Dad, How Much Money Do I Have To Make?

[jyl]

You're building options. Money to start a biz, to take a lot of time off, to do something that doesn't pay for awhile, to retire early.

I loved my previous career, then I hated it, it was killing me. But we had $200K in the bank, this was in the 90s. My wife and I quit our jobs, spent a year traveling around the world, I went back to grad school for a couple years, we had two kids, I got into a new career at half my last salary, and we had the money to do it all. Options are good. Savings are good.

My view of money has changed drastically in the last few years. 4 years ago, I would have been stoked to make 75K a year. I was making roughly 40K per year....but had good friends, bought a house, ate good food...and had a normal amount of days off to do the things that I wanted to do. Life was good...but I thought if just made more money, things would be awesome!



Fast forward to today. I make roughly 5 times what I made 4 years ago. I have a good job that I'm proud of, but I work like an absolute mad man. I've worked 6 days a week for over 2 years now. I don't have the time to do anything fun. I never have weekends off. The flip side is, that I can wear a t-shirt, flip flops, and shorts to work. I don't take work home with me. That's a big one.



I was at a Kings game a few weeks ago with some of my old airline buddies. Both are regional FO's making enough money to live on. ...but one mentioned he had 18 days off per month. The other complained about only having 11 days off per month. I sat there and realized that I get 4 days off per month. Plus, I live in an area I don't really want to be in. I would much rather be back home in Indiana. The money is nice...but gosh, in some ways, it's blood money.



I don't spend the money...I save it. I max out my 401K, and still put away around $3800 into savings every two weeks after expenses. The Ferrari is paid off (paid cash), the Vista Cruiser was a cash buy, etc. Saving for what? I don't know...but I just don't feel right burning through money. The situation in 2008 left an indelible mark in my mind. I have been much more thrifty since then.



I've learned a lot in the last couple of years. Quality of life is much more important then a terrific salary. If I could make what I do, but get the time off that I wanted, then super. But it's not the case. I would gladly take a 50% pay cut to be back home, with even just two days off per week.



So...make sure she makes enough money to meet her needs and save. But don't sacrifice your quality of life to do so....

[Embraer]

exactly what I'm doing. Building an escape plan. I love my job, but I don't want to do this schedule for another 20 years. If this job didn't have an awesome pension, the answer would be easier for me....

[Head416]

My advice is to figure out what you're good at and do that. When you're good at your job, people around you are happy with your work, you enjoy constant positive feedback and you create life options.

Please don't do this. It's what I did. I make good money doing something I'm good at and wish I was enjoying my life instead. For a while I was hooked on the praise and advancement and now it's all just responsibility and a constant demand on what is supposed to be my free time.

Now I wish I either worked outdoors or was a teacher with summers off to live life. When I was graduating high school I threw those opportunities out because they didn't pay enough. I love the security, but I know friends whose household income is half of my personal salary and they are some of the happiest, most fulfilled people I know. You can't get that from money.

And 18-25 is the time to see the world, backpack through Europe, or whatever. I wish I had done that rather than start a career. Now I'm traveling for the first time at 34 and just learning about options I wish I knew about when I was in high school. I think the dirty hippies living in their van have some things figured out that "successful" people don't understand.

[jyl]

And 18-25 is the time to see the world, backpack through Europe, or whatever. I wish I had done that rather than start a career. Now I'm traveling for the first time at 34 and just learning about options I wish I knew about when I was in high school. I think the dirty hippies living in their van have some things figured out that "successful" people don't understand.

Damn right.

I did a little of that. Not nearly enough. I'm going to try to get my kids to do it. I can help them, just enough, not too much. You're never 20 again.

[Embraer]

I did a little too. Wish I would have done more. 2006 to 2007 I backpacked eastern Europe. Best experience of my life

[Hugh R]

I live relatively modestly. Most of my travel is through work, so getting on a plane for vacation is too much like work for me.

Tell your daughter to put away something every pay check for retirement/rainy day. I've been putting something away every year for about 35 years. Sometimes I don't think enough, but I'm shocked when I read that the average person my age (60) has less than a years salary in retirement savings.

[Aggie93]

I was lucky. I got a job doing my hobby (investment research) within a year out of college. It was the job I wanted as early as high school. It was a small investment adviser that wrote research for institutional clients (mutual funds, hedge funds...). We later started our own fund and I moved to that side of the business. I was truly a kid in a candy store. I was working a lot. My wife was studying for actuary exams and we didn't have kids yet. Fast forward ten years and the owner sells the fund. I move with the fund to a much larger organization. Essentially the same job buy way different environment, different incentives. I learned, I'm not a big company guy. I still love what I do, but the luster has vanished. The money is great, and almost everyone works 40 hours. I've dropped to 45-50 and I feel like I'm slacking. As the job has become just a job, I realized I had no other outside interest. For the last 20 years, I worked. I'm now trying to find outside interest to maintain a sense of happiness. Looking back, I'm not sure if I would have done much differently. I feel I've been pretty happy for most of my life. I've never lived beyond my means. Even when I just out of college making $16k per year.

On another forum I used to frequent, a poster dropped out of college and became a whitewater guide traveling all over the world. He intended to only do it for a few semesters, but got caught up in it and stayed on. After five years, or so, he realized that his friends while his friends were getting their first jobs, he didn't have any "workforce skills." He felt he was doomed to working in tourist/service industry barley making enough to live on. He was supposed to be writing a book, but I quit going to that website. I always remember that story as someone who "traveled and lived" instead of going to school and thought that he should have sucked it up and continued school. But, I wish I would have done more before getting a real job. Now I just need to retire early enough so I can do everything I missed out on before my body cannot do it.

[jcommin]

I answered earlier in the post but it isn't about things. I had things, lot's of stuff. It came crashing down for many reasons and I had to pick myself up and really take stock of what life is. I had money- it's gone, for many reasons. I is money, it isn't my life - I really honor that. I can envy those who have or didn't have the same fate as I. I know many who are in worse shape than I.
It ain't about stuff - it is a lesson to learn and I wish it on no one. My oldest son went to 2 semesters of college and failed. I cried when he graduated high school and it wasn't tears of joy but relief as I literally took him to school in his senior year just to meet the attendance requirement to graduate.

Today, he runs his own business and is very successful, I don't worry about his professional career. He can school most. I do business with him and am very proud.
He tells me never to worry about him professionally and I believe him. This a far cry from me taking him to school just to get him there hoping he would get an HS diploma.

Life is a marathon, not a sprint!

[HardDrive]

Very good advice.

Originally Posted by Moses

Most of the people I grew up with who "followed their dreams" are pretty miserable. They are frustrated artists working at Starbucks or "entrepreneurs" still borrowing money from their parents. Turns out that whatever your dream is, it's probably the same dream job for another 10 million people.

My advice is to figure out what you're good at and do that. When you're good at your job, people around you are happy with your work, you enjoy constant positive feedback and you create life options.

I know a few surgeons who aren't terribly gifted. They are a little afraid every time they operate. Constant stress. Constant fear of failure. They are truly miserable.

Figure out what you're really good at. The happiness will follow.

[mreid]

2 to 5 times her age depending on where she lives. She should find a career, not a job, that grows as she grows. It should be enjoyable, but not necessarily "her hobby". People need balance in their lives and having a good job that funds other things is perfect.

[kanadary]

dental hygenist, good pay, most dentist now work 4 days/wk, so long weekend every week.. always in demand and even more now as the population ages. the only drawback is you gotta stick your hand in someones mouth.

[intakexhaust]

Originally Posted by speeder

So how does demolishing the house and other structures help with the tax bill? By lowering the value of your property??

Sorry I didn't explain it well enough. Down turn in property values and slow sales turned to a godsend by selling to a flush with cash county forest preserve. Why continue paying over 30k per year for vacant property plus while waiting in a turnaround in values for development? They paid up so let them have at it, tear it down and make more walking paths.

[Bill Douglas]

Originally Posted by kanadary

dental hygenist, good pay, most dentist now work 4 days/wk, so long weekend every week.. always in demand and even more now as the population ages. the only drawback is you gotta stick your hand in someones mouth.

Good pay, GREAT PAY. I once dated a dental hygenist from San Diego and them money she got paid was amazing.

I bought houses, sold some to not have a mortgvage, and now make about 1.5 times what I did as a computer tech/network admin. Easy money. This week I've done absolutely nothing and I still get paid the same

[Jim Richards]

Originally Posted by gfngfjjia

Location will make a HUGE difference.

Yes, and it will also make a difference in how happy a person is. It's nice to be able to partake in your interests without having to travel significant distances to do so.

[Cajundaddy]

Ahhh, the questions of life.

I don't think it's about "how much to make" but rather how well you manage what you make. Choose a lifestyle that is well within your means and rock it. If you are making $100k but spending $200k it will be a very short ride.

Education, savings, and managing life within your means gives you a lot of choices and you can ramp up or ramp down your lifestyle as desired. Live life on your terms and not someone else's. Don't get so wrapped up in maintaining all your "stuff" that you forget to live, laugh and love.

[FrankyV]

For me the answer has always been more and I make ten times what my goal was when went to college.

[Steve Viegas]

I know this doesn't answer your question, but I think it will help.

Buy her the book "The Richest Man in Babylon." This book provides simple guidance.

The secret is to live within your means. If she can do that, everything else will fall in place.

[Jim Richards]

Originally Posted by gfngfjjia

Location will make a HUGE difference.

Originally Posted by stjyujjia

Location will make a HUGE difference.

Will location make a HUGE difference?

[speeder]

To a spambot, I don't see what difference location makes?

[jyl]

I think location often cancels out. Where it is cheap to live, wages are typically lower - on average. Obviously not true if you're on a fixed income, telecommuting, minimum wage, etc, and you have to take the local standards into account - can't compare the cost of a 4 bedroom house, 1/4 acre in Iowa with the same in Manhattan.