Debt Free !!!!!

[MexicanBatman]

NEVER!

i make good money, but i want more **** i dont, errr do need... and i always will

i suppose when im dead my debts will be settled from my estate, i dont care really cos i'll be dead, and no ones getting a free ride off my hard earned cos ive spent it

btw for interests sake im 29 and have 500k in my name in one way or another, but at least i own the car outright LOL luckily though the debt is outweighed by the capital in my property, anyway who cares..... im spending this paycheck on an intercooler and exhaust

[Fled74]

My wife and I started late - we married in 2002 (27 years old) and moved to Australia to start fresh in late 2003.
Seven years later we have 2 kids and and are renting on a single income.
We don't use credit cards. The car is fully paid up and we're halfway through paying off a bank loan - I figure my credit/repayment history is good because of these factors.
Eventually we'll have enough for a deposit on a home, but I'm on less than 50K a year and if it weren't for the family payments we get from Centrelink then we'd barely have enough to get by.

So, yeah, hopefully debt-free by the time I retire (I'll be 36 in a couple of months so I'd better work harder).

[sarrge2001]

I was (mortgage) debt free at 37. At 42 we upgraded the house with only a small (40K) mortgage.

Then I got divorced.

Should be right again in about 4 years (well, that's the plan!)

[kennyboy]

everyday you wake up is a good day! sure bad things can happen but so can good. I used to say expect the worst & you might be surprised, but since the big fires last year have changed my tune. We nearly paid off the house then got a second mortgae to pay for renovations, are now looking at more renovations & an extension to increase the kitchen size. we have made sure we have enough insurance to pay off what debt we have if death or incapacity gets one of us - we're both working. Just ****ed off that they've raised the retirement age for the pension & probably will again. Wouldn't mind some cash for a bigger boat, car upgrades etc......

[drew`SEVNT5]

Originally Posted by Iggypoppin'

Do you mind if I ask what your income is vs your total 49k debt? By the sounds of it you are a bit like me from ages ago, I was lucky that I usually paid my minimal credit cards with tax money or cash jobs. The car insurance took care of and now I owe 3.6k so lifes looking good.
Also have you considered a debt consolidation loan to get it into a lump with a low interest rate and then start smashing that away?

Last year was $89k (before tax). So far this year, on track for about the same, if it keeps going at this rate... Id like work to pick up a bit, obvs.

My weekend job should get me another $25-to-$38k before tax.

Got knocked back on a consolidation loan a few months back, gave it away as a bad idea and started to put the feelers out for more work.

[Iggypoppin']

I'm surprised you where knocked back on such a high income. Banks will loan money to kids fresh out of their 18th birthday on 25k a year working at woolies but not to a 25yr old on 89k...odd.

[ebxr8240]

Originally Posted by Iggypoppin'

I'm surprised you where knocked back on such a high income. Banks will loan money to kids fresh out of their 18th birthday on 25k a year working at woolies but not to a 25yr old on 89k...odd.

They often don't have any to lend..

[BPXR6T]

Growing up poor I had drummed into me "what you need and what you want are two different things". So I naturally prioritised what I needed before what I wanted. For me that's always meant solid finances before toys. I got myself into uni targetting IT for the high disposible income. I used all of that income to buy a house at 21. I resisted the urge to buy expensive toys and paid that place off by the age of 24. Now that I owned my own home I found myself with even more disposible income. So instead of burning it by stepping up my lifestyle I invested with the aim of retiring at 40. I didn't make it that far. I now sit here at the age of 32 retired with a few nice cars, big place in the country, and 100% debt free. I can vividly remember hatching my simple plan as a 14 year old. IT, buy houses, retire early. Debt = slave to consumerism, no debt = freedom...

[gtfpv]

Originally Posted by BPXR6T

Growing up poor I had drummed into me "what you need and what you want are two different things". So I naturally prioritised what I needed before what I wanted. For me that's always meant solid finances before toys. I got myself into uni targetting IT for the high disposible income. I used all of that income to buy a house at 21. I resisted the urge to buy expensive toys and paid that place off by the age of 24. Now that I owned my own home I found myself with even more disposible income. So instead of burning it by stepping up my lifestyle I invested with the aim of retiring at 40. I didn't make it that far. I now sit here at the age of 32 retired with a few nice cars, big place in the country, and 100% debt free. I can vividly remember hatching my simple plan as a 14 year old. IT, buy houses, retire early. Debt = slave to consumerism, no debt = freedom...

wow . thats incredible . maybe you are rich , but hey even bill gates and richard branson havent retired yet . ! are you telling me you have made enough income @32 to support yourself comfortably for perhaps the next 70 years ?

[FPV8U]

Originally Posted by BPXR6T

Growing up poor I had drummed into me "what you need and what you want are two different things". So I naturally prioritised what I needed before what I wanted. For me that's always meant solid finances before toys. I got myself into uni targetting IT for the high disposible income. I used all of that income to buy a house at 21. I resisted the urge to buy expensive toys and paid that place off by the age of 24. Now that I owned my own home I found myself with even more disposible income. So instead of burning it by stepping up my lifestyle I invested with the aim of retiring at 40. I didn't make it that far. I now sit here at the age of 32 retired with a few nice cars, big place in the country, and 100% debt free. I can vividly remember hatching my simple plan as a 14 year old. IT, buy houses, retire early. Debt = slave to consumerism, no debt = freedom...

Wow, good job!

[TURBOTAXI]

Mmm if I keep investing I might have debts against my name when I die, but my income from investments exceeds the cost of servicing the debt? I think the question needs tweaking?

[TURBOTAXI]

Originally Posted by BPXR6T

Growing up poor I had drummed into me "what you need and what you want are two different things". So I naturally prioritised what I needed before what I wanted. For me that's always meant solid finances before toys. I got myself into uni targetting IT for the high disposible income. I used all of that income to buy a house at 21. I resisted the urge to buy expensive toys and paid that place off by the age of 24. Now that I owned my own home I found myself with even more disposible income. So instead of burning it by stepping up my lifestyle I invested with the aim of retiring at 40. I didn't make it that far. I now sit here at the age of 32 retired with a few nice cars, big place in the country, and 100% debt free. I can vividly remember hatching my simple plan as a 14 year old. IT, buy houses, retire early. Debt = slave to consumerism, no debt = freedom...

Nice - good for you, I was aiming for mid 30's but have decided I want more income and more toys, so I might go through to 40 or so? I could go now, but would only have around $400 per week as passive income, and would have to leave my acres and go to a normal house.... I would want about $1500 - $2000 in hand per week, I want to be able to to sail, shoot clays everywhere, drive nice cars and tinker on old bikes. I also have a love of good food and good wine, it all costs.

[gtfpv]

Originally Posted by TURBOTAXI

Nice - good for you, I was aiming for mid 30's but have decided I want more income and more toys, so I might go through to 40 or so? I could go now, but would only have around $400 per week as passive income, and would have to leave my acres and go to a normal house.... I would want about $1500 - $2000 in hand per week, I want to be able to to sail, shoot clays everywhere, drive nice cars and tinker on old bikes. I also have a love of good food and good wine, it all costs.

hang in there mate . untill you can produce a net expendable income, of atleast 2k p/wk with or without debts . i wouldnt be retireing .

[fords35to75]

Good to aim for, but not always smart to be debt free because you can easily waste surplus income. I was debt free at 32 - modest house, 3 yo car and a toy car. Six years later car was 9 y.o., house too small etc etc and how much had we saved? Jack ******. Borrowed for newish car and block of land, didn't starve but took cut lunch to work instead of buying takeaway and ate out once a month instead of twice a week - lived o.k. Sold the block and modest house, bought bigger house on small acreage a few years later (42) and with the help of a small inheritance, should have had that one paid off by about 45 but keep the redraw open. Now I redraw 10k a year which goes into an investment account and I pay the $10k off - basically it's a compulsory saving. I'm early 50s now and own 4 toy cars (all Fords), the everyday driver, caravan, have some cash and shares and owe $10k. No where near a millionaire but happy. Not living in a capital city helps because property is a lot less in country incl major towns like Ballarat and Bendigo (even Geelong).

[XD 351 Ute]

My plan was to own everything at 40, nearly made it, but then decided to get a shed to put my toys in. Was the cheaper option versus selling up & buying elsewhere, so fingers crossed will get there in another couple of years.
Knowing my luck though, I'll meet some sheila and it will go downhill from there!

Ed

[Polyal]

OK I am not old (27) but this is my idea of it all...

Yes it would be nice to not have a mortgage. My wife and I brought 2 years ago, and recently sold up to move back to VIC so I can finish my studies...

But when you are young enjoy life, seriously, I see so many people saving and saving and they seriously do not seem to have a life. Travel, go out, blow some cash on stuff that doesn't really matter...why? because its alot harder to do later when you have responsibilities.

We will buy a house again when Im done with uni, so within 12-24 months but its mainly because we have two kids now aswell. Otherwise id be living it up.

That doesn;t mean you get loans left right and center, play it smart, live within your means.

We/I are 100% debt free, but I dont have any large assets other than a bit of cash in the bank....

I see pretty young guys/gals these days driving brand spanking new cars, now anyone can get a loan but its just a car, you loose so much money on them new its almost criminal...my mates and I drove crap boxes for years, technically I still do (I love the AU though)..but yeah, there is a fine balance.

As an example, and its a whole different generation, but my grand parents in laws are at a point in life that they have saved for the past 50 years and they have so much cash they literally dont know what to do with it.

This is now an issue as they are looking at going into a home and as the system stands you get RIPPED if you have high assets, your better off going in with nothing (to a degree).

So they have saved all this money and are now too old to enjoy it fully....stuff that.

[gtfpv]

i visited a waterfront home on the hawkesbury river yesterday , i knew the guy and his wife . they were my parents friends . they are dead now . in 1997 i visited thier place with my then new EL XR8 . They loved it , i was 27 at the time , witin 10 years from then they were both dead in thier 60s . the hey owned thier home , had some cash , and this waterfront place they rarely visited worth around 600k , seeing it yesterday was a mixed feeling thing , i looked at the home and thought , i hope they enjoyed it ( that i dont know) , but his brother inherited it , whilst the 2 kids they had inherited cash and the main home . when i looked at the waterfront home with mixed feelings yesterday , i wondered , what was the reason they bought it . and did it serve them , or did they serve it . in the end they couldnt take it , i just hope it served a purpose to them .

[Polyal]

Well with everything in life there is always a balance...everyone tells you their POV, or how things should be done.

At the end of the day IMO you do whatever suits you at the time. That doesn't mean going to the casino and putting it all on red, nor does it mean locking yourself away and saving every penny...enjoy what you have, strive to be better or work towards something you want and dont judge yourself and what others have or dont have..........deep.

[MITCHAY]

Hmm I live at home so have no debt. Currently saving for a place but I would hope to be done by at least 50.

I am on track for my savings objective of $40k by end of the year which is a healthy deposit now I just have to resist temptation to blow it on a car :

[GUTLES]

If I was smart, I'd still be in my first house I brought when I was 19 for 130k.

10 years on & I'm not so smart & now have 4 kids so it'll be a while off for me ;(

[drew`SEVNT5]

Originally Posted by Iggypoppin'

I'm surprised you where knocked back on such a high income. Banks will loan money to kids fresh out of their 18th birthday on 25k a year working at woolies but not to a 25yr old on 89k...odd.

Forgot to mention, its mostly commission.. $38k base.(+super, car & phone... none of which are in the $89k.)


So, theres another reason why they knocked me back..

Meh, im taking as a kick up the **** to work harder & make it that way.

[Windsor220]

Who knows when I'll be out of debt. Will probably pay of this house and upgrade to something better so will be in debt again. Ongoing cycle.

[ebxr8240]

Certain debt is ok. As its a real incentive way of saving IF the debt is on something that appreciates.. Which isn't anything to do with cars, boats, woman or anything to do with fun in most cases!!!

[onfire]

I'm a saver. I hate not having money in the bank, or the idea of using credit and paying it back at a later date because I don't have the money today.

I'm only driving a 2003 XR6 I paid less than $15000 cash for after trade in. Nothing owing on the car at all.

27 years old. Bought a 2 bedroom unit 2.5 years ago, now with approx. $140k mortgage owing.

Realistically, I'm earning nearly $20k more and thats not including potential bonus incentives than I was 2 years ago. I could empty out my savings and increase my payments to nearly double I'm paying now and clear my debt in under a few years, if luck shines on me.

Then again, it's only a small, tiny little mortgage.

[gtfpv]

LOL looking at the POLL right now tells a story . the younger ones have ticked . by 40 . the ones who havent made it by 40 have ticked by 50 , and the ones after that have bypassed by 60 and ticked , when i retire LOL.

[MYVYSS]

Originally Posted by FTE72

Agree with Flappist.
And also some people may have debt on purpose to reduce Income tax.
The only bad debt is debt for toys(cars,plasma TV's, louis vitton handbags) and your primary residence IMO.

Sorry I hate that comment...MY GOAL is life is to pay as much farken tax as possible in a year...I want to pay 20 million or more...

Think about it for a moment...

Regardless of how you are "reducing your tax" you are still paying money out which isnt classed as earnings..

I look at it this way, I pay 20 million in tax...I have probably earned at least 40 million...

[gcg2503]

Debt free isn't necessary the holy grail

I am looking to load myself up with $650k more shortly!

[Venomous1]

Just payed off my Ute not planing buying a house prices are way of the mark for me although saving deposit for a new GS 5.0.

[KYSBF]

36, owe around 5k on the Falcon, about 120k on my house, so prolly around 41 or 42 I spose. Then life begins!!
Not interested in keeping up with the Jones', just have a simple little house on a few acres, own chooks, veges and have just recently bought a cow to fatten up. hehe.

[Corzza]

I am a home owner now. So thats me for at least 20 years