[OrangeBlossomBaby]

Originally Posted by Velvet

Who is going to put a million into a deposit or saving account? I had no idea Sumter county was so wealthy, where do all these folks hang out?

When I was a teenager I had a part time job as receptionist at an exclusive yacht club. Senior memberships at the club in the 1967 was $36,000 or about $276,000 in today’s money.

The club had 2 types of millionaires; self made, those people who wouldn’t spend 25¢ to rent a towel when they went swimming at the pool, and their kids who inherited the money later. The kids partied hard and jetsetted and basically wasted the old man’s money away like there was no tomorrow. Taught me a lesson.

If I had that kind of money I would totally jetset and party and waste at least SOME of it! What's the point of being rich if you can't enjoy spending? I'd also donate, offer financial support to causes I believe in, make sure my housekeeper is VERY well paid, and pass out random 50% tips to restaurant employees (including the bus boy and dishwasher).

The rest, I'd invest and live off of.

[manaboutown]

I recall reading that prior to The Villages extending into Sumter County it was among the poorest if not the poorest county in Florida. Fast forward: Retiree transplants have so significantly changed the overall demographics that today Sumter County is "old and (relatively) rich".

[Dond1959]

Originally Posted by Polar Bear

Thanks for the very sound replies.

But I was actually looking for assistance with more general financial questions, including consideration of various options for a real estate purchase.

Check out Bogleheads.org, great website with people who have succeeded financially or are on their way to financial independence. They can answer financial, real estate or any other issues. A search of their boards will probably answer any question you have.

[billethkid]

Originally Posted by manaboutown

I recall reading that prior to The Villages extending into Sumter County it was among the poorest if not the poorest county in Florida. Fast forward: Retiree transplants have so significantly changed the overall demographics that today Sumter County is "old and (relatively) rich".

Most if not all in our (TV) corner of Sumter County.

[manaboutown]

Originally Posted by billethkid

Most if not all in our (TV) corner of Sumter County.

Yes. It is a geographically large but mostly rural county having low population density except for TV corner. I hear the powers that be in TV appear to now control it.

[Aloha1]

Net worth is one measure but I would suggest that disposable income is what really matters. It doesn't matter what you are "worth", what matters is what you have to spend on life's pleasures like dinner out, a trip, grandkids, etc.

[Packer Fan]

Originally Posted by Jazuela

I agreed with your post til you came to the above point. It is VERY hard to become a millionaire, if you don't earn enough to cover the bills AND save $550/month at the same time.

In fact, most of the country is unable to save $550/month, and some of the country doesn't even earn $550/month. The latter is definitely the minority.

But if it were that easy to do, then you'd see most people doing it. How to know it's not true: most people aren't millionaires. Most people have modest savings, live in modest homes, can pay their bills with enough left over for a week in Vegas, and put 3% of their modest paychecks into a matching 401k plan at work.

Once the kids are old enough for college, they're strapped for cash, and have to cut back on those Vegas vacations.

When they retire, they will be nowhere near being a millionaire. They'll live on a limited income that will allow them to live comfortably, but not extravagantly. MOST people will never be able to afford a $500,000 home. MOST people won't even be able to afford a $300,000 home, anywhere in the USA.

They are not unable to save, they are UNWILLING to save. The median income in this country is about $60,000. $6600 a year is 11% of that. My daughter who makes about $24,000 a year and lives on her own is saving 8% already at 25 (and going to school, because she has figured out you don't want to live on that).

[Packer Fan]

Originally Posted by vintageogauge

If you want to get ahead in this country you have to start young. When I joined the work force, got married and had children we chose to have my wife stay at home and take care of the kids, etc. I felt compelled to work full time and also part time, did odd jobs on the weekends fixing things for people, cleaning out garbage and trash, picking up scrap metal and selling it, etc. I didn't have as good of a job as some of my friends but with the extra work I did I earned more than them. I was always able to save for retirement from the very beginning. Without exaggeration I worked a minimum of 55 hours a week my entire life until I retired and even then I worked in a store for a couple years to keep busy and add to my retirement savings. My children have the same work ethics. What I'm getting at is the opportunity to have a million dollars when retired was out there, all you have to do is go for it and watch how you spend it. I have to touch on college. There is nothing wrong with having your children work their way through college, living at home and having a job while going to school, it might take up to 8 years but you will start life out debt free, I know many, many people that have done this and there kids are doing the same, some employers will even help pay for college. Complaining about student loans is BS and in most cases should not even exist.

You are so spot on - 100% correct! Sometimes I wish this forum had a like button! It is not how much you make, it is how much you save that matters. There are LOTS of people with high incomes that have NOTHING. A lot of them were exposed in 2008.

BTW- one of my favorite passtimes at a stoplight is to add up the car payments around me as I sit in my paid for car, which may be worth less than a lot of those around me, but no payments feels WAY better.

[retiredguy123]

Originally Posted by Packer Fan

They are not unable to save, they are UNWILLING to save. The median income in this country is about $60,000. $6600 a year is 11% of that. My daughter who makes about $24,000 a year and lives on her own is saving 8% already at 25 (and going to school, because she has figured out you don't want to live on that).

I totally agree. I have never spent more than 50 percent of my net income, and still don't.

[OrangeBlossomBaby]

Originally Posted by Packer Fan

They are not unable to save, they are UNWILLING to save. The median income in this country is about $60,000. $6600 a year is 11% of that. My daughter who makes about $24,000 a year and lives on her own is saving 8% already at 25 (and going to school, because she has figured out you don't want to live on that).

In what state, doing what kind of job?

If you make $24k in Connecticut, you qualify for medicaid and foodstamps because that doesn't even pay the year's rent, let alone utility bills. If you earn $24k in New York City, you're probably living on the street, because you can't even rent a parking space for that cheap for a year there. You'd probably survive on $60k but you'd need at least one room-mate, and you'd have to live in a very small walk-up north of Central Park East.

Living in Florida you would live like a king on $60k/year. Totally doable on $24k/year.

But saving, if you're earning $24k/year in the Northeast post-bank-bust? That's just delusional thinking of someone who has never had to do it.

[TheWarriors]

Can’t help but notice those are very high tax areas. Why would anyone choose to barely make a living in a high cost area when you can move to a lower cost area and liver better on the same wages.

[graciegirl]

So enjoying reading the posts of people who truly have the work ethic and know how to save and to sacrifice. Cutting your own hair and even sewing your own clothes and drapes and canning vegetables and fruits you grew. Not buying what you want. Doing your own house repairs and painting...…... Knowing how to save on little things adds up. It adds up. And as said living where it is cheaper to live is important...and also living where it is safe. You have a brain to protect and survive and make the most of your life. Money helps that a lot. If you don't spend it, you still have it. We had our first home built when we were 22. Had saved the down payment while dating for four years. Made money on each home we owned.

[OrangeBlossomBaby]

Originally Posted by TheWarriors

Can’t help but notice those are very high tax areas. Why would anyone choose to barely make a living in a high cost area when you can move to a lower cost area and liver better on the same wages.

Why are you assuming I'm even talking about people who have an opportunity to CHOOSE to live anywhere? What a profoundly privileged thing to assume.

The premise is that it's easy to become a millionaire, all you have to do is work hard and save your money starting from when you're young.

It is a faulty premise, because it implies that working hard and saving is easy. And then, the "proof" is statistics of nationwide median incomes, as though that median represents every single part of every state in the country, AND that that median income will cover the same expenses in every part of the country. It completely discounts the fact that $60k in one state will not buy the same thing as $60k in another, and that in some states it isn't possible to save anything if you're making $24k, as in the example provided, because at that income you are most certainly living in debt.

So it's faulty evidence to back up a faulty claim.

[Garywt]

To quote my college history teacher, “so what and who cares”.

This will not affect me getting out of bed in the morning.

[TheWarriors]

Originally Posted by Jazuela

Why are you assuming I'm even talking about people who have an opportunity to CHOOSE to live anywhere? What a profoundly privileged thing to assume.

The premise is that it's easy to become a millionaire, all you have to do is work hard and save your money starting from when you're young.

It is a faulty premise, because it implies that working hard and saving is easy. And then, the "proof" is statistics of nationwide median incomes, as though that median represents every single part of every state in the country, AND that that median income will cover the same expenses in every part of the country. It completely discounts the fact that $60k in one state will not buy the same thing as $60k in another, and that in some states it isn't possible to save anything if you're making $24k, as in the example provided, because at that income you are most certainly living in debt.

So it's faulty evidence to back up a faulty claim.

Everyone has the right to CHOOSE where they live, this is still America.