If you had a couple million dollars...

[vivacious]

Stand@desk had a similar question lately. I had a related question that was also on my mind. Say you had a couple million dollars. Would you be less frugal? What would you spend money on?

There have been some other threads here like "What would you do if you had $10 million" or things like that. I don't mean some huge number. Just enough where everything would definitely be taken care of to the point where you didn't "need" to be frugal.

This raises a few questions as in do you see being frugal as something worthwhile in and of itself or is it just a means to an end? Would you do it if you didn't "have" to?

It's also kind of another way of asking Stand@desk's question but with less pressure. Let's say you do in fact have extra money to spend. $2 million would be more than enough to cover everything in your life plus spend more etc.

Some people say it takes being frugal to get the first million if that's what you're aiming for but if you hit the second million that's when you're really "rich" and may not want/need to be frugal anymore.

I'm just kind of brainstorming here but any thoughts?

[theanimal]

The only thing that would change for me would be food. I'd probably buy more fruits and vegetables that aren't on sale. But I guess with $2 million I'd easily be FI and I'd like to have my own garden so...never mind then.

Not much would change for me. I don't want stuff.

[Jean]

I'de get a property and live there with a dozen creative friends like an old russian aristocrat, with the rest of the money in dividend yelding stocks instead of serfs.
It's just that every one there would be living frugally.

[jacob]

Frugality is an end in itself to me.

For each 1M more, I'd live in the same kind of house/cabin/farm but own 1000 acres more.
I guess my imagination is limited that way.

[Ian]

I'd spend more on:
- Heating. I can get by at 10 degrees (50 F), but I'm not necessarily comfortable.
- Software. I'm pretty happy using freeware, but if I wasn't in savings mode I'd buy some things.

I think I would actually eat around the same diet even if I had infinite money - I'd probably get foreign fruit like strawberries more often, but I'm fairly happy with my current set of foods.

[workathome]

Similar to Jacob, my "standard of living" is locked with no desire to go higher - though at about 2-3x his costs atm & aiming lower. I'd probably slowly donate most of it, leaving enough to any offspring so they don't have to work if they're willing to subsist on a minimalist lifestyle (I don't think making anyone have a job is a good thing). Or maybe create a private nature reserve and pass it to offspring in a trust requiring that they not log it or sell it, etc.

[Ozymandias]

I'd invest all of the millions, living off the return from the first million and donating the returns from the other millions to worthy causes as I see fit. My own standard of living wouldn't change, but I'd be able to support another person or two for family purposes from the first million.

[stand@desk]

Just talked this one over with F.

We would get a newer more fuel efficient vehicle.
A nicer place to live.
An even better stock of food and wine.
Piano Lessons for our possible future children.
Travel.

I feel that at some point in life, it's more advantageous to soften the ERE mentality and go for a more ERE lite mentality, but at what point it's very hard to know.

[jennypenny]

My frugal habits wouldn't change. Waste is waste (to me). I would stop fussing with the market and put it all into Tbills or CDs. I'd golf more. I'd also spend as much time on the water as possible.

[GandK]

Would be in a different home, would replace a few worn items now as opposed to when they die, and would probably eat differently.

Otherwise, no.

[stand@desk]

F and I would definitely start running indoors in the winter..right now we just run seasonally.

[Seneca]

F and I would definitely start running indoors in the winter..right now we just run seasonally.

Why do you need $2mil for this?

We would be very FI, but I wouldn't quit my job.

The only outward lifestyle changes I could see happening would be pulling in some of the planned improvements we plan for our property (shop, soil improvements etc) and increased diversity in investments.

[Le0]

Yes I wouldn't be able to help it... But I think I would also help out my parents. And set up investments for our FI.

[champ0608]

Aside from investing most of it...

I'm an avid bowler, and all my equipment is getting old, worn out, and banged up. I'd treat myself to some new bowling balls, shoes, and a bag that's structurally sound. So, after that I've spent $1000 or so.

And I'd get another solar powered AC unit for our living room. We have one in the bedroom and it works great for that side of the house, but it doesn't make its way into the living room. We rely on a swamp cooler for the front part of the house, which doesn't work when there's humidity in the air. 110 degree Tucson days, with monsoon season humidity, and a box blowing in sticky air does nothing but make one miserable.

So that's another $1000.

[C40]

Yeah, I'd spend more.. Maybe an additional 50-100%. Something like $30k-$40k.


What I think I'd spend more on:
1 - Nicer home. Not bigger, but higher quality.
2 - Higher entertainment / hobby spending. (Computers, camera gear, bicycling gear, clothes, pens, tools, cooking gear, books, etc..)
3 - More travel. Likely just to see friends and family more. Plus maybe an international trip every year or two.

[Laura Ingalls]

I think 2 mil would be pretty transformative for us. Not because it would change lifestyle much but because it would make me feel more immune to financial black swans.

Jacob if you bought 1000 acres what country would you be in?

Quality midwestern ag land only gets you 80-100 acres for a million.

[jacob]

@Laura - Not the MidWest, that's for sure.

http://www.landwatch.com/default.aspx?c ... px=1000000

[jennypenny]

I hate when someone posts a link to landwatch. I always get sucked in.

I'll add this to my list of things I'd buy with 2 mil...
http://www.survivalrealty.com/2012/07/c ... -home.html

[GandK]

I'll add this to my list of things I'd buy with 2 mil...
http://www.survivalrealty.com/2012/07/c ... -home.html

Wow, I love it!

[sshawnn]

@Laura - Not the MidWest, that's for sure.

http://www.landwatch.com/default.aspx?c ... px=1000000

wow! not coastal though.......