2017 Spending Summary and Analysis

[PatrickA5]

It's all good. But as point of reference, if you had $30K cash and "spent" it by buying a stock or gold, would you consider that a spend of this year? What about if you had $300K and "spent" it on a home?

As you started this thread though it's all for fun, so indeed let's just party on.

I put anything that I paid cash for as an expense, unless it's savings. Putting money in savings (or stocks, etc) obviously isn't an expense. Having said that, it does make for some really odd looking years. For example, my normal spending is around $100K - $130K. My spending for 2012 was over $500K since I bought a house and 2 cars using cash.

 

[rodi]

The title of this thread is SPENDING summary, not expense summary. Spending implies outflow of money.

Perhaps we should start another thread about withdrawal rates... (Which are not as tightly correlated to spending as you might think since folks have pensions, SS, rental income, etc.)

 

[NW-Bound]

Are we going to have a "thread fork", similar to the bitcoin blockchain fork?

 

[grasshopper]

Quicken has a lot more detail, I am sharing only my top 10 expenses

1) Medical $19,500.00
2) Travel $14,600.00 2016 $30,000.00
3) Groceries $6,400.00
4) Pets $5,600.00
5) Auto $2,300.00
6) Dining $1,600.00
7) Household $1,500.00
8) Liquor $1.400.00
9)Recreation $1,300.00
10) Electric $1,000.00

all other categories are less than 1% of spending each.

 

[PatrickA5]

The title of this thread is SPENDING summary, not expense summary. Spending implies outflow of money.

Not sure I understand the difference. I would assume most people equate "spending" with "expenses" at least as it pertains to their personal finances (i.e. not accounting terminology).

 

[rodi]

Not sure I understand the difference. I would assume most people equate "spending" with "expenses" at least as it pertains to their personal finances (i.e. not accounting terminology).

My comment was in reaction to the discussion of applying depreciation to assets like new cars... I guess I look at spending as $$$ out of my wallet at the time it's spent.... not offsetting it with the asset, then depreciating the asset.

 

[DEC-1982]

2017 over 2016 expense +5.4%

Increases in medical premiums drowned out reductions everywhere else.

 

[audreyh1]

Yes. The only asset we count in assets is our house. All vehicles and other bought items are treated as expenses/spending. We don’t track vehicle or other purchased asset depreciation.

If we sell a vehicle (as opposed to a trade-in) or other item then the cash is booked as a credit in the given category. We do this for sold old camera gear all the time.

 

[Surewhitey]

2 peeps & a dog
2016 - $56,654 (lots of house remodeling)
2017 - $43,661 (lots of frugal travel)

 

[LRDave]

I find the range of values under the category "groceries" fascinating. Thanks to all that have shared.

 

[cranberryjoe]

I find the range of values under the category "groceries" fascinating. Thanks to all that have shared.

In addition to the usual household supplies one buys at a grocery store, my groceries category includes wine and liquor. I'm buying more expensive wines than I used to, and I'm afraid to separate it into its own category.

 

[UtahSkier]

In addition to the usual household supplies one buys at a grocery store, my groceries category includes wine and liquor. I'm buying more expensive wines than I used to, and I'm afraid to separate it into its own category.

I had similar concerns, but I faced my fears and broke wine and liquor into a sub category.

In Utah, it is easy to track as all good alcohol comes from the state liquor store.

 

[Gumby]

I broke mine out. It's amazing that my liver has survived this long.

 

[NW-Bound]

All this talk about booze expenses makes me curious how I treat mine. Can't remember if I separate it out or not.

So, I looked just now, and what the heck is this $3.45 on booze paid with Paypal? And this $8.53? Since when did I pay for any booze or drink with Paypal?

Turned out that Quicken misclassified the expenses on little electronic parts that I bought on eBay, when it downloaded the transactions from my credit card.

It didn't matter, but seeing these errors I now have to go in to edit them.

 

[Winemaker]

I find the range of values under the category "groceries" fascinating. Thanks to all that have shared.

I agree. There must be a lot of hungry retirees out there.
I spent at least $3000 on wine grapes from California to here in SW PA.

 

[Independent]

Tracking expenses is somehow satisfying to some of us -- I'm one of those people.
Then, comparing them is also interesting.
Like a number of other people here, I like to compare to the hundreds of couples who fill out amazingly detailed diaries for the Bureau of Labor Statistics.

Here are the mean numbers for 2015, for married couples, with no kids at home, where both spouses are 60 or older, who own their homes:

Food at home	4,568
Food away from home	2,723
Property taxes	3,338
Homeowners insurance	931
House maint, repairs, flooring	2,297
Electricity	1,826
Heating fuels	750
Water, sewer, trash, ...	740
Major appliances	429
Housekeeping services	905
Cleaning Supplies	365
Other housekeeping supplies	684
Furniture	467
Smal appl, misc HH eq & textiles.....	1,282
Other lodging	840
Telephone services	1,440
Computer information services	468
Clothing	1,399
Cars, net purchase + lease	4,597
Vehicle finance charges	153
Car insurance	1,387
Gasoline and motor oil	1,955
Car maint & repairs	1,077
Car rental, prkng, tolls	268
Health insurance	5,739
LTC insurance	329
Dental, Eyecare, Hring Aids	1,039
Other medical	1,504
Day Care aka Personal services	145
Fees and admissions	832
Cable/Satellite services	995
Other AV equip & services	271
Pets, toys, hobbies, ...	798
Other Ent supp, eqp, services	866
Personal care products	400
Personal care services	427
Reading	198
Alcohol	530
Tobacco	193
Gifts to f & f, educational	376
Other gifts to f & f	1,827
Tax deductible contributions	2,190
Life and other pers insurance	558
Travel	2,812
Other	1,242
Total	58,159

Note that this is "mean" not "median". I'm sure median would be lower.

Also, the numbers above include people who have mortgages and those who don't. But I didn't show the mean mortgage payments because that's kind of confusing.

About 30% of these couples have mortgages, and those that do pay about $13,400 per year in combined principal and interest.

 

[audreyh1]

I had similar concerns, but I faced my fears and broke wine and liquor into a sub category.

In Utah, it is easy to track as all good alcohol comes from the state liquor store.

When we started buying wines by the case, we addded wine as a subcategory for groceries.

We had a 72 bottle wine cellar to fill up after all.

 

[Winemaker]

2015 1.33%
2016 1.52%
2017 1.74%
2018 projected 2.08%


Although not full yet, there is 1,100 bottles in my cellar, about 25 have been purchased.
I do share a lot with friends and family.

 

[Cpadave]

Family of 4 with 2 young kids:

Auto 1,100
Groceries 5,000
Dinning 3,300
Mortgage 86,172
R/E Tax 14,500
Clothing 1,000
Household 4,600
Insurance 3,000
Kids Exp 6,000
Health Ins 17,000
Other Med 4,000
Utilities 5,000
Travel 8,900
Misc 4,000

Both of us retired at 40. The one expense that worries me the most is healthcare. The cost has gone up 100% in less than 3 years for the most basic hsa (bronze) plan.

 

[NYEXPAT]

Woke up this morning and young Wife was lying next to me, 15 cigarettes in the pack and $34.00 in my wallet, I would have to say, I came in slightly under budget!

 

[ivinsfan]

Family of 4 with 2 young kids:

Auto 1,100
Groceries 5,000
Dinning 3,300
Mortgage 86,172
R/E Tax 14,500
Clothing 1,000
Household 4,600
Insurance 3,000
Kids Exp 6,000
Health Ins 17,000
Other Med 4,000
Utilities 5,000
Travel 8,900
Misc 4,000

Both of us retired at 40. The one expense that worries me the most is healthcare. The cost has gone up 100% in less than 3 years for the most basic hsa (bronze) plan.

Do you really have a 7000 dollar a month mortgage payment or is that a typo?

 

[Cpadave]

Not typo. 15yrs mortgage. 10 more years to go

 

[ivinsfan]

Not typo. 15yrs mortgage. 10 more years to go

I see your concern with the HI costs..after you take the away the 100K you need for mort and taxes, there isn't a lot left to trim to cover increasing health costs. Your spend will most likely have to rise to cover the HI..

 

[FANOFJESUS]

Quicken has a lot more detail, I am sharing only my top 10 expenses

1) Medical $19,500.00
2) Travel $14,600.00 2016 $30,000.00
3) Groceries $6,400.00
4) Pets $5,600.00
5) Auto $2,300.00
6) Dining $1,600.00
7) Household $1,500.00
8) Liquor $1.400.00
9)Recreation $1,300.00
10) Electric $1,000.00

all other categories are less than 1% of spending each.

No taxes?

 

[socca]

Mid-50’s single male. Some random tidbits from my 2017 QuickBooks P&L report:

• $2,400 for medical insurance premiums (if include the Obamacare Tax I’ll pay on my 2017 tax return, double this )

• $300 for dental: 2 cleanings and 1 x-ray

• $4,300 for food (eat out once per week on average; whole-foods plant-based diet; not much organic; lots of fruits, veggies, nuts, grains, etc.; no alcohol, no soda)

• $130 for toiletries

• $1,900 for recreation (need to start having more fun )

• $2,600 for utilities (electric, cable, water/sewer, cell)

• $900 for garden

• $700 for furniture (mostly a new 49” TV)

• $1,700 for auto (registration, insurance, maintenance, fuel, hired trips; I insured two cars for awhile, which is why the number is high)

• income taxes are huge; property and HOA taxes are reasonable

2018 should be interesting.