Why are you trying to save so much money?

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gator15
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Why are you trying to save so much money?

Post by gator15 »

Last week another person on this forum posed the question " Do you regret saving too much money"? I read this question a few days ago and thought about it all weekend. I'm not sure if I'm saving too much. My wife and I currently save 40% of our income. I've always believed in saving and investing and have done so since I was 18 years old. Now I'm 32 and I wonder what I'm exactly saving for? I think my goal has always been financial independence, but I'm not sure what that means anymore. Once upon a time, I dreamed of retiring in my mid-fifties and playing golf and tennis all day. I'm not sure that's who I am. I actually enjoy working. Over the years, I have deprived myself of some things to meet savings goals. I think I would enjoy owning material possessions such as off-road vehicles, motorcycles and fast cars. I'm not saying I need those things to make me happy. I'm saying what else would I spend my money on? I've always dreamed of owning a Harley or an Audi, yet I refuse to pull the trigger because I want to meet my savings goal. Problem is I don't what that is. I know the amount of money I want by a certain age. I just don't know why I want it. From a long-term standpoint, I'm interested to know what other Bogleheads are saving for?
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market timer
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Re: Why are you trying to save so much money?

Post by market timer »

I want to leave the corporate world in my mid-30s and spend several months of every year traveling and studying with my family-to-be. I don't care at all about material possessions, haven't had a car in over 10 years, and have always lived on less than $40K/year.
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JMacDonald
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Re: Why are you trying to save so much money?

Post by JMacDonald »

Hi,
I started being serious about saving money when I had a conversation, and it was suggested to me that saving money would give me options later in life. Up to that point I really wasn't saving anything. Well, five years ago having saved money gave me the option to retire. A very good option.

I think saving money can become an end in itself without any purpose other than a number. It sounds like you are doing fine. If you want to spend money on something, then do it. Besides you, maybe your wife would like to have something. Decide what you want and go for it.
Best Wishes, | Joe
Dave76
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Re: Why are you trying to save so much money?

Post by Dave76 »

Compromise. You can get an Audi 5000 or 4000.
xerty24
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Re: Why are you trying to save so much money?

Post by xerty24 »

I'm saving for the next bailout. I think they'll need it.
No excuses, no regrets.
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pteam
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Re: Why are you trying to save so much money?

Post by pteam »

Save to buy things in life that make YOU and YOUR family happy, or things that you can do to make you happy like travel, retire early and rich, buy a boat, or a Lamborghini, etc etc. :)

Whatever it is that makes YOU happy.

One of the Worst things a boglehead can do in my opinion is save all your money and spend nothing and die with all of it and be nothing but a miser wishing you had enjoyed it while you were young. :oops:
mortal
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Re: Why are you trying to save so much money?

Post by mortal »

I save about 60% of my income. I save for financial security, and [someday] independence.

I got used to getting by on very little in college. My expenses and income have grown by 2x and 10x since then. It's funny, because after you learn about saving and investing for retirement, you begin to see spending in a different light.

Instead of seeing 133k buying a new Porsche 911, I see it buying a 30k car every 10 years *for life*! In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
paper200
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Re: Why are you trying to save so much money?

Post by paper200 »

Provides a degree of freedom/comfort -whatever it means
Having freedom, food and roof is being 90% lucky in life and so is index investing. So, don't let the remaining 10% bother you.
Mudpuppy
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Re: Why are you trying to save so much money?

Post by Mudpuppy »

You're only 32. There are plenty of things to be saving for, and if you want an Audi or a Harley to be one of those things, you're still plenty young enough to save for that goal as well. Your wife might have a different opinion though :)
NorCalDad
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Re: Why are you trying to save so much money?

Post by NorCalDad »

I'm saving for the unknown. It's good to have plans, but these last few years taught me that you just can't predict the future. For all I know, my home and investments may have dismal returns or they may grow at a faster than expected pace over the next three decades. I may be able to retire early or I may never be able to retire. All I can do is save as much as possible while living a good life now, and hope for the best.
Tuxx
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Re: Why are you trying to save so much money?

Post by Tuxx »

To pay for my 4, one month vacations a year to different countries.

This year; Panama/Costa Rica, Thailand/Singapore, Russia and Australia/New Zealand/Vanuatu. Avoiding the Euro zone this year. :shock:

Traveling is getting worse and worse and I would rather do it now then when I am older. Once I retire I don't plan on going farther than a 3 hour car (round trip) drive away.
letsgobobby
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Re: Why are you trying to save so much money?

Post by letsgobobby »

You just never know; better safe than sorry. At the extreme that is pathological, but extreme is in the eye of the beholder.

Like you I struggle to spend. A family certainly makes short work of that anxiety. From there you're off to the races, buying 4500 sf homes and ogling BMWs online, and hiring landscapers and housekeepers left and right. Yes, I've done all these things in the last year. It's a weird feeling... But not necessarily a bad one.

You do, as they say, only live once.

But I still can't get up the nerve to dump my 16 year old, 215,000 mile Camry. Old habits die hard.
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NightOwl
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Re: Why are you trying to save so much money?

Post by NightOwl »

I have a job that I won't be able to do much past age 55, so I'd better have enough money by then to retire or to switch to a different (almost certainly lower-paying) job. I also didn't save money until I was about 35 years old, so I really have no choice but to save a very high % of income.

NightOwl
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Johm221122
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Re: Why are you trying to save so much money?

Post by Johm221122 »

NightOwl wrote:I have a job that I won't be able to do much past age 55, so I'd better have enough money by then to retire or to switch to a different (almost certainly lower-paying) job. I also didn't save money until I was about 35 years old, so I really have no choice but to save a very high % of income.

NightOwl
+1,I in same boat and wish I could save more than 25% I save now
yukon50
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Re: Why are you trying to save so much money?

Post by yukon50 »

Tuxx wrote:To pay for my 4, one month vacations a year to different countries.

This year; Panama/Costa Rica, Thailand/Singapore, Russia and Australia/New Zealand/Vanuatu. Avoiding the Euro zone this year. :shock:

Traveling is getting worse and worse and I would rather do it now then when I am older. Once I retire I don't plan on going farther than a 3 hour car (round trip) drive away.
Do you have a job? How do you get so much vacay?
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Tyrobi
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Re: Why are you trying to save so much money?

Post by Tyrobi »

... So I can stay home or travel with family all 12 months instead of 6 months in a year.
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RadAudit
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Re: Why are you trying to save so much money?

Post by RadAudit »

gator15 wrote: I know the amount of money I want by a certain age. From a long-term standpoint, I'm interested to know what other Bogleheads are saving for?
Money, in and of itself, isn't all that useful. It's a lousy fuel; you can't eat it; it's a very expensive insulation, etc.

It's, however, a pretty good way of keeping score as you move toward a goal. So, I'd pick a goal worth saving for. My goals need not - probably should not - be your goals. What that goal is going to be is an answer you are going to have to find on your own. Just be sure you're going to be happy when you get there if you save so much that you can't enjoy the journey to get there.
Last edited by RadAudit on Mon Jun 25, 2012 6:55 am, edited 2 times in total.
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trademil
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Re: Why are you trying to save so much money?

Post by trademil »

NorCalDad wrote:I'm saving for the unknown.
Grt2bOutdoors
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Re: Why are you trying to save so much money?

Post by Grt2bOutdoors »

To prepare for a black swan showing up "uninvited".

If the black swan does not appear - then retirement,mortgage payoff,college funds - in that order.
In a land of "no or very little return", the only true way to make the asset pool grow is to save, save, save. If the returns show up, great, if they don't - at least I will have tried my best.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions
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kramer
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Re: Why are you trying to save so much money?

Post by kramer »

When I was 32 I loved my job, also. But it became a major drag a few years later, after working in the same career for over a decade.
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Re: Why are you trying to save so much money?

Post by The Wizard »

kramer wrote:When I was 32 I loved my job, also. But it became a major drag a few years later, after working in the same career for over a decade.
Similar with me, too.
I think the best solution is BALANCE between saving/investing and DOING fun recreational activities in your 20s, 30s, 40s. Then hopefully you get to age 55 in good shape to deal with whatever your end-game plan looks like...
Attempted new signature...
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PaddyMac
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Re: Why are you trying to save so much money?

Post by PaddyMac »

In my 30s and even early 40s, I loved my job. I was surprised that by my late 40s I was just tired of it. Been there, done that...looking for something new. As it happens, "something new" involves being an artist, so I'm glad we have some money squirreled away that should let us retire early and follow our new passions. You don't know what you might want to be or do later in life. Being financially independent gives you options. I wish I'd saved harder when I was younger now.
af895
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Re: Why are you trying to save so much money?

Post by af895 »

I find the question thought-provoking.

A few points.

First: don't assume that because you enjoy work now, you always will. You may relish the opportunity to retire in future.

My grandparents lived to nearly 100 so I probably have a long retirement to fund.

I'd love to own a boat/hot-tub/gyrocopter/(insert bobble here).

$500 saved now is like $5,000 in my retirement so I don't view saving as "restricting" myself but rather giving me more buying power later.

FYI: I'm putting away ~20% of my gross / ~35% of my net salary.
I have simple needs vis-a-vis home, shelter, transportation etc but I restrict the amount I dine out. I find restaurant and take-out meals insanely expensive and quickly chew up disposable income, if left unchecked.

EDIT - let's say you are saving "too much." You end up turning 50 and finding you could retire comfortably. If you still enjoy work, why not work part time and devote your other time to other passions? Travel, charity, political activism - whatever you like. Heck, go back to school and become a financial planner. :)
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Re: Why are you trying to save so much money?

Post by stoptothink »

I grew up the 2nd of 5 children to a single mother who worked as a medical assistant. We were on food stamps and spent a lot of time living with relatives. I was well aware from a very young age that we were poor. Even now in her mid-50's, remarried and earning exponentially more than what she did when I was young, she still has a negative net worth and will never be financially independent. I fully expect that I(and 1 of my other siblings who has done OK financially) will be taking care of her and her husband in the future.

Not that I am embarrassed of my upbringing, but I don't want the life I have seen my mother live and I refuse to let my (future) spouse and children go through what I did. If I have the means to get ahead, to assure that I will never be in her position, I want to take every opportunity now to do so.
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Re: Why are you trying to save so much money?

Post by exoilman »

RadAudit wrote
"Money, in and of itself, isn't all that useful. It's a lousy fuel; you can't eat it; it's a very expensive insulation, etc"

But it does oil the gears of living as you move towards your goals.

sam
The Dark Knight
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Re: Why are you trying to save so much money?

Post by The Dark Knight »

Because living without money is humiliating, and the less money you have, the more crap you have to take.
mptfan
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Re: Why are you trying to save so much money?

Post by mptfan »

gator15 wrote:From a long-term standpoint, I'm interested to know what other Bogleheads are saving for?
Financial security. I want to get to the point where the return on my investments is equal to or greater than my expenses.
jumppilot
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Re: Why are you trying to save so much money?

Post by jumppilot »

Gator15,

I wrestled with the same thing you are. I am 31 years old and really "saw the light" in regards to retirement savings a few years ago.

Like everyone, I ran the calculators and figured out how much money I could have at 50, 55 or 60...and how even tweaking a few extra percent of my savings could add up vastly different amounts. I got excited. I bumped up my percentage. I was on my path to a comfortable retirement.

However, I've always wanted a Porsche.

A Porsche doesn't fit in to pre-retirement, or at least that's what we've been led to believe by all the news of "Americans aren't saving enough". But can we ever live for today?

I did the calculations, dialed back my contributions and am now savings 17.5% of my gross per month in retirement accounts.

I also have a new-to-me 2007 Porsche in my driveway that I paid $36,000 for. Not a completely unreasonable sum, but definitely a payment I never had before.

Planning for retirement is important. But so is cruising down the street, at 31 years of age, in the Porshce with my hot fiancee in the passenger seat.

Some things are worth more than the end goal, which is 25 years away. :-)
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Post by Curlyq »

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Booper
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Re: Why are you trying to save so much money?

Post by Booper »

I feel like now would be a good time for you to start reading up on early retirement.

Jacob Fisker, from Early Retirement Extreme, saved ~75% of his salary for several years, and retired after 4-5 years at around age 30. I read his book and highly recommend it.

The anonymous blogger Mr. Money Mustache is also doing something similar, but he is doing it while raising a child, and has a larger budget than Jacob.

I've spent quite a while reading this stuff and enjoy it. Most people I know balk when they hear how low their budgets are (I think that Jacob and his wife live on $14k/yr, and MMM and his family of 3 live on something in the mid $20ks). But many people are also drawn to the freedom that early retirement provides.
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Re: Why are you trying to save so much money?

Post by Fallible »

gator15 wrote:... I think I would enjoy owning material possessions such as off-road vehicles, motorcycles and fast cars. I'm not saying I need those things to make me happy. I'm saying what else would I spend my money on? I've always dreamed of owning a Harley or an Audi, yet I refuse to pull the trigger because I want to meet my savings goal. Problem is I don't what that is. I know the amount of money I want by a certain age. I just don't know why I want it. ...
One saves to retire comfortably and to be prepared for a future that's unknowable. Look at all the previous unknowables in just the last 12 years: tech crash, recessions, 9/11, housing crash, bear markets, financial crisis and a Great Recession, etc. And those don't include the personal calamities you could face (or maybe have faced), especially health issues. You save because you don't know how much to save, nobody does. As for not buying the Harley or Audi, I'd guess that if you didn't buy them in favor of saving the money, you didn't really want them all that badly. Maybe something will come along that you really do want; hopefully it'll be something you need, something that brings you a long and happy experience, in which case it's at least just as important as saving and maybe more so.
"Yes, investing is simple. But it is not easy, for it requires discipline, patience, steadfastness, and that most uncommon of all gifts, common sense." ~Jack Bogle
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Devil's Advocate
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Re: Why are you trying to save so much money?

Post by Devil's Advocate »

From a long-term standpoint, I'm interested to know what other Bogleheads are saving for?
Because money buys opportunities. What opportunities are in store for me and my family in 5, 10, 20 years? I don't know. But I am saving plenty while living a modest middle class lifestyle. When those opportunities are here I want to know I can afford them.

DA
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FabLab
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Re: Why are you trying to save so much money?

Post by FabLab »

gator15 wrote: I just don't know why I want it.
I'm kinda fond of Bogart's thinking on the question:

"The only reason to have money is to tell any SOB in the world to go to hell."
The fundamental things apply as time goes by -- Herman Hupfeld
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Re: Why are you trying to save so much money?

Post by hsv_climber »

Booper wrote: Jacob Fisker, from Early Retirement Extreme, saved ~75% of his salary for several years, and retired after 4-5 years at around age 30. I read his book and highly recommend it.
.... and then he went back to work at the age of 36...

I've also read his book recently and I would not recommend it. His ideas about raising kids are beyond laughable. But we've already had long threads on this forum talking about him, so there is no point to repeat them.
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Re: Why are you trying to save so much money?

Post by hsv_climber »

jenny345 wrote: Books and blogs with those types of calculations get readers because they just tell people what they want to hear and not necessarily what is realistically financially achievable long term. For people who want to retire early there is generally more reasonable advice and the benefit of collective wisdom on the early-retirement.org forum.
I agree. I read early-retirement.org from time to time and I saw a thread there where a 25 guy who claims to follow MMM-path was laughed at by the crowds (or you can call it "taking back to reality", which would be correct):
http://www.early-retirement.org/forums/ ... 61798.html

ERE & MMM boards just tend to cheer themselves up too much. It is like the other side of the financial advisors, where financial advisors might tell you that you need $10million @ age 55 and these guys will tell you that you need $100K @ age 30. And the truth is somewhere in between.
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Re: Why are you trying to save so much money?

Post by staythecourse »

Interesting question. Count me in the category of wanting financial independence. Might sound harsh to say is one thing I have learned as I've gotten older is that money trumps everything else.

The more money one has the more independent they become. The power to be able to say no to ur employer without being afraid of the impact of getting fired is priceless. The power money brings is worth much more then the feeling of buying a new car or mcmansion.

Good luck.
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gator15
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Re: Why are you trying to save so much money?

Post by gator15 »

gator15 wrote:Last week another person on this forum posed the question " Do you regret saving too much money"? I read this question a few days ago and thought about it all weekend. I'm not sure if I'm saving too much. My wife and I currently save 40% of our income. I've always believed in saving and investing and have done so since I was 18 years old. Now I'm 32 and I wonder what I'm exactly saving for? I think my goal has always been financial independence, but I'm not sure what that means anymore. Once upon a time, I dreamed of retiring in my mid-fifties and playing golf and tennis all day. I'm not sure that's who I am. I actually enjoy working. Over the years, I have deprived myself of some things to meet savings goals. I think I would enjoy owning material possessions such as off-road vehicles, motorcycles and fast cars. I'm not saying I need those things to make me happy. I'm saying what else would I spend my money on? I've always dreamed of owning a Harley or an Audi, yet I refuse to pull the trigger because I want to meet my savings goal. Problem is I don't what that is. I know the amount of money I want by a certain age. I just don't know why I want it. From a long-term standpoint, I'm interested to know what other Bogleheads are saving for?
It's been great to hear everyone's responses. I realized all the saving I've done over the years has allowed me some freedoms such as quitting a job allowing me to pursue a master's degree. Also I don't fear losing my job as I've saved enough to sustain myself for at least a year. Saving has given me peace of mind. It's tough trying to live for both today and the future. I don't want any regrets when I get older. I don't want to be an old man and feel all I did was hoard my money. I will have to find a balance.
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mlebuf
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Re: Why are you trying to save so much money?

Post by mlebuf »

Hi Gator 15,

As a 70 year-old looking back, I saved for one simple reason: Money buys freedom. Achieving financial independence frees you to use your days as you wish. If you don't want to be work optional today, odds are that the day will come when you will very much want to have that option. The more you save, the sooner that option becomes a reality.
Best wishes, | Michael | | Invest your time actively and your money passively.
SGM
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Re: Why are you trying to save so much money?

Post by SGM »

Absolutely, freedom is the key. Humphrey Bogart called it fu money when he saved prior to hitting the big time.

An acquaintance named Pete had a bungalow on 3 acres in a neighborhood that went from rural to posh. He was a physicist with a defense or government job with a good pension. He biked into the city to work most every day, didn't shave, had little furniture. He had city water, but continued to use the well water and laughed when the authorities thought he was rigging the water meter. I was told by a friend visiting from California, that staying in the house was a bit of an ordeal, because Pete did not turn on the water heater and the visitor had to take a cold shower. Pete was saving to buy a 70 acre farm in Maine.

He started to paint his house. He stripped off the paint and then stopped and left the exterior of the house in a sort of weathered limbo. He figured this bungalow was a tear down and that painting it would not add value. Spending money on paint would have seemed crazy to Pete once he realized no buyers would want that little bungalow. One afternoon my young son and I drove over to visit. I knocked on the door, an old pickup was sitting in the driveway. There was no answer so we walked out back. Pete was out in back of the house hitting golf balls. The backyard was covered with several hundred golf balls, clearly outnumbering the dandelions. He and another frugal friend would take a rowboat out into the river shallows near a golf course and fill buckets with lost golf balls.

I drove by the site of the bungalow a few years back. There is a Mcmansion on the site of that bungalow. I lost track of Pete but I believe he owns a farm in Maine happily collecting his pension. I do not believe he ever felt he denied himself unduly.
"Let us endeavor, so to live, that when we die, even the undertaker will be sorry." Mark Twain
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LH
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Re: Why are you trying to save so much money?

Post by LH »

"f. you money" which I first read from Geffen quote years (tens of?) ago.

The ancient athenians considered working for another slavery.

Work = money = power to do what you want, to literally "compel" strangers to serve you food at the local restaurant, fix your car, take you on a cruise smiling at you nonstop. etc. etc.

money = power to do what you want, without work. If you have enough of it.

work = consumption of your most precious limited asset, your time on this earth.

Now if work = what you want to spend your limited time doing, thats fine, but this may not be the case going forward. Also, consciously REALIZE what you are doing, realize that buying a car = expending your precious limited life energy via work to buy it (for most of us who have to work for money). Car bought = X hours of life energy consumed at work.

Freedom is why I save.



Read "Your Money or Your life" by Dominguez. If you like "green"/ecology lifestyle, get the most recent one, if you do not, get an older one off amazon. The newer one has more "green" stuff in it, which may or may not be distracting. Classic book either way, and the one that I have read, which most addresses your question.
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HomerJ
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Re: Why are you trying to save so much money?

Post by HomerJ »

Peace of mind.

My wife is going to lose her job this year; and we don't even care. Zero stress about it. SHe's excited about having some time off, maybe even retiring.

That would not have been true 5-10 years ago.
Last edited by HomerJ on Tue Jun 26, 2012 9:50 am, edited 1 time in total.
tphp99
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Re: Why are you trying to save so much money?

Post by tphp99 »

Gator,

You must be my long lost brother - from Florida are you?

My wife and I went thru that phase about 5 years ago. High income, no desire for early retirement. So we splurged a bit: a bigger house, luxury and sports cars, exotic vacations, fine dining, resorts and spas ect, and found the real reason why we saved so much. We didn't really enjoy all those "fancy" things money can buy. We both grew up poor - we didn't feel comfortable with that lifestyle. We continue to "save" 75% of our income.

You don't have to spend it all, it's OK to have money left over.

TP
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Re: Why are you trying to save so much money?

Post by hsv_climber »

jenny345 wrote: If you can save $50 a month from a water bill over 50 years that is $30K you either won't need for retirement or you can use for something else.
Average poster on this board spends ~$40 a month on a water bill. Source: http://www.bogleheads.org/forum/viewtopic.php?t=71905
So, it might be hard to save $50 on that bill. :wink:

Why do you need to bother with xeriscaping anyway? How about just ignoring it and allow the weeds to take over?
Xanthus, a philosopher, had to buy some vegetables for lunch. He told his slave Aesop to take a sack, and they went to the gardener. The gardener was very glad to see them. He gave them all the vegetables they wanted but refused to accept money as payment. Instead he asked Xanthus to explain to him why weeds grew faster than crops, hard though he tried to water and earth them up. Xanthus was puzzled by the question and turned to Aesop for help. Aesop said, "Imagine a woman, a widow or a divorced one, now married to a man who has also been married before. They both have children from their previous marriages. Whose children would that woman love more: her own or the other woman's? Of course, her own. So why are you surprised that the earth is better taking care of her own plants than of those you stick in it?" "What a clever slave!" thought the gardener.
Last edited by hsv_climber on Tue Jun 26, 2012 10:55 am, edited 1 time in total.
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ascenzm
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Re: Why are you trying to save so much money?

Post by ascenzm »

mortal wrote: In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
You are either planning on a short lifetime or drinking only macrobrewed American adjunct lagers if 7K is all you're planning to spend. :sharebeer

Mike
Avatar is a Japanese Cherry tree in Washington, DC during the peak cherry blossom time.
Grt2bOutdoors
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Re: Why are you trying to save so much money?

Post by Grt2bOutdoors »

jenny345 wrote:
LH wrote:Read "Your Money or Your life" by Dominguez. If you like "green"/ecology lifestyle, get the most recent one, if you do not, get an older one off amazon. The newer one has more "green" stuff in it, which may or may not be distracting. Classic book either way, and the one that I have read, which most addresses your question.
Besides Your Money or Your Life you can just read any of the studies on happiness. Happiness comes from having free time to have fun experiences, building social connections and living in a neighborhood you can easily afford, not from maxing out your mortgage payments or stretching your budget to keep up with the Joneses.
My local library recently held a book sale - I picked up a copy of that book for a great Boglehead price of $1 in relatively great shape - doesn't look like anyone read it.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions
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HomerJ
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Re: Why are you trying to save so much money?

Post by HomerJ »

ascenzm wrote:
mortal wrote: In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
You are either planning on a short lifetime or drinking only macrobrewed American adjunct lagers if 7K is all you're planning to spend. :sharebeer

Mike
$7000 at 4% returns $280 a year or $23 a month. That's enough for a 30-pack of Bud Light. That's about seven beers every weekend. Seems reasonable. :)
Grt2bOutdoors
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Location: New York

Re: Why are you trying to save so much money?

Post by Grt2bOutdoors »

rrosenkoetter wrote:
ascenzm wrote:
mortal wrote: In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
You are either planning on a short lifetime or drinking only macrobrewed American adjunct lagers if 7K is all you're planning to spend. :sharebeer

Mike
$7000 at 4% returns $280 a year or $23 a month. That's enough for a 30-pack of Bud Light. That's about seven beers every weekend. Seems reasonable. :)
Based on your analysis and proposed drinking schedule, a small purchase of Anheuser-Busch stock may be in order. Happy Drinking. :beer
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions
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HomerJ
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Re: Why are you trying to save so much money?

Post by HomerJ »

GRT2BOUTDOORS wrote:
rrosenkoetter wrote:
ascenzm wrote:
mortal wrote: In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
You are either planning on a short lifetime or drinking only macrobrewed American adjunct lagers if 7K is all you're planning to spend. :sharebeer

Mike
$7000 at 4% returns $280 a year or $23 a month. That's enough for a 30-pack of Bud Light. That's about seven beers every weekend. Seems reasonable. :)
Based on your analysis and proposed drinking schedule, a small purchase of Anheuser-Busch stock may be in order. Happy Drinking. :beer
Heh, BUD has a dividend payment of 1.9%. It would be kind of fun to throw $15k into that stock, and have the dividend pay for all my beer for the rest of my life.
Holden_Caulfield
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Re: Why are you trying to save so much money?

Post by Holden_Caulfield »

rrosenkoetter wrote:
GRT2BOUTDOORS wrote:
rrosenkoetter wrote:
ascenzm wrote:
mortal wrote: In another example, I see 7k, as buying a lifetime supply of beer. :beer

Saving becomes very easy when you look at it in these terms
You are either planning on a short lifetime or drinking only macrobrewed American adjunct lagers if 7K is all you're planning to spend. :sharebeer

Mike
$7000 at 4% returns $280 a year or $23 a month. That's enough for a 30-pack of Bud Light. That's about seven beers every weekend. Seems reasonable. :)
Based on your analysis and proposed drinking schedule, a small purchase of Anheuser-Busch stock may be in order. Happy Drinking. :beer
Heh, BUD has a dividend payment of 1.9%. It would be kind of fun to throw $15k into that stock, and have the dividend pay for all my beer for the rest of my life.
You only spend ~$300 a year on beer? Yikes, I spend that in a month. Maybe I'm doing it wrong...
hsv_climber
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Re: Why are you trying to save so much money?

Post by hsv_climber »

Holden_Caulfield wrote: You only spend ~$300 a year on beer? Yikes, I spend that in a month. Maybe I'm doing it wrong...
At 6-12 pack / day, you are doing it right. You definitely don't need to save the money for retirement.
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