30K a year

[Maurice]

$1965 for oil? Does that include the cost of airfare to the middle east to pick it up?

Heating oil is expensive.

 

[aaronc879]

He already had electric/gas expenses of $1792. I assumed that covered heating costs.

 

[bots2019]

$9,067.00 - Propety Tax

Yikes! Glad I don't live on the east coast!

 

[Helena]

I live comfortably on less than 30K a year... but I have no debt.
Property taxes are high here in Texas... but my other living expenses
are low compared with other areas of the country.

 

[haha]

$1965 for oil? Does that include the cost of airfare to the middle east to pick it up?

This kind of comedy is why I won't post my expenses here. The one and only time I did someone thought how much I spent on food was hilarious.

ha

 

[W2R]

I really can't understand any of these low cost claims. If a couple can live on $30,000, theoretically then I should be able to live on 3/5 of that, or $18,000.

I have lived on $16,000 plus the P&I on my house for years. This past year since my house was paid off, I averaged much less (probably around $12,000) because nothing really broke and I had no big expenses.

Yet I buy everything I want, including art, expensive food, $125 running shoes, $16 socks, nice formal meeting clothes when needed for work, and a membership in the most expensive gym in the area.

What's my secret? Living in a paid off house in a less expensive part of the country is really helpful. Also, my self confidence and feelings of self worth are not tied to my possessions. I have never had a lot more to spend than this, so I am used to living "like a student", so to speak. And finally, I have a lot to do other than shop.

I get a huge kick out of watching the vast majority of the money that I make rolling into my bank account, 401K, Roth, and Vanguard. I am going to have more to spend when I retire (in two years) than I am spending now, and though I can't imagine what I'll do with most of it, I will have fun exploring that a little bit in the years to come.

Ha, if you lived in a paid off house in a less expensive part of the country, you would probably spend much less. But living in an apartment in a coastal city makes you happy, and you can afford it, so why not?

$9,067.00 - Property Tax

I just paid my property tax last week for my median priced home in an fairly upscale suburb of New Orleans. It was $451 for the entire year. Last year it was less than that. It was higher before Katrina, but still only around $900 or $1000. It's all in where you live.

 

[dumpster56]

30K seems about 12K short. That was my impression when I decided to leave my job. I have a 32K pension and after tax its about 26K. I figured I needed another 1000 a month and it would work. I am finding that my extra 3000 a month really is sweet.

We are not extravagant, but having 55K a year makes it so we are not watching every penny we spend. At 52 and 54 we still have a few years to the 62 age for SS which we will take at that time. By then my cola pension should be near 38K a year and the wife will have a 3K small pension , figure in another 22K combined SS at 62 I would not even have to do any part time work. But I am really enjoying my new found teaching part time elementary Phys Ed positions. 3 different schools each week all within a 15 mile short easy local drive. I mean I work a total of 4 hours a day 3 days a week.

And I love my wife but being around her 24/7 is well not condusive to a happy life, for either of us. We both need our own time.

 

[dumpster56]

I have lived on $16,000 plus the P&I on my house for years. This past year since my house was paid off, I averaged much less (probably around $12,000) because nothing really broke and I had no big expenses.

Yet I buy everything I want, including art, expensive food, $125 running shoes, $16 socks, nice formal meeting clothes when needed for work, and a membership in the most expensive gym in the area.

What's my secret? Living in a paid off house in a less expensive part of the country is really helpful. Also, my self confidence and feelings of self worth are not tied to my possessions. And finally, I have a lot to do other than shop.

Ha, if you lived in a paid off house in a less expensive part of the country, you would probably spend much less. But living in an apartment in a coastal city makes you happy, and you can afford it, so why not?

I just will not pay 125 for running shoes and I run upwards of 70 miles a week! I go through them so fast. Found a fantastic pair of Mizunos yesterday on sale for 59 dollars reg price was 95, ugly color but hey great price and they fit!

 

[Sandy]

Everyone's circumstance is so different. With a mortage, DH, 2 kids, pets (1 dog, 2 cats, a hamster, and lizard - average monthly cost for pets is $175 for food, boarding, purchase, vet, etc) no way can we make it on $30k.

While I can project a budget for when house is paid for, kids leave, pet population is reduced, and income/taxes are reduced, it is somewhat of a frivolous exercise. ER plans anticipate that all current expenses will still be in place. If it ends up we have excess funds later, great - more traveling, but I can't/won't ER anticipating lower spending later because it makes it all too tight.

 

[dumpster56]

Everyone's circumstance is so different. With a mortage, DH, 2 kids, pets (1 dog, 2 cats, a hamster, and lizard - average monthly cost for pets is $175 for food, boarding, purchase, vet, etc) no way can we make it on $30k.

While I can project a budget for when house is paid for, kids leave, pet population is reduced, and income/taxes are reduced, it is somewhat of a frivolous exercise. ER plans anticipate that all current expenses will still be in place. If it ends up we have excess funds later, great - more traveling, but I can't/won't ER anticipating lower spending later because it makes it all too tight.

Moving out of the expensive northeast and paying cash for the new house made it so we could live on much less. we were paying 2200 a month to live in the house . Now taxes are 300 a month thats it no mortgage. No 120 mile round trip auto commute anymore. Save another big amount on gasoline a month.

Those are the big things. So when we plugged in the numbers I took away about 30K from my 90K salary and then figured less tax less SS tax we could do it on about 50% of my last salary. So far it worked out. But last month I was offered another two days of part time work at a 3000K month salary and yes it makes things soooo easy.

So that makes it exactly what I was making back up north with the larger salary. 32K pension and 36 K salary 66K with no mortgage. No real commuting costs and much lower real estate taxes.

 

[Maurice]

He already had electric/gas expenses of $1792. I assumed that covered heating costs.

Maybe he'll chime in again, but its not unusual in these parts to have gas for cooking, and heating oil for heat. So my guess would be his electric/gas is mostly electric bill, plus a tad of natural gas for cooking and maybe hot water. Then the heating oil bill pushing 2k a year.

 

[Maurice]

This kind of comedy is why I won't post my expenses here. The one and only time I did someone thought how much I spent on food was hilarious.

ha

Oh, its not that bad. You should have seen the comments my expense list provoked. There are huge differences in costs form one part of the world to the next, and we move in different subcultures too. I wouldn't take questions/surprise as criticism.

 

[Dawg52]

Yet I buy everything I want, including art, expensive food, $125 running shoes, $16 socks, nice formal meeting clothes when needed for work, and a membership in the most expensive gym in the area.

I never have seen $125 running shoes in Walmart. But hey, you probably don't spend $250/mo at the local country club either. If they make you happy, go for it.

I did spend $85 once for hiking shoes in Colorado. About 5 years ago. Still wear them. They probably would cost well over $100 today.

 

[W2R]

Oh, its not that bad. You should have seen the comments my expense list provoked. There are huge differences in costs form one part of the world to the next, and we move in different subcultures too. I wouldn't take questions/surprise as criticism.

The cost of living varies SO much from place to place. A lot of those living in expensive coastal areas really do not seem to realize the huge disparity between what it costs to live there, and what it costs in less expensive parts of the country. Or, perhaps they do not want to realize that disparity because they really do not want to live elsewhere, or at a lower expense.

Our choices matter on several levels - - expense is one thing, but some people value other attributes of a place more. Nothing wrong with that. But those living in expensive coastal areas should at least realize that they ARE making a choice.

 

[W2R]

I never have seen $125 running shoes in Walmart. But hey, you probably don't spend $250/mo at the local country club either. If they make you happy, go for it.

Thank you! I'm glad you are cutting me some slack and no, I don't belong to the local country club.

I have problem feet and need very high quality shoes (and socks!) to be able to do much of anything. I buy them at Academy which carries that model occasionally, or online, since I know which ones I need. I regard them as a medical expense of sorts.

Not only that - - having supremely comfortable feet brings a big smile to my face. I not only have problem feet, I also have very sensitive feet so when they hurt, I am in miserable but when they are comfy, all is right with the world. What's a smile worth? A lot more than $125, to me.

They are something that I wear every day and they make me feel pampered, sensually delighted, and well cared for. And what the hey, if I only spent $12K last year and $125 of it was on running shoes, and I'm happy, then who here would criticize me? Like the artwork I buy, obviously I can afford these shoes on my budget or I wouldn't buy them.

Know thyself!

 

[Maurice]

Or, perhaps they do not want to realize that disparity because they really do not want to live elsewhere, or at a lower expense.

Our choices matter on several levels - - expense is one thing, but some people value other attributes of a place more. Nothing wrong with that. But those living in expensive coastal areas should at least realize that they ARE making a choice.

I think most people here realize how much cheaper life is in the middle of the country. I certainly do, but then I've lived all over.

Putting aside the personal choice component - i.e. what lifestyle people want and what are they willing to pay for it - there can be a big financial benefit to living in these expensive areas. My expenses are obscene, sure, but by any rational measure so is my income. A little LBYM here allows me to save A LOT more than I could in another situation.

 

[W2R]

Putting aside the personal choice component - i.e. what lifestyle people want and what are they willing to pay for it - there can be a big financial benefit to living in these expensive areas. My expenses are obscene, sure, but by any rational measure so is my income. A little LBYM here allows me to save A LOT more than I could in another situation.

Exactly. But why retire in such an area? I think that retiring in expensive coastal areas would be due to other factors than the cost of living. I know that they have a lot of attractions that aren't available in the rest of the country. But those choosing to retire there should realize that they are making the choice to spend more (and consequently work longer to produce a larger ER income) for these advantages.

 

[Maurice]

Yeah, indeed. But then a lot of people move when they retire. Its not hard to find a Brooklyn accent in Florida, after all.

I want to maintain a link to NY in retirement, maybe spending 3-5 months a year here, and I'm willing to postpone my retirement for it. (to the ripe old age of 45, if necessary ).

 

[W2R]

Yeah, indeed. But then a lot of people move when they retire. Its not hard to find a Brooklyn accent in Florida, after all.

I want to maintain a link to NY in retirement, maybe spending 3-5 months a year here, and I'm willing to postpone my retirement for it. (to the ripe old age of 45, if necessary ).

Sounds like a great plan! My "early retirement" (if you can call it that) will be at age 61.5 so I'm just not willing to work a minute longer than that. I'll retire in southern Missouri, which is supposed to be even cheaper than New Orleans (and has lower crime, no hurricanes, and will provide the excitement of exploring a new area). If I planned to retire in NYC I'd have to work until I was 106 to afford it!

 

[DallasGuy]

I just will not pay 125 for running shoes and I run upwards of 70 miles a week! I go through them so fast. Found a fantastic pair of Mizunos yesterday on sale for 59 dollars reg price was 95, ugly color but hey great price and they fit!

I always shop for my running shoes when I don't need them yet...that way, I can shop the sale racks and get 1-2 pairs "ahead" of them wearing out. I usually go through about 2 pairs a year so I always know there will be a need for another pair in the future.

 

[unclemick]

Sounds like a great plan! My "early retirement" (if you can call it that) will be at age 61.5 so I'm just not willing to work a minute longer than that. If I planned to retire in NYC I'd have to work until I was 106 to afford it!

My Curmudgeon meter says - it's not all about Texas in spite of the Pace Picante tv ad. My parents did hard time in NYC (marriage license 1939 City Hall) and I did some tdy for 6 wks in the 70's at Grumman in Long Island.

There is probably a NY law that prevents the truly frugal/cheap bastards/not making the big bucks folks from posting or letting their secrets out of the bag. Memory says - housing/rent was the big dog way back in 1971. Solve that - and you had a shot at frugal.

heh heh heh - my Dad had to kill both a Boston and Brooklyn accent - my Mom says being from Michigan you couldn't understand him - made him mysterious. Post WWII in the PacNW got rid of it.

 

[W2R]

I always shop for my running shoes when I don't need them yet...that way, I can shop the sale racks and get 1-2 pairs "ahead" of them wearing out. I usually go through about 2 pairs a year so I always know there will be a need for another pair in the future.

Me too! I got my last pair for $105 (same model). I have three pairs now in various states of half-worn-outness...one scuffed up white, and two grey (the newest grey ones being the ones that I always seem to choose). You can't get this model on sale racks in my area, but they do go on sale from time to time. Not nearly as often as the cheap shoes, though, since they aren't a really good loss leader for most stores.

 

[W2R]

There is probably a NY law that prevents the truly frugal/cheap bastards/not making the big bucks folks from posting or letting their secrets out of the bag. Memory says - housing/rent was the big dog way back in 1971. Solve that - and you had a shot at frugal.

I have never lived there. I visited there for a day in 1954, and ate a Waldorf salad at the Waldorf, does that count?

The budgets from people on this board who live there, seem to tell me that it is really expensive there. But I have no idea. Surely the old-timers there must have some way to survive on their social security.

I visited Monterey, California for a week on business this year. I was stunned/disgusted at the prices there, and just couldn't wait to get OUT of that place! It's got great scenery and seeing the aquarium was a lifetime dream, but what a rip-off, even at the grocery stores, much less at the tourist spots. When I had a chance to spend a week in SF on business later this year, I managed to weasel my way out of it and I was glad I did.

 

[FinanceDude]

I live in Wisconsin. While the property taxes are quite high, a lot of our other costs are lower than other areas of the country.

I did like South Carolina a lot............it seems to me you can live there fairly cheaply...............

 

[Maurice]

When I had a chance to spend a week in SF on business later this year, I managed to weasel my way out of it and I was glad I did.

We'll I say thats a shame. The city is quite beautiful, built on a human scale, and you had a chance to visit on someone else's nickel.