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Throwaway account. Love this sub and find it incredibly helpful, entertaining and insightful. There are not many venues for fellow fatties to share ideas, advice, etc. I have enjoyed seeing other Fatties share their spending habits, budgets, etc. I am Fat and could obviously retire today but actually really still enjoy my job, team and am paid extremely well and have reasonable work/life balance. Consider myself very lucky. I am in my early 50's and have kids. Live in a VHCOL area. For many years I have enjoyed total ignorance on expenses. I didn't track and I didn't care. Recently that felt a bit foolish and wanted to figure out what our annual burn rate was. So, I spent some time and consolidated credit and bank accounts and did my best to retroactively categorize. I kept the categories broad as I am not trying to track every dollar. Just wanted an idea. HOLY SHIT was I surprised to see that our family burn rate is. Here are a few details to frame;
- 50's married with kids. NW is ~ $25 excluding home.
- ~$4M of combined net income from W2, passive income, investment income
- No debt/mortgage
- Kids in public schools
- No second home. We just spend a shit-ton renting homes around the world as you can see.
So clearly I can support the annual burn rate and could retire and support close to it. But I am just amazed how quickly it adds up. We spend freely and have lots of toys but don't feel like we are over the top (on a relative Fatty basis). Don't fly private, we do take lots of Fat trips as you can see and rent lots of houses. Wife buys lots of clothes, multiple club memberships, etc, etc. But in my heart I consider myself a fairly frugal person (puke) and don't like waste (puke again). I am ok spending on experiences (trips, food, family care, memberships, etc, etc) and time savers (nanny, housekeeper, but I do not like wasteful spending. Clearly we have wasteful spending. Even when taking out the Family Care line, we will likely be over $1M/year.
Anyone else blown away when they break it down??
Edit: removed taxes and some family care expenses to normalize. Family Spending was eldercare. I took out taxes entirely.
 | YTD Nov 2023 | 2022 |
---|---|---|
EXPENSE | Â | Â |
Travel | ($153,998) | ($186,665) |
Nanny/Housekeeper | ($69,279) | ($69,459) |
Shopping | ($60,397) | ($54,109) |
Health/Medical | ($60,061) | ($52,210) |
Home Maint/Upgrade/Repair | ($50,747) | ($84,476) |
Restaurants/Food | ($43,816) | ($31,456) |
Auto | ($35,742) | ($15,762) |
Clothing | ($35,014) | ($41,531) |
Groceries | ($32,755) | ($33,279) |
Property Tax & HOA | ($22,559) | ($49,316) |
Club Memberships | ($22,465) | ($12,575) |
Misc Expenses | ($21,319) | ($36,767) |
Kids | ($15,278) | ($15,487) |
Fun/Entertainment | ($13,760) | ($8,280) |
Utilities & Bills | ($13,111) | ($11,836) |
Insurance | ($12,073) | ($13,452) |
Other Misc | ($7,456) | ($3,750) |
Cash | ($6,843) | ($6,109) |
Toys | ($8,686) | ($3,983) |
Uncategorized | ($4,845) | ($65,694) |
Venmo | ($7,267) | ($2,284) |
Subscriptions | ($2,393) | ($2,590) |
 | ($699,864) | ($801,070) |
Wouldn’t home Maintnence and repair be technically written off in taxes? I’m curious now of the tax breakdown
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At the size this person is spending yearly it could certainly fit into the category of capital improvements. Any tax guy can finesse that…