her to occasionally hide coupons like: "The finder of this coupon is entitled to a one-one dance or something along these lines".
For all I know, she has done so.

There are 5 coins to find. I've found 4 cans. 2 had socks, 2 had coins.

She confessed the can:coin ratio is >1.
This is hilarious!! :twisted:

We like to travel within reason. I almost lost my DH 7 years ago and want to make sure we enjoy new places and experiences together.
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watchnerd
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Re: How do you spend $$ on yourself?

Post by watchnerd »

DesertDiva wrote: Tue Dec 31, 2019 10:13 am

This is hilarious!! :twisted:

We like to travel within reason. I almost lost my DH 7 years ago and want to make sure we enjoy new places and experiences together.
She thinks it's hilarious, too. :twisted:

Sometimes she teases me that maybe she kept half the coins for herself to spend on things she wants and that there is nothing to find out there anymore but old socks. :shock:

When I complain that this is unfair and changes the rules, she says that digging for treasure has to involve the risk of getting nothing, or less than you think, otherwise it's no fun. :annoyed
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BrownEyedGirl_27
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Re: How do you spend $$ on yourself?

Post by BrownEyedGirl_27 »

I buy myself something nice that I’ve been thinking about for awhile for my birthday and Christmas. It could be a nice outfit, a leather purse, etc. I never pay full price though. No guilt when I know I’ll love and have quality items for a long time. :happy
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Moolala
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Re: How do you spend $$ on yourself?

Post by Moolala »

I buy cake :D
Or buy nice ingredients to bake cookies; that’s even better!
frugalmama
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Re: How do you spend $$ on yourself?

Post by frugalmama »

watchnerd wrote: Tue Dec 31, 2019 2:40 am
AlphaLess wrote: Tue Dec 31, 2019 2:34 am
watchnerd wrote: Tue Dec 31, 2019 2:29 am We have an acre of land.

I buy gold coins and have my wife put them inside metal cans, and then go hide them in the wilderness from me.

I then use a metal detector to try to find them. Then I can spend them on whatever I want once I find them.

But sometimes she hides an old sock in the can instead to fool me, so I have to keep looking.

:(
You should tell her to occasionally hide coupons like: "The finder of this coupon is entitled to a one-one dance or something along these lines".
For all I know, she has done so.

There are 5 coins to find. I've found 4 cans. 2 had socks, 2 had coins.

She confessed the can:coin ratio is >1.
OMG, I love it!

I don't have a lot of "extra" as I have a large family and we don't make that much now, but I buy myself when I start to feel deprived (which luckily isn't that often). I also love to travel so I make sure I include plenty in my vacation budget.
patrickscott
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Re: How do you spend $$ on yourself?

Post by patrickscott »

Esq123 wrote: Sat Dec 28, 2019 1:43 pm
I also donate to the charities that I know use my money wisely.

In the next few years, we will be making some sizable (for us) DAF contributions and distributions.

We are looking for charities that use their funds wisely --including their CEO salaries-- with limited success.

If you don't mind my asking, which charities have you found that use your/now their money wisely?

Thanks
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sperry8
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Re: How do you spend $$ on yourself?

Post by sperry8 »

H-Town wrote: Sat Dec 28, 2019 1:52 pm I budget $15k-$20k a year for traveling. I travel cheaply (road trips, by car, cheap hotels, local food, etc.) to maximize the time to have fun and create memories.

A few things you can do to save money for traveling:
1) I have IHG program that gives a lot of points from business travel so most of hotel cost are subsidized by points.
2) If I fly, I use Chase UR points to transfer to Southwest. Not to mention that Southwest CC gave us 120k points and a Companion Pass.
3) Travel during off-season. It's less crowded and less expensive. I don't like big crowd and expensive things during traveling busy season.
This. I spend money on experiences, not things. I don't want to become a janitor of my possessions. Experiences are forever and priceless. To optimize them - I play the credit card and loyalty program game. I get thousands in free hotels and airfare. It's not that hard of a game to play. I'm surprised everyone doesn't do it.
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VictoriaF
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Re: How do you spend $$ on yourself?

Post by VictoriaF »

Earlier in this thread I described the specifics of my current spending on myself. That's tactics. More importantly, before I retired, I developed a strategy for spending on myself. The strategy has provided me with the guide for how to spend; the tactics are the ways in which I am implementing the strategy. The strategy remains the same. The tactics are changing to reflect my changing interests.

My concern was that after many years of living frugally and saving a large portion of my income, in retirement, it would be difficult to do two things:
1) to spend appropriately for my goals
2) to watch the amount of my assets going down.

Strategy means different things to different people. My strategy is displayed in two spreadsheets:
- Spreadsheet-1 has rough estimates of how much I will be getting, spending, and left with -- every year until I reach the age of 100.
- Spreadsheet-2 keeps track of my actual expenses by category and compares them to my spending goals by category and in total.

On one hand, I have been under-spending both of my spreadsheets. On the other hand, they give me the freedom to spend on something frivolous. On the third hand, thanks to these spreadsheets, my retirement is richer than it would have been if I continued my old spending patterns.

Victoria
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primetime5
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Re: How do you spend $$ on yourself?

Post by primetime5 »

goblue100 wrote: Sat Dec 28, 2019 2:02 pm
abuss368 wrote: Sat Dec 28, 2019 1:52 pm I want something, I buy it. Thing is the older I get I don't want physical things that much anymore. We have been going more towards minimalism and getting rid of things.
Yes. Now that I can afford that kick ass stereo or sports car, I found that I don't want them anymore. It's a little sad, but seems to be how the cookie crumbles.
I'm the same way. I've been greatly influenced by MMM on this one. I try to assign the lifetime cost to every purchase rather than just its base price. It's also beneficial to prioritize things as though everything cost $0. What things are really worth it to you that if it were free you'd absolutely have to have it? It's an interesting philosophy and, naturally, most people look at that and salivate by saying they'd get everything they ever wanted. But that is not a disciplined approach to life. Everything has a long-term cost of money, time, or energy and there are only so many hours in the day.

I started finally spending on myself when I was about 36. Joining a hockey league and doing a few other extra curricular activities with friends has been my splurging and I haven't regretted it--even though it is hard to spend money when you've spent 15 years doing the opposite. Life is short though. If I'm saving 50% of my gross I really try to remind myself that there is room for fun at that level.
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Re: How do you spend $$ on yourself?

Post by abuss368 »

The older I am getting the more we value simplicity and having no clutter in life. Stress has come down because it is less to worry about. I enjoy a meal, reading the WSJ and books, and watching movies. More time for friends and family.
Last edited by abuss368 on Sat Jan 04, 2020 7:46 pm, edited 1 time in total.
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Gnirk
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Re: How do you spend $$ on yourself?

Post by Gnirk »

Travel:. I pay for Business Class when traveling internationally. Main Cabin Plus, or whatever it's called when flying more than 3 hours domestically.
I enjoy dining in very nice restaurants with my daughters. DH neither likes nor appreciates spending money on a really nice meal. And when traveling internationally scolds me for paying business class fares, and says he's just fine in economy....except he's never flown internationally for 12-14 hours in economy, or stood in the long lines, because I've always paid for the business class seats! :?
Old_Dollar
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Re: How do you spend $$ on yourself?

Post by Old_Dollar »

Esq123 wrote: Sat Dec 28, 2019 1:43 pm Hi all-

I am 31 and feel I have the saving/ investing part down. However, I feel I am not spending enough on myself. How do you budget spending on yourself? Sometimes I’m afraid of having too much of a good time because I don’t want to make it a habit lol. Let me know how you budget for vacations/ good times with no regrets. Are there boglehead ways of going about this?

Thanks.

Happy holidays.

Have you considered spending money on yourself by learning how to cook? Aside from saving money you get to eat healthier and even learn how to make some basic dishes to have small get togethers of friends and/or family.
I am here solely to learn about investing.
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alpenglow
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Re: How do you spend $$ on yourself?

Post by alpenglow »

abuss368 wrote: Sat Jan 04, 2020 4:30 pm The older I am getting the more we value simplicity and having no clutter in live. Stress has come down because it is less to worry about. I enjoy a meal, reading the WSJ and books, and watching movies. More time for friends and family.
My wife and I hate stuff. We spend our money on good ingredients and beverages (cooking at home) as well as traveling.
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Re: How do you spend $$ on yourself?

Post by abuss368 »

alpenglow wrote: Sat Jan 04, 2020 6:13 pm
abuss368 wrote: Sat Jan 04, 2020 4:30 pm The older I am getting the more we value simplicity and having no clutter in live. Stress has come down because it is less to worry about. I enjoy a meal, reading the WSJ and books, and watching movies. More time for friends and family.
My wife and I hate stuff. We spend our money on good ingredients and beverages (cooking at home) as well as traveling.
We have something in common. Do you find it is less to manage, less to worry about, and less stress?
John C. Bogle: “Simplicity is the master key to financial success."
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alpenglow
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Re: How do you spend $$ on yourself?

Post by alpenglow »

abuss368 wrote: Sat Jan 04, 2020 6:33 pm
alpenglow wrote: Sat Jan 04, 2020 6:13 pm
abuss368 wrote: Sat Jan 04, 2020 4:30 pm The older I am getting the more we value simplicity and having no clutter in live. Stress has come down because it is less to worry about. I enjoy a meal, reading the WSJ and books, and watching movies. More time for friends and family.
My wife and I hate stuff. We spend our money on good ingredients and beverages (cooking at home) as well as traveling.
We have something in common. Do you find it is less to manage, less to worry about, and less stress?
Exactly. We like to keep good care of the stuff we own. More stuff means more to take care of. We'd much rather spend our time on something more productive.

On the flip-side, my MIL is a legitimate hoarder. She lives in a 4000+ sq ft house that you can barely sit in. She spends most of her time moving around stuff (that she is broke from buying) and says she'll never be able to downsize because she won't have room for her stuff. For the holidays the hallways were packed to the ceilings to make space in the dining room. Her things truly own her. It is very unfortunate to watch.
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Re: How do you spend $$ on yourself?

Post by Unladen_Swallow »

Esq123 wrote: Sat Dec 28, 2019 1:43 pm Hi all-

I am 31 and feel I have the saving/ investing part down. However, I feel I am not spending enough on myself. How do you budget spending on yourself? Sometimes I’m afraid of having too much of a good time because I don’t want to make it a habit lol. Let me know how you budget for vacations/ good times with no regrets. Are there boglehead ways of going about this?

Thanks.

Happy holidays.

- A good time should indeed become a habit.
- A good time comes at all price points. Some cost only your time, some cost money. Use your discretion and judgment to spend your time and money in ways that you find joyful. You seem to have a good head on your shoulders, I doubt you will overextend yourself.
- Our vacations and activities are pre funded. I charge to credit cards and pay it off immediately from savings. These savings do not affect our retirement or investment track. We replenish our savings quickly.

We are in our mid 40s now. If I could go back to 31, I would try to save smarter but also have more fun, adventures, and experiences (for me that would be travel more). I don't think I did either too well then.

You have the financial smarts, don't neglect the life experiences. You can do both....wisely.
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nguy44
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Re: How do you spend $$ on yourself?

Post by nguy44 »

When my wife and I started budgeting, we had a "spend with no questions asked" amount set aside for each of us. This was money each of us could choose to spend (or not spend) as we wanted, and did not have to justify. As our income grew, we grew the budgeted amount. By the time I retired, it was up to $300 a month each. Interestingly, many times we did not spend all of it in a month, and it just rolled over to the next month.

The other thing we did was to spend some unexpected income on ourselves. My job had both a salary and bonus component, and we budgeted based on the salary and never the bonuses. When I did get a bonus we would got have fun (or set aside for later fun) 10-20% of the bonus and save/invest the balance. That gave us additional money to spend on ourselves as we chose, outside of our budget.

Now that I am retired we no longer budget but we monitor outgoing cash flow. So far it has stayed well below what we planned, so it is a lot easier to spend money our ourselves now. :happy
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watchnerd
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Re: How do you spend $$ on yourself?

Post by watchnerd »

nguy44 wrote: Sat Jan 04, 2020 10:17 pm When my wife and I started budgeting, we had a "spend with no questions asked" amount set aside for each of us. This was money each of us could choose to spend (or not spend) as we wanted, and did not have to justify.
We have that, too, but with a catch:

My spend with no questions ask budget is allocated to 1/4 oz gold coins that my wife places in cans outside our house in the wilderness, which I then have to find using clues.

Sometimes she tricks me and puts old socks in the can.

So I can spend the money no questions asked...if I can find the coins.

After this Christmas, she added 3 more coins. So a total of 8 are hidden like pirate treasure in the forest behind our house.

So far, only 2 coins found. 2 socks found.
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CascadiaSoonish
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Re: How do you spend $$ on yourself?

Post by CascadiaSoonish »

I don't begrudge myself any spending that's related to health, wellness, or life satisfaction. I'm OK with the dues ($300/mo) for the fancy-pants athletic club with fantastic facilities that I actually want to go to instead of a bargain gym with unidentifiable smells and stains everywhere. I also spend plenty on high-quality food -- line-caught salmon from sustainable fisheries instead of the Atlantic farmed stuff, and so on.

My other major spending vice is a Ducati. And that one's pretty indefensible...
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Re: How do you spend $$ on yourself?

Post by watchnerd »

CascadiaSoonish wrote: Sun Jan 05, 2020 12:26 am
My other major spending vice is a Ducati. And that one's pretty indefensible...
Oh, that's not that bad.

Ducati is totally defensible from a Boglehead POV.

Less than a Camry, gets better gas mileage.
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CascadiaSoonish
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Re: How do you spend $$ on yourself?

Post by CascadiaSoonish »

Ducati is totally defensible from a Boglehead POV.
I bought it used (unbelievable how much performance you can buy on the cheap nowadays with used motorcycles) but the dealer service bills can be terrifying.

Funny to get a response from a 'watchnerd', the other splurgey spend I'm considering is a Speedmaster...
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watchnerd
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Re: How do you spend $$ on yourself?

Post by watchnerd »

CascadiaSoonish wrote: Sun Jan 05, 2020 12:57 am
Funny to get a response from a 'watchnerd', the other splurgey spend I'm considering is a Speedmaster...
Which one?

There must be a dozen variations.

Personally, I used to have a '57 reissue and a vintage 1972 moon watch, but found the 38 mm diameter too small.
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AlphaLess
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Re: How do you spend $$ on yourself?

Post by AlphaLess »

1. Health and wellness: gym and fitness classes, healthy lifestyle, tools to facilitate that,

2. Health and nutrition: aim really hard to eat well. Cut out all processed food, shop in the perimeter, buy better ingredients, invest in nutrition advice (partially covered by insurance),

3. Experiences, such as travel.

4. Political contributions. I think the ROI is very high in this respect,
"A Republic, if you can keep it". Benjamin Franklin. 1787. | Party affiliation: Vanguard. Religion: low-cost investing.
Blue456
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Re: How do you spend $$ on yourself?

Post by Blue456 »

Esq123 wrote: Sat Dec 28, 2019 1:43 pm Hi all-

I am 31 and feel I have the saving/ investing part down. However, I feel I am not spending enough on myself. How do you budget spending on yourself? Sometimes I’m afraid of having too much of a good time because I don’t want to make it a habit lol. Let me know how you budget for vacations/ good times with no regrets. Are there boglehead ways of going about this?

Thanks.

Happy holidays.
We have separate budgets. One for vacation, one for personal expenses and one for food. Whatever is left over from food we use as we please for either dining out or travel. Rest is going towards paying off loans.
SQRT
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Re: How do you spend $$ on yourself?

Post by SQRT »

Retired. Both in our 60’s. My spouse has her own source of income from her portfolio and pension. She spends it on whatever she wants ( gifts for me, clothes, shoes, bags). If I want something specifically for me it comes out of our joint budget. This budget includes clothes and autos for me. I budget $1,000 per month for clothes and get a new German luxury sedan every 6 years or so. Her auto (luxury German SUV) comes out of the joint budget.

Everything else is jointly budgeted for and agreed on.

Not sure if this is what the OP was getting at?
CascadiaSoonish
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Re: How do you spend $$ on yourself?

Post by CascadiaSoonish »

watchnerd wrote: Sun Jan 05, 2020 1:16 am
CascadiaSoonish wrote: Sun Jan 05, 2020 12:57 am
Funny to get a response from a 'watchnerd', the other splurgey spend I'm considering is a Speedmaster...
Which one?

There must be a dozen variations.

Personally, I used to have a '57 reissue and a vintage 1972 moon watch, but found the 38 mm diameter too small.
I'm probably gonna be boring and get a new, standard base model Speedmaster Professional from a dealer. Don't (yet) have the time to invest in learning the used market and how best to value the watch and make sure it's authentic. Thinking of picking up a Cartier Tank for my better half, too -- big anniversary coming up. Both of those together will pretty much consume my discretionary spending for the year.
Wanderingwheelz
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Re: How do you spend $$ on yourself?

Post by Wanderingwheelz »

Esq123 wrote: Sat Dec 28, 2019 1:43 pm Hi all-

I am 31 and feel I have the saving/ investing part down. However, I feel I am not spending enough on myself. How do you budget spending on yourself? Sometimes I’m afraid of having too much of a good time because I don’t want to make it a habit lol. Let me know how you budget for vacations/ good times with no regrets. Are there boglehead ways of going about this?

Thanks.

Happy holidays.
My wife and I are natural savers, but we do not keep a budget- never have. We had a “$500 Rule” when we married which has now grown to a “$2,000 Rule” which is threshold where we talk a bit about an expenditure before making it, figuring that level gives us little to no risk of upsetting our long term goals.

So don’t feel like you have to budget for anything, including indulgences, if you are naturally prone to accumulating wealth- like many of us are here. I would offer one work of caution and that is to get your big indulgences out of the way when you’re younger- things like sports cars. When you get older you might find yourself uninterested for various reasons, and you’ve got many many years to accumulate your nest egg so try not to stress too much over things. It falls into place.

Jay Z said something to the effect of “You can’t afford something unless you can buy it twice.” To be honest I feel more comfortable being able to buy a dozen. Lol
Paradise
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Re: How do you spend $$ on yourself?

Post by Paradise »

Our priorities on spending are things that somewhat maintain value or appreciate: jewelry (for her), watches (for me), home improvements (both :D), etc. We don't really buy anything else. We don't buy junk "age specific" plastic toys for our kids that take up space after they get bored of it in a few days. We instead favor low cost educational items like puzzles, etc. If we're going to get something nice, it's something like legos that can be easily stored and used for many years. Every time someone gifts us that crap, we immediately take it to Walmart.

Since we're both naturally savers, we don't have a super strict budget. We look at our net income each month (what will go into investments) and we'll know if we laid an egg and take it easy for a few months.

If your primary desire is travel, might I suggest that you create a high yield savings account and budget a little for that every month, throw it into there and once you reach your goal, go on the trip?
SashaWalpole
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Re: How do you spend $$ on yourself?

Post by SashaWalpole »

When i first got into personal finance (around 2 years ago), I started keeping track of every dollar i spent using an app called Money Management. After a month or two of keeping track, i decided to set a goal of saving half of gross my income. Soon, i decided that i could increase that to two thirds without too much difficulty. As long as i was on track towards that goal, i'd spend the rest of my money on bars and restaurants since my budget had given me permission to do so. I've become stingier though. My favorite bartender got fired, so the social aspect of going there doesn't appeal to me as much. Plus, i have a bad habit of eventually drinking too much and ending up wasting entire days hung over (it doesn't take much alcohol to do that to me). Plus, i don't like how any type of spending that i do consistently (bars or restaurants) turns into a craving. We're creatures of habit. So, i haven't been to any bars in awhile. I haven't been to many restaurants recently either. I went from blowing the money that my budget had given me permission to blow to no longer really having anything i want to spend money on. I think this would be different if i was in a relationship though.
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VictoriaF
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Re: How do you spend $$ on yourself?

Post by VictoriaF »

SashaWalpole wrote: Mon Jan 06, 2020 12:29 am I went from blowing the money that my budget had given me permission to blow to no longer really having anything i want to spend money on. I think this would be different if i was in a relationship though.
Dating provides ample opportunities for blowing money.

Victoria
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Nupey03
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Re: How do you spend $$ on yourself?

Post by Nupey03 »

My road cycling habit... it is quite expensive but I view it to be healthy from both a mental and physical standpoint.
Frank Grimes
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Re: How do you spend $$ on yourself?

Post by Frank Grimes »

I really don't spend that much on myself now that I think about it. As with most folks here I try to buy quality and value, preferably at the same time. In general if I have a fixed dollar amount I'd rather use that to buy small amounts of high quality stuff rather than a bunch of cheaper stuff.
WhiteMaxima
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Re: How do you spend $$ on yourself?

Post by WhiteMaxima »

Spend on traveling: on Air fare, car rental and lodging.
Spend on hobby: stereo systems (DACs, music streaming service)
RobLyons
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Re: How do you spend $$ on yourself?

Post by RobLyons »

I'm 38, still in the debt payoff mode and trying to max retirement accounts for the first time ever. So I rarely spend any money on myself.
No going out to eat, no partying besides my kids bday parties, no vacations, etc. I have a gym membership, have a newer car to get me to/from work without hassle and sometimes buy myself beer. I don't miss going out partying like I did in my early 20s. If I were in a better financial situation I would maybe take a vacation here and there or bring my kids to big sports events but it's not necessary.
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EnjoyIt
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Re: How do you spend $$ on yourself?

Post by EnjoyIt »

Stef wrote: Mon Dec 30, 2019 6:13 pm I stopped buying toys 2-3 years ago. Now trying to live as frugal as possible. But sometimes I think I'm missing out on things...I would love to buy a drone and play with it for example. But as a tech geek I would buy one for 1.5k $ and that money would be much better invested in stocks.

Hard to tell what's reasonable and what's a waste of money. A couple of years ago I just bought stuff I wanted. Now I'm hesitating to spend >100$ :oops:
You can always buy a used drone on eBay. Play with it for a month or two, get sick of it like everyone else does and then sell it on eBay. Effectively you will pay some money to rent it for those 2 months.
A time to EVALUATE your jitters: | https://www.bogleheads.org/forum/viewtopic.php?f=10&t=79939&start=400#p5275418
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