tag:blogger.com,1999:blog-875001767678246171.post5069701138956004660..comments2024-01-07T22:02:50.324-08:00Comments on Double Journey: Life After Making Six-FiguresUnknownnoreply@blogger.comBlogger5125tag:blogger.com,1999:blog-875001767678246171.post-47068197055128743572009-01-03T12:19:50.000-08:002009-01-03T12:19:50.000-08:00I don't consider planning for worst case scena...I don't consider planning for worst case scenarios as a downer. If 2008 has taught Americans anything, it's that we need to start thinking about reality in that way. Just because you earn 6 figures today does not mean you will indefinitely. One of my favorite sayings is "Nothing in life is constant except for change." I would have preferred learning this creed from my parents, but instead learned it from one of those editorials from my high school newspaper. Another I have learned is when bad things happen, they don't just rain but pour. Plan for worst and then some. You're already off to a good 2009 in my book.Paulnoreply@blogger.comtag:blogger.com,1999:blog-875001767678246171.post-5661193251781525712009-01-04T10:58:28.000-08:002009-01-04T10:58:28.000-08:00You make a great point and one I actually had not ...You make a great point and one I actually had not thought about much since I obviously don't have this situation.<br><br>My fixed costs are very small. Almost all my costs are variable at this point since I do not have a mortgage payment or any children. So while it would be relatively easy for me to make this transition, I can imagine how different it would be with a family and a house.<br><br>One of the things I've talked about with one of my friends is how I probably will not buy a house until I can buy one I want on only one income. This, I hope, will mitigate any chance of us having to adjust if the situation in this blog arises.terrencenoreply@blogger.comtag:blogger.com,1999:blog-875001767678246171.post-44638666903471621712009-01-03T09:51:34.000-08:002009-01-03T09:51:34.000-08:00Ah, but just wait until you start having kids! It...Ah, but just wait until you start having kids! It becomes much harder to control costs. Just as a six-figure salary is a sign of upper-middle class attainment, so to is starting a family. In particular, I am struck by the costs associated with child care. Approximately 40% of my salary in 2009 will go towards our nanny. I now spend a lot less money on leisure goods than I did in my 20s, but my overall costs are much, much higher. I think that the trick, as you correctly observe, is to ensure that your income and costs are growing proportionally.Ivynoreply@blogger.comtag:blogger.com,1999:blog-875001767678246171.post-33807694823545110372009-01-01T17:29:33.000-08:002009-01-01T17:29:33.000-08:00I for one have been paying off my debts, from high...I for one have been paying off my debts, from highest to lowest interest rates. Life is a lot cheaper when you aren't flushing away interest payments every month. I only have 3 debts right now: car (2.9%), student (2.15%), and first mortgage (6.625%, soon to be 5.25%). I paid off the second mortgage, which had a 9.5% interest rate, about two weeks ago.<br><br>Question is, are those first two even worth paying off early? The car payments will be done by September, and the student loans go for another 10 years or so. But at 2.15% it's probably more expensive to pay it off sooner, compared to putting the same money into a CD with even just a 3% rate. Going forward, I simply won't increase the amount of debt I have -- if I can't pay cash, then I can't afford it. Looking back, I would not have bought my condo, but the student loan and car purchase were fine.<br><br>I was always a gadget whore, wanting the latest computer or home theater stuff. But nowadays I'm finding it easier to say "nah" when I think about buying a new receiver to power my headphones, upgrading to a new Intel Core i7, or I'm content simply window shopping for a new car on the manufacturer's website. Instead, when I'm looking to indulge, I just go and spend $8.99 on an MP3 album download from amazon.com, or get a $2 track for Rock Band 2.Rick Brewsterhttp://blog.getpaint.netnoreply@blogger.comtag:blogger.com,1999:blog-875001767678246171.post-28651777863696417072009-01-03T08:18:22.000-08:002009-01-03T08:18:22.000-08:00Yeah, not having any debt is a BIG advantage for m...Yeah, not having any debt is a BIG advantage for me. It allows me to control the cost side of my life a lot more. I think you have done a fantastic job of controlling that urge to just keep consuming. You are years ahead of most people.terrencenoreply@blogger.com