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  • Why do you save

    So as high earners why do you save ?

    Esp as most of us will likely never spend even 50% of what we save

  • #2
    Psychological scarcity from lessons growing up. I also don't get a ton of enjoyment from stuff I don't need/use.

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    • #3
      My brokerage account is like a video game score. I like having a new high score lol

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      • #4
        Because having more money than needed for retirement is better than not having enough money for retirement. And apart from travel, what would I spend it on? I don't need more toys.

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        • #5
          So if something happens to me, or to job , family will be provided for .

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          • #6
            So I don't have to work into my 50s or 60s if I don't want to.

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            • #7
              So that I will not be beholden to anyone or any job. So that I can practice medicine on my own terms, with confidence knowing that I can walk away if needed. So that my kids can have a living example of discipline in the statistical likely event they cannot earn the high income we have.

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              • #8
                The better question is what do all of you plan to do with all the money you didn't spend after you've died? Kids, charity, taxes, what?

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                • #9
                  Peace of mind

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                  • #10
                    to allow me to retire early

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                    • #11
                      Originally posted by FIREshrink View Post
                      The better question is what do all of you plan to do with all the money you didn't spend after you've died? Kids, charity, taxes, what?
                      I consider my investments to be family wealth. I earned it and plan to enjoy it, which for my wife and me includes travel, charity and getting the grandkids a good start, but the remainder will stay in the family. Similarly, I will seek to minimize estate and inheritance taxes.

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                      • #12
                        Because my ability to earn well outstrips my ability to spend and give well. I used to save for future security.
                        Helping those who wear the white coat get a fair shake on Wall Street since 2011

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                        • #13
                          1. To retire or go part time early. I save now to buy time later.

                          2. I dislike inefficiency. For example, a 5000 sq ft house would annoy me even if I had a billion dollars. Avoiding excess tends to lead to spending less and saving more, even if that isn’t the primary goal.

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                          • #14
                            Originally posted by nastle View Post
                            So as high earners why do you save ?

                            Esp as most of us will likely never spend even 50% of what we save
                            Because my father taught me about shares and investing as a teen and I invested part of my meager intern salary in stocks at age 22. I caught the bug and even though I have no idea today what I invested then, that environmental and ?genetic shaping has been with me since then. I always live well below my means, which is another way of saying nicely that I am frugal or frankly being labelled cheap. Fortunately ( or unfortunately) the power of compounding in a hot stock market has left me with more than I can spend.

                            If I had a crystal ball in my twenties, I would have invested less and traveled more. Oh well, ....

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                            • #15
                              I’m in my mid 30s saving a lot more than necessary for retirement. Counting mortgage principle paydown (and match), we’re somewhere around 40-50% savings rate. My oversaving serves multiple purposes:

                              I’m running towards FI. I may or may not RE, but I want the option to change careers and not worry about money. My father had a midlife career change and I’ve always been envious of that.

                              The game is fun. I like hitting milestones.

                              Trying to force ourselves into a lifestyle that feels luxurious but is well below our means so that we still really enjoy luxuries. If I bought the BMW, nice house and flew first class all right out of training, everything would be flat from their on out. Basically, the opposite of consumption smoothing.

                              Generational wealth. I don’t want to leave my kids enough money to just sit back, but I would love to be able to buy our kids a first home, or fund a startup or something else that would be a huge blessing and give them a leg up. Can you imagine if you were 28 and you didn’t have a mortgage payment?

                              Long-term charitable gifts. I would love to have a major impact on my community. We tithe to our church and give above and beyond frequently, but if I continue to work and save like I’m doing until retirement age, we’ll be near or at 8 figures not counting anything we inherent. The playground by our house has a little plaque saying it was in honor of someone’s late grandfather - it’s sad we don’t see more things like that. If we die with a 7-8 figure net worth, think about what sort of impact that could make.

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