You have to save for a 3 thousand dollar vacation, right?

[Handbag Lady]

You lost me at the part where you conned your own mother into paying for your vacation.

 

[ArmchairDetective]

Have you considered camping at WDW? I don't know if that would save money or not, depending how far you are from Disney and what your travel costs would be.

This is an excellent recommendation as it is directly in-line with OP's lifestyle and priorities. The best of both worlds!

Also, you can look and see if your bank or credit union has a vacation savings account. Mine does! It receives direct deposits, based on how much you want to save, and then disburses it when you are ready to book. It might not have the best APY rate, but skimming the funds out of the paycheck immediately and regularly will have its benefits. You may not even miss the funds if your other expenses are in order and it may make you take a better look at your finances and see where you can shave more to take even bigger and better vacations.

A Disney Alaskan or Panama Canal cruise could be in your sights!

We use YNAB and it has worked out amazingly for us.

 

[Granny square]

You lost me at the part where you conned your own mother into paying for your vacation.

No kidding.

 

[Sandy61]

Quality of life. That is what is important to us.

We have a camper that we paid 11,000 cash for many years ago. We absolutely love getting away on mini vacations... 2-3 day weekend trips within our state. We would be devastated to sell it and think it would not be worth any amount of money. We love the family/couple time together. We go to the beach, wildlife centers, play outdoor games, watch movies if raining, start a fire and cook meals over it.

We also take a "budget" vacation almost every year. 3 times to WDW and the gulf coast and other great places like New Mexico and Arizona last year. Vacations are mentally stimulating and fun for us.

I have 2 masters degrees yet stay at home with a part time (at home) job because I wanted to raise my kids, not someone else raise them. I want to take them to appointments and be there when they are sick. One of my favorite memories is when my son had a snow day and I was home with him and we built a gingerbread house out of stuff we found around the kitchen. I want my husband to come home to a home-cooked meal and quiet time with us. We have a wonderful life.

We paid off the mortgage on our previous home. We now have a 3 bedroom, 2 bath home with a finished walk-out basement, 7 acres, and a view. It is 6 years old. Our mortgage payment is less than $350 a month.

We just bought a 4 year old pickup that would have been $40,000 new. We do have a monthly payment now but no credit card debt.

We make less than $50,000 a year. It just is not worth it to work harder and pay child care. We want a better quality of life and it has nothing to do with your title or how much you make.

It all comes down to what makes you happy. I used to scrape and save and worry but it is not worth it. Be sensible and pay for what makes you happy.

 

[kydisneyfans]

We've taken 26 vacations in the past 10 years, 12 to the World and 14 to various other locations.

Only once have we spent 3K, that was to NYC for the Thanksgiving Parade.

How do we do it:
-26 pay periods in a year, 24 are budgeted for bills. That gives us 2 "extra" pays.
-Credit card rewards, just cashed in our 2 Chase Freedom cards for 2013, upwards of $1,000. We pay in full every month.
-We move our grocery money for a normal week into the budget for our vacation.
-We drive everywhere, much, much cheaper than flying.

With our insurance skyrocketing in 2014, we will likely cut back to 1 week, using an extra pay to cover our deductible that went from $1000 to $2500. I have Crohns, so we'll hit the $2500 easily.

Vacations are all what you want out of it. To me, Pop Century and counter service is fine since I'm at Disney World. Others demand luxury when their eyes are closed and want to spend $150 to eat lunch, that's fine too. To each their own.

 

[kydisneyfans]

Exactly right, a travel trailer in this case is considered a second domicile and therefore the interest portion is deductible right along with the primary mortgage interest.

Another answer for this could be that a home equity loan was taken out to pay for the camper.

 

[sookie]

That camper is your vacation. Go have fun with it and stop whining about what you covet.

Get an extra job or make changes so you can go to Disney later - like sell the camper.

 

[Allison]

Right, but aren't there TONs of people out there running around with money they inherited from family?

I mean doesn't it make sense? Or since most people have kids and more than one then the inheritances get broken up a bunch?

What makes sense? I can't figure exactly what your point is with this thread.

 

[crisi]

Some people inherit money from family - most who do don't inherit enough to make a difference - either because its split multiple ways or because it really isn't that much money. Of those that do, a number of them will spend it and within a few years be back in whatever situation they were before hand (e.g. I inherited $150k, I should blow part of it on a vacation, and I do NEED a new car, and there are things I've always wanted - a really nice purse, a kitchen with granite countertops and tile backsplashes....and you turn around and discover that you are back where you started, having taken a nice vacation, with a nice car, and a nice kitchen - but without any significant change to how your bills get paid), others will have already spent it (college loans need to get paid off, they knew they were coming into money so the college was a financial stretch, the house was a financial stretch, the wedding was a financial stress - when the money arrives, its spent). For a few, it really does change their lives - it is both sufficient and well spent to do so.

Another thing to know about inheritances is that I know SEVERAL people who expected large ones that didn't pan out - so OP, if you think you MIGHT inherit your aunt's estate, don't spend it until it arrives. I've seen estates get split more ways than anticipated, people who thought someone was much wealthier than they were, people who went through hundreds of thousands in non-covered end of life care, estates where the heir is the beneficiary - but of a trust that is doled out in little tiny amounts, and ones where when Uncle Bill dies the cousins discover he told EVERYONE he was leaving his money to them and it turns out he left it to his college.

I've also seen people inherit significant sums of money from relatives they barely knew and from people who everyone believed was broke.

 

[Colleen27]

It depends on what you spend your money on.
We have no car payments - we paid cash for our last 2 cars. We can afford a lot more house than the one we live in. So that's quite a bit of free cash each month. We don't eat out - maybe 2-3 times a year while at home. Kids are young so we don't go out much to movies and such (can't remember the last movie we saw in a theater).

So we could swing a 3K trip if we really wanted, but it's due to the fact that there's a lot we do without.

This. We have an income well south of six figures, but we have never had a car payment much less two and pay cash for our big toys. We also haven't had a mortgage since '09 because we were more than happy to buy a fixer instead of looking for newer, bigger, better. So we have quite a bit of money available for travel and other extras but only because we have made those things higher priority than other wants in life.

As for the inheritance question, I'd never spend on the assumption of inheriting. I've seen too many people burn through everything they had and then some on medical bills in their last months or years to take a promised inheritance for granted.

 

[Mousemom234]

Doesn't mean I can start improving mine today. Find ways to cut out waste, make my dollars go farther so that I can put 3k down without a hiccup.

But, sure would be nice to come into a cushion like 300k. That changes lives on the small scale and makes 3k possible.

Am I right?

Sounds right to me
Trim out the fat from your daily expenses, and set up a transfer from checking to a 'vacation fund' in a small amount - $60 a week is most likely findable. We've done that in the past, and found it worked very well; the amount was budgeted for under 'Entertainment'.

A cushion is a good thing to have, but don't go wild with it - set some of it aside for emergency use. (Trust me - crap happens when you least expect it ). Use most of it to help out with the normal expenses, and go right ahead and use some of it for YOU

We did come into some money, quite a few years ago (the proverbial "rich uncle" ).
We used it to pay off part of the mortgage, and it made it easier to pay the rest of our bills -- for a while. And yes, we did use some of it for a trip to WDW. I'm pretty sure Uncle R was somewhere up there watching us and smiling

So, I'd say that if you start saving for a trip, and do end up with your Aunt's money, then just keep saving the money, use it for another trip, or something else you find you need/want in the future.
Look at the extra money as a gift of a vacation, enjoy yourself, and have fun ~~ and don't forget to drop a few pennies in the wishing well and think about your Aunt, who would probably be delighted to see your family having a good time.

 

[DawnM]

Actually, no, we don't all have those things.

We make a very decent living, but we still have no car payments, no camper, no storage, no expensive cell bills, and no cable TV.

And another thing……NEVER count your chickens before they hatch. You don't know for sure that you are even getting any money until someone shows you in writing if you are.

I could pay $3,000 for a vacation tomorrow because we have a decent savings account. We have it because we don't have all those things you mentioned and save that $$ instead.

Just because you think everyone else has it, doesn't mean you have to have it.

Dawn

Hey all,

I don't have 3k laying around and would never charge that kinda coin. But, Disney is fun and it does make a nice set of memories.

I got to thinking about life, money and people with this. Our yearly household is just north of six figures. We have a mortgage, two car payments, Camper payment and storage(less than 200 a month) and all the other phones/cable/inet junk bills everyone else does.

People with these stats have to live on budgets, right? You have to save for what you want or buy it on credit and pay someone interest to let you have your experience early.

But, two things dawn on me. I have an aunt who supposedly I am the heir to in her will. Her estate will be in the 300k range after tax and such, probably. Lets say that money comes to me next year. Next year my net worth is +300k. I'd probably pay off the house with that, I mean I'm paying 4% already for an asset that IS appreciating again finally. So I'd pay that off and then bam there's 13 hundred a month that I'm banking all of a sudden.


Am I right?

 

[Luv Bunnies]

Right, but aren't there TONs of people out there running around with money they inherited from family?
I mean doesn't it make sense? Or since most people have kids and more than one then the inheritances get broken up a bunch?

I think you're a little too focused on inheritance. We inherited from DH's mom after she died suddenly in an accident. Quite frankly, the entire thing was traumatic, including figuring out the finances. DH and his brother would much rather have their mom back.

My siblings and I don't discuss our potential inheritance, even if our parents bring it up. We are not looking forward to it at all. We would rather have our parents with us for as long as possible.

 

[DVC California]

The first trip with all the expense I conned my Mom into paying for.

I don't have 3k laying around and would never charge that kinda coin. But, Disney is fun and it does make a nice set of memories.

I got to thinking about life, money and people with this. Our yearly household is just north of six figures. We have a mortgage, two car payments, Camper payment and storage(less than 200 a month) and all the other phones/cable/inet junk bills everyone else does.

If you make $100k+, that's about $8400/mo. Let's say your withholding is about 25%, you are taking home $6300/mo.

Let's say your monthly expenses are as follows:

$1300 mortgage
$ 800 two car payments at $400 ea
$ 200 camper and storage
$ 200 auto insurance
$ 200 homeowners insurance
$ 150 cell phones
$ 100 cable/internet
$ 200 gas/electric bills
$ 400 gasoline
$ 500 groceries
$ 200 clothing
$ 300 entertainment (dining/movies, sports)
$ 600 tithe
$ 600 savings
$5750 Total Expenses

$6300 income - $5750 expenses = $550/mo discretionary

You may not be able to save $3k in 3mos, but I think you can save it in 6 months.

And send your Aunt a nice Christmas card, maybe a box of chocolates too.

 

[Donnainnj]

If you make $100k+, that's about $8400/mo. Let's say your withholding is about 25%, you are taking home $6300/mo.

Let's say your monthly expenses are as follows:

$1300 mortgage
$ 800 two car payments at $400 ea
$ 200 camper and storage
$ 200 auto insurance
$ 200 homeowners insurance
$ 150 cell phones
$ 100 cable/internet
$ 200 gas/electric bills
$ 400 gasoline
$ 500 groceries
$ 200 clothing
$ 300 entertainment (dining/movies, sports)
$ 600 tithe
$ 600 savings
$5750 Total Expenses

$6300 income - $5750 expenses = $550/mo discretionary

You may not be able to save $3k in 3mos, but I think you can save it in 6 months.

And send your Aunt a nice Christmas card, maybe a box of chocolates too.

I don't see any Health insurance in your budget (I know our part of medical and dental are about $1000 a month now)
Donna

 

[Lisa71]

Hoping for the best for you. I too had cancer 3 times before I was 30 (different kinds). Was told I'd never have a baby (despite best efforts and lots of $$). Spent another 25k on a failed adoption. Six months after I finished radiation the third time I found myself pregnant and scared. The things they told me would be wrong with my child--lets just say I could write a book. 99, yes 99 prenatal appointments later every genetic test known, nurses never asking me how the baby was through the whole pregnant (I heard them "room" other patients and ask the mom first how they were then the baby). Everyone expected a bad outcome ( hell I half expected her to glow from all the radiation and drugs sort of like glow worm) I continued the pregnancy despite all kinds if bad news because this was my baby. Most likely my only (although I'd love another).

Happily I can report the result has been great. The doctors were wrong. My daughter is awesome and is 2.8 years old with a couple oral motor issues and speech issues but something any child could have without all the doom and gloom surrounding the beginning/middle and pretty much until she was born. If you saw her on the street you'd never know the docs were so worried.

If you ever want to chat shot me a pm. I can also give lots of advice about a special needs trust if you need it. We had one set up.

Our kids are adopted and we had years of fertility...but glad we have the family we do...and please do not count Disney out as it is great for all kids..our son has cerebral palsy and it is so good for him!'

 

[ICF]

I don't see any Health insurance in your budget (I know our part of medical and dental are about $1000 a month now)
Donna

OP's from Canada....so not much of an issue.

 

[dpswift]

Some people inherit money from family - most who do don't inherit enough to make a difference - either because its split multiple ways or because it really isn't that much money. Of those that do, a number of them will spend it and within a few years be back in whatever situation they were before hand (e.g. I inherited $150k, I should blow part of it on a vacation, and I do NEED a new car, and there are things I've always wanted - a really nice purse, a kitchen with granite countertops and tile backsplashes....and you turn around and discover that you are back where you started, having taken a nice vacation, with a nice car, and a nice kitchen - but without any significant change to how your bills get paid), others will have already spent it (college loans need to get paid off, they knew they were coming into money so the college was a financial stretch, the house was a financial stretch, the wedding was a financial stress - when the money arrives, its spent). For a few, it really does change their lives - it is both sufficient and well spent to do so.

Another thing to know about inheritances is that I know SEVERAL people who expected large ones that didn't pan out - so OP, if you think you MIGHT inherit your aunt's estate, don't spend it until it arrives. I've seen estates get split more ways than anticipated, people who thought someone was much wealthier than they were, people who went through hundreds of thousands in non-covered end of life care, estates where the heir is the beneficiary - but of a trust that is doled out in little tiny amounts, and ones where when Uncle Bill dies the cousins discover he told EVERYONE he was leaving his money to them and it turns out he left it to his college.

I've also seen people inherit significant sums of money from relatives they barely knew and from people who everyone believed was broke.

Excellent point. As they used to say don't count your chickens before they are hatched.

The Aunt could go into a nursing home and use it all. She also may owe more than you realize.

We know someone who was excited to be their brothers only heir. They spent their own money to fix some things in the house to sell it faster. Then found out that the house was fully mortgaged and he had tons of credit cards he owed on.

 

[DVC California]

I don't see any Health insurance in your budget (I know our part of medical and dental are about $1000 a month now)
Donna

Good catch! I totally forgot about that as my employer fully covers our health.

In that case, OP may be living paycheck to paycheck and should try to trim some of their expenses. Hopefully they have at least been saving into an "emergency" fund to cover expenses should diaster strike (3-6 months income).

 

[crisi]

By the way, we make well north of six figures and don't have car loans, camper payments, storage or cable. We buy cars we can pay cash for (which means that fifteen years ago, we bought some really crappy used cars - our income was a lot less and daycare ate up a lot of it) and cut cable because it was an expense we didn't need. One way to change your life is to change the idea that EVERYONE has or does these things - or that because anyone has or does them, that you need to. Many people live without car loans or cable.

It sounds like you've fallen into the "we make lots of money, we should be able to afford" trap. Yes, people still budget - even if you make a lot of money. Nicholas Cage has huge money problems and he gets millions of dollars per movie ($12M for 2011's Seeking Justice from a quick google search - never even heard of it). No matter how much you make you need to budget. For some people the level they budget on is different - some of us need to track every dime or we are in trouble at the end of the month and others can drop $100 here or there as long as it isn't often and not care - but there aren't many people whose "don't care" threshhold is $3k - not many RESPONSIBLE people.