Indicators of Wealth?

[Joylush]

I guess I'm at the point of feeling wealthy. I worry about spending enough so as not to owe any estate taxes. I spend on what I want and have enough to live comfortably for the rest of my life and still leave an inheritance.

So I'm focusing on annual giving to others/not charity. I have paid relatives school expenses, recently paid off a few student loans form my daughter's best friend, contributed to my daughter's car purchase. I bought a duplex recently (I have a lot of rental houses) which probably wasn't the greatest investment (I had to put more into it than I could immediately sell it for) but I did it as a hobby, to improve the neighborhood and to be able to offer quality affordable housing to a few more people.

I don't spend much on myself and need to learn to that more. I do tend to focus my giving on those who would never ask or expect it. I look at it as investing in responsible people. I'm not to the point of being overly generous towards those who I see as being responsible for their own neediness.

[ShokWaveRider]

One Point on Cars, If you lease it, it does not matter what happens in a parking lot, fix it and give it back at the end of the lease.

[Totoro]

Quote:

Originally Posted by clobber What things would a wealthy person think of as good value for money that others would not?

Anything related to time.

Traveling somewhere faster if you don't like travel, giving work to people for things you don't like to do yourself.

Your own private jet on permanent standby can be a great deal for saving buckets of time to get where you want to be.

Same thing with a personal shopper.

[Pilot2013]

Quote:

Originally Posted by marko You may be asking for indicators of wealth but all I see posted are indicators of spending. Whether a private jet, Maserati or a mansion, they don't indicate wealth. They could indicate wealth, but everyone on this forum has stories about the 'rich' guy down the street who was really $1MM in the hole. I'm not sure there is a true physical indicator although there may be intangible ones. An intangible indicator might be waking up every morning knowing that you can do whatever you want to do and not worry about how to pay for it.

Lots of good discussion here, but I agree with this post. I think indicator of wealth is different for everyone. To me, it will be when I continue to work because I WANT to, or don't continue to work, because I DON"T WANT to.

[zesty]

Quote:

Originally Posted by clobber 3) Never consider staying at Motel 6 or Super 8.

I had enough bad experiences at those chains that I stopped going to them before I'd even saved 6 figures.

Now it's Hamptons or bust.

[hesperus]

I suppose the only true physical indicator of wealth is a current financial statement, but I'm not about to share that with anyone
Other than that, this thread is all about spending. It's easy to spend, much harder to amass wealth.

[audreyh1]

Quote:

Originally Posted by Joylush I guess I'm at the point of feeling wealthy. I worry about spending enough so as not to owe any estate taxes. I spend on what I want and have enough to live comfortably for the rest of my life and still leave an inheritance.

Hey - that's a good measure!

If we ever make it above $10.9M (or whatever the estate tax exemption is for a couple in a given year), we'll be sure to spend the excess!!

Even if we have to buy business class tickets to do it!!!

[audreyh1]

Quote:

Originally Posted by zesty I had enough bad experiences at those chains that I stopped going to them before I'd even saved 6 figures. Now it's Hamptons or bust.

Same here! On a long road trip staying in decent hotels really helps.

Although we had saved much more before we started that habit.

[2017ish]

Quote:

Originally Posted by zesty I had enough bad experiences at those chains that I stopped going to them before I'd even saved 6 figures. Now it's Hamptons or bust.

Hampton Inns? Or "the Hamptons"?

[NW-Bound]

With my 60th birthday coming up, here's a splurge that I have half-jokingly told people in my family for some years now. That is I will get myself a bottle of Cognac worth costing about $1,500.

But now, I am not at all sure that I am going to go through with it. I don't care that much anymore. And about birthdays, I never really celebrate it. Just another day.

I think my wife and children will do something for me. Else, I would just go to bed early as usual. There were years I forgot it was my BD, until somebody reminded me.

PS. If they give me a bottle like this, I may tell them to return it to the store and save themselves the money.

PPS. If my wife gives me another $150 bottle, I would gladly accept it even though I still have 2 or 3 unopened bottles like that in my cabinet.

[RunningBum]

Quote:

Originally Posted by Pilot2013 Lots of good discussion here, but I agree with this post. I think indicator of wealth is different for everyone. To me, it will be when I continue to work because I WANT to, or don't continue to work, because I DON"T WANT to.

I thought that's what the OP was looking for, your personal indicator of your own wealth, not trying to look at things others are doing and trying to determine if they are wealthy or not. It wasn't clearly stated, but that seemed to be the drift to me.

As I tried to indicate in my first post on the thread, I have different levels.

Wealthy enough: to be able to retire early, not sweat overall retirement and being able to have the things I need and really want. That's where I feel I'm at now.

Wealthy: Able to buy and do pretty much whatever I want with very little regard for price. Not there, and I'm not doing anything to get there

I don't think the difference between the two really gains me any comfort or happiness, nor was I willing to work long enough to get to that second stage. Sometimes I look back at some decision I made, or failed to make that I actually considered (such as getting out of .com stocks before the bubble burst) that could have put me in that "wealthy" category had I done it differently, but ultimately I conclude it really wouldn't have changed much in my life.

[daylatedollarshort]

If spending isn't a good indicator of wealth, then that leaves net worth as an indicator. There is always the wealth-o-meter to see one's U.S. rank:

Wealthometer: USA

And globally the global rich list:

Global Rich List

[RobbieB]

I bought a $200 bottle of Cognac once and it was very nice, think I'll buy another.

I also bought a $300 bottle of Scotch (Macallan Rare Cask) and it's better than 12, but not a lot.

In other words I think the $200 Cognac is worth the diff over $50, but not the Scotch.

[Souschef]

Quote:

Originally Posted by RobbieB I bought a $200 bottle of Cognac once and it was very nice, think I'll buy another. I also bought a $300 bottle of Scotch (Macallan Rare Cask) and it's better than 12, but not a lot. In other words I think the $200 Cognac is worth the diff over $50, but not the Scotch.

I once bought a $300 bottle of Glenmorangie special edition that was in a Caithness decanter shaped like a still. After drinking (sipping) the scotch, I sold the decanter on eBay. My frugal genes kicked it

[ShokWaveRider]

Another indicator is NOT having to show or tell anyone you are wealthy.

[NW-Bound]

Quote:

Originally Posted by RobbieB I bought a $200 bottle of Cognac once and it was very nice, think I'll buy another. I also bought a $300 bottle of Scotch (Macallan Rare Cask) and it's better than 12, but not a lot. In other words I think the $200 Cognac is worth the diff over $50, but not the Scotch.

One Xmas, my two brothers who are also Cognac drinker and I did a side-by-side test with 3 bottles of Cognac: $25, $50, and $130. These corresponded to the VS, VSOP, and XO grades of a popular French distiller.

Our consensus was that the difference between the VS and VSOP was clear as day and night. The difference between the VSOP and XO was more subtle, and that after a few shots it hardly mattered anymore.

Recently, my son brought over a bottle of American brandy that I never had, saying "Dad you should try this". Man, he was right. It was not bad at all. And the price, well, I am not going to quote it because you will be biased by it.

I can understand paying more for better stuff, but when I cannot tell the difference, maybe because my palate is now shot or whatever reason, then I am not going to pay the higher price.

I drink alone or with family members, and do not have to impress anyone. And if I am happy with the cheaper stuff, heh, that's cause for celebration.

[RobbieB]

Yes, the important thing is to celebrate!

Tonight I'm not gonna do anything. Gonna get some taco's and an encharita from Taco Bell. Wash it down with Corona.

Gotta have some contrast -

[NW-Bound]

I need to add here that if I were rich, I would always buy the expensive stuff. Why?

Because expensive spirits come in nice bottles! Even if my palate gets dull, my eyesight is still good, and I retain some aesthetic senses.

Alas, I am not rich, as I have been saying through this thread. So, I have to ration my money according to what I perceive as value.


PS. My son invited us over for dinner tomorrow. I am logging off now to go get him that cheap, er, inexpensive American brandy that he likes, to bring to dinner.

[Sunset]

Quote:

Originally Posted by NW-Bound ....... Recently, my son brought over a bottle of American brandy that I never had, saying "Dad you should try this". Man, he was right. It was not bad at all. And the price, well, I am not going to quote it because you will be biased by it. I can understand paying more for better stuff, but when I cannot tell the difference, maybe because my palate is now shot or whatever reason, then I am not going to pay the higher price. I drink alone or with family members, and do not have to impress anyone. And if I am happy with the cheaper stuff, heh, that's cause for celebration.

+1

long time ago, my friends parents who I thought were rich were pretty snobby about the booze and food they ate.

One time I bought cheap grain neutral spirits, and performed a blind taste test with them and some friends vs their favorite vodka, nobody could tell the difference, and some insisted the "best" was really the cheap stuff.

Much later I realized the difference between acting wealthy and being wealthy, as they were really in debt.

[RobbieB]

I've been through a dozen vodkas and this is my new fav.

$20 a bottle. This is what I chill for caviar now -