A Personal Blog
How Much Money Would Be Enough…
… To change your lifestyle?
This is the question I asked myself while standing in line to pay for another tank of gas (50$). While looking at a sign of a guy who had last week won a scratch and win lottery card (50,000$).
I said to myself “50K? Geeze, that’d be nice”…
Then I realised that maybe it wouldn’t make that much of a difference. Sure, it’d be enough to pay my car lease for the next 4.5 years. It’d be enough to put a decent downpayment on a nice enough house (a really nice house here is only 150K). And, it’d be enough to put some money in long term savings.
But, really, even 50K wouldn’t be enough to really change my standard of living.
I’d still have the same car. Still have the same furniture. Still eat the same food. Still have average digs. Still wear okay clothes. Nothing wrong with my life (at all!)… But, really, “what would it take?” I asked myself.
Obviously, it’d take enough to pay off a house free and clear (or enough to make it affordable). It’d take enough to pay off this car (I like this car, it’ll scale well to my new standard of living). I’d need new clothes for our family, new furniture for the house, some art and a motorbike. I wouldn’t really need “spending money”, since I’d still want to work and since the car is paid for and the house is affordable… My paycheck can go towards that, towards maintaining our lifestyle and towards our longterm savings.
So, how much are we looking at? I figure I’d need 100K for the house. 50K in cars. 7K in clothes and accessories. 10K in furniture and art. That’s, give or take, 175K. In order to have that much spare I’d need to actually “win” (inherit, invest and get big returns) 350,000$.
So, yeah, 50K doesn’t go as far as it did when I was 12.
| Print article | This entry was posted by Jeremy Wright on August 11, 2004 at 7:40 am, and is filed under General. Follow any responses to this post through RSS 2.0. Both comments and pings are currently closed. |
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about 7 years ago
Ricardo Semler worked it out once:
http://owt.typepad.com/blog/2001/11/semco.html
“Why make money? Semler said something interesting: “I once worked it out – after $12 million, all millionaries are the same.” That’S because we’re all humans, confined to human scale. How many homes can you live in? How many meals can you eat? You can have a living room the size of a cathedral, but you won’t live in it. It’s too big.”
:)
about 7 years ago
If you’re making $100K a year, winning $50K means you can take a 6 month vacation. That’s changing your lifestyle. It’s not permanent, but then life isn’t permanent.
about 7 years ago
Leasing a car is one of the biggest wastes of money I can think of.
$150K CAD for a house aint bad.
about 7 years ago
I think if you run into something like 50k you obviously do something with it – purchase something new, invest, pay off possible debts, etc. However, it won’t change your lifestyle much. I think a real change would constitute being able to either quit your job completely and just “live” or quit to do something you love, no matter what the pay (unless, of course, that’s what you do now).
My estimate is about $10mil spent/invested very wisely or about double that to just live and be very comfortable without going overboard. That’s US$.
about 7 years ago
I’ve heard you’re out west, well guess what, I am vactioning (after yearlong sabbatical:) in Abbotsford, BC. Say hi to Shannon and tickle your son from me (or the other way round if you prefere)