Post # 196
dgirl715 : Fair enough but my projections aren’t based on a promotion but a natural progression of his career. The 550k projected is the absolute minimum and doesn’t include additional savings. But neither of us have thought seriously about retirement as we are at the very start of our careers (and pretty irresponsible because we can be).
As for me, I’m doing what another poster recommended- to look for a high paying job. I would also need a 6 figure salary minimum to keep up with the cost of living in my city. I am actually hoping to out earn him!
The only reason I think flying business may be acceptable if it’s a last minute upgrade, one way, and can be paid off in just one extra shift. Otherwise we have decided against it.
Post # 197
9.5% isn’t enough. I work in super for about 10 years, in investments. With people living longer, you’re going to need $1mil or thereabouts by retirement if you want to maintain a comfortable lifestyle instead of a moderate one. That being said, pretty much no one pays attention to their super when they’re in their 20s. I do encourage a bit of additional contribution though, if he earns so much.
But for other bee’s benefit, quite a number of funds here earned around 10% annualised return over the last 10 years, depending on which investment option you choose. Australia has a very good retirement system and a lot of great investment opportunities within the system (you can’t take the money out until at least 60-65, and there are rules around it). So even if you save no money today, when you retire, there’ll be a hopefully big pot of money waiting for you.
But why do you think you can’t fly business in your 30s and 40s? Accounting for salary growth and career choices, surely you’ll be able to afford for both of you and kids to fly business once they are a bit older and can appreciate it (certainly know a number of people who do that with their 4-6 year olds). Also my fiancé’s parents travelled heaps once the kids were 18 and moved out. They even lived in Paris for a year or two some years ago and the kids all went to visit on holidays. They’re 60 now, great health and travel lots. It’s up to you how you maintain your health and how well you’ll be to travel the world when you’re older.
Personally though, when it comes to flying business, I’m in my 30s and both myself and fiancé earn 6 figures, we’re still too stingy to fly business most of the time unless it’s like a really long flight (to the US or something). Not even flying business for our honeymoon given it’s only 3-4 hours. I would splurg on a nice hotel or nice meal but flying business is one of those ridiculously expensive things I feel like isn’t worth spending the money unless you’re really rich or it’s a long trip.
Post # 198
missyjz : My husband and I earn 6 figures each and we wouldn’t dream of flying business class, at least not yet! We just spent $5,000 on our honeymoon in total to Italy (flights and hotels), not including food and “fun money” spent. And we stayed in nice hotels. So that’s the price of a business class ticket for one of us probably. It was a really long flight and we were both uncomfortable, but I still couldn’t bring myself to pay thousands and thousands for business class. I’m at the point in life where I just can’t justify spending that kind of money. I’d rather save for retirement AND go on an amazing trip each year. Plus, once you’re saving for retirement and paying mortgage etc, all that money goes fast. I was super exhausted by the time I got back home though. It would have been nice to lie flat on the plane lol.
Post # 199
$5k for Italy is pretty good! Yea I would still hesitate to spend on business class even for a long trip unless it’s on sale. Or could settle for premium economy if the price is right. Or if it works out well, upgrade with points. My 20s travels were all economy plus 3 star hotels majority of the time haha… now I feel like I can splurge on hotels and other things but like.. to spend 1000s on just being comfortable for a short time, is still injustiable. Maybe when I earn more money and get older I can feel justified lol…caligirlinmichigan :
Post # 200
But neither of us have thought seriously about retirement as we are at the very start of our careers (and pretty irresponsible because we can be).
Oh man, sorry, but that is a terrible way to think of it. I know you weren’t looking for financial advice, but have you every read up on how compounding interest works and what the end result is of people who start saving early vs people who try to catch up later? Here’s an easy read very simplifed example:https://investor.vanguard.com/retirement/savings/when-to-start That mind set will keep you working harder and longer. Start saving early and you can live big and have less worry earlier.
Post # 201
missyjz : I felt like got such a good deal. We booked through European Destinations so it was flight and hotels for a set price, but you can upgrade different aspects if you wish. Our flights were Delta and the hotels were 4 star. It was pretty terrific.
Post # 202
Honestly, this wouldn’t bother be if he seemed respectful about it.
Post # 203
- Wedding: August 2019 - City, State
You are his wife. I find it unreasonable that he wouldn’t pay the difference between the cost of economy and business for you so you can travel as a married couple. It seems really selfish that he keeps such a tight lock on his money and won’t even pay the difference when you’re his wife. After you’re married it shouldn’t be his money only for him and your money only for you there should be some pooled money and helping one another out. Don’t let him tell you that you don’t deserve to sit with him or have as nice of things as him because you have a lower income. That’s not how a marriage should work and I’m sure he knew your income before you were married