How much savings do you have?

[100action]

Anyone else find the true purpose of money i.e. spending it doesnt make them happy?

If i treat myself to a nice meal, all i would be thinking about is the $20 that has gone into thin air and the probable 5x return that would be gone in 2 decades time even with the safest of invesments.

On the other hand, watching my networth increase whether its realized or unrealized actually makes me immensly happy, but the whole point of this endeavour, i.e. increasing ability to buy things is for naught since spending makes me depressed.

 

[The Edukator]

Anyone else find the true purpose of money i.e. spending it doesnt make them happy?

If i treat myself to a nice meal, all i would be thinking about is the $20 that has gone into thin air and the probable 5x return that would be gone in 2 decades time even with the safest of invesments.

On the other hand, watching my networth increase whether its realized or unrealized actually makes me immensly happy, but the whole point of this endeavour, i.e. increasing ability to buy things is for naught since spending makes me depressed.

this is where you have to find the right balance. I'm doing a dinner and a movie with a friend tonight. that might be $60-80 but its built into my weekly budget and I'm going to enjoy the experience which will make me happy.

 

[Jimmybob]

How do you guys work out how much you're going to save a week? Is it a percentage, a certain amount etc. Do you pick an amount to save or save what you have left over? I'm just putting $100 of my pay a week into an account atm. It would be more but I'm renting, bills, have a car on finance, private health, car insurance, physio etc and am left with sfa after that.

Any tips on investing small amounts of $ or is it basically 'save til you have x amount and then think about investing'?

 

[Run n Spread]

Anyone else find the true purpose of money i.e. spending it doesnt make them happy?
.

Makes me very happy.

 

[Run n Spread]

How do you guys work out how much you're going to save a week? Is it a percentage, a certain amount etc. Do you pick an amount to save or save what you have left over? I'm just putting $100 of my pay a week into an account atm. It would be more but I'm renting, bills, have a car on finance, private health, car insurance, physio etc and am left with sfa after that.

Any tips on investing small amounts of $ or is it basically 'save til you have x amount and then think about investing'?

Budget per day and spend that and let savings build. If you have a budget and plan to put X away. It never works. I have tried it 5 times majorly. Each time within a month there was a bill, unexpected car trouble, unexpected event etc. Just leaves you disheartened.

It is like dieting. You need to set up a lifestyle and plan which suits you and promotes healthy habit. i.e. If you have a big appetite (love to spend) than going on a crash diet (saving plan) won't work as you will starve and than eat/spend big to make up the short fall.

If you love keeping trim (waiste and spending) than you can afford to chill and work less and go at a steady pace. While the former may need to find a way to make more.

A lot also depends on your job/job security. And what you spend on.

 

[Power Raid]

budgeting and saving is good for discipline but often not the way to build wealth.

focus on trying to get yourself in a position where you can increase your income. education and a good job is one way. saving and investing is another. I'd suggest getting to a position where you can start your own business. The best business to have is where you "create the market".

Once you have wealth then the discipline you learnt from saving will help you keep it.

 

[Run n Spread]

budgeting and saving is good for discipline but often not the way to build wealth.

focus on trying to get yourself in a position where you can increase your income. education and a good job is one way. saving and investing is another. I'd suggest getting to a position where you can start your own business. The best business to have is where you "create the market".

Once you have wealth then the discipline you learnt from saving will help you keep it.

True but the way business operates currently is Zero Sum. I gain by taking out of your pocket. What you need is a skill you can transfer to endless income with as little effort as possible as you retire.

Money is an emotive topic but I think Cash/ability to with stability get an income is King. Assets are nice but just reflective of the former.

What do people save for? An emergency fund for when you lose your job. That is important but your priority also needs to be income generation.

 

[Jimmybob]

Thanks for the responses, guys. Very informative and will look to change up the way im currently saving and spending.

 

[The Edukator]

I use an app to track every dollar i spend. that way the only times I really exceed my weekly budget is when I've consciously decided to or something like a car repair bill crops up.

 

[Cruyff14]

I use an app to track every dollar i spend. that way the only times I really exceed my weekly budget is when I've consciously decided to or something like a car repair bill crops up.

What is it called?

 

[The Edukator]

What is it called?

I use Spending Tracker.

 

[jedi mind tricks]

I save about 350 dollars a week

I have about 80 grand of special repayments in my mortgage and it's growing.

I still like the odd drink and party but don't go silly. I am supporting two children too. I've hardly ever spent money on trivial things.

* an expensive car they only lose you money and the only bank loan is my house and rental property which makes me money.

It's so easy to do if you have a bit of vision and some common sense.

 

[The Edukator]

I save about 350 dollars a week

I have about 80 grand of special repayments in my mortgage and it's growing.

I still like the odd drink and party but don't go silly. I am supporting two children too. I've hardly ever spent money on trivial things.

**** an expensive car they only lose you money and the only bank loan is my house and rental property which makes me money.

It's so easy to do if you have a bit of vision and some common sense.

For half of your weekly surplus cash you could easily afford another property. Have you thought about that?

 

[jedi mind tricks]

For half of your weekly surplus cash you could easily afford another property. Have you thought about that?

Yes I have thought of that. I have also considered selling my house and buying a much larger block. Approximately 1 acre and building. Until I make my final decision I will keep adding extra to my mortgage repayments so I can borrow more from the bank.

Did you have a suggestion?

 

[The Edukator]

Yes I have thought of that. I have also considered selling my house and buying a much larger block. Approximately 1 acre and building. Until I make my final decision I will keep adding extra to my mortgage repayments so I can borrow more from the bank.

Did you have a suggestion?

Suggestion for ??

If you are trying to pay down your mortgage maybe you could get an offset facility and pay it down while keeping the cash. Might help your serviceability.

 

[jedi mind tricks]

Suggestion for ??

If you are trying to pay down your mortgage maybe you could get an offset facility and pay it down while keeping the cash. Might help your serviceability.

Already have mate it makes a massive difference. All my pay n mortgage from investment property goes into offset.

I highly recommend it for others to set up.

I'm just unsure of getting another investment property as I don't want to over capitalize and also not 100% sure the best place in Aus to purchase one.

 

[The Edukator]

Already have mate it makes a massive difference. All my pay n mortgage from investment property goes into offset.

I highly recommend it for others to set up.

I'm just unsure of getting another investment property as I don't want to over capitalize and also not 100% sure the best place in Aus to purchase one.

Don't worry about trying to pick the next 'hot spot.' Just find a property in melbourne that ticks all the right boxes and you will be fine.

edit: easy for me to say as I am a melbournian.

 

[jedi mind tricks]

Don't worry about trying to pick the next 'hot spot.' Just find a property in melbourne that ticks all the right boxes and you will be fine.

edit: easy for me to say as I am a melbournian.

I've been over to Vic 3 times and love the place. I'm not well versed in the market over there to make a decision though.

I'm not interested in a hot matket but long term for my retirement. Possibly 30 years time

 

[DCantamessa]

You can also reduce your extra expenses.

 

[Mazza1234678]

I'm 22 atm and have about 120k in the bank I've saved over the last 5 or so years

Really big decision atm is whether to invest a good 60k-100k in shares or get into the property market to buy an investment property

Considering I'm still young and would like to travel and enjoy myself in my twenties I'm torn on my decision but leaning towards getting into shares to start off with as I'm single and don't really want the hassle of worrying about paying loans and s**t at this point of my life

Thoughts?

 

[The Dice Man]

I'm 22 atm and have about 120k in the bank I've saved over the last 5 or so years

Really big decision atm is whether to invest a good 60k-100k in shares or get into the property market to buy an investment property

Considering I'm still young and would like to travel and enjoy myself in my twenties I'm torn on my decision but leaning towards getting into shares to start off with as I'm single and don't really want the hassle of worrying about paying loans and s**t at this point of my life

Thoughts?

Buy property, rent it out, sit on a Caribbean beach.

 

[Cruyff14]

I'm 22 atm and have about 120k in the bank I've saved over the last 5 or so years

Really big decision atm is whether to invest a good 60k-100k in shares or get into the property market to buy an investment property

Considering I'm still young and would like to travel and enjoy myself in my twenties I'm torn on my decision but leaning towards getting into shares to start off with as I'm single and don't really want the hassle of worrying about paying loans and s**t at this point of my life

Thoughts?

You can still buy a property AND travel. You've got boatloads.

 

[CatFan79]

Buy property, rent it out, sit on a Caribbean beach.

LOL This is 2018, not 1965. 120k gets you half a block of land, in a cheap 'burb.

 

[maryjames]

Just invest. No point holding it.

 

[Eaglespur]

I'm 22 atm and have about 120k in the bank I've saved over the last 5 or so years

Really big decision atm is whether to invest a good 60k-100k in shares or get into the property market to buy an investment property

Considering I'm still young and would like to travel and enjoy myself in my twenties I'm torn on my decision but leaning towards getting into shares to start off with as I'm single and don't really want the hassle of worrying about paying loans and s**t at this point of my life

Thoughts?

More money than most people see in their account in their life time. Well done mate.

I'm 25 now and have back packed 20 countries in Europe and lived in Canada in the last few years (absolutely 100% worth the cash) which cost me about 30 grand id say.. that's doing what I want and eating what I want along my travels. 30 grand is including setting myself up with a rental, bond, furniture ect in Canada and all flights, events, food and transit in Europe.