Expensive or just plainly Stupid mistakes you made and wish you didn't

[saluki9]

Not something that cost me money, but:

- Never throwing caution to the wind and spending a week/month/year/decade doing interesting stuff. I've always chosen the safe, remunerative, societally-approved route. Have to say I am beginning to think I missed out for good.

Brewer, I couldn't agree more.

I started saving for retirement when I was in my early teens. Started researching stocks when I was 12, I started working when I was 12 (because I wanted to, not by my parents choice)

I worked every break, summer, etc. I graduated college on a Saturday and started work on Monday morning. I have not taken more than 8 days off in 9 years.

Now as my 20's come to an end, I'm married, have a new house, and feel like I really missed out on my 20's.

 

[brewer12345]

Now as my 20's come to an end, I'm married, have a new house, and feel like I really missed out on my 20's.

Heh, wait until the kids arrive.

You know, I used to laugh at the guys who bought shiny red sports cars and acted like jackasses ran around having fun when they hit their mid 40s...

 

[cj]

Re: Expensive or just plainly Stupid mistakes you made and wich you didn't

Bought a Lexus once. Great car, cost a fortune. Every routine service was $500 or better. Mileage lousy. Thrills: none. Image boost: none. Didn't feel like a good fit - I stepped out of my own skin on this one. Traded it in for a Prius. The Prius is my favorite car ever.

Ditto for me on this one, except substitute "Mercedes" for "Lexus" and "Honda Accord" for "Prius". Traded the stinkin' money-pit-Mercedes for the Honda in 1994, and I'm still driving the Honda. On the Mercedes, every service was SO expensive (hole in muffler = $1000 replace-the-whole-exhaust-system repair). And the paint job went bad in about 3 years. It was a terror driving in snow. I still love the Honda, and have had NO problems in 13 years.

Second mistake: hiring a "friend" as a financial advisor... buying an Equity-indexed annuity (inside an IRA for crying out loud! ) on his advice. Fired him soon after, bit the bullet on the surrender fees and dumped the EIA soon after.

CJ

 

[audreyh1]

A very expensive mistake - I can't say that is was "stupid" 'cause who knew!

I went back to graduate school and switched to working part-time, and as a result lost out on a second round of very lucrative stock options. That ended up being an extremely expensive master's degree that I probably didn't need, but for some reason was important to me at the time. The stock options were definitely "funny money" at the time as well, and the company didn't go public for another 11 years.

But gosh, looking back!

But really, who cares, I got in the first round of stock options and subsequently was able to RE in comfort after only 18 years of working for one company.....

Audrey

 

[FinanceDude]

I lost $10,000 in SUGAR futures in 1986.............. Thought I knew it all, and got whupped up on..............

If I would have put that $10K into a boring balanced fund then, I would have about $70-80K now...............

 

[justin]

I worked every break, summer, etc. I graduated college on a Saturday and started work on Monday morning. I have not taken more than 8 days off in 9 years.

Now as my 20's come to an end, I'm married, have a new house, and feel like I really missed out on my 20's.

I feel the same way. Not really that I "wasted" my 20's but that I could have taken a few years off to kick back and relax. Everything I've done in my 20's I could have done in my 30's. House, career, kids, etc.

With the exception of one 6-week trip to Mexico during my 2nd summer of college, I've worked and/or been in school pretty much without breaks longer than a week. Finished school, left the next day for 1 week honeymoon cruise to bahamas. Flew back to Raleigh on Saturday. Graduated law school on Sunday. Started the job I'm in now on Monday.

In some stroke of prescient wisdom, I persuaded my girlfriend at the time (now DW) to take 6 weeks off from her part-time college job and hop a bus to mexico. We lived on the cheap for the whole time (only spent $700 each), but had a great time - very relaxing, interesting, and life-changing. The prescient wisdom was this: at the time, I knew that it was the last time I'd have the opportunity to do something like that for a long, long time if I were to follow my goals I had set (career, money, family, etc).

Luckily, we are on the path to very early ER in our 30's (knock on wood), so the days of adventuring aren't gone forever. Just a little while longer... Like Brewer, 2 young kids change your priorities and limit the "backpacking across Europe" type trips.

 

[laurence]

Heh, wait until the kids arrive.

You know, I used to laugh at the guys who bought shiny red sports cars and acted like jackasses ran around having fun when they hit their mid 40s...

It DEFINITELY sounds like you need a vacation, bro! We've found that pairing up with another family works really well, as the husbands/wives can take turns watching the kids and going off for a day or half day to have fun. Did a trip to Hawaii and a spa that way, works wonderfully.

My biggest financial mistake was LEASING a #@%@$ VW Passat with a warranty that covered almost nothing that broke (and just about everything did). Couldn't turn it in at the end of the lease, had to buy it, eventually sold it in disgust to CARMAX. In total, it cost me about 20k to have the privilege of driving it for 5 years.

 

[shiny]

In total, it cost me about 20k to have the privilege of driving it for 5 years.

We bought our car new almost 5 years ago. If we end up selling it when we move to Japan (highly likely since it would be a pain to keep it) it will have cost us that much or more. In hindsight we should have bought used!

 

[chinaco]

Biggest financial mistake: investing in ATT and it spin-offs. I invested in TT and Lucent. Plus a few other 2000 bubble era stocks. Lost some money . Plus not taking Cisco off the table at the right time. However I Invested in some other equities that did well. The net turned out not so painful. I have sworn off buying individual stocks. Found I do not have the time and discipline to track it close enough.

Other than that.

Purchased a couple of extended warranties (I think it is a bad idea in most cases)...

Bought more house than we need and then proceeded to finish the walkout basement. Oh well, someday we will recoup some of the investment when we sell.

Traded cars too often during a certain period in life (different priorities).

 

[SecondCor521]

You know, other than the financial mistake that marrying a person who 15 years later divorced me has turned into, I really don't think I've made any very big mistakes. That worries me, because I doubt I've done as well as that first sentence would imply. In general, though, my net worth and income (like most here, I think) is statistically in the top 5-15% somewhere, so I can't be doing that bad.

I do have to give a ton of props to my parents who both set a good example, gave me a good financial education, and gave me a good financial start but not enough to rise to economic outpatient care. Without that I don't know where I would be.

2Cor521

 

[wallygator69]

Re: Expensive or just plainly Stupid mistakes you made and wich you didn't

Ditto for me on this one, except substitute "Mercedes" for "Lexus" and "Honda Accord" for "Prius". Traded the stinkin' money-pit-Mercedes for the Honda in 1994, and I'm still driving the Honda. On the Mercedes, every service was SO expensive (hole in muffler = $1000 replace-the-whole-exhaust-system repair). And the paint job went bad in about 3 years. It was a terror driving in snow. I still love the Honda, and have had NO problems in 13 years.

Second mistake: hiring a "friend" as a financial advisor... buying an Equity-indexed annuity (inside an IRA for crying out loud! ) on his advice. Fired him soon after, bit the bullet on the surrender fees and dumped the EIA soon after.

CJ

Wow, complete oppostite. Had 2 new Camry's in 1992 and 1998 plus a bad back. New 1998 almost crippled me cuz the driver's seat stunk.

Bought 1996 LS400 with 45,000 miles on it in 1999 for the killer camry and $20k. Had a good mechanic did brakes at 60k and the timing belt, water pump at 90k and just usual oil and stuff.... At 180k I did a lot of work before ER (all ball joints, sway bar bushings,tranny out to fix exhaust leak, brakes, roters, basically told him make it new... $2800 parts (2 full pages) and $900 labor....

Also, great gas mileage for a V8. I have driven 900 miles to Myrtle beach from Boston with one stop for gas and avearged 26MPG at 75-80 MPH (occasional 100MPH burst if conditions allowed, ie 3 lanes and no one nearby....) Slowed down a bit in ER...

Now at about 190k or so, runs as good as the day I got it, 8 years next month. Mechanic says easily get another 100k and then dump it...

One of the best investments I have ever made. Would have bought another 2 camry's since. Even the newest top of the line one doesn't come close in comfort, speed, power (I test drove one late last year..)

Will do it over again when the time comes without hesitation.

W

 

[ScaredtoQuit]

I feel the same way. Not really that I "wasted" my 20's but that I could have taken a few years off to kick back and relax. Everything I've done in my 20's I could have done in my 30's. House, career, kids, etc.

Don't sweat this! This will turn around when you reach your fifties and your kids are grown and no longer a burden. You'll feel great as you watch your friends still going to PTA meetings and struggling with college tuition... Or an unfortunate few who are just finally dealing with diapers.

 

[justin]

Don't sweat this! This will turn around when you reach your fifties and your kids are grown and no longer a burden. You'll feel great as you watch your friends still going to PTA meetings and struggling with college tuition... Or an unfortunate few who are just finally dealing with diapers.

I'm already seeing this with 40-something coworkers having kids at the same time as me. Knowing they'll be 60+ before the kids are out of their hair while I'll still have a little life left in me in my 40's.

I've recently been in contact with some old high school buddies. 10 years after graduation almost, and many of them are still "in school" or doing the waiting tables in New York while rooming with 6 people in a 1 BR eating ramen for dinner every night. Or they are/have been travelling the world. I'm happy enough with my choices and current lifestyle, but when the wanderlust sets in now, there isn't a lot I can feasibly do given familial responsibilities. I guess it's called "being an adult".

 

[brewer12345]

I've recently been in contact with some old high school buddies. 10 years after graduation almost, and many of them are still "in school" or doing the waiting tables in New York while rooming with 6 people in a 1 BR eating ramen for dinner every night. Or they are/have been travelling the world. I'm happy enough with my choices and current lifestyle, but when the wanderlust sets in now, there isn't a lot I can feasibly do given familial responsibilities. I guess it's called "being an adult".

That's funny. I haven't been back recently, but when I went to my 10 year HS reunion it was like the overachievers' Grand Prix. Lawyers, Phd's, Bankers, Uber nerds, doctors, etc. But I was the only one with an attractive wife.

 

[justin]

Lawyers, Phd's, Bankers, Uber nerds, doctors, etc.

That's how most of my high school classmates ended up, too. But there are also a good many that, although they do have the grad/professional degrees from top tier schools (or are currently enrolled at said schools), are out doing "fun stuff" in some foreign land, or being a (starving) artist in Greenwich Village. I'm 9 years out from HS graduation, so I guess a lot of these wanderers are in between "getting educated" and "settling down". With no obligations, I guess they are free to do as they please before they grind out a few decades of hard work... Like you Brewer (and others on here), I did the school-->work nonstop trip.

 

[laurence]

My 10 year HS renunion was a big bust. Only about 20% of the class showed up, and that was dominated by former BMOC who were now losers at the Budweiser factory, now married to their quickly going from tanned to leather ex-cheerleader or class president girlfriends, still acting like they were top dogs. One table of us formed who actually wanted to talk about what we were doing now, one was a freelance photographer who traveled the world. Another was a real rocket scientist - had a launch a week after the reunion! I seriously doubt I'll go to the 20 year.

 

[justin]

We haven't had a reunion yet, but about 1/3 of my class in on Myspace. That's where I've seen the updates of what folks have been up to over the last 9 years. Pretty neat stuff, this internets.

 

[REWahoo]

Laurence,

What you describe is pretty common. The 10-year-reunion syndrome is loaded with "look at me and what I'm doing" types and not very entertaining. Same thing happened at my 10th (a long, long time ago ).

I would encourage you to not rule out going to your 20th or 25th. About that point in time, many folks realize they are who and what they are (fat, balding, gray, frumpy, etc.) and decide to just enjoy themselves. Our class has a reunion every 5 years and I've thoroughly enjoyed myself at every one once we got past the 20 year mark.

 

[laurence]

My curiosity will probably overcome my dread, so we'll see - hey, it's only 5 years off!

 

[Nords]

My curiosity will probably overcome my dread, so we'll see - hey, it's only 5 years off!

I second REW's advice.

Three-quarters of my high school class settled within an hour of Penn State (or the state pen) and our ten-year reunion was hilarious. Our class drunk was bigger, louder, and drunker. Our head cheerleader had reached her career & wardrobe nirvana as a head flight attendant (don't ask). A bit after midnight I even saw the former prom king sneaking out of the room with the former prom queen... Other people (including me) had pretty much reverted to the forecast captions under their yearbook photos.

But now that the vast majority have married, raised families, accumulated some life experience (and a divorce or two) and life perspectives, it's interesting to read about them on Classmates.com or one of the other reunion websites. I was pretty disappointed that I missed our 20th (work demands) and that no one stepped up for the 25th. There's talk of a 30th and I plan to be there!

I'll tell them that I'm on parole.

 

[OKLibrarian]

Neither DH and I went to 10th, basically because both of our reunions looked like they'd be much like what was described above. I talked to 2 of the 3 people whom I'd have had any interest in seeing, and neither planned on going. maybe 20th...who knows?

 

[ijuba]

My 10 year was the same as has been described here - basically a "post HS reunion". I didn't go to the 20th as I was too far away and other responsibilities conflicted.

However, I co-chaired the 30th. We did an "All-70's Decade Reunion" in 2005. An all weekend affair with much planning and many events. There were over 500 total attendees. We thoroughly dug it.

We had a website with class message boards, photos, songs from the 70's, etc.

The great thing with having 10 classes represented was that you knew many folks from the other classes and hadn't seen any of them at previous reunions.

We agreed to hold at least 5 yr. anniversaries from now on.

 

[glen12]

The biggest mistakes I ever made involved getting wiped out in shorting stocks that I 'knew' were doomed to fall. I was smart enough to know that they would fall, but too dumb to know that, as Keynes said, the market can stay irrational longer than I could stay solvent.

Since then I've done some genuinely smart things that more than made up for that stupidity, but I'm still embarrassed by that failure.

By far the smartest thing I did was make a decision four years ago to cash out of a big house, downsize into another property which I rehabbed and flipped, before finally moving into a very small condo that I was previously renting out. Simplifying my life gave me more free time, cut my monthly overhead drastically, and allowed me to accumulate enough money to actually throw off enough to do something with.

 

[deserat]

Went to my 10th and my 20th -enjoyed both - most people had grown up - some hadn't - what else is new.

Most embarassing moment - cringing when one of our classmates started to do a Las Vegas lounge act...... - cleared the room - she works in Vegas and always wanted to be a 'star.' She had been one of my friends in junior high school and then we'd moved on in high school - however, still knew each other, yada, yada. I still cringed for her - yikes!

Interesting how some of the most popular people didn't go as far as they or the rest of the class would have thought....also amazing how many had married fellow high alums - I was in the minority having moved away from the area and not married a local.

Will go to 30th if offered.

Deserat

 

[SecondCor521]

Interesting how some of the most popular people didn't go as far as they or the rest of the class would have thought....also amazing how many had married fellow high alums - I was in the minority having moved away from the area and not married a local.

This is what may prevent me from going to my 20th. 20 years ago I was valedictorian, accepted at Stanford and Princeton, six figures of scholarships including full-ride Air Force and Navy ROTC scholarships, National Merit Scholar, etc. Today I have been divorced by my fellow high school alum, live 30 miles from the high school, own a little boring house, and go to my little boring job. Others in my class are doctors, lawyers, pharmacists, and most are still married. I think I am one of those that Deserat describes above, and I really don't need the embarrassment.

2Cor521