Waste of Money

[ferco]

As you reflect back in time what have been your areas of waste or inappropriate use of your money/funds both pre FI and during FI using the retrospectoscope ?

 

[Walt34]

That's easy! Diamond ring for wife #1. Without question the dumbest thing I ever did.

 

[easysurfer]

Back about 1995, I bought a service contract for about $250 on a new computer system. The contract was clipped with the magnetic holder that I still have on my refrigerator. Needless to say, I never had a need to use the service contract.

That was the most expensive magnetic holder I ever paid for.

 

[skyvue]

Buying a home 3 years ago. I was a happy renter for years saving a ton of cash. My overall expenses of owning are $15,000 more per year owning versus renting. Granted my new place is nicer than the old place i rented but it really means nothing to me. I sit on the same couch and sleep in the same bed.

 

[Ed_The_Gypsy]

Paying for kids' college. Maybe.

 

[Onward]

Throughout the 90s I actively traded stocks, options, and futures. Doh!

 

[Chelhxi]

The only thing for me was I shouldn't have bought a car 5 years ago. Could have had at least an extra $15,000 now. Though my new husband uses the car now and it should last another 5- 10 years, so it worked out ok.

I should have just rented or taxied more often if I didn't feel like busing. I barely drove the car in the 4 years before I got married. I still bused to work in the winter as I didn't want to get stuck and deal with winter driving hassle. I walked to work a lot in the summer. I pretty much just used it in the evenings to visit my then boyfriend - so at least that was helpful.

If I wasn't married I'd go back to car-free in a second. I hate everything to do with vehicle ownership, and the cost doesn't help for FI.

Though admittedly, I still think about RV living in retirement. Though that is more a house than a car.

 

[kcowan]

There are too many things to recount here. Post-retirement, I would say clothes have been the worst investment, especially now that all I really need are sandals and shorts.

 

[fritz]

As you reflect back in time what have been your areas of waste or inappropriate use of your money/funds both pre FI and during FI using the retrospectoscope ?

Doesn't this fall under the "if I knew then, what I know now" category....

Like accountants (purveyors of historical information) - can always tell you with great accuracy what went wrong, but not usually too good looking forward ;-)

 

[TromboneAl]

The biggest waste was things like the amounts wasted by not structuring car insurance or telephone charges properly. For years I wasted money on collision insurance even though the car was worth only a few thousand. I wasted over $20/month on AT&T instead of using a dialaround service.

Most recent waste: Cleaning the heating ducts.

 

[WhoDaresWins]

Boy, where do I begin? First thing that comes to mind has to be the (groan) fixed annuity.

 

[Alan]

Furniture and house decorating. DW is very frugal for a DW, but she definitely changed the furniture far more often than I would have, and we only ever decorated when she said it needed it which was always way before I would have done it.

But then again, we've been living happily together for 36 years so maybe it was actually money well spent as separation would have cost a whole lot more

 

[Onward]

I hate everything to do with vehicle ownership

That sums it up well, for me too. This might sound crazy, but when I had a car, and had to fork over yet more $$ to repair/register/insure/fill it, I couldn't shake this image of the demon-ghost of Henry Ford clinging to my back and sinking his fangs into my neck. I started walking & biking, and I haven't seen him since.

 

[Lazarus]

Yeah, cars cost a lot. Got two of them one for me and one for the wife. Most I have ever paid for a car is $16K and that was for a new one. I would not be willing do do without a pickup truck much less a car.

I would not want to live in an downtown environment where a car is not necessary. Would rather live in the sticks. Although I am just in the suburbs for now.

But controlling car costs I think is key to retirement. How many ads I have heard about "smart leases" and such things encouraging buying cars for reasons other than transportation for more than they can afford.

Lets lease a fancy car to impress people we don't know on the way to work to pay for it.

 

[NW-Bound]

Though admittedly, I still think about RV living in retirement. Though that is more a house than a car.

When I mentioned to my friend about my recent discovery that I had about RV full-timing, that is it is possible to live cheaply in an RV, to have everything you really need with you, and being on travel at the same time, he said "yeah, like a turtle".

Sure sounded funny, but yes, there is a certain allure to being like a turtle.

 

[Bimmerbill]

Cars, motorcycles, more cars, more motorcycles.

 

[harley]

This big fancy house we live in now. It's beautiful and we're really enjoying it, but it's much bigger than we need. I like having the rooms for guests and all, but basically each individual room could be significantly smaller and still fully functional. And since we built it at the height of the market we'll probably never get our money back on it. I know your home isn't usually considered an investment, but it sucks watching a paper value drop so far. At least with the stock market some of the pain went away pretty quick. Not so in the housing market.

 

[Alan]

I hate everything to do with vehicle ownership, and the cost doesn't help for FI.

I agree and we've tried to limit our costs as best we can (Re'd 2 weeks ago and we sold DW's car 3 weeks ago )

DW and I were reminiscing about the 2 different cars in England we owned that used to suffer from sudden acceleration (as in, this latest scandal is not a new phenomena ). The first was one pre-electronic ignition and it only happened in the snow, which made it doubly dangerous. First time was when I was exiting one motorway to join another !! Whenever it happened the throttle was jammed opened and I had to turn off the engine, stop and slacken off the throttle cable. Later, when it warmed up the cable would slacken off so much it would drop to idle and the pedal go completely slack and I would have to tighten back up the cable. Tried changing cable to no avail and it only happened when snow was actually falling - cold temps didn't seem to have an affect. I used to keep the correct size wrench in the glove box as it happened every time we drove while it was snowing.

The other car we had like that was just before we came to the USA. It was only a few months old and it happened reasonably often except when we took it back to the dealer who could never replicate the problem. They changed everything - carburettor, computer, temperature sensor etc. After 6 months of this it was mis-behaving when I drove back from Scotland and I drove it straight to the big regional dealer, left the engine running at high revs, got the manager out so he could see the engine racing and the temperature gauge showing cold. We switched the engine off, started it back up - normal, gauge reading correctly. He then traced a wiring bundle to the firewall, unplugged it, tightened up some of the female pins with a pair of long nosed pliers, and we never had the problem again. - Cars

 

[W2R]

Paying for my ex-husband's flying lessons for a year back in 1976.

I made twice what he made in the Navy, so we lived on his salary and 100% of mine went for his flying lessons.

My salary was only enough for one of us to take flying lessons. But we were young, and he smiled at me in his handsome, charming way, and I melted....

 

[travelover]

Paying for my ex-husband's flying lessons for a year back in 1976.

I made twice what he made in the Navy, so we lived on his salary and 100% of mine went for his flying lessons.

My salary was only enough for one of us to take flying lessons. But we were young, and he smiled at me in his handsome, charming way, and I melted....

Thanks for reminding me. Easily the biggest waste was XDW's ballroom dancing lessons. Screw you Arthur Murray!

 

[Gumby]

Credit life insurance on my first car loan in 1981. I was 22 years old and single. I thought you had to sign for it to get the financing, and the dealership wasn't about to disabuse me of that notion.

 

[ksr]

I hate everything to do with vehicle ownership, and the cost doesn't help for FI.

Me too. In fact, I think I have SO convinced that the next time one of our cars needs to be replaced, we should try just sharing a car. I think we could do it easily. He's a little hesitant, but I told him we can give it a try and if it doesn't work out, we can always go out and buy a second vehicle.

At the end of 2008, I was commenting to him that since I RE, I'll bet I drive less than 3K miles a year. He suggested I track the mileage for 2009. I did, and I came out to 2600 miles. And most of that is because I still work a few hours a week. It would be less than 1K otherwise.

 

[calmloki]

...
DW and I were reminiscing about the 2 different cars in England we owned that used to suffer from sudden acceleration (as in, this latest scandal is not a new phenomena ).... Cars

Remembering a diesel Rabbit VW that had blow-by issues. When enough crankcase oil built up in the intake plenum it would start slopping over and getting burned. Quite happily and with great vigor and black smoke I might add. It didn't much care if the oil was sprayed from the injectors or poured in with the combustion air from the plenum. Once it started it was off to the races, and being a diesel it really didn't care if the ignition switch was turned off - with air, compression, a nice hot engine, and a fuel source it was happy to accelerate till the oil stopped feeding. That was about as exciting as the diesel Rabbit got, so once we knew what it was we just went with it. Recalls. snicker.

 

[RAE]

Paying for kids' college. Maybe.

Ditto

 

[deserat]

Oh gosh - so many - however, to me the attitude I had of using shopping as a social and weekend activity - going to the mall and spending money - yikes - amazing I was able to break that and now frankly loathe shopping.

Cars - yes, getting finally wise and buying reliable cars and maintaining them properly. I've usually lived in places where mass transit was not an easy option, so cars were a necessary evil.

Houses - have been very lucky in that department - very lucky. But then, was careful - location, location, location - also, pre-pay the mortgage. Still remember refinancing the house to a ten year payoff in the heyday years (just a few years ago!) and having the notary look at me like I was crazy for doing a ten year loan and not taking equity out.

Clothes - oh, have spent stupid amounts on clothes when a young engineer. Not anymore!

Have not regretted paying for any vacations I've taken - have not regretted paying for any visits I made to family across the world/nation.

Some kitchen gadgets I've purchased were crazy - although there are some (the KitchenAid and food processor and plastic mandoline) that are awesome tools I wouldn't want to lose.

Having my own sports equipment for those sports I continually engage in I do not regret (snow skis /boots, graphite badminton rackets, hiking boots)