Do you vacation when you have bills?

[*Meagan*]

There's a difference between having debt and having no money. I have debt because I had no money. Now we are ok with the money, thus the debt is getting paid, according to payment agreement. I'm not going to wait until my kids are 34 years old before I take a family vacation with them. Things were different when we were in the "don't have the money" situation, but we are no longer in that. You all know the saying, "all work and no play......." Have to have some play for some stress relief with your time or else one might just end up like my father at 43 years old.

 

[pklein09]

I've read a good portion of this thread, and I'm going to chime in on why we bought DVC when money was tight. I'm lucky enough to be a SAHM for over 14 years to 4 kids. This was our choice, and we made purchases accordingly, i.e. cheaper house than what we could have bought, only 1 car payment at a time (cars last for 10 years in this household), hand-me-down clothes, used furniture, etc. You get the picture. My husband works in mid-town Manhattan, and has for over 12 years. If you do your math, that put him in the city on Sept. 11, 2001, and our youngest was not yet 1 year old. Talk about a wake-up call. That day made us reevaluate our lives and our priorities. We had not taken vacations because we had babies in the house. That changed in Oct. 2001 when we purchased our first DVC contract. Did we have the cash in hand? No. Did we need to make a family vacation a priority? Absolutely. Go ahead and flame me, I've got my suit on. I'm not about to judge anyone else's money decisions, and I take full responsibility for my own.

--Michelle

 

[mhsjax]

I've read a good portion of this thread, and I'm going to chime in on why we bought DVC when money was tight. I'm lucky enough to be a SAHM for over 14 years to 4 kids. This was our choice, and we made purchases accordingly, i.e. cheaper house than what we could have bought, only 1 car payment at a time (cars last for 10 years in this household), hand-me-down clothes, used furniture, etc. You get the picture. My husband works in mid-town Manhattan, and has for over 12 years. If you do your math, that put him in the city on Sept. 11, 2001, and our youngest was not yet 1 year old. Talk about a wake-up call. That day made us reevaluate our lives and our priorities. We had not taken vacations because we had babies in the house. That changed in Oct. 2001 when we purchased our first DVC contract. Did we have the cash in hand? No. Did we need to make a family vacation a priority? Absolutely. Go ahead and flame me, I've got my suit on. I'm not about to judge anyone else's money decisions, and I take full responsibility for my own.

--Michelle

I am right there with you.

So glad your DH is ok.

 

[Michelle and crew]

You can die any day. The roads are dangerous, and life is crazy. You can justfy anything in that way.

 

[Mimi1965]

Yes to everyone who questioned it. I have a mortgage.
In fact, I could pay off my mortgage now, but I don't because it makes better financial sense to have a tax write off.

I have an agreement with the bank to pay what I owe them plus interest, and going on vacation with extra cash does not affect the agreement I have with them nor my ability to pay it and my payments don't keep compounding or getting higher because I didn't pay it down.
I am certainly not dipping into money that could go toward paying off my very light mortgage. I still have that money sitting there.

.

Does that make you superior to peple who have just a regular mortgage-vs YOUR very "light" mortgage(whatever the heck that means?)

 

[tlbwriter]

Why do you (collective "you" to all who are having this issue) have such a problem with someone describing her version of right and wrong using the term "moral?" It is simply her opinion.

I didn't say I had a problem with it. I said I didn't understand it. I don't understand how one form of interest can be immoral while another is not. I don't understand why taking a vacation while you have a car payment is immoral, but taking a vacation while you have a mortgage payment is not. (And I certainly don't understand how paying interest so you can deduct a PORTION of that interest is better financially than not paying that interest at all, but that's a different post...)

 

[SaraJayne]

Well, to me it is a sin to be purposefully wasteful. To do something stupid when I have the God given sense to know better is a sin as well. To be so self absorbed and self indulgent to spend on a vacation I can't truly afford, is sinful. Yes, the cc company WANTS my interest, but the devil also wants my soul, and I'm not giving that up either. I'm not going to "do the cc company a favor" and continue to pay them ridiculous rates when I could instead go with out a luxury and pay down the debt. I guess, in the instance of owing the cc company rathe than an individual, it is more of a sin against myself and my family than toward the cc company, but it would still be sinful to me.

Oh boy.

 

[SaraJayne]

OP, if you're still reading () I'm glad that you are holding off on your trip since you seemed uncomfortable spending that amount right now.

Many people do choose to vacation when they have debt and there is absolutely nothing wrong with that. It is when you can't pay the bills you already have that it becomes a problem.

There must be balance in life.

 

[ccgirl]

I didn't say I had a problem with it. I said I didn't understand it. I don't understand how one form of interest can be immoral while another is not. I don't understand why taking a vacation while you have a car payment is immoral, but taking a vacation while you have a mortgage payment is not. (And I certainly don't understand how paying interest so you can deduct a PORTION of that interest is better financially than not paying that interest at all, but that's a different post...)

Very well put. I wonder if that tax write off is more or less than the interest paid?? Interest is interest no matter how you slice it. Calling people immoral for having debt when you have debt yourself is definitely hypocritical.

 

[disneydreamersx4]

I am still here.....like alot of people on this thread have stated, it is a personal choice whether to take an expensive vacation when you have alot of debt. For us, we don't want to do it, it's too much stress knowing we have credit card debt. We will be telling our children we are waiting to take the trip because bills have to be paid. I like the example someone gave that children should learn that if you don't have money for a candy bar then you have to wait til you get your allowance. I have been guilty of "loaning" the kids money for something. I like that it teaches them not to borrow money at such a young age. We will, however, take day trips because we need that time away from our sometimes hectic life.

 

[SaraJayne]

I am still here.....like alot of people on this thread have stated, it is a personal choice whether to take an expensive vacation when you have alot of debt. For us, we don't want to do it, it's too much stress knowing we have credit card debt. We will be telling our children we are waiting to take the trip because bills have to be paid. I like the example someone gave that children should learn that if you don't have money for a candy bar then you have to wait til you get your allowance. I have been guilty of "loaning" the kids money for something. I like that it teaches them not to borrow money at such a young age. We will, however, take day trips because we need that time away from our sometimes hectic life.

Yes, you do. And like a previous poster pointed out, stress can kill you. Small day trips can be just as fun (if not more) as a pricey vacation.

You seem to have a healthy perspective on this, and I'm glad to see that.

 

[disneydreamersx4]

thank you
Hope everyone here can be peaceful. Every family makes their own choices.

 

[luvsJack]

You can die any day. The roads are dangerous, and life is crazy. You can justfy anything in that way.

Of course you can die any day. That is the point. You should enjoy your life while you have it to live. You have to take care of responsiblities, no one is saying you shouldn't; but you have to have a balance.

 

[bettymae1121]

I didn't say I had a problem with it. I said I didn't understand it. I don't understand how one form of interest can be immoral while another is not. I don't understand why taking a vacation while you have a car payment is immoral, but taking a vacation while you have a mortgage payment is not. (And I certainly don't understand how paying interest so you can deduct a PORTION of that interest is better financially than not paying that interest at all, but that's a different post...)

I was wondering that myself, especially after she posted that people who pay $5000 for a $2000 sofa "don't get it".

If paying $5000 in interest nets you a $500 decrease in your tax liability, you just spent $5000 for something only worth $500. THAT'S what I don't get!

 

[luvsJack]

thank you
Hope everyone here can be peaceful. Every family makes their own choices.

If you are concerned about your kids being disappointed, maybe you could start a savings jar for your trip in the future and let them see you saving up for it. Also, there was a thread on her somewhere about Disney nights. When we have a trip in the planning stages, dd and I like to do these and watch disney movies, planning dvds and our own films of past trips. It helps to make the trip seem not so far away, kwim?

And you are right every family has to make their own choices. And the answer for each family can have many different factors that make that the right answer. You have to do what is right for you.

 

[mrodgers]

Not only that, but from what I see, you have to be pretty well off to afford a house expensive enough to be able to deduct the interest. I'm not anywhere close to being able to deduct my interest. I'd need thousands and thousands more interest paid to get above the standard deduction.

How do people itemize? I'm at about $3500 itemized when my standard married deduction is what? $11,500 or something if I recall correctly?

 

[Planogirl]

I was wondering that myself, especially after she posted that people who pay $5000 for a $2000 sofa "don't get it".

If paying $5000 in interest nets you a $500 decrease in your tax liability, you just spent $5000 for something only worth $500. THAT'S what I don't get!

ITA. Our couch is a beat up thing that desperately needs to be replaced. When we do so we will NOT be spending $5000 or $2000!

OP, it sounds like you are definitely doing the right thing for your family and that's really what it's all about IMO.

 

[tlbwriter]

We couldn't itemize based on our mortgage interest alone, but other expenses (education, charitable donations, daycare) put us over the top. We'll probably lose that this year, as our interest is lower every year and daycare is going away. Or maybe daycare doesn't even enter into it - I'm not a tax expert, I let Turbo Tax do the thinking!

 

[crisi]

We itemize based off state income taxes alone. We haven't had a mortgage in years (do again now) and still itemize. There isn't a lot of items there - but the ones there are big - state income taxes, property taxes, charitible contributions.

 

[bcvmargs]

I find that you will always have some bills to pay. As long as you won't have to claim chapter 11 or 13 I would say go for it. It might help you get some motivation back to pay off those bills.