Average Income

[herofan]

My brother and I were recently having a discussion about how much money people make, so i looked up the average income of Americans. It seems that the average, middle class family makes between $36,000 - $58,000. I know there are all kinds of arguments and number crunches that can apply, but that says to me that apparently a lot of people make money in that range.

I say, how can that be? I never really thought much about the actual figures that people make, but it seems like everybody and his brother these days drives nice vehicles, has a nice house, big screen tvs, boats, campers, etc. How can they do it on that salary? It seems it would take a lot more to have nice things and piece of mind.

And don't even get me started on farmers in my neck of the woods. Every farmer I know has every piece of equipment known to man. I would assume a huge amount of money has to be flowing to have all that stuff. How could they do it on that salary?

 

[Jogeephus]

There is a big difference between handling a lot of money and keeping a lot of money. That said, there isn't but about 12 inches difference in height between the seat in a limousine and a seat on the curb.

 

[alisonb]

Perhaps the money belongs to financial institutions :help:

 

[snake67]

My brother and I were recently having a discussion about how much money people make, so i looked up the average income of Americans. It seems that the average, middle class family makes between $36,000 - $58,000. I know there are all kinds of arguments and number crunches that can apply, but that says to me that apparently a lot of people make money in that range.

I say, how can that be? I never really thought much about the actual figures that people make, but it seems like everybody and his brother these days drives nice vehicles, has a nice house, big screen tvs, boats, campers, etc. How can they do it on that salary? It seems it would take a lot more to have nice things and piece of mind.

And don't even get me started on farmers in my neck of the woods. Every farmer I know has every piece of equipment known to man. I would assume a huge amount of money has to be flowing to have all that stuff. How could they do it on that salary?

You can get a lot of things if you are prepared to go into debt

Bez

 

[Brute 23]

Payment plans... They are broke but haven't realized it yet.

I'm 26 and a lot of my friends are getting jobs, getting married, all that good stuff. They are purchasing $150k homes, new car for the wife, new boat, on top of carrying school loans. They have no grasp of what they are actually doing financially every time they sign another note.

 

[Aaron]

Debt, debt and more debt. Any ag producer who has it all and says it was bought with cash from the ag operation is full of shyt. One fellow I know, between himself/father/mother are bringing in about $15,000 a month in off-farm income, and so many people believe they are 'really successful farmers'.

 

[Anonymous]

I don't think that we are out of this depression yet, but some people think we are. And I've noticed more people financing their futures away again already. Making the same mistakes again.

 

[Bigfoot]

I hesitated to post this, but I guess there is enough ananimity here it's not like bragging. I got debt free at age 33 or 34. I have never had a vehicle payment. I have always chosen to drive what I could afford to pay cash for. I set my house up on 15 years, when the principle got down low I went ahead and paid it off.

I have never really minded working. The day I started working for reasons other than to pay bills was one of the most enjoyable days of my life. I plan to never have another payment. I hope nobody misconstrues this as bragging. My life truely changed when I got debt free.

My next goal is to retire early. I think in 7 more years, I will be able to do that. My wife wants to continue to keep working. Oh well to each his own. I think retireing to spend more time on my farm will be far more enjoyable than a new tractor, or a new truck.

I often puzzle over why people spend money to buy things they dont need, to try to impress people they don't like. My standard of living is low. It will be low after I retire, but will be happy.

 

[chippie]

Chances are the average income is per person. If both husband and wife work, double it.
As Bez said you can have a lot of things if you are prepared to go into debt.
Credit cards are the downfall of many.

 

[herofan]

I hesitated to post this, but I guess there is enough ananimity here it's not like bragging. I got debt free at age 33 or 34. I have never had a vehicle payment. I have always chosen to drive what I could afford to pay cash for. I set my house up on 15 years, when the principle got down low I went ahead and paid it off.

I have never really minded working. The day I started working for reasons other than to pay bills was one of the most enjoyable days of my life. I plan to never have another payment. I hope nobody misconstrues this as bragging. My life truely changed when I got debt free.

My next goal is to retire early. I think in 7 more years, I will be able to do that. My wife wants to continue to keep working. Oh well to each his own. I think retireing to spend more time on my farm will be far more enjoyable than a new tractor, or a new truck.

I often puzzle over why people spend money to buy things they dont need, to try to impress people they don't like. My standard of living is low. It will be low after I retire, but will be happy.

Instead of bragging, I call it "smart." I often say about myself that "I don't have anything, but i don't have any debt either." That's fine with me.

 

[Brute 23]

I hesitated to post this, but I guess there is enough ananimity here it's not like bragging. I got debt free at age 33 or 34. I have never had a vehicle payment. I have always chosen to drive what I could afford to pay cash for. I set my house up on 15 years, when the principle got down low I went ahead and paid it off.

I have never really minded working. The day I started working for reasons other than to pay bills was one of the most enjoyable days of my life. I plan to never have another payment. I hope nobody misconstrues this as bragging. My life truely changed when I got debt free.

My next goal is to retire early. I think in 7 more years, I will be able to do that. My wife wants to continue to keep working. Oh well to each his own. I think retireing to spend more time on my farm will be far more enjoyable than a new tractor, or a new truck.

I often puzzle over why people spend money to buy things they dont need, to try to impress people they don't like. My standard of living is low. It will be low after I retire, but will be happy.

It's not bragging. More people like you need to tell there story so others realize debt is not the norm... It's not cool... It's not how "adults" do things.

Congrats! :clap:

 

[Bigfoot]

I really think not having a vehicle payment was were I turned the corner on making it. That allowed me to be able to make a larger house payment. Setting a house up on 15 years will save you thousands compared to 30 years.

 

[TexasBred]

Payment plans... They are broke but haven't realized it yet.

I'm 26 and a lot of my friends are getting jobs, getting married, all that good stuff. They are purchasing $150k homes, new car for the wife, new boat, on top of carrying school loans. They have no grasp of what they are actually doing financially every time they sign another note.

Amazing how much of that you see these days. Seems all that matters is "we can make the pmts." and I'm not so sure that matters to a lot of them anymore. It's just how long can we look cool until they repossess it. Talked to a guy a few months ago. Had bought his wife a new Tahoe and himself a new Chevy PU and made the down payment on each with the Visa Card and financed the balance of each with GMAC. This guy has to be close to 50 years old. Don't know but betcha he still rents the house he lives in too.

 

[TexasBred]

I hesitated to post this, but I guess there is enough ananimity here it's not like bragging. I got debt free at age 33 or 34. I have never had a vehicle payment. I have always chosen to drive what I could afford to pay cash for. I set my house up on 15 years, when the principle got down low I went ahead and paid it off.

I have never really minded working. The day I started working for reasons other than to pay bills was one of the most enjoyable days of my life. I plan to never have another payment. I hope nobody misconstrues this as bragging. My life truely changed when I got debt free.

My next goal is to retire early. I think in 7 more years, I will be able to do that. My wife wants to continue to keep working. Oh well to each his own. I think retireing to spend more time on my farm will be far more enjoyable than a new tractor, or a new truck.

I often puzzle over why people spend money to buy things they dont need, to try to impress people they don't like. My standard of living is low. It will be low after I retire, but will be happy.

Congratulations on some very wise decision buddy. Far too many folks not willing to live within their means. Let the wife work as long as she enjoys it but let her know she's welcome on the farm fulltime as well. ;-) Best wishes and thanks for being a "good example". :clap:

 

[TennesseeTuxedo]

I often puzzle over why people spend money to buy things they dont need, to try to impress people they don't like.

Quite possibly the funniest things I have ever read on this board.

Mighty truthful too especially where I live.

 

[ALACOWMAN]

I really think not having a vehicle payment was were I turned the corner on making it. That allowed me to be able to make a larger house payment. Setting a house up on 15 years will save you thousands compared to 30 years.

worst investment you can make,, but sadly people gotta drive.. we had a customer that her whole paycheck ""every week"" went toward car payments, her husband payed the rest.... never have had a new car.. my old work car has 381k on it

 

[Jogeephus]

I really think not having a vehicle payment was were I turned the corner on making it. That allowed me to be able to make a larger house payment. Setting a house up on 15 years will save you thousands compared to 30 years.

If you have a 30 year note and pay $100 a month extra on the average home this will cut the time in half and this will give you a lower monthly payment if something unexpected came up.

Ironically, I am now renting a home to a mortgage broker who lost their million dollar home after the housing bust. Best renter I've ever had and I hope they never leave.

 

[skyhightree1]

One thing everyone does need to take into account is sometimes there is inheritances and investments that people can be making money off of as well. I could not live off that average amount as I have $7,800 going out in equip loans a month and that does not include the other home biils and insurances kids clothing and field trips etc. I am not a flashy vehicle person my wife has a new vehicle we get a new one every 2 years because i dont want her and the kids to have any issues now my daily driver is a ranger that has over 300,000 miles on it as well as my hunting truck has over 250,000 on it. My farm and business equip is newer than my personal stuff lol.

 

[Bigfoot]

Wages have really stagnated the past few years. Couple that with the increased cost of living, and its a recipe for disaster. We all have less disposable income than we did a few years ago. I spread sheet everything. What were spending on fuel is astonishing. It has surpassed insurance as our largest monthly expense.

 

[skyhightree1]

Bigfoot I feel you on the fuel mine in december was $2900 jan was $3,800 for my business when row crop planting time comes I am guessing it will add an additional $2,500 to that figure or more.