Debt Free

Meta title: Mr.

Meta description: 20


Status
Not open for further replies.
I remember reading an article that showed that in the lead up to the Great Depression personal debt levels reached historical highs. Everyone was buying the expensive newfangled "Wireless sets" for their homes, new cars, all manner of personal stuff, all on credit. There was a big housing price boom too and rural land had gone up a lot, many farmers bought a "town" house to stay in when coming to town. It was the boom years, the roaring Twenties. When the credit bubble collapsed after the stock market collapse everyone was hopelessly broke, even formerly wealthy people, no one had any money was the term often quoted. After the Depression and war things slowly came back but people avoided debt like the plague. A home sure, but that was it! And they worked hard and scrimped to pay it off as soon as possible, to get out from under.

All that changed around 1980 with the invention of credit cards and other personal lines of credit. And today? Looks just like an extended version of the 1930's to me...
 
Survivable takes on a whole new meaning when you’re up against it.
Do what it takes, legally. Your greater than God attitude doesn’t help. The greater good will prevail.
 
LC4CARL said:
I don’t understand the mania for burying kids in school loans.
Click to expand...
I knew a 20yo girl who put $10k on a credit card to get a bigger set of boobs. Nothing wrong with the old ones, just wanted to follow the fashion I guess. In the local bakery/coffee shop bread is $4.40 a loaf, I buy two at a time and on the counter under a glass cover is an almond studded croissant, $8.80. $6 for a cup of coffee. Ok, once a week or whatever if you really need to socialize that way, but that's a new set of the best tires on your bike every year, so don't complain about the cost of tires or that you can't afford a decent bike or the best suspension upgrades on it.

It's not these spends are bad in and of themselves it's just that they become fads and young people who probably shouldn't waste their money there get caught up in it. Peer pressure etc.
 
Oz22 said:
I knew a 20yo girl who put $10k on a credit card to get a bigger set of boobs. Nothing wrong with the old ones, just wanted to follow the fashion I guess. In the local bakery/coffee shop bread is $4.40 a loaf, I buy two at a time and on the counter under a glass cover is an almond studded croissant, $8.80. $6 for a cup of coffee. Ok, once a week or whatever if you really need to socialize that way, but that's a new set of the best tires on your bike every year, so don't complain about the cost of tires or that you can't afford a decent bike or the best suspension upgrades on it.

It's not these spends are bad in and of themselves it's just that they become fads and young people who probably shouldn't waste their money there get caught up in it. Peer pressure etc.
Click to expand...

Isn’t that special…and has nothing to do with school loans…
GIF by Jason Derulo
 
Gen3lover said:
I’m going to go against the grain here and say you should use your equity to acquire more property.
Take out a mortgage and buy a property to rent or to AirBNB. Use your asset, don’t just sit on all that equity.
Rental properties are a great way to reduce your taxable income and the mortgage interest is a tax write off.
Keep building up your stable of rentals until you get to a point where you don’t have to work anymore.
Click to expand...
I did that and now have several homes and am debt free. I had to buy the first one, but tenants have bought the rest of them. And I'm not saying that it's free money either. I earn it by keeping the properties up and dealing with tenant issues, but I've been at it for over 35 years now and it's not all bad. I got started young as one of my uncles sort of mentored me.
 
Last edited:
All those expenses stop when we die so no, we don’t have to pay when we die. All I owe is what’s left of my mortgage and there’s more than enough to ‘pay it off’ when my kids inherit it. There’s enough $$ in my accounts to continue mortgage payments until it’s sold. I wouldn’t try selling it before I die because where would I live then? And at what cost? My kids will inherit all I have, car, bikes and guns and my vinyl collection and whatever furniture they want. I’ve already paid for my death expenses so all they’ll have to do is sell the house and argue over who gets what. :)
 
WuzzaCBXRider said:
All those expenses stop when we die so no, we don’t have to pay when we die. All I owe is what’s left of my mortgage and there’s more than enough to ‘pay it off’ when my kids inherit it. There’s enough $$ in my accounts to continue mortgage payments until it’s sold. I wouldn’t try selling it before I die because where would I live then? And at what cost? My kids will inherit all I have, car, bikes and guns and my vinyl collection and whatever furniture they want. I’ve already paid for my death expenses so all they’ll have to do is sell the house and argue over who gets what. :)
Click to expand...
Hopefully you have a will so they won't have much to argue about. I settled my mothers estate several years ago and thankfully they had a will. My dad didn't want one back in the day, but I talked him into it. I told him that without one, we would probably have their children arguing about who got what. The will made all the difference and I'm so glad they did that.
 
Yes, a will and power of attorney and so on but in the will I didn’t designate who gets what other than they, my two kids get it all. I’ve already spoken with them about the details. I also gave them the choice of being my executor/executrix or me designating someone else. I’ve acted as the executor before including emptying and selling a home so I know what’s involved and what a headache it is and how time consuming it can be for someone with a job and family who doesn’t live nearby.
 
WuzzaCBXRider said:
All those expenses stop when we die so no, we don’t have to pay when we die. All I owe is what’s left of my mortgage and there’s more than enough to ‘pay it off’ when my kids inherit it. There’s enough $$ in my accounts to continue mortgage payments until it’s sold. I wouldn’t try selling it before I die because where would I live then? And at what cost? My kids will inherit all I have, car, bikes and guns and my vinyl collection and whatever furniture they want. I’ve already paid for my death expenses so all they’ll have to do is sell the house and argue over who gets what. :)
Click to expand...
Here we pay a capital gains tax on estates so in essence we still pay after someone passes away.....

In this way, the people in the will end up selling the estate to cover the taxes...either that or incur an expense.

We just HAVE to get rid of the tool bag leading our country through the next election....hopefully the next guy reverses this tax....
 
Bumblebee said:
Here we pay a capital gains tax on estates so in essence we still pay after someone passes away.....
Click to expand...

I am unsure but I think such capital gains or not indexed for inflation. Meaning if the asset is worth double, but gas and veggies also cost double, the taxpayer loses huge by being taxed on the double value that is all inflation, versus the real dollar value that is a lot less.

Also there is the death tax or federal estate tax. States also used to levy this but eliminated such, but some states do have an inheritance tax. These tend to apply toward estates of a higher net worth and not to most people. But this here congress of the United States did made sure to tax plenty of dead people.

Some of the richest people in history, and in power to affect this such as Joe Kennedy, wrote their own ticket around these taxes; a truly sweet deal.
 
WuzzaCBXRider said:
All those expenses stop when we die so no, we don’t have to pay when we die. All I owe is what’s left of my mortgage and there’s more than enough to ‘pay it off’ when my kids inherit it. There’s enough $$ in my accounts to continue mortgage payments until it’s sold. I wouldn’t try selling it before I die because where would I live then? And at what cost? My kids will inherit all I have, car, bikes and guns and my vinyl collection and whatever furniture they want. I’ve already paid for my death expenses so all they’ll have to do is sell the house and argue over who gets what. :)
Click to expand...
It sounds like you’ve given this some consideration which more than most.

Please also consider creating a trust so you can designate who gets what, thus avoiding arguments when you’re gone, and you can avoid probate.

Along with a will create a Do Not Resuscitate order where if 2 doctors sign off saying there is no hope your wishes are clear.
Imagine your kids trying to decide whether or not to resuscitate you in the hospital on the spot with high emotions.
The DNI takes that choice out of their hands and then they are just following your wishes.
No tough choices to make, no guilt felt later on.
 
Status
Not open for further replies.

Similar threads

fast08busa
When does it end (Much needed rant)
Replies
12
Views
1,346
Stoney McSloth
Stoney McSloth
A
Debt consolidation
Replies
3
Views
694
Fate
Fate
A
negatives on credit report
Replies
2
Views
671
ks-waterbug
ks-waterbug
CAT3
Interesting way to spend a double birthday.
Replies
5
Views
614
BA BUSA
BA BUSA
NCBusa2001
MOM's estate.  I need advice PLEASE HELP
2
Replies
20
Views
1,713
adrenaline junkey
adrenaline junkey
Back
Top