Do you reward yourself for achieving a financial goal?

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unclescrooge
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Re: Do you reward yourself for achieving a financial goal?

Post by unclescrooge » Wed May 15, 2019 10:04 am

msk wrote:
Wed May 15, 2019 5:50 am
Schlabba wrote:
Wed May 15, 2019 5:33 am
msk wrote:
Wed May 15, 2019 5:10 am
I prefer to look at my income, not NW. I assume roughly 5% net on stocks (of course varies up and down but that's a good assumption on average), whatever comes net on rental RE, plus job income. Save and (re)invest 30% of total net income, spend the rest guilt free. If followed religiously over your 30s and 40s, you ought to run out of toys to yearn for by your late 50s. By your 60s/70s you ought to feel wealthy enough to tend towards philanthropy.
Interesting approach. Currently my goal is to achieve financial independence as soon as possible, therefore even with a decent net worth for my age there is no room for luxury.
Maybe I should also limit my investing to a percentage or absolute number and enjoy the rest.
I came to this approach in discussions with a childhood buddy (same age) when we were in our early 30s and just starting to make reasonable incomes. He had never gone to college due to family circumstances and I had a PhD but our earnings kept pace throughout life. We did worry that there is no point in making money for its own sake and we both bought the top Mercedes S Coupes of the day new when we were 37, and we both retired at 55. Unfortunately my childhood buddy died this year at age 74, but he did leave behind an 8 figure legacy, despite all the fancy toys we ploughed through over the decades. It works! Start with 30% save-and-invest early in life and stick to it religiously.
+1
Life is lived in the present.
Once I save enough to hit my savings goals, I budget to spend the rest.

rich126
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Re: Do you reward yourself for achieving a financial goal?

Post by rich126 » Wed May 15, 2019 10:07 am

Would you penalize yourself if your investments drop 30% after reaching a milestone? I do think too many people obsess over getting to a number or FIRE and don’t enjoy the ride there. Sadly medical events can happen at any time so you should enjoy your money while you can within responsibly limits.

I’m at the point where I can easily retire within 4 years and while nice, it just means I’m getting old (56). My biggest decision now is to stay in a safe but boring job back east with family or take a job out west where I lived previously and loved it. I thought it’d be an easy decision but closing the door on an area you were raised in and still have family turns out to be harder than I anticipated.

Enjoy life and ignore the numbers. They honestly don’t mean much except for those that need to stroke their egos.

bluebolt
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Re: Do you reward yourself for achieving a financial goal?

Post by bluebolt » Wed May 15, 2019 10:08 am

One of the biggest rewards of staying on track towards our goals is that I don't have to sweat the small stuff like I used to. And, since our savings goals are automatic and on-track, we don't have to really keep any kind of budget. Makes life much more pleasant.

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Will do good
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Re: Do you reward yourself for achieving a financial goal?

Post by Will do good » Wed May 15, 2019 10:24 am

At the time I didn't realize I have achieved our goal, even if I did I wouldn't.
My goal is for our family benefit, I don't feel like rewarding my self was needed.

However, today we retired early and travel all over the world, maybe that's our reward :sharebeer

BanquetBeer
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Re: Do you reward yourself for achieving a financial goal?

Post by BanquetBeer » Wed May 15, 2019 11:10 am

No specific purchases but I have relaxed on the small things. Now I worry less about sub $5 purchases (that my family makes - still generally don’t personally enjoy them)

But our goal is to enjoy life on the journey. Not super austere.

Do plan on increasing spending as saving grow using something like 3.5%*0.85-12k (health insurance) = current spend.

So increase current spend above current set point as savings grow until I reach my goal savings/spend. (Between FI and target)

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TomatoTomahto
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Re: Do you reward yourself for achieving a financial goal?

Post by TomatoTomahto » Wed May 15, 2019 1:16 pm

WildBill wrote:
Wed May 15, 2019 9:46 am
TomatoTomahto wrote:
Wed May 15, 2019 5:45 am
When we hit a significant milestone, I now buy Kona coffee without feeling like I’m a spendthrift.
I still can’t get myself to splurge on business class tickets.
Howdy
When you have figured out a way to talk yourself into it let me know.
I can’t either.
W B
When one of us (wife/me) gets close to doing it, the other one says, “Really?” She’s taking a trip to Australia this summer, and did decide that Premium Economy was worth it and is doing it. We have flown Business and First Class when on business or on points upgrades, and we know it’s nice, but still, the thought comes back, “who do we think we are?”

It’s funny, because we do spend a lot on other things (house, education, etc), and we really can easily afford it (not BMW at $500k), but it just rubs us the wrong way.
Okay, I get it; I won't be political or controversial. The Earth is flat.

joelly
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Re: Do you reward yourself for achieving a financial goal?

Post by joelly » Wed May 15, 2019 1:57 pm

A high school friend of mine just died this year on the day before Easter. He was 44. He was not just a friend, he was a lab partner, a deskmate, a confidante and an overall compadre. The cause is his heart, it just gave up at such a young age. He left behind a wife and a 10-year-old son.

I learn now that life is precious and short. I'm not going to wait until my NW is 7 or 8 figures to celebrate myself and my accomplishments. I'm an immigrant who lives here in the US for 20 yrs (no family, not even a cousin twice removed). I arrived here in San Francisco in 1999 with two pieces of luggage and my guitar. I was and still am away from everything that I know, eating food that is not my first choice most of the time and speaking the language I know nothing about. I believe that staying alive and well, still having a job to go to every day (I love my job), being married to a wonderful man who loves me and now about to welcome our first baby girl is in and of itself need a celebration. It has been a hard pregnancy, so hard to the point that I wish I just die. But now I'm at 36 weeks and I'm determined to see it through, God willing.

So, against my own self-opinion, I'm splurging on myself this year and I aim to do this every 5-10 yrs just for staying alive. Consequences be damn!

:sharebeer

Retrograde
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Re: Do you reward yourself for achieving a financial goal?

Post by Retrograde » Wed May 15, 2019 2:01 pm

I had written a plan of things I would do at all the milestones. I'm now making decent money and saving a lot of it, but have lost the plan. Not that it really matters. I had planned on nice meals at each 1k increment and something nicer every 10k but I'm not really doing either as it turns out.

jambadoc
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Re: Do you reward yourself for achieving a financial goal?

Post by jambadoc » Wed May 15, 2019 2:08 pm

I plan on buying a relatively nice bottle of Scotch (like $100) to share with DW when we hit two commas hopefully later this year. Those purchases seem a little extravagant for that level of net worth, as has been said already. But only you can define what you value.

GlacierRunner
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Re: Do you reward yourself for achieving a financial goal?

Post by GlacierRunner » Wed May 15, 2019 2:37 pm

Psyayeayeduck wrote:
Wed May 15, 2019 5:25 am
Chipolte. With Guac. :moneybag :D

Might even throw in chips and guac. :moneybag :moneybag
Nice!

We dubbed $1 million net worth the "neapolitan club" and have made a 1/2 gallon of Breyers ice cream our reward of choice.

wrongfunds
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Re: Do you reward yourself for achieving a financial goal?

Post by wrongfunds » Wed May 15, 2019 3:49 pm

Well, it depends. Do you punish yourself when you get kicked out from the "club" when the market goes down which they always do? What kind of punishment do you like?

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Earl Lemongrab
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Re: Do you reward yourself for achieving a financial goal?

Post by Earl Lemongrab » Wed May 15, 2019 4:15 pm

No, because I never deprived myself of anything I wanted while saving. I just don't want stuff like that.

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beyou
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Re: Do you reward yourself for achieving a financial goal?

Post by beyou » Wed May 15, 2019 4:33 pm

A relative came to visit and mentioned that “anyone buying my house would tear it down”. He declared bankruptcy, will likely never retire. I otoh, can retire when it suits me.

No home rennovation rewards, no fancy vacations, cars.
Reward is financially worry free retirement at a reasonably young age.

heyyou
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Re: Do you reward yourself for achieving a financial goal?

Post by heyyou » Wed May 15, 2019 5:11 pm

My reward for 25+ years of living below my means was retiring at 55, into the best years of my life.
Good luck to those who still need a job.

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Doom&Gloom
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Re: Do you reward yourself for achieving a financial goal?

Post by Doom&Gloom » Wed May 15, 2019 5:26 pm

Nope. Although I am a huge advocate of goals and rewards, my goals have always been ratcheting upward and my valued rewards have almost always been internal. Bad parenting by my folks, I guess.

Early on in my career I set annual savings goals. Though I seldom increased the amount, I knew that I would know when I got "there." I did--and with no need for artifical rewards for myself.

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Kenkat
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Re: Do you reward yourself for achieving a financial goal?

Post by Kenkat » Wed May 15, 2019 5:46 pm

I did, but then the market dropped so I had to give the reward back :(

softwaregeek
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Re: Do you reward yourself for achieving a financial goal?

Post by softwaregeek » Wed May 15, 2019 9:55 pm

When I hit 5 million net worth, I bought myself a 25k car.

Dick D
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Re: Do you reward yourself for achieving a financial goal?

Post by Dick D » Wed May 15, 2019 10:06 pm

Depending on the financial goal reached my reward would be satisfaction, gifts to family members, extra donations to a charity.

WildBill
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Re: Do you reward yourself for achieving a financial goal?

Post by WildBill » Wed May 15, 2019 10:38 pm

softwaregeek wrote:
Wed May 15, 2019 9:55 pm
When I hit 5 million net worth, I bought myself a 25k car.
Spendthrift !! :mrgreen:
"Through chances various, through all vicissitudes, we make our way." Virgil, The Aeneid

SoAnyway
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Re: Do you reward yourself for achieving a financial goal?

Post by SoAnyway » Wed May 15, 2019 10:51 pm

To answer the question in the thread title, no.
The "psychic reward" of knowing that I actually achieved my goal (financial or otherwise) IS the reward.
Next step: Set next "life goal" - whether time/$/physical- or emotional- or mental- health-related.
Rinse and repeat.
Happy, happy!! :happy
Nothing in this post constitutes legal or medical advice. | Consult your attorney or physician to verify if/how anything stated might or might not be applicable to your specific situation.

traveler901
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Re: Do you reward yourself for achieving a financial goal?

Post by traveler901 » Thu May 16, 2019 1:56 am

I don't really understand the idea behind this. Hitting a net worth of 250k doesn't necessarily mean you can afford a Rolex. Buying fancy material things is more dependent on disposable income IMO (although I don't even wear a watch so I may have a biased view on the Rolex example)

Anyways, I have financial goals that I set every year ($ saved) and I have NW milestones in mind for the longer future. I don't put off experiences until I hit those NW goals but I definitely am making sure I hit my annual savings goals. We go on great international vacations every year, go out for drinks with friends, try out cool restaurants, etc. If you can afford to do those things within your means then I wouldn't put it off until hitting some arbitrary NW figure.

Doc7
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Re: Do you reward yourself for achieving a financial goal?

Post by Doc7 » Thu May 16, 2019 4:33 am

With retirement savings of 410K and only our mortgage as debt, I feel it would be crazy at this point in my life to buy something like a Rolex.

I could certainly see us going out for a Ruth's Chris dinner at 500K retirement savings or something like that, maybe just to acknowledge sticking on budget for over one decade, etc, but not thousands on something.


Although, I will tell you, when I was very young and very dumb, I did have thoughts like you are having. I thought when I hit 100K I would have a "100K Liquor Party" with several kinds of expensive bottles of liquor. This is the same Doc7 that sold a Honda Accord to buy an Infiniti G35X, couldn't handle the pile of 78 x $100 bills on his dressed from the Honda sale, took a picture of himself lighting a cigar with one of the hundreds on fire, didn't like the photo, and then took a SECOND selfie of himself lighting a cigar with another hundred on fire, and then decided the photo idea was ridiculous in the end and proceeded to spend all those $100s on beer and extravagant tips at Applebee's, nightly, for a year. So I wouldn't be proud of anything 2008 Doc7 had going on in his head.

Shortly thereafter, I sold the Infiniti for a much older truck, paid off all debts, got married, paid off wife's debts, and have lived debt free and on budget ever since. Luckily, I was saving 17% to retirement since my first post-college paycheck thanks to Bogleheads, although that didn't prevent me from engaging in the mess above. Making $50K in overtime at that point in my life by living at my job as a young single person was not conducive to good spending habits for a short period of time.

London
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Re: Do you reward yourself for achieving a financial goal?

Post by London » Thu May 16, 2019 4:57 am

I don’t deprive myself now, so I don’t tend to celebrate milestones. But every year on bonus day we go out to eat as a family. At the end of the meal, I lay a huge tip on the waiter. The equivalent of tipping $100 on a $50 check. I used to wait tables and always wished someone would do that when I needed money. Now I make a great living and it makes me happy to do it. I don’t make a show of it, I get out of there before the waiter sees it.

bluebolt
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Re: Do you reward yourself for achieving a financial goal?

Post by bluebolt » Thu May 16, 2019 5:35 am

When I think of my investments in terms of their annuitized/SWR value, they don't seem so impressive and I am not so tempted to reward myself.

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djpeteski
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Re: Do you reward yourself for achieving a financial goal?

Post by djpeteski » Thu May 16, 2019 5:55 am

Schlabba wrote:
Wed May 15, 2019 2:53 am
Hi,

Like the title says, did you ever buy luxury for as a reward? Like a nice rolex when reaching 250000 net worth or a new BMW at 500000 or something like that?
With the numbers you cite the rewards greatly outpace the achievements.

My thought was to buy myself a Sekio watch when I hit the two comma club as that is the mostly commonly worn watch by millionaires according to The Millionaire Next Door, but decided I did not want to spend the money on something I would rarely wear. However, I did buy a nice Garmin which is similar in price but for fitness purposes.

bluebolt
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Re: Do you reward yourself for achieving a financial goal?

Post by bluebolt » Thu May 16, 2019 6:05 am

djpeteski wrote:
Thu May 16, 2019 5:55 am
Schlabba wrote:
Wed May 15, 2019 2:53 am
Hi,

Like the title says, did you ever buy luxury for as a reward? Like a nice rolex when reaching 250000 net worth or a new BMW at 500000 or something like that?
With the numbers you cite the rewards greatly outpace the achievements.

My thought was to buy myself a Sekio watch when I hit the two comma club as that is the mostly commonly worn watch by millionaires according to The Millionaire Next Door, but decided I did not want to spend the money on something I would rarely wear. However, I did buy a nice Garmin which is similar in price but for fitness purposes.
Nice work with the Garmin. Rewarding yourself by investing in your fitness/health is a great idea. So, buy that new bike, treadmill, fitness watch, or gym membership when you hit a milestone.

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Psyayeayeduck
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Re: Do you reward yourself for achieving a financial goal?

Post by Psyayeayeduck » Thu May 16, 2019 6:05 am

GlacierRunner wrote:
Wed May 15, 2019 2:37 pm
Psyayeayeduck wrote:
Wed May 15, 2019 5:25 am
Chipolte. With Guac. :moneybag :D

Might even throw in chips and guac. :moneybag :moneybag
Nice!

We dubbed $1 million net worth the "neapolitan club" and have made a 1/2 gallon of Breyers ice cream our reward of choice.
I hope it you eat the whole thing in one sitting. I would if I reached $1M net worth. :twisted:

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ChowYunPhat
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Re: Do you reward yourself for achieving a financial goal?

Post by ChowYunPhat » Thu May 16, 2019 6:30 am

Rewarding yourself in moderation is a great way to celebrate the milestones. We love to do a nice dinner out, "Treat Yoself" day akin to the Parks And Rec episode but with a much lower spending cap :) , or a special bottle of scotch. Again, not going overboard but if you hit a multiple of $500K/$1MM or get some variable income as a bonus then it would seem silly not to celebrate a little.

A car or rolex would be way out of the norm for us. It's just tough accumulating wealth if status brands are part of the mix...big headwinds during your accumulation phase. Nice cars and overly large homes are among the largest headwinds and recommend avoiding if possible.
A wise man and his money are friends forever...

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djpeteski
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Re: Do you reward yourself for achieving a financial goal?

Post by djpeteski » Thu May 16, 2019 9:29 am

bluebolt wrote:
Thu May 16, 2019 6:05 am
Nice work with the Garmin. Rewarding yourself by investing in your fitness/health is a great idea. So, buy that new bike, treadmill, fitness watch, or gym membership when you hit a milestone.
Thanks bluebolt. I just did my first HIM last Saturday in Panama City, FL. The swim was super challenging, but really we had the trifecta of course challenges. High waves and wind on the swim, a 12 mph head wind for 22 miles on the bike, and 98 degrees on the run. I finished it, a lot slower than I liked, but it has boosted my confidence so much. An IM attempt is certainly in my future. I own a good, but not great bike.

jayk238
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Re: Do you reward yourself for achieving a financial goal?

Post by jayk238 » Thu May 16, 2019 9:31 am

sambb wrote:
Wed May 15, 2019 3:03 am
you left out a zero from my perspective
maybe buy something) at 2,500,000. Usually it might be a starbucks coffee
nice car (1-2 years old, preowned) at 5,000,000 if needed and old car is ready to be turned in, not as a reward though

at 250,000 or 500,000 not really on the radar for me, thats just money for retirement, and not really a reward style of purchase
Lol at the comments here. A starbucks at 2.5 million? I understand the philosophy of avoiding daily purchases but damned if im not rewarding myself for aggressivey saving and building wealth. Whats the point of all that money if you dont enjoy the fruits of labor along the way.

Smh. At 2.5 million if your income is more than 100k and youre under 5 i think one can reward themselves with a shiny new toy.

jayk238
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Re: Do you reward yourself for achieving a financial goal?

Post by jayk238 » Thu May 16, 2019 9:34 am

Doc7 wrote:
Thu May 16, 2019 4:33 am
With retirement savings of 410K and only our mortgage as debt, I feel it would be crazy at this point in my life to buy something like a Rolex.

I could certainly see us going out for a Ruth's Chris dinner at 500K retirement savings or something like that, maybe just to acknowledge sticking on budget for over one decade, etc, but not thousands on something.


Although, I will tell you, when I was very young and very dumb, I did have thoughts like you are having. I thought when I hit 100K I would have a "100K Liquor Party" with several kinds of expensive bottles of liquor. This is the same Doc7 that sold a Honda Accord to buy an Infiniti G35X, couldn't handle the pile of 78 x $100 bills on his dressed from the Honda sale, took a picture of himself lighting a cigar with one of the hundreds on fire, didn't like the photo, and then took a SECOND selfie of himself lighting a cigar with another hundred on fire, and then decided the photo idea was ridiculous in the end and proceeded to spend all those $100s on beer and extravagant tips at Applebee's, nightly, for a year. So I wouldn't be proud of anything 2008 Doc7 had going on in his head.

Shortly thereafter, I sold the Infiniti for a much older truck, paid off all debts, got married, paid off wife's debts, and have lived debt free and on budget ever since. Luckily, I was saving 17% to retirement since my first post-college paycheck thanks to Bogleheads, although that didn't prevent me from engaging in the mess above. Making $50K in overtime at that point in my life by living at my job as a young single person was not conducive to good spending habits for a short period of time.
Certainly hope you dont have any social media posts committing said felony above as us tender is NOT your property :)

just1question
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Re: Do you reward yourself for achieving a financial goal?

Post by just1question » Thu May 16, 2019 10:13 am

I hit my minimum retirement number at the beginning of April. Bought myself some socks. Ok, I was going to buy them anyway. Truth is, I no longer get much satisfaction from splurging on myself. A nice meal here, a nice bottle of wine there. I'm more interested in FIRE.

mmmodem
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Re: Do you reward yourself for achieving a financial goal?

Post by mmmodem » Thu May 16, 2019 10:15 am

jayk238 wrote:
Thu May 16, 2019 9:31 am
sambb wrote:
Wed May 15, 2019 3:03 am
you left out a zero from my perspective
maybe buy something) at 2,500,000. Usually it might be a starbucks coffee
nice car (1-2 years old, preowned) at 5,000,000 if needed and old car is ready to be turned in, not as a reward though

at 250,000 or 500,000 not really on the radar for me, thats just money for retirement, and not really a reward style of purchase
Lol at the comments here. A starbucks at 2.5 million? I understand the philosophy of avoiding daily purchases but damned if im not rewarding myself for aggressivey saving and building wealth. Whats the point of all that money if you dont enjoy the fruits of labor along the way.

Smh. At 2.5 million if your income is more than 100k and youre under 5 i think one can reward themselves with a shiny new toy.
I had this conversation with a co-worker once about cell phones. We are both techy individuals. We can easily afford a brand new phone every year. While others may call it excess, we both thoroughly enjoy the new features and speed increases every year. He upgrades every year and I upgrade less seldom and live vicariously through other people's new phones.

He argued what's the point of saving all that money. I argue that it brings me more joy to save that money than to spend it. He shakes his head. I smile blissfully unaware of this thing called instant gratification.

When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief. It was a slightly bigger sigh as we recrossed that line again this year. I will reward myself with that shiny toy at the finish line. Every fruit of labor along the way only slows me down. I'm not in a rush. I just don't need the reward.

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Darth Xanadu
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Re: Do you reward yourself for achieving a financial goal?

Post by Darth Xanadu » Thu May 16, 2019 11:26 am

mmmodem wrote:
Thu May 16, 2019 10:15 am

When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief.
:shock: I should hope so!
"A courageous teacher, failure is."

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goingup
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Re: Do you reward yourself for achieving a financial goal?

Post by goingup » Thu May 16, 2019 11:49 am

No. I don't frame our spending like that. When we started to have higher income and meet annual savings targets and still have a bunch left, the travel got a little nicer.

I don't think about milestones equating to rewards.

rj342
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Re: Do you reward yourself for achieving a financial goal?

Post by rj342 » Thu May 16, 2019 12:11 pm

What's funny about this whole topic...
I remember reading The Millionaire Next Door and thinking, some of these examples in the book are *so* tight, what is the money they are accumulating *for*? They don't sound like they could let themselves enjoy the money [responsibly] when they do retire. There has to be a decent balance.

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gilgamesh
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Re: Do you reward yourself for achieving a financial goal?

Post by gilgamesh » Thu May 16, 2019 12:18 pm

Schlabba wrote:
Wed May 15, 2019 2:53 am
Hi,

Like the title says, did you ever buy luxury for as a reward? Like a nice rolex when reaching 250000 net worth or a new BMW at 500000 or something like that?
Rewarding myself and financial milestones are not related...I have a retirement plan, I already have a Rolex and Porsche for almost 16 years now. Retirement in 8-10 years.
Last edited by gilgamesh on Thu May 16, 2019 12:26 pm, edited 1 time in total.

mptfan
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Re: Do you reward yourself for achieving a financial goal?

Post by mptfan » Thu May 16, 2019 12:25 pm

Darth Xanadu wrote:
Thu May 16, 2019 11:26 am
mmmodem wrote:
Thu May 16, 2019 10:15 am

When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief.
:shock: I should hope so!
Indeed. I would be relaxed long before I reached my first billion.

rj342
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Re: Do you reward yourself for achieving a financial goal?

Post by rj342 » Thu May 16, 2019 12:33 pm

mak1277 wrote:
Wed May 15, 2019 8:42 am
I don't buy things when I hit milestones, I buy them when I want them. I bought a Rolex because I wanted it. I go on nice vacations because I want to.

I don't believe early retirement would be worth it if I had to live less of a life than I desire.
Obviously things have to be reasonable for your situation, but I remember when I read The Millionaire Next Door way back when having the reaction that "Some of these people are SO tight, what is all the money they are saving FOR?"
When does the money become something beyond future actual security or purchasing power, and an end in itself?

Because the other book I think about from time to time is Die Broke.

wrongfunds
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Re: Do you reward yourself for achieving a financial goal?

Post by wrongfunds » Thu May 16, 2019 12:39 pm

mptfan wrote:
Thu May 16, 2019 12:25 pm
Darth Xanadu wrote:
Thu May 16, 2019 11:26 am
mmmodem wrote:
Thu May 16, 2019 10:15 am

When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief.
:shock: I should hope so!
Indeed. I would be relaxed long before I reached my first billion.
I suspect there is some confusion with 8 digits versus 3 commas; a very likely mistake as we all do that!

NotWhoYouThink
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Re: Do you reward yourself for achieving a financial goal?

Post by NotWhoYouThink » Thu May 16, 2019 1:02 pm

TomatoTomahto wrote:
Wed May 15, 2019 1:16 pm
WildBill wrote:
Wed May 15, 2019 9:46 am
TomatoTomahto wrote:
Wed May 15, 2019 5:45 am
When we hit a significant milestone, I now buy Kona coffee without feeling like I’m a spendthrift.
I still can’t get myself to splurge on business class tickets.
Howdy
When you have figured out a way to talk yourself into it let me know.
I can’t either.
W B
When one of us (wife/me) gets close to doing it, the other one says, “Really?” She’s taking a trip to Australia this summer, and did decide that Premium Economy was worth it and is doing it. We have flown Business and First Class when on business or on points upgrades, and we know it’s nice, but still, the thought comes back, “who do we think we are?”

It’s funny, because we do spend a lot on other things (house, education, etc), and we really can easily afford it (not BMW at $500k), but it just rubs us the wrong way.
To Australia she should try business.

We paid for business for the first time recently, and I'm not sure we can go back. We were well into 2 comma territory before I ever splurged on paying $15 for Early Bird check-in on Southwest, but we are old enough now to have some confidence in predicting that paying for international business class when we don't have enough points to get there "for free" is not going to ruin our retirement security. Plus, it's more enjoyable, or at least less miserable. By a lot.
softwaregeek wrote:
Wed May 15, 2019 9:55 pm
When I hit 5 million net worth, I bought myself a 25k car.
A kindred spirit. zoom zoom

latesaver
Posts: 158
Joined: Thu Aug 03, 2017 3:35 pm

Re: Do you reward yourself for achieving a financial goal?

Post by latesaver » Thu May 16, 2019 1:15 pm

i might buy a pellet grill once i pass $2M of investments...

i might buy a pellet grill even if i don't.

MathWizard
Posts: 3424
Joined: Tue Jul 26, 2011 1:35 pm

Re: Do you reward yourself for achieving a financial goal?

Post by MathWizard » Thu May 16, 2019 1:18 pm

I don't. The money is just a means to an end, not the goal itself.

Causes for celebration are life changing milestones, birth of a child, graduations, weddings, anniversaries.

By having the money, we were able to take some nice vacations, which we could not have
when we did not have as much.

Paying off the house was perhaps the only one that felt good, but it didn't change our net worth any.
Savings just dropped by the lump sum, and the money we were spending on the mortgage was just redirected into
retirement saving. Getting interest was better than paying interest though.

Passing 1 million invested did not even make the grade, because I know we could have slipped back under
during a large downturn.

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TomatoTomahto
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Re: Do you reward yourself for achieving a financial goal?

Post by TomatoTomahto » Thu May 16, 2019 1:21 pm

NotWhoYouThink wrote:To Australia she should try business.

We paid for business for the first time recently, and I'm not sure we can go back.
To complicate matters, she’s going with our son. Many years ago, the family flew Business to London, spent a few days there, and then flew Coach to South Africa. Business class had really nice lie flat beds, which were beyond wonderful, but we couldn’t get 4 seats in Business class for the second leg of the trip.

So, anyway, when we board the plane for the long flight to S.A., our son looks at the regular seats and says, “What, no bed????”

So, there’s some desire to find something between Coach and the luxurious class of flight. :D Probably Qantas premium economy won’t spoil our son excessively.
Okay, I get it; I won't be political or controversial. The Earth is flat.

DonIce
Posts: 601
Joined: Thu Feb 21, 2019 6:44 pm

Re: Do you reward yourself for achieving a financial goal?

Post by DonIce » Thu May 16, 2019 1:23 pm

mmmodem wrote:
Thu May 16, 2019 10:15 am
When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief.
You could probably have relaxed with 100x less money :)

DonIce
Posts: 601
Joined: Thu Feb 21, 2019 6:44 pm

Re: Do you reward yourself for achieving a financial goal?

Post by DonIce » Thu May 16, 2019 1:50 pm

I spend money on the things I think are worth spending money on as I go. So no real need to spend extra when hitting various milestones.

mmmodem
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Re: Do you reward yourself for achieving a financial goal?

Post by mmmodem » Thu May 16, 2019 2:27 pm

DonIce wrote:
Thu May 16, 2019 1:23 pm
mmmodem wrote:
Thu May 16, 2019 10:15 am
When we crossed 3 commas last year, I just relaxed and breathed a sigh of relief.
You could probably have relaxed with 100x less money :)
Hah! So many commas, I don't even know what to do with them. :sharebeer

zeal
Posts: 140
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Re: Do you reward yourself for achieving a financial goal?

Post by zeal » Thu May 16, 2019 10:29 pm

Retirement for us is an age, not a dollar amount, so our goal there is not financial. I guess the goal is to enjoy healthy lives and try not to die too early.

Our only real financial goal was created in an effort to get my wife more engaged in our finances. I told her that at every $100k net worth milestone, we'll take a trip somewhere for up to 2% of it—$2k trip at $100k, $4k at $200k, $6k at $300k, etc. I basically picked 2% from a hat, so the number may need tweaking as we get older and accumulate more. Actual expenses for our $100k trip were only ~$1.5k.

For anyone wondering, she did ask me what our net worth was the other day—a question she probably would never even think about a year ago. Guess it’s working!

SoAnyway
Posts: 394
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Re: Do you reward yourself for achieving a financial goal?

Post by SoAnyway » Thu May 16, 2019 10:39 pm

TomatoTomahto wrote:
Thu May 16, 2019 1:21 pm
NotWhoYouThink wrote:To Australia she should try business.

We paid for business for the first time recently, and I'm not sure we can go back.
To complicate matters, she’s going with our son. Many years ago, the family flew Business to London, spent a few days there, and then flew Coach to South Africa. Business class had really nice lie flat beds, which were beyond wonderful, but we couldn’t get 4 seats in Business class for the second leg of the trip.

So, anyway, when we board the plane for the long flight to S.A., our son looks at the regular seats and says, “What, no bed????”

So, there’s some desire to find something between Coach and the luxurious class of flight. :D Probably Qantas premium economy won’t spoil our son excessively.
TomatoTomahto, I heard you calling my name.... (see red above). SoAnyway, I'd love to join this kindred spirits club.... ; )

I'm in the same boat. When considering paying biz class pricing on my own dime (let's not even get into paying on my own dime for First... :o), I have the same thoughts as you two (and TT's wife): Yes I can afford it; Yes, I know from many past experiences that cost me nothing in cash that it'll be much much more comfortable; but Really?? I just can't justify it to myself.... Sidebar: I've not yet gotten to buying Kona as anything other than a rare treat, TT, but you inspire me.... Back on the rails:

FWIW TT, I made a similar compromise in talking myself into "Premium Economy" on AirCanada to Asia a while back. It was the perfect compromise. VERY comfortable, great amenities - esp. the "lie-back" chair - and less guilt than paying OOP for Biz or First. I've not done Qantas Premium Economy - Hopefully, your wife and son have a good experience. If not, at least you (and they!) can take comfort in this . Short version: Channel your inner "autistic savant" voice - in the best imitation of Dustin Hoffman that you can muster - saying to Tom Cruise, "Qantas. Qantas never crashed...." ; )

OP, sorry for the hijack; I couldn't resist the call. The answer to your query is in my earlier post.

And btw, if any of y'all (esp. the younger set) are into movies and/or follow the "What Movie Have You Recently Watched?" thread on this board and didn't immediately recognize the clip linked above and/or haven't seen "Rain Main", you've totally been missing out. There's a reason that it won the Oscars for Best Picture, Best Actor, Best Director and Best Original Screenplay that year. Just sayin'....

Now back to your regularly scheduled programming of all of your wise responses to OP's query:
Schlabba wrote:
Wed May 15, 2019 2:53 am
Like the title says, did you ever buy luxury for as a reward? Like a nice rolex when reaching 250000 net worth or a new BMW at 500000 or something like that?
Last edited by SoAnyway on Sat May 18, 2019 12:02 am, edited 1 time in total.
Nothing in this post constitutes legal or medical advice. | Consult your attorney or physician to verify if/how anything stated might or might not be applicable to your specific situation.

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TomatoTomahto
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Re: Do you reward yourself for achieving a financial goal?

Post by TomatoTomahto » Fri May 17, 2019 5:09 am

SoAnyway wrote:TomatoTomahto, I heard you calling my name.... (see red above). SoAnyway, I'd love to join this kindred spirits club.... ; )

I'm in the same boat. When considering paying biz class pricing on my own dime (let's not even get into paying on my own dime for First... :o), I have the same thoughts as you two (and TT's wife): Yes I can afford it; Yes, I know from many past experiences that cost me nothing in cash that it'll be much much more comfortable; but Really?? I just can't justify it to myself.... Sidebar: I've not yet gotten to buying Kona as anything other than a rare treat, TT, but you inspire me.... Back on the rails:
So, anyway, my calling your name was semi-conscious. :D
Kona coffee is something I have given in on. It’s SO good, and so easy on the GI system, even if you drink it strong and black; it has become the standard cuppa here. I never buy expensive outside (eg Starbucks) coffee, so I probably break even.

Btw, Qantas doesn’t have a u in the name, but you can’t use it in Scrabble because it’s a proper noun.
Okay, I get it; I won't be political or controversial. The Earth is flat.

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