Money Doesn’t Talk, It Swears: Destiny Plan Q’s

I loved this quote from chapter 2 of More Than Money:

“The real value of money is not in its possession, but in its use.”

How much is enough? How much money do you need each year to have a decent standard of living? How much to retire? What is the impact of those numbers on your options of what you can do?

I don’t have an exact figure of how much my annual salary should be to live comfortably, but I know it’s more than I make now! Mostly I want more money to pay off my student and car loans and credit card. While paying on them, I want to save for a rainy day and build my retirement. Right now, my focus is really reducing my debt though. Off the top of my head, I think with about $50,000/year I could pay off my debts in a reasonable amount of time (maybe 5 years) and then begin saving or putting a lot in to retirement. At age 65 I would like to have about $100,000 in a 401K, a work-funded retirement account (which I don’t have), no house payment, income from two rental homes, and possibly a side business. I doubt I will actually retire at 65. I like to be busy and active. With these goals I need to save a ton right now and get a higher paying job! I am willing to put in my time, work my way up the ladder, and be patient, but I absolutely know I can’t have my ideal life with this job and this salary.

What are you willing to give up to make more money?

I’m willing to give up some free time on weekends, going out to eat and drink as often, spending on personal beauty services (nails, expensive hair cuts, massages), and my less-than-a-mile commute. I LOVE not having a commute and going home at lunch, but I would like more money even more!

What do you see as the biggest risk in your relationship with money?

My biggest risk is probably letting money interfere with my fun side of life. I am very cautious about spending my money for the most part because my dad has struggled my entire life with money. He is currently going through bankruptcy and has a lazy wife that doesn’t ever want to hold a job. I worry that my lack or money or debt will hinder the opportunities I could pursue (like vacations, spending time with friends and family), when I probably could afford to do some things. On the other side though, I do worry that I will get in over my head like my father and not be able to get out. He refinanced his house too many times, married a woman with four children and no work ethic, accrued credit card debt, and spent too much on ‘fun’ stuff. I fear I will end up like that. Or that my boyfriend will be like that.