60k a year or less, What Do You Go without?

nimnomnimy on 19/08/2015 - 11:55
Last edited 19/08/2015 - 12:55

As a high income earner, I consider my lifestyle average but I'd like to get the point of view of people that might think what I have isn't average but actually a little lavish. what do you go without?

To start, maybe a list of my standard costs of living

  • mortgage
  • refresh wardrobe once a year average spend $3k
  • average $20 a day on lunch, work days
  • cleaner once every 3-4 weeks
  • new iPhone every year
  • new laptop every couple years
  • one major technology buy a year (Apple Watch this year)
  • a couple domestic trips per year
  • ultimate fuel for my car, I don't know why, just feels better
  • 2 meals out both Saturday Sunday, every weekend
  • $4 coffee a day sometimes 2

Feel free to ask questions.. I want to find - are lower income earners actually very good with the money they earn? Do they go into debt? what can we learn from each other

Poll Options

  • 133
    I have everything I want
  • 28
    I want a fancy car and a big house
  • 69
    I can afford my mortgage and I'm fine
  • 223
    I can't save enough for a house
  • 24
    I still haven't got a car
  • 18
    What's a smart phone?
  • 22
    Other
Financial

Comments

      • kolorijo on 21/08/2015 - 17:43

        Slazengers :p

        Exaggerated a bit :p

        NZ is definitely on my list, was supposed to go there on work conference but the timing wasn't right and my boss decided not to take me :(

        • nimnomnimy on 21/08/2015 - 17:44

          re: nz
          unacceptable!

        • kolorijo on 21/08/2015 - 17:52

          @clickship:

          That's what I said loudly in my head lol. Can't complain, it's my busy period.

        • nimnomnimy on 21/08/2015 - 17:56

          @996839: don't worry i've been left behind too. just this year in fact. your time will come

  • spiff on 21/08/2015 - 16:37
    +3

    Great topic. Pleasantly surprised and humoured at how OP has responded to all the negativity thrown his way, especially since 95% of it comes from people not understanding the point of the discussion. Sure there are some things I wouldn't do if I was on that sort of income, but to reach the tipping point of attacking OP's lifestyle is indicative of nothing more than jealousy.

    I'm on just over $100k, living out of home with partner.

    mortgage - $2.5k/mth
    spend $1.5 - $2k on clothes per year, split 50/50 between work at personal
    buy lunch usually once a week for $15
    self clean
    new iPhone every 2 years
    new laptop once every 5 years
    no dedicated major tech buy per year
    international holiday once a year to US or Europe, otherwise maybe a few smaller trips to Asia a year.
    I drive a car worth <$10k, spend about $25/wk on 95.
    2 meals out per weekend, range from $40 to $100 per meal.
    Buy coffee out twice a week

    • nimnomnimy on 21/08/2015 - 16:53

      Thanks, yeah I think I'm close to 200 responses. I partially working again now so probably from next week the topic will die from no one getting replies like most other topics

      Where do you like best in the US? I'm there every January

      • spiff on 21/08/2015 - 17:04

        The drive along Highway 1, or a portion of it, should be on everybody's bucket list!

        Chicago felt like a home away from home. Would be great to be based there given it's central location to Canada and the rest of the States.

        Plenty to see and do in NYC, probably the city I could go back to (as a visitor) time and time again.

        If you're there for business, that's ideal. Not so great for leisure given the exchange rate. Since your latest trip would have been Jan 15, I don't think you would have experienced the horrendous sub 80 rates yet. That clothing budget may have to expand a little haha

        • nimnomnimy on 21/08/2015 - 17:20

          i was in orlando so i didn't at all, it was quite good - see how we go 2016

  • Freighter on 21/08/2015 - 17:21

    I'm on about 40k a year + super at 24 :-/ (can't see it going much above 50k, ever.)

    I spend my money like this:
    Rent ($150 a week)
    Rarely eat at a restaurant or bar unless it's with family. I buy KFC/maccas etc about once every month or two depending on if I'm extremely hungry and too lazy to cook (I enjoy cooking)
    Take my own lunch to work. Usually last nights dinner or I have oats+yogurt or couple cans of tuna and spinach.
    Not much alcohol, don't drink much only when I'm with friends who are drinking and even then it's only 1 or 2.
    Clothes are either bought from Savers if they are branded ones or I'll get the odd one from Kmart if I like the design. Shoes are from Harris Scarfe
    New phone when the old one breaks, maybe every 2 years? Bought a OnePlus One this year after the LG G2.
    Laptop is about 4 years old now but still runs strong, has a SSD in it to make it faster and worked a treat
    normal fuel for the car and premium for the motorbike.
    One overseas trip a year generally, but I'm not going to go next year,
    Don't drink coffee and have Lipton or Coles peppermint tea at work for free.

    I guess my biggest expenses are some gadgets, I enjoy collecting video game consoles although I don't buy unless I want a new one or it's cheap. Last purchase was a Pi which is good fun

    • nimnomnimy on 21/08/2015 - 17:34

      raspberry pi 2?

      • Freighter on 21/08/2015 - 18:04

        Yep. I only use it as a download box at the moment. No idea what else to make.. Yet. I'm not electronically gifted unfortunately

  • [Deactivated] on 21/08/2015 - 17:50

    I earn $42,000 as a Graduate - Just had my annual review with a pay increase to $53,000 approved. My wife is in Med school and only earning $18,000 per year (plus $300 per fortnight from Youth Allowance) (4th Year Med Student)

    Rent - $430 p/w (1 br Apartment Sydney)
    I Spend $300 on clothes p/a - Wife spends 1.2k
    Eat 2 cans of tuna for lunch on some crisp bread $10 per week
    self clean
    new iPhone every 2 years on contract for wife - Work phone for me.
    new laptop once every 3 years
    Small tech upgrades for xmas / bdays
    international holiday once a year and ski trip.
    Pre-marriage I had a $35,000 car which I sold - I now have a 26 year old MX-5 - Wife has new Jazz her parents bought 3 years ago.
    $150 for food each week - date night 1 per week movie or restaurant
    Wife buys coffee everyday at hospital - can't blame her with the hours.

    I have a $10,000 clean credit card which i'm willing to use if needed - easily paid off once Med school is finished ($75k first year out)

  • rgr on 21/08/2015 - 18:20
    +1

    $75,000
    no car
    live at home
    expenses per month:
    public transport + food + amaysim credit + utility bills = 42 + 150 + 10 + 100 (averaged out for the quarter)
    the numbers aren't accurate but I usually spend $280-350.

    So with the remaining $3700, I save most and move the rest into shares.

    Recent major items purchased this year: gaming pc @ $967, iphone 16GB @ $858.

    I plan to live like this up until I can afford to buy my own place outright with no mortgage. I'm hoping my investments make some major gains so that I can buy a place earlier than later, then progress into saving for retirement. Goal is to be financial independent by 35-40.

    • nimnomnimy on 21/08/2015 - 18:22
      +2

      You're better off getting into the market when you don't have to pay LMI (you have at least 20-30%) because the market will likely outpace you.

      • rgr on 21/08/2015 - 18:28

        Yeah I have 25% at the moment but I don't want to borrow any money. Despite others telling me to go front the deposit, I just can't do it mentally because I know how 'mortgage pressure' can be a pain. The goal is $350,000 outright in cash.

        • SeVeN11 on 22/08/2015 - 19:13
          +2

          that is not a smart move.

          but they time you saved 350k, the market would have moved against you and you'll need to save another 50 or 100k

          Pay LMI if you have to.
          get a few mates to share the place that you buy to help pay your mortgage.

        • rgr on 22/08/2015 - 19:22

          @SeVeN11: Well we don't know that yet. I'm open to renting for the rest of my life as well if I can't find any value in the market.

          And no, not going to live with friends. I like having my own place with full control over everything.

        • Dr Techno on 24/08/2015 - 14:02
          +2

          First house there is always a mental barrier. ie. commitment seems so big..

          If you can still live at home, while purchasing your 1st house then it's alot easier. You can quickly knock down the home loan while renting it out.. If you can pay off half of the loan then you start seeing it go down fast.

          I was the same. Didn't purchase until I got married later in life (ie forced to buy house). If I had of purchased my first house when I just started working (I lived at home for ages) I would definitely be onto my 3rd house by now.

          I would prefer to buy than rent. House prices over long term will outpace salary and if paid off by retirement age then you have less overheads and a assest to give you more options. You can even hold it for 5 years min and see some gains even with loan %.. Longer the better.

          it's too hard to buy house outright in cash. Longer you wait the further out you have to go or get a small appartment. put down 20 or 25% deposit and put rest in offset, then loan doesn't seem so bad as long as you keep money in the offset & salary directly into there.

        • rgr on 24/08/2015 - 14:29

          @darkage:

          Hmm you raise some good points. But why do you see the need to get more than one property? Why not just have 1?

        • Dr Techno on 24/08/2015 - 16:54

          @eklipze:

          Everyone has different investment aims.

          Tenants helping you pay off your loan, key is to always have someone in it. (Very important) Very loose Example - Say renter pays $2000 to you, you could be out of pocket $500 to make up for rest of mortgage. you could have 2 houses then $1000 out of pocket. Overtime properties paid off then you have $2000 for each of the two houses as passive income. + / - other overheads which you should have a cash buffer for rainy days.. but definitely good opportunity if your still living at home on the cheap.

          But at the end of the day, as long as you have one property then you can keep pace with rest of the market.. Example - For me purchased basic entry level house 5 years ago. With the gains on my house, the price difference between next step up (upgrade) for a home is about the same when I purchased 5 years ago. If I didn't purchase 5 years ago, I would have to downgrade to a lesser reputable suburb to fall within budget.

          As time goes on it gets harder to get into a area you want or house you want, and you have to start making compromises until your within budget.

          or you could rent where you want and have a investment propertry further out or investment appartment.

  • gmatht on 21/08/2015 - 20:00
    • Rent
    • Clothing from second hand store: $60 a year
    • average $10 a day on lunch, work days, often including $4 coffee.
    • Run a robotic vacuum cleaner when I start to sneeze.
    • new Android phone when unbeatable deal on OzBargain.
    • SandyBridge laptop should be enough for anyone…
    • one couple of technology buys a year (e.g. Pebble Smartwatch OzB Deal)
    • Free domestic trip. Go to Europe when my employer makes me.
    • 10c/week of electricity and HJ deals are the "ultimate fuel" for my ebike!
    • Mooch food off family on Sundays.
    • Free coffee from tea room on work days.
    • Rolling round in stocks and bonds cackling gleefully: priceless
  • ankor on 21/08/2015 - 21:25

    Income not disclosed, but certainly feel like it's tough atm.

    Rent: 245pw
    Vehicles: Nissan Tiida + scooter (works out to be far cheaper than public transport and pays back about 15 bucks a week after 2ish years)
    Public Transport: No
    General food - bought at farmers markets, aldi, or through specials here and there- groceries still end up being $70-90 pw, but closer to $70 most times
    -have recently given up steak and taken to more roasts due to the $/kg cost of steak. With an Anova sous vide (159.95 through kickstarter), it's been surprisingly acceptable because well, it's idiot proof.
    Drinks: Out once every 2 weeks or 3 weeks
    Fast Food: Try to avoid, but some weeks are better than others
    Coffee - aeropress (49.95) and grind my own (250g bag for $12, use about 12-14g per drink) - or alternatively get filter coffee from cafe where it's $4 for 12oz black coffee.

    Luxury Items:

    60' TV bought for 1200 through price-matching ozbargains
    iphone 6 for the wife - on contract through iinet
    Vodafone unlocked HTC One M7 $300 ozbargain
    Nexus 7 tablet - bought through ebay second hand
    flash digital camera - used sony cashback to reduce price to 786.00 (then HN had their effin sale for 606 after cashback argh)
    legacy lenses and 2x lens adapters used to reduce costs for my preferred focal lengths

    Internet (~90/m)
    Computer - bought parts through msy/umart and assembled myself - the most expensive component, the video card is second hand through ebay.
    Games - through steam and during steamsales, or bought keys online through o/s web stores
    Fitness - gym - probably can cut this out and find a cheaper gym - or do bodyweight or buy my own - but the social aspect :|

    Save about $400 pw.

    • ilsan0 on 22/08/2015 - 19:25

      Why dont you buy 2kg coffee for $50 delivered here on ozb??

      • ankor on 22/08/2015 - 20:05

        Doesnt taste as good after the coffee has aged past a month. The first 500g would be spot on, but then the rest would need to be frozen, and that disrupts the flavour and makes the coffee taste flat.

        /coffeegeek rant end.

        • ilsan0 on 23/08/2015 - 04:44

          We go through 2 kg coffee in less than month.
          Although I freeze the remainder and fill the hopper on demand

        • ankor on 23/08/2015 - 14:58

          @ilsan:

          Hah that's impressive.

        • ilsan0 on 23/08/2015 - 19:32

          @ankor:
          Haha cheers. 4 adults have double shot every morning with additional coffee over the weekend.

          We never buy coffee outside. It's yuck compared to what we can make at home.

  • Bogan Timmy on 21/08/2015 - 21:38

    Is 60k the standard income? Especially in Vic I'm sure it's much higher?

    • [Deactivated] on 21/08/2015 - 22:06

      ive seen average salary figures of 70k, but that surprises me. I can't imagine the average being that high. I always thought it was about 60k? I'm on ~100k and it sure does feel it's impossible to save up enough for a deposit. I feel like the longer I'm saving the more the house prices are going up kinda defeating the point of saving.
      Will edit with my break down in a few minutes - would love to get a ozbargain critique!

      • Freighter on 22/08/2015 - 13:32

        How do you find it hard to save for a deposit at 100k? What are you spending your money on?

        • [Deactivated] on 22/08/2015 - 13:42

          Ooops forgot to update this.
          Ok my break down:
          I contribute 7.5% pretax to my super.
          I also have an additional $160 tax taken out to cover hecs.
          I spend about $150 on lunch a fortnight - but this is pretax money - so effectively its about $100 out of my pay.
          Phone + petrol + other bills come to about $600 a month (these are the minimum i have to pay a month).
          I used to eat out 2-3 times a weekend but have cut back a bit (lets say 50 a week on social now)
          I holiday once a year generally but sometimes travel overseas a couple times a year (work related).

          This means I can save about 2600 a month - i'm not sure if that is a decent amount or not but I find it's taking forever to save up a deposit.

  • lonix on 22/08/2015 - 02:48
    +3

    I earn less than 60k, support a wife, 2 kids and have a mortgage, its doable but there isn't much left over.

    Im 34, never had the luxury of a proper education.

    I also choose to buy a house on the outer suburbs of Melbourne, living closer to the city is a dream, only the wealthy can afford.

    • brongz on 27/08/2015 - 01:34

      if I may know, how much the price of the house?

      • lonix on 27/08/2015 - 20:06

        320k ish

        • brongz on 27/08/2015 - 21:13

          am planning to buy house too. so if you can guide me, how much deposit, length of mortgage, and monthly payment? which bank? thanking you in advance

        • lonix on 28/08/2015 - 06:22

          @brongz:

          You need minimum 10% better with 20%

          I had kids after I bought my house, me and wife had saved up 60k.

          We borrowed the remainder + first home buyers grant at the time was 14k, we then sold our first house and made 50k profit.

          We built it so we didnt pay much stamp duty.

          My mortgage is around 180k and half of it is fixed rate I pay 1.5k monthly.

          So you and your partner need to start saving, you will struggle with a single income to save the deposit.

          Once youre in your first one it gets easier.

        • brongz on 29/08/2015 - 02:05

          @lonix: thanking you a lot for the info:)

  • burns13 on 22/08/2015 - 02:55

    A lot of your spending sounds reasonable to me considering the income. you don't sound like you're accumulating debt, You're netting a lot on a mortgage. most of the spending is job/lifestyle related so it would be different for a worker on 60k anyway. No need to be that frugal. The only thing that stuck out to me was $20 lunches every work day. with 251 work days this year it works out over $5000. Unless these are friendly/work related it seems excessive. 2 restaurant dinners a weekend also sounds excessive but you might have a lot more commitments obligations than some. The tech gear spending is something i can relate to and just shows something of a hobby. Traveling is essential if you can afford it, really does help some enrich some peoples lives. Ultimate fuel can be cost effective or so my mechanic told me, burns slower than cheap fuel. Cleaner sounds wasteful to me but if they do a good job it's money well spent

    the price of coffee is getting to be ridiculous these days. I might get on every second day, every time i hand over the cash i just think that's almost lunch paid for in a drink. Best off buying an aero press making your own.

    • nimnomnimy on 22/08/2015 - 09:22

      Yeah I think in the back of my mind i feel like the ultimate fuel will somehow save me in long term repair costs and prove its worth because it's cleaner. Who knows

      • [Deactivated] on 22/08/2015 - 10:28

        The cleaning effect of ultimate is negligible.

        As you are probably aware, the octane number only refers to detonation resistance. There will be no efficiency gain unless you have a turbo or are running a high compression 'race' engine. It's more efficient in these circumstances because the fueling of modern cars is electronically adjusted to the fuel octane level and performance cars tend to run inefficiently on lower octane fuels because they are designed for higher octane.

        Higher compression engines (requiring higher octane) are more efficient because more power is captured by the 'high compression'. A high compression engine might be anything around 10:1 or higher. Generally cars have a compression ratio of 9:1. For me it's cheaper to run 95+ octane because my car engine is able to use the resistance to detonation to create more power per compression stroke, but you are best off with the lowest octane fuel that your car manual recommends. Higher is not generally better.

        The downside of higher compression engines is generally increased engine wear. Piston rings and the cylinder head are likely to need replacement/maintenance sooner. This is one of the reasons why old beater cars which were originally designed for lower performance have relatively bulletproof engines.

        If you really want to have a clean engine and injectors, you could try running Techron or a similar product - it's cheaper and much more concentrated (approx 50 times) than the 'cleaning' additives in 98 octane. I've run Techron before and didn't really notice a difference in either my bike or car so as to justify the cost.

        • nimnomnimy on 22/08/2015 - 11:23

          Far too technical for me, even if it's doing nothing- the placebo affect that it feels like it's doing something is enough for me to leave it as is for now

  • HandsomeMonkey on 22/08/2015 - 10:10

    I am currently on about 59k+ per annum and my partner in a 70k+ per year before tax. I normally spend about 300$ per month food. I have no car as of May this year. (Lost my licence) but still paying off the car. Cars repayments, fuel cost and insurances are roughly about 450$ per fortnight. I shop at Kmart and BigW and often online through Ozbargain. Almost everyday I have been eating toast with penut butter/jam and a glass of juice for breakfast and cabbage, carrots, celery and tuna for lunch and dinner.( trying to change my eating habits as per doctor advised). BTW I am away from my partner but when I'm around her we normally eat out and spend around 50-100$ per meal.
    I spend about $950 on electronics once in a while (ps4+games) and bought a Huawei y550 and a Lenovo K3 Note thanks to Ozbargain. Pretty much the rest of my earning goes to a saving. We are planning to build a new house next year.I normally go on holiday once a year to South East Asia and only fly budget airlines which I booked at least 6-12 months prior travelling.
    I think my salary is pretty good however a few of my partner's colleagues reckons my salary is too low. I still don't know what a luxury life style is.

    • [Deactivated] on 22/08/2015 - 10:27
      +3

      Easy on the tuna, you shouldn't be eating so much of it. You can end up with mercury poisoning. Canned tuna is generally low mercury content but you seem to be eating alot of it. Max of 400 grams a week is regarded safe.

      • HandsomeMonkey on 22/08/2015 - 11:53
        +1

        Really?? but I love tuna. Thank you for your advised. I'll have eggs instead :)

        • [Deactivated] on 22/08/2015 - 12:15

          Yep, if you google it there is lots of info on recommended intake and mercury levels etc. At the end of the day you want to try and have a balanced diet. You shouldn't just try to pick one food item for every meal because its cheap/easy. Eggs and tuna are a good choice but you should try to pick a couple other types of proteins to mix things up. Beans, lentils, eggs, tuna, smoked chicken, mince beef are all good types that you could use. Even tofu can be nice.

        • [Deactivated] on 22/08/2015 - 12:31
          +3

          @poop:

          Wholegrain products and beans have the added bonus of creating your namesake.

        • [Deactivated] on 22/08/2015 - 13:25

          @Skeletor: you know what they say, happy poop happy life! Keep up that fibre (and water!)

  • hayden on 22/08/2015 - 11:44
    +2

    Interesting topic, your coffee, clothing and lunch spending really resonated with me!

    I too spend 2 or more coffees a day ($4 ea) on work days - wife has been cracking down on me on this, but normally I just see it as workplace socialization.

    Lunch, i normally go for the $10-15 dollar range meals, and too every work day. Tried bring lunch to work a few times, hate it. Have to get out to clear my mind, even if it's eating alone and hunting on ozbargain (which brings to the topic ozbargain is a hobby and addiction, not work :)

    Clothing, we probably spend more than the $4000 a year combined, I attribute most of it to the missus. Never understood why a leather bag can cost more than double my gaming pc.

    Until about a month ago, i was a heavy smoker so there goes another $4000 a year on tobacco, lucky i've successfully quit now with the help of ecig!

    Mortgage (3500 per mth); and we try to go overseas once a year (haven't gone this year yet due to work commitments)

    We are a young couple (30) with no kids, combined income at around 230k (pre tax). I work in financial services (but i hate keeping track of my own expenses!) Sure things will change alot once we have kids.

    • BrokenChairs on 22/08/2015 - 13:19
      +1

      "Tried bring lunch to work a few times, hate it. Have to get out to clear my mind"

      you don't have to sit chained to your desk just because you packed your lunch, go out & sit in a park somewhere :)

  • BrokenChairs on 22/08/2015 - 13:16
    +2

    student earning roughly 35-40k a year in retail.

    things i don't see a need for in your list:
    * don't have a mortgage, rent would be my equivalent.
    * don't buy lunches at work, I pack my own lunch. real happy to spend some money on a weekend brunch every couple of weeks, but definitely don't enjoy my work lunches enough to be able to justify spending that every day. Also, I eat quite healthy day to day and I doubt I'd be able to maintain that eating out.
    * don't wear a suit to work so don't need to dry clean. would change once i get an office job.
    * don't buy a new iphone every year. probably get a new phone every few years, pretty much the moment i feel it's starting to struggle running current apps. grabbed a sony z3 compact this year which cost about half of an iphone 6, i'm super happy with it and regret nothing.
    * bought a high end desktop 5 years ago and it's still running anything i want (witcher 3, for instance), upgraded parts occasionally. Got a laptop last year which is perfectly fine and won't upgrade till it collapses, expect another couple of years life out of it.
    * i might buy a tech purchase each year, but they're usually replacing something that's broken - i.e. phone this year, laptop last year, tv the year before that.
    * don't have a car, so i don't need to worry about premium unleaded. i either ride my bike or whinge about public transport costs.
    * definitely don't eat 2 meals out on saturday and sunday. i might eat out once or twice a week. i love cooking with my girlfriend, we're both good cooks and make delicious food at a fraction of the cost.

    I do:
    * definitely spend too much on clothes, usually on quite high end brands - though I buy most things on sale or second hand via grailed or rakuten.
    * a coffee a day is a necessity
    * travel, i usually do one trip a year. domestic or overseas.

    i don't FEEL thrifty at all, i just spend to my threshold and i'm comfortable doing so. the more money you have the more you spend on things. i don't think your lifestyle is particularly lavish either, other than maybe how much you eat out - every weekday lunch and twice a day on the weekend i think would seem excessive to me no matter how much i earned.

    • Fobsessive on 22/08/2015 - 21:05

      35k a year in retail as a student?! How do you get time for all that work

      • BrokenChairs on 23/08/2015 - 11:30

        part time student, only way it'd work unfortunately

  • randomhero24 on 22/08/2015 - 16:54
    -8

    Just wanting to voice my opinion. OP, i don't give a flying shit what you earn, what you spend your money on, or what tastes you have

    • nimnomnimy on 22/08/2015 - 17:26
      +3

      I imagine that a thread is like a party and everyone is invited. And some people bring food or drinks or friends and conversation and they are all having a good time. The topic isn't too important, just that everyone is enjoying themselves.

      Your comment is like someone opening the door to come into the party, yelling "this party sucks" and then leaving. You're that guy

      • cantstanzya on 22/08/2015 - 17:48
        +1

        Which guy are you?

        • nimnomnimy on 22/08/2015 - 17:53
          +3

          In this scenario I'm the guy throwing the party

  • Nonverbose on 22/08/2015 - 18:03
    +11

    I go without a wife. Saves me thousands.

    • nimnomnimy on 22/08/2015 - 18:33

      What about girlfriend?

    • Donaldhump on 22/08/2015 - 18:59
      +1

      and be lonely

  • Donaldhump on 22/08/2015 - 18:58
    +1

    spending twenty a day on lunch is excessive… why not make it 3 days a week, its rewarding.
    i don't drink coffee but maybe once a day is ok not twice.
    new apple product every year is uncessessary, guess they sucked u in…
    3k on a wardrobe every year is alot, guess u are in ur twenties and obsessed with brands…. i can survive on maybe 500 a year at very most. quite happy to shop at kmart..
    eating out twice a week too much, rather cook a meal at home

    each to their own

    i spend money on tobacco though… which is a waste of money and unhealthy
    i dont drink booze.
    i spend most/all my money going overseas while i have no kids.

    • brongz on 27/08/2015 - 01:40

      good on you to realize about that smoking habit. now cut it bit by bit. I did n free now;)

  • EVAN00 on 22/08/2015 - 19:52

    jesus christ highest tax bracket 180k plus. Over 50k in tax. Wow im guessing executive at a firm. Well to do but not lamborghini rich.

  • swilso on 22/08/2015 - 20:34
    +2

    My wife and I would be under 60k gross a year (combined) have a baby, mortgage (5yr old home), 2yr old car plus a shit box (only use bp ultimate also), tinny, We're both part time by choice to have time at home with the little one, im lucky enough I have ongoing permanency with my work plus can pick up casual days when needed. i guess the main difference is we live in rural QLD perhaps cheaper? - just over 2hrs from Brisbane. Our rates would be your fashion expense a year $3000. I suppose we save by not buying coffee out, spending so much on clothes, work provides laptops, I don't have time for any big technology purchase, maybe eat out once a fortnight, do our own house work, I have a few resourceful friends and family so that can save us on some services. We would like a bigger home but at this stage we wouldn't even be able to borrow the money we currently owe on our mortgage. We don't have much to spare after bills and groceries and would like a few other 'luxury' things but they will come in time. Just enjoying the time at home while we can. That's priceless.

    • brongz on 27/08/2015 - 21:19

      you're a lucky guy imo. money is not everything, it's how we manage it

  • Fat Horny Ghost on 23/08/2015 - 00:52
    +4

    Clickship it really depends who you compare yourself to.

    If you were intending to attribute your living style, then your spending and living habits seems *very middle class.

    It seems that you are spending, for your income, a very small amount, for moderate needs, assuming that are earning top bracket income of 180k or over.

    I only earn 55k a year.. as a graduate and I'm spending a very similar amount as you, though I put my priorities in other things. I invest in quality items from Ozbargain and I always eat out, spending at least $50/day on food in average. Though I haven't reached the stage of having a fine-dining degustation every night, I know people with my income who do, while there are those who a saving every penny.

    Income is a very poor indicator of quality of life and the way we spend money, though it can only give a snapshot. I come from a middle-upper class family where I already have a house given to me, and I've seen other trust babies in a very similar position, with an easy job and little need to seek a high income or career. My brother and I both got given cars, so that's already $25k-40k off our future debt.

    We spend lavishly in comparison to our income, knowing that we have a house, or two, with rent income for us, already have a car, or a big trust fund and a safety net from our families, so we have more disposable income without needing to worry. I believe this is extremely common for Asian families that come from a business migrant background, like mine.

    I've noticed our spending habits are ALWAYS on QUALITY over quantity.

    I never invest into things where it gets outdated very quickly such as phones and clothes. There is simply no need. I stick with traditional and conservative clothing that never goes out of style, and refresh if they do get old, but if they are decent quality/brand they last very long.

    I'd never buy an apple watch… it will go out of fashion in a year or two. I find them tasteless. Invest in a quality and nice SWISS watch. Lasts forever, very subtle form to display true wealth and is in good style.

    I have no mortgage though which creates a lot of purchasing and spending power. I am not in debt, but I am very poor with managing money, it all comes down to family background in my opinion.

    If you grew up with budgets and learning to be more efficient with your spending… then that's what your left with. If you grew up with everything already bought for you, you have everything and anything you want… you struggle to learn how to truly save money and this is my current position.

    I often think… why people bother bringing food to work when you can go to a restaurant to have a proper meal.

    It can be isolating sometimes given that I currently work in the public sector and I struggle to fit in… with the lifestyles of even high income earners (managers) who live a more simpler lifestyle, but from their choices I can tell they come from a less privileged background.

    It's good to get perspective sometimes, but once you lived eating out your whole life, and getting everything you want… it's so hard switching to a lower standard of living, especially to save money.

    I personally think people who are very good with money, not necessarily hunt for bargains, but spend less and only on things which they actually need. Which is my current strategy, though I will never cut back on food and all household items I invest in will last at least 10-20+ years into the future.

    • nimnomnimy on 23/08/2015 - 08:56
      +8

      It is offensive to me that instead of building on the legacy that your family has given you, you squander it by living outside of your class. you should work twice as hard to build an empire on the privaledge you've been given, respect for the work your family did to achieve it.

      Also, an Apple Watch for me is not a fashion accessory, it's technology and like my phone or my computer, it serves a purpose and returns its value through how it serves me. Time pieces or watches like yours just tell the time so for me hold very little value.

      • kobrien456 on 16/09/2015 - 10:38

        Clickship. Save your offence for your own overspending and lack of empire building. To each his own. And as for the class comments… What rubbish. Buying into that keeps people either poor, dumb or ignorant.

    • narbe on 23/08/2015 - 13:28
      +1

      Wow , let's not generalize common Asian migrants eh.

      Being one myself I believe this to be a over generalization on your part.

      You may be right that alot of Asian migrants leave excessive amounts of money to baby the younger generation.

      Doesn't mean we all live like yourself with a comfortable job and invest in so called quality items.

      You will find many will work hard regardless of what their parents own or earn.

      If you are asian you must be familiar with the saying "3 generations to accumulate , only 1 generation to spend it all"

      All in all , I presume your still young , and living in head rather than reality. I sincerely hope time will humble you.

      oh well rant over , just didn't like that generalization.

      • virhlpool on 24/08/2015 - 07:28

        I guess Indians have a very similar culture too… i.e. Parents earn not only to live and survive, but to create wealth for their kids. Parents work hard all their life, don't enjoy more luxuries and travel only so that their kids can live comfortable life.

      • scotty on 24/08/2015 - 20:36

        The other extreme is that Asian kids having to contribute to their parents' retirement, even after they moved out the house, married and started their own family. Filial piety? Personally know a few of these cases.

      • brongz on 27/08/2015 - 01:47

        he's not generalising; he's pointing only to one guy. however generalization happens for a reason, because we see many doing it. not all but many times we see it or happens a lot in reality.

  • jsefrog on 23/08/2015 - 10:14

    Contributing extra to super is risky, the way the government is lifting the retirement age you'll die before you ever see any of it

    • SlickMick on 23/08/2015 - 10:58
      +1

      lol I know a few people who thought that way some decades ago and are now kicking themselves, stuck on the pension.

      I don't know many with the right attitude to save outside of super. I say why would you - there are good advantages to super.

      Put into super what you want to retire on. Have separate savings to transition to retire on if you want to retire before you can access super.

      Avoiding super doesn't seem the best option to me (or anyone relying on pension now).

      • nimnomnimy on 23/08/2015 - 17:04

        Except all those people who lost their super to negligent investors - those people are kicking themselves for trusting the system

        • Benoffie on 23/08/2015 - 22:55

          Very few people have lost their Super to negligent investors (usually bad businesses) and investing in Super, especially if you're under 50, is almost a must do - you cannot expect the pension to exist and you don't want to be forced to sell the house to compensate for your lack of savings.

          The wisest route it to add extra to Super (with all the tax implications), shares (tax benefits also), and if possible, an investment property. Of course, there are other options, but these ones are the ones the average family can aim for to secure themselves in retirement.

        • SlickMick on 24/08/2015 - 08:21

          Super wasn't the problem - investment choice was, which would happen just as readily outside supoer

  • CheapskateQueen on 23/08/2015 - 11:44
    +1

    I think the craziest part of your spending is $20 a day on food. To me, that is absurd to spend on work lunches. I bring my lunch from home most times, except for when im actually "eating out" with colleagues. So much healthier as well.

    A coffee a day is fine, most people do that. I used to buy 1 or 2 a day until I bought a pod machine for work. Now I have a proper machine at home, pod machine at work, and I have the perfect coffee long black every time and save myself a few hundred a year.

    I personally try to minimise work-related spend as much as possible. I used to pay for parking until I realised I was spending about $1500 a year. Now I park much further and walk.

    Technology purchases are completely your choice. Constant new phones never made sense to me but plenty of people do that / enjoy it.

    I go out on weekends, but i don't buy 4 meals out every weekend. My spend will depend on what I'm doing. It can be a $200 day (say an activity, big night out or taking family out), or it can be a free/cheap day. I try to balance it out.

    I don't see much travel or entertainment expenses in your budget. I'm sure I earn much less than you but in the last 2 yrs I've been on 4 international holidays (plus another upcoming), and 3 domestic (shorter) trips. I've seen quite a few events / musicals/ concerts ($150 avg ticket).

    • nimnomnimy on 23/08/2015 - 17:07

      Work sends me to the US every January and I'll usually take a few days either side to venture out and shop for the family too. We do domestic trips with the family because the kids are still abit young for international journeys but it's on the horizon. Currently looking at Paris in july/August 2017.

      I have no interest in musicals, concerts etc.. I'll watch the occasional movie with mates or go out on the town but they are few and far between

  • Wokka Flappa on 23/08/2015 - 12:20

    You waste all your money on fast food, fatty.

    • nimnomnimy on 23/08/2015 - 17:09
      +3

      nandos is hardly fast. I don't think you've ever been

  • rgr on 23/08/2015 - 14:07
    +2

    I can understand why some people buy lunch versus bring it in. Some just value the time save and convenience over the money aspect. From someone who spends roughly an hour each sunday every week cooking a large pot of food for the coming work week, I sometimes question whether or not I should just spend $10 on lunch and not have to bring shit in and clean my shit afterwards.

    • [Deactivated] on 23/08/2015 - 14:19
      +1

      Yeah i agree with this. I've tried making my own lunch etc and it only ends up being slightly cheaper to make it but it's hardly worth it. This is compared to an average lunch of about 10-13 bucks a day which also includes a drink. From a health perspective it's much easier to be healthy by making your own lunch so that's my main motivation to try and do it.

      • ankor on 23/08/2015 - 15:02

        Yup, health and savings x2 people make home prepared lunches worth it.

        • nimnomnimy on 23/08/2015 - 17:11
          +1

          What are people making that they think is so healthy?
          I doubt people are eating that healthy compared to what's available to buy.

          Give me some examples, I'll drop some examples from work to counter. I don't think it's that much cheaper either

        • Banana on 23/08/2015 - 18:41

          @clickship:
          Take croissants for example, the croissants at the cafe I used to work at were so much more fatty than the ones you would get in store.
          If you pack your own lunch you are less likely to make deep fried food and bring it to work.

          I also find it more hassle to cook meat so I don't cook less meat more veges at home.
          You might find making your own lunch is only slightly cheaper than buying it, but I get a sense of achievement when I do. I also make extras for my boyfriend, so earning some points while I am at it.

        • Benoffie on 23/08/2015 - 22:51

          @clickship:

          Tinned tuna/salmon (esp on sale), sandwich or wrap. Drink water. Eat breakfast :)

        • [Deactivated] on 24/08/2015 - 09:06
          +2

          @clickship:

          Chilli Stew:
          - Chilli flakes
          - Red kidney beans (dried). $5 buys about 2.5kg worth once soaked.
          - Diced tomato cans (2 x 59c from Aldi)
          - Japanese pumpkin (regular price $1.5 per kilo)
          - Wholegrain lebanese bread ($1 for 500g packet)
          - Brown onions (about $2 for 2 kilo bag)
          - Low fat tasty cheese ($4.50 for a 500g bag)

          Cost is about $3 per serve and the macronutrient ratio per calorie is as follows:
          - about 25% protein
          - about 45% COMPLEX carbohydrate
          - about 15% fibre
          - about 15% unsaturated fat (tops)

          You will never be able to buy anything remotely as healthy as the above from most restaurants. Order a salad at a restaurant and it comes lathered with oil and dressing (dressing = lots of sugar). Order a 'heathy' toasted sandwich and it will be slathered with butter before it is toasted. Even if you manage to get something which has a similar amount of calories, it will be lacking in what you need to function optimally (to put it simply).

          People often thing they are eating healthy because they don't see what goes into their food. If people treated meal-selection like forensic accounting, we wouldn't have any confused people wondering why they can't lose weight.

        • rgr on 24/08/2015 - 14:31

          @Skeletor:

          Yeah but if you want to drill down into health, the cheese and bread you mentioned are also equally as bad as the dressing. Oil in form of Olive Oil is good for you. It's just not as simple as calories either otherwise the person eating 2000 calories of tim tams vs the person eating 2000 calories of lean meats, vegetables and healthy fats would be the same health wise.

        • [Deactivated] on 24/08/2015 - 15:02
          +1

          @eklipze:

          That's why I included the macronutrient breakdown.

          Your post is completely wrong on numerous points and indicates a strong misunderstanding of what I've actually written.

          1. Low fat cheese is not as bad as most commercial dressings. The macronutrient composition of low fat tasty is roughly 33% protein 33% fat and 33% carb (in terms of caloric contect). That's a pretty awesome macronutrient ratio by any account. Commercial salad dressings on the other hand are something like 56% sugar (last time I checked) and about 90% of the calories within would come from sugar. In addition to this, the cheese is used as a garnish.

          2. Wholegrain Lebanese bread is quite nutritious. It is 17% protein, 7% fat, 21% fibre and the rest is complex carbohydrate. As an added bonus it's dirt cheap.

          By using your Tim Tam analogy you have pretty much invalidated your own argument. Low fat cheese and wholegrain bread have pretty much no glucose while salad dressing is full of it.
          I don't mean to be rude, but you should do some research before you make assertions of fact. Please bear in mind that disseminating misinformation is harmful for those who are trying to make positive changes.

        • phoenixx on 24/08/2015 - 15:06

          @Skeletor:

          Isn't light diary packed full of added sugar to make up for the fact they've taken half the flavour out along with the fat?

        • [Deactivated] on 24/08/2015 - 15:09

          @phoenixx:

          I suppose it depends what you buy - we are all running into the dangerous territory of making sweeping generalisations. One of the original points I tried to make was that you need to read the contents of everything if you really care about this stuff. A store-bought salad isn't necessarily healthier than a homemade hamburger and the devil is in the details.

          If it clarifies anything when my housemate ran out of cheese and used mine, he said it tasted like rubber. From my perspective, after switching to milder, healthier foods though anything resembling junk food is overpowering for me.

        • rgr on 24/08/2015 - 15:22

          @Skeletor: Bread always has glucose in it. It's a carbohydrate. Cheese is a dairy and has a carbohydrate also known as 'lactose'. If anyone wants to make a positive change, they'd stop eating bread as a first. Salad dressing can be something as simple as olive oil and balsamic vinegar - I don't see where the glucose comes from?

        • [Deactivated] on 24/08/2015 - 15:52

          @eklipze:

          1. I mentioned commercial salad dressing.

          2. The bread I mentioned has between 2-3 grams of glucose per 100g from memory.

          3. Not all cheeses are created equal. Here is a link to the macros of cottage cheese: http://nutritiondata.self.com/facts/dairy-and-egg-products/1…
            Notice that it's 28g protein, 6g sugar and 4g fat per hundred grams. This would be considered very nutritious in terms of macronutrient ratio (the 6% sugar is offset by the whooping 28% protein).

          I appreciate that there are exceptions to the rule and breads which are practically junk foods. I am not talking about those products and advocate reading the nutritional information. Hopefully we can stay on-topic from hereon.

        • rgr on 24/08/2015 - 16:11

          @Skeletor: kk

  • banzini on 23/08/2015 - 18:40

    Expenses/Non-expenses:

    Rent & staple bills
    Public Transport Tickets
    Petrol (no more than $25 a month, use PT for work)
    Telecommunications (Mobile, Landline, Internet, Foxtel, Netflix, Spotify)
    Car (Rego, Insurance)
    Clothing (maybe $100 every 3 months)
    Lunch approx $2.50 a day (make at home)
    2-3 Domestic Trips per year.
    Eat out once a week (10-12$ local junk food)
    Movies once a fortnight (tight tuesday)
    Supermarket - most food sourced from here incl home/work/snacks etc

    Don't go out (often) - [IMO saves me $200-300 a month, used to go out a lot 5 or so years ago]
    Do not smoke.
    Do not drink coffee. [$40 saved a fortnight compared to colleagues]
    Hardly drink (maybe 1-2 nights a fortnight max) $60-70 of spirits last me 2 months (2 bottle).
    No cleaner (do it myself)
    Do not drive to work, hence avoid parking also. [$300 saved a month]
    Iphone once every 3 years
    Most weekends at home
    Kept same car last 10+ years

    Can easily save 40-50% of income and I don't classify myself as high income, I would say 'average' based on ATO data.
    OP spends more than he should but each to their own.

  • Benoffie on 23/08/2015 - 22:42

    I think I'm a little different to most so I'll post a general summary.

    We are on one income after I quit work to return to Uni. I get a variable amount of FTB which we have at 50/50 (50% fortnightly, 50% at tax) due to partner being a shiftworker. I cannot afford Super contributions however, my partner continues to pay extra. We have one child.

    • Mortgage (we pay more than the min)
    • Utilities (we invested in solar about 2 years ago and this now pays for itself and our gas)
    • Internet and phone - approx $120 a month
    • Public transport (maybe $20 a month)
    • Petrol (maybe $20-40 a week depending on travel)
    • Insurances (including Private Health (currently $220 a month and one of my biggest annoyances).
    • Schooling - Uni textbooks and School fees - probably $1500 a yr.

    We don't drink much (the odd drink once a month), we don't smoke, coffees are rare and I take advantage of those freebie cards. We have no cleaner (never in my life!), phone and tech upgrades are on an as needs basis (by that, it has to be broken), we travel maybe once every 5 years OS, maybe once every 2-3 years domestically. We do indulge in take away and my partner has a love of Iced Coffee - that's had a stop put too it (simply not good for you). It was 10 years between cars and only because the last one was rubbish. Wardrobes are maybe updated once every other year with on sale items. I love to op-shop and as a result, sell secondhand/vintage goods on the side.

    We have savings, minimal debt (the odd splurge) and a share portfolio.

    I found that I was working for very little when I factored in the real costs of work and child care (about $20 a day). You quickly learn that you are able to spend far less than you do, but you simply don't because you don't have too. It takes a lot of discipline to change your lifestyle.

    One of the best ways for me was splitting my income in my pay - if your employer allows that, I recommend it.

  • nakahanap on 23/08/2015 - 22:55
    +2

    Your spending sounds average for a high income earner.

    It was quite interesting to read though. I think my own spending habits are very much influenced by the fact that once I earned much much less than now and I'm conscious of the fact that certain things that weren't affordable then aren't really necessary to my needs/happiness now. Also my job often doesn't provide opportunities for external food/drink purchases.

    I replace my phone every few years, bring homemade lunches (leftovers and sandwiches) and buy clothing when required. Technology (computer/appliances)is replaced when it dies.

    It all comes down to what makes you comfortable and happy.

  • congo on 24/08/2015 - 00:14
    +1

    $1 coffee from 7-11 is not too bad :-)
    I've got the Nexus 5 a few years back (for $400) and LOTS of $30 Telstra starter SIMS.
    I have used the Telstra 'glitch' and have accumulated LOTS of MBB data.

    Money is great for holidays, eating out and tech items, but I get more satisfaction from grabbing a good deal, or having more free time to spend with the family.

    Therefore IMO money is good to have, but you shouldn't focus too much on it.

  • Buggles on 24/08/2015 - 05:46
    +2

    I live on $1400 a month, nett and have mortgage payments of $700 a month.(I pay half of mortgage and bills, with my other half). Drive a1998 Pulsar, last overseas holiday was1993, last domestic holiday about 1999.
    Paying off two debts, no interest, one finishes in October, one in a year. On casual Yatango plan, pay as you go, have four year old iPhone, just paid off my iPad.
    My weakness is clothing, however, I buy on sale, or at thrift shops or on Gumtree. I like quality and classic styles and have things I have had for twenty years, which still look good and haven't dated.
    I dislike noise, so concerts and music are not things I budget for. I get kindle books when they are offered free and utilise my public library, however, I like buying books, Big W, or thrift shops are good sources.
    I like cooking and make meals from scratch, eat fish and chips each Friday. Very rarely eat out, however I will, on anniversaries or birthdays.
    I travelled overseas, extensively, when younger, so don't miss it. I rarely go to the pictures, more from laziness than the budget, as I like sleeping in in the mornings. We both give ten percent of our gross income to charity and we save up to give nice Xmas presents to family. I hate waste and am naturally thrifty. We spend very little at the grocery, as neither of us likes processed, packaged food.
    I lead a contented and quiet life, with my partner and our pets (two lapdogs who eat what we do). Since downsizing home and mortgage, eighteen months ago, finances have been easier, solar power gives us a rebate every four months, which pays the Council,Rates. Every other regular bill is paid off fortnightly.
    Years ago, I worked in Financial services. Almost without exception, those clients with no debts, excellent property and share portfolios, were the average working people, on ordinary incomes and those who had the least securities etcetera, earned the most.

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