I often have a good think on my long drive home, about how little we could comfortably live on in a manner that was healthy and socially partaking. I am the first to recognize how really fortunate I am. I know circumstances can change in an instant, but through a combination of being mostly gainfully employed, purchasing a small fixer upper at the right time and selling at the right time, a little inheritance money, and a less than glam lifestyle means we have tended to both short and long term savings. There were many lean years when there were bouts of unemployment and under employment, high medical bills, two kids in diapers and childcare, and a decade later kid three in diapers and childcare,and the years of two kids in college. Those were times when my thrifty mind went into implementation mode.
In college, I paid tuition, housing, food and all personal spending money from a 20 hour per week waitress job. Granted, I had care packages from my mom's pantry when I was home on weekends, and that did help the grocery budget a bit. In hindsight, that was easy. No growing kids to replace clothing for; no springing leaks in the dishwasher line to worry about. A night out was quarter beer night on Wednesday's,or if really needing a night out but even more broke than usual, Tuesday night dime beer night, but you had to put up with country music. No offense intended, but not my music then or now. I don't think I had any new clothes, other than a gift or two from parents, and walked as much as possible to avoid putting gas in the car. All my friends were in the same financial place.
Now with DD# 2 in her last 4 years at home before college, we really are in our last decade, fingers crossed, of supporting people other than our selves. My ponders on the way home are starting to take real more shape. Even with the job chnage, I am starting to crave more time to do as I please. I want to write more, play more, rest more, and visit more. I want to set out for days with no agenda, pack a couple PBJ's in a container, and see where the wind blows me.
The biggest obstacle for a vagabond, earn and live off the minimum amount I can, seems to be health care. I have always had employer sponsored health care, so purchasing similar coverage independently would be completely foreign to me. I estimate that could be well over $1,000 out of pocket, and that with high deductible and copay. We would always need to have the deductible for DH and I ready in the bank. Transportation would be our next big expenses, unless we moved to a much more urban area and could get by without a car. That is on the list to consider, but desirable neighborhoods with good transportation or extremely walkable are expensive in any city. I would be happy going super small in living space, but not unsafe. Oh the days when four college girls shared a 700 square foot apartment for $100 in rent a piece. We could go with a rural town, but with a thriving business community. I picture a couple around us now, but interestingly, the only grocery stores are miles away from the downtown areas. Not convenient in our Minnesota winters.
Not counting long term retirement, which in my commuting plan, goes by the wayside, assuming what we currently have will be enough if we keep earning along the way to full retirement, health care and transportation are empty nester Sam's biggest expenses. Try as I may, I can't think how we could live much cheaper than we do now once health care is factored in. We could cut to the bone everywhere else, and start with minimally having to bring home over $12,000 year just to have major medical protection. Makes me think who I am a servant to.
It's much easier to live on very little when we are young, Sam.
ReplyDeleteOver here we have a state pension which most older people receive (although I get occupational pensions as well) and I've often wondered how I would live on just that. On a day to day basis it would be possible, but it's the sudden emergency expenses which would be hard especially if one had several emergencies in a short time. The other thing (which you do mention) is that lack of sufficient money is socially excluding.
I agree. It is the sudden emergencies that throw the best budgeters off kilter. I figure though, the less I rely on, the less likely something unexpected will come up. If I didn't own a car, I wouldn't worry about brakes or transmission going out.
DeleteMoney. It's a headache. However much you trim back the spending, there are Must Be Dones which can be expensive. xx
ReplyDeleteI think indigenous populations had it right before western world imposed on them. Live off the land but only what you need, preserve for future generations, while caring for your elders. Those were their only Must Be Dones.
DeleteJust some thoughts, health care is insanely expensive but the way I understand it the affordable care act kind of turned health "insurance" into more of a health care fee. In other words have you looked into something like a health savings account (WAY cheaper than a regular health insurance plan) and then if anything catastrophic came up you could then purchase a health insurance policy. It's not like it used to be since providers aren't supposed to be able to turn away or overcharge pre-existing conditions. You could wait until you have a pre-existing condition before you pay out of pocket for an expensive plan. Any normal person pays WAY more in health insurance fees then they every spend on health care. Health savings accounts are a great way to go if you're relatively healthy... I am hardly informed about health care I just haphazardly wanted to pitch in my two cents.
ReplyDeleteAs this is just car driving thinking for now, I haven't done much research on options-I just know what my full health plan costs.In the grand scheme of things we are healthy and trying to remain so. You make good points.
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