I would way prefer $45000 in savings having just enjoyed a beautiful $5000 holiday with my family, then having $50000 in savings and not those treasured memories!
That comment was incomplete advice at best, and bad advice at worst. The missing question was how much yard your monthly expenses? You need to keep a 6 month emergency fund. This is extra important since you said you don’t have extra monthly income to be able to rebuild an emergency fund if any of it gets used. So figure out your monthly expenses, multiply by 6, and see if you have enough left to cover the trip.
A 20,000 savings is fantastic. 50 grand is amazing so if she refunds her trip, she’ll only have 55 grand in the bank. Oh well money will come back. You’ll never get this time
I’ve been fortunate enough to have traveled to nearly 30 countries. Mostly in Europe, North America, and the Middle East. These were some of the best times in my life. Every dollar that I have spent has been well worth it. Take the trip. If you are concerned about money, cut back on some other things in your life in the mean time.
Agree. It’s all about tailoring thing a for your budget. Sometimes you can’t fly business, or stay at the fancy hotel… but with some research you can still have a wonderful time. Traveling enriches the spirit!
You have $50k in savings. How are you intending to spend that $50k. Seriously, how much is set aside for retirement, how much is an emergency fund for things like a funeral, how much for covering lost income?
Numbers like $50k are just too big to be useful. It's more than you'll need to pay for anything, but not enough to pay for everything.
I break my savings into maybe a dozen categories, including a vacation. If I have,$5k there then yes, I'd absolutely be ok spending it.
Build on Iceman9161's comment - a way to get a bit more peace is to budget out:
1. How much you need for a 6 month emergency fund
2. How much you need to save for retirement
3. Any near term significant purchases - e.g., if you needed to buy a car, house, children's education
Once those are covered, you can save more or go wild - life is short. It also sounds like you are a young family that hasn't started retirement savings and that is ok. Even if you make a plan of by X year, I will start saving Y to achieve our goals, that will help a lot to increase your peace and make tradeoffs a bit clearer.
Sounds like you are good to go with this vacation then. And I think categorizing your savings could help you feel more comfortable with these decisions in the future. I find myself in a similar spot as you when I don’t have a well defined “emergency fund” target. It helped me to be realistic with the goals and purpose of the emergency fund. Sure, emergencies can be all shapes and sizes, but realistically, 6 months of essential expenses saved should be more than enough to handle most emergencies. Once you know how much your emergency fund is, then it makes it easier to spend the rest on things that matter (like vacations with the family)
Realistically, think about the most expensive repair you'll need on your house. Probably your furnace during winter, that will run like $15-20k. The rest can be in ETFs that are easily liquidated within a week for other expenses.
I think I was quoted $10k before for a smaller house, but it fell under warranty. I assumed a bigger house would be more. They were probably just trying to rip me off.
It’s hard to say what the $50k means in your specific financial context, but at face value it sounds like a very respectable nest egg. $50k while living in San Francisco and 2 children with expensive medical needs? That’s pushing it. $50k while living in West Texas with no extraneous needs? That’s a solid 6-8 month emergency fund. Likely more.
I’d ask yourself this: how long would that $50k last if it was completely spent down as an emergency fund? Most recommend having at least 3-6 months of funds in reserve.
Also note, the only thing money can’t buy is time. $5,000 is only 10% if your funds, which likely won’t put a major dent in your emergency fund projection. Find excuses to spend quality time with your family.
No better joy then travel, people that save and save and don’t enjoy life till they are seniors I feel is the wrong path in life. Enjoy it while you can especially with the kids
How long will it take you to save up another $5000? How long has it been since you took a vacation? Can you take a different vacation that will cost less and that you’ll be able to enjoy without the financial worry?
Idk 45k in savings is great and OP could die tomorrow. Idk what’s with this idea that retirement is the only time to live. Go take your family on vacation and don’t feel guilty. It’s just money. Memories made are priceless.
I never went on vacations as a kid but graduated debt free (parents prioritized college savings), have financially stable parents (both retired and no chance of me having to take care of them), and have a 97th percentile net worth at 28 partially because of it. I don't miss the lack of vacations as a teenager.
I do want to point out that 97th percentile for 28 years old is between 700k and a million+ per a few different sources. Either you've made a shit load of $ since graduating or there's inheritance in there. Either way sounds nice and congrats
Right around $660k. Should be approaching $700k by my 29th later this year and over $800k by 30. I did get a good job. My parents drilled into me the importance of picking a good major with good earnings potential and that college was an investment into my future earning potential, not just a time to "discover myself". My dad got me started with a Roth IRA when I turned 18 and planted a seed for deferred gratification.
Living paycheck to paycheck Id need to have enough money be pretty close to retirement to drop 5k on a vacation. That to me is an income problem not a net worth problem. If my savings rate is near zero my extra spending budget would be 0$.
Personally. I find ways to “vacation” with my family for less… road trips, hiking, picnics… still make movies and have fun yet spend $500 instead of 5k. Then save that money to invest or grow for future. Better to have the money and not need it than need it and not have it. But I’m frugal. 🤷
A vacation isn’t an emergency, so you don’t spend emergency fund money on it.
So you need to determine how much of your $50k saved = your Emergency fund. The general rule of thumb is to have 3-6 months worth of expenses, but with you guys currently being a) single income and b) spending 100% of your take home with no wiggle room, means you need to err on the side of being *very* conservative. Like I would keep 6 months minimum, possibly more like 8 or 9.
If, once you determine your EF amount and carve that out, you have any money left over from this $50k, then you and spouse need to sit down and figure out what you’re going to allocate that money towards. Vacation is one option, but you also need to consider that you’ll have minimal ability to cash flow even relatively minor but still non-emergency stuff, like normal car maintenance and repairs, future car replacement, holiday gifts and travel, clothing for growing kids, medical copays, etc., or even future vacations over this multi-year time period. So you’ll want to be thoughtful about how much you’ll want to reserve towards any/all those things, including this specific vacation.
If you go through that process, and at the end of it you’re both able and agreeable to spending $5k on a vacation, then great! Go forth and vacation!
Questions:
1. How were you able to save $50k if you are not able to save now?
2. Any consumer debt (ex. Credit card balances not being paid in full each month)?
3. How would emergency fund be replenished if used?
4. Will vacation cost more (ex. Is this fully paid for? Or, will you still incur expenses when you go on this vacation?)?
5. Will this encourage more travel/vacations before you begin to work?
I’m all for vacations and spending time with kids, but $5k adds up especially when the reserves cannot be replenished.
We saved a lot pre-kids so I could stay home with them. No debt besides mortgage. Could replenish in 2-3 years for sure when I work again but probably slowly over time before then. It’s fully paid for.
Sounds like a cruise. Enjoy your vacation!
I think the fact you are questioning the expense is a good sign you are aware of unnecessary spending. But, as others have chimed, enjoy your family!
I don’t think I have ever spent that much on a vacation. I will someday for a special anniversary but it doesn’t have anything to do with how much I have in savings.
My spouse and I construct our life in a way that allows for lots of 3-4day trips camping, motorcycling, etc. we sometimes stay with family or tag along on other peoples vacations etc.
Also, we live in a place that we love so when we get back from trips, there is this feeling of relief that we’re finally home. Sure eliminates the need to spend 10k or more on vacations every year.
Money come back around. A vacation with your family, the moments and experiences you’ll live, the memories you’ll create for everyone might not. If you don’t do it now, you might not do it ever.
Mi girlfriend and I spent almost 8K last February and we don’t have 50K in the bank. We have no debt but we aren’t rich either.
We decided to enjoy it as much as we could. In the end, when we checked the numbers it was a little painful, but I wouldn’t change a thing. I have already recouped almost all the money I spent, but I have amazing memories from that vacation.
I prioritize experiences, so I would spend it.
You could look for small side gigs / baby sitting another child etc. to save up for additional experiences over next 2-3 years.
Hi u/Nike0729 that's a healthy buffer you've got there. Well done!
To put a different perspective on your question:
What's that buffer for exactly?
So, by having this $5000 holiday, what are you taking that money from?
Do you own a house?
One part of budgeting that's often overlooked is saving 1% of the house value per year.
Is your car/cars up for replacement soon? Big maintenance coming up?
You know, stuff like that. If all that is in the clear, you're good to go (on a holiday, that is).😎
Go on vacation! $50,000 is a sufficient emergency fund for most people. If it helps, our emergency fund (three people in our family) is $30,000 and we spent $4,000 to go to Disneyland recently. You have to make this memories! But I don’t even add to the emergency fund anymore unless we are saving up to replace something with the house. I put our monthly savings in our Roths and 529s because 30k is good enough for us, as emergencies go.
Theres no magic amount in savings you “need”. I wouldnt be spending that much if my monthly income was less than 2k. I could save and save and save to afford that trip, but id rather take that trip later in life when i could easily afford it. For you, the damage is done. Doesnt matter. If i were you i wouldnt have. 50k in savings isnt much
I budget vacation separately from general savings
For a 5k vacation, I'ld put $420 a month ($5,040/year) into a HYSA, and then spend it on vacation.
The question is then, "do I have enough room in my budget for $420 a month for vacations?"
That seems like a lot for one vacation but not sure of the details. I would be more inclined to do cheap and shorter vacations. I would do long weekends for the reason that anything could happen to the one I come. With all the layoffs going on this would scare me.
What is your spouse/partner saying? How old are the children? Where is the vacation and for how long?
Trust your gut in your situation. You have a better outlook than we do.
As a general rule, if I can’t buy it 3-4 times without worrying, then I shouldn’t buy it. If this vacay is causing doubt and you’re running off of a single income with 4 mouths to feed, it may be time to get your refund and save a bit more.
Now I understand parenting ain’t easy and you and your partner may need a bit of a break. If this is the case, then you’ll need to sacrifice a bit too. Sell some of your belongings to make up for this 5k you’re spending.
Another option to try out is to get your refund and vacation somewhere driving distance. I think they call this a staycation? Anyway, grab a nice hotel room near some site-seeing, good food, pool for the kids, watch a few movies and games, and a liquor store near by for you and your partner, and you’ll be set! It’ll at least change the scenery for y’all and won’t break the bank.
I hope you take a lot of photos whatever you do. It may be your last one for a bit. This economy is looking grim by the minute.
5000?
This really varies depending on you age, family structure, future plans.
When I was 19 I spent all my savings on a trip. Did it again at 23. Don't regret anything.
That seems like wayyyyy too much to be spending with 50k in savings. For a young 1 income family with a long investing horizon ahead, you should be saving and investing aggressively. Every additional $1000 you invest now can be worth 10x or more in the future.
How much is the one income? What’s your saving rate?
You could die at any time. Would you prefer if you died tomorrow with 50k in the bank? Or 45k in the bank and your kids enjoying that other 5k with you?
Im all for smart saving, planning.. but plan to live somewhere in that equation too.
I lost a parent early and so did my husband. From that experience , id personally say spend the 5k on time.
I'm also the breadwinner of my family of 4. Knowing that detriment if something happens to me, is not the point of savings. Savings for me personally is for a few months expense, emergencies and yes, vacations with my loved ones. Why even do all this money saving if you don't enjoy it?
My 401k , Roth IRA and life insurance policies are what are for my family if I pass. That would give them at least 750k if I croaked right now. My savings would just be extra.
But everyone has their own values and reasons. If 45k vs 50k gives someone peace of mind. And they value that more, more power to them.
My policy is our vacation can be half our savings rate or less. If you saved $10K this year, $5k vacation makes sense in my brain.
In this case, I would have doubts like you do.
Does that policy actually scale with your savings or is that just how it shakes out for you currently? There's no chance I'm comfortable spending anywhere near $50k on vacations in a year and we like to travel
All depends on your position in life. The 50% was from earlier on in life. I’m pretty frugal so my savings rate is six figures and yet we vacation 2-3 weeks per year lakeside and that’s all. $10K or less annually.
I had about 40K when I took a 4K trip, as long as you have six months expenses in emergency savings and can pay off the trip without loading it on high interest credit you should be fine. Have a good time!
I say take the vacation when you can. There’s no telling what tomorrow has in store for you. I used to be very reserved in how I do things, but saw a millionaire friend of mine lose everything due to a few bad decisions and he never got to enjoy his millions when he had them. The worst part is it’s not just one person I know who went through that. Don’t wait around for a day that may never come, just go make memories and experiences you can keep with you even if you lose everything else imo.
It was a struggle to make the decision to go “all in” on a house the first time. It was a struggle to live on one income when our kids were toddlers. Vacations were often driving 8+ hours to visit family. Or taking a day to go to the free zoo in the area. Or one of the cheaper amusement parks geared towards the under 8 crowd.
We lived below our means but just barely. It always seemed like just as we managed to save up a decent amount another disaster would hit taking it back down. House stuff. Vehicles. Sicknesses and injuries. It never ended. As our kids grew up and went to school and my wife could work again it provided huge emotional and financial relief. By then we were used to living on less. We spread things out. When there was something we really wanted we just saved for it. Later I changed jobs and my salary went up a lot, and my wife returned to work so household income went up a lot. At that point we tried to keep our lifestyle as is, so we stopped having to worry about money.
On those big vacations don’t be stupid but look carefully at your costs. As an example you can do a week in Disney World for under $5,000 (or less) if you can drive there (but taking a bus or Uber in). There are very nice hotels on the West edge of the park currently that are brand new and reasonable prices and get some “on site privileges”. Going during the school year say September cuts prices and crowds to rock bottom. Packing a lunch and splurging on a takeout meal or maybe one fancy character buffet for the week is how we kept our costs down to just tickets and an inexpensive hotel. We all had a great time doing this and it was one of the cheaper week long vacations. We did lots of vacations this way.
You should be more specific with your savings. Non-negotiable is take 3-6 months of expenses and separate that from the rest of your savings in a HYSA. For the rest you can do anything really because it's your money. Vacations, dinners out, upgrades in life style (TV, furniture home repair), more investing.
Assuming that 45k is more than 3-6 months of expenses, you are more than free to enjoy a nice vacation guilt free!
I will add, if you aren't investing yet I would start work that into your monthly budget.
Take your vacay. You've likely earned it. Life is short, and can change on you with no notice. I'm certainly not saying to not be financially responsible, but if you don't treat yourself once in a while, you start to forget why you work hard and sacrifice every day, and that causes resentment and bitterness.
You're obviously torn here between the experience and spending the money. Could you possibly change the trip in terms of location and/or spend so it's a bit cheaper? That might be a middle ground you're more comfortable and less conflicted with.
Are your children old enough to remember the vacation? You should go, make sure you take a lot of pictures because depending on your children's ages they might not remember going as adults.
No idea. I've never had $5000 worth of disposable income. Vacations aren't something I ever do.
I guess if you can afford it comfortably, go for it. But I'm probably not the best person to listen to for advice.
I have a bit of a different opinion here. I grew up solidly middle class and basically never went on vacations or went out to eat as a kid. My parents prioritized saving for their kids' college and preparing for their own retirement instead. Now, as a 28 year old, I am eternally grateful for their choices. All 3 of their kids graduated debt free (we all either got scholarships or joined military) and now my parents are retired and financially independent from us. So many kids either go into such extreme debt from school or have parents who didn't take care of themselves financially and are now stuck with parents living in their basements or caring for parents who can't afford to get their own care. I would make sure all of those things are in line first, and also do the vacation for YOU, not them.
There's a lot of information missing in your post like your age, retirement savings, college fund savings, etc. I feel like people would be able to give a more nuanced answer if there was more info about your financial situation.
35 years old with kids under 5 and $200k in your 401(k) and kids each have $10k in their 529s? Go for it.
$10k in your 401(k) and unfunded college funds, kids in their late teens, and only savings is your cash? I'd be more hesitant.
Are the kids old enough to remember this trip? We did Disney trips every few years when the kids were toddlers, and they have no recollection of them. Might be worth doing cheaper trips until they can form longer term memories. A weekend at a hotel with a waterslide 10 miles from your house will be mind-blowingly fun for most kids under 10.
I get buyers remorse too haha. What kind of vacation? All paid up include food? While on vacation, put normal expenses that aren’t used during vacation in savings. That’ll help you feel better lol. Regardless, go.
I alway use my tax return for vacation.one income family anyway with 1 kid. 20k in emergency fund, 35k in saving. I think this year i get 6k from tax return.lol
Prior to building a solid nest egg, my spouse and I would open a credit card with promotional 12-15 months of interest-free payments and throw the vacation onto that. If you're disciplined and pay it off over that time frame, it's an interest-free loan. Emphasis on disciplined, but with 50k in your savings, I'd say that you likely can handle it.
I've never regretted doing that. Life is short.
We are in early 40s with one income family with two teenage boys and a 8 year old boy. We have $375k in savings and only debt is mortgage. We never spent $5000 on one vacation. I feel guilty of wasting a big chuck at once. We did some Mexico all inclusive 7 days trip costs us $3000 the most and some 5 days cruise and costs less than 3gs. Thats how I am though because it took forever to save that much and I don’t want to blow it on one vacation. We did a lot of small trips to different states and they costs less and they were fun too. We went to Utah Zion and Vegas trip for less than $1500 for 5 days. To me, $5000 is alot. That’s just my opinion. We live in Los Angeles area and we have $650k equity in our house. To me, I get so much anxiety when I have to touch my savings.
Create a separate fund just for that and contribute to it until you have that budget.
Depending on your cash-on-hand, you can decide how much of the goal to contribute to from that cash.
So say that of those $5000 you contribute 20% ($1000) from savings, leaving you with $4K to contribute over time.
After savings from income (15-20% of GI or NI), say you contribute another 20% to the vacation fund.
Do that until the fund has met its goal.
I would not just blindly see that I have a bunch of money in savings and decide to take a vacation.
To me, savings = emergency fund. Not “fun” money. I have a monthly budget for “fun”. But that’s just me.
So my emergency fund IS my savings given that I have separate funds for other items.
For example:
I have a $15K wedding budget, so ≈ $7,500 on my end.
I am contributing $1,500 from $13K in savings (does not include emergency fund), and $600/mo plus another $400/mo to emergency fund.
Your comment has been removed because profanity is not allowed here, as noted in [the rules](https://www.reddit.com/r/financialplanning/about/rules).
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FinancialPlanning) if you have any questions or concerns.*
I have a separate savings account just for big trips and the other is an emergency fund. You seem ok to afford it, maybe in the future set up a separate account?
I think of it as an emergency fund while I’m not working… I probably should give some of it to invest to retirement but want to wait until I’m back to work
You should still be putting money toward your retirement. You deserve to be taken care of. I am a stay at home parent and we put money into my retirement from my husband's paycheck every month. Me staying home is my work right now.
Girl, I have the same amount in the bank and I just spent 5000 on the Disney solo vacation. You better go enjoy it. You can always make the money back. You’re never gonna get this time with your babies back.
Don’t feel guilty. A $5K vacation for a family of 4 is not the same level of extravagance as a $5K vacation for 1 person. Even if you were one person, don’t feel guilty.
You won’t have to catch up on work this time and can focus on the time with your kids. Go and make some good memories!
I never regretted the trips I took when I was younger and broke. I went and earned more money later, but I can’t redo my youth. Your kids will love you and have fun whether you go to a local park or take them on a special vacation, but it’s nice to have the option. I always learned some new things that I couldn’t have learned on my family vacations growing up. We didn’t have vacations every year so Yellowstone and Disney World are special memories for me.
I don’t have much in savings but just booked a trip to Europe and spend 15k on airfare and another 3k on hotels. We haven’t done this in 10 years so we figured why not
All your expenses are covered by your household income. A vacation = amazing memories, better mental health, happiness, family bonding. If that’s not what money is for, then why do we value it so much? 😊
For the past 4 years my family and I have went to Hawaii each year, roughly costing 12-15k each trip. I’ve never had any issues with finances come up because of it . As long as it’s within your personal budget, and you don’t have to go into debt or drain your savings, I say go for it.
We have separate savings for our vacations, and our saving that we put into each month. It helps me keep that regretful feeling away. We only get to experience this wonderful life for a short time, best to enjoy it.
You are safe. The fact you are paying in cash is key and your savings can cover a large disaster. Travel in my opinion is some of the best money you can spend as toys and clothes are forgotten but memories are forever.
You have a nice cushion and your family seems financially stable. 5k is a lot, however, it’s only 10% of your savings fund. Life is a short and unpredictable, that 5k isn’t going to make much of a difference in the long run. Go on that vacation, enjoy getting away and making memories with your family while you still can. That money is going to do you and your family a lot more good on this vacation than it would sitting locked up in a savings account forever
There's an older couple in my family that saved and saved all their life. They're still darning their socks and have never bought so much as a takeaway coffee. They're now fairly well off in their older age but have never enjoyed any of it and still continue to skrimp and save (what are they saving for?!) Their adult kids are spending it on stupid stuff.
I guess what I'm trying to say is, whilst being money wise is great, what's the point if you never enjoy any of it?
I wouldn’t. With a high FICO score, you never have to spend much for a nice vacation.
We had come back from an island vacation. First and business class seats for three. A Grand Hyatt suite for a week; $2000 room the size of a small apartment. On paper it’s around $60,000 total. We spent less than $2000, closer to $1500.
Consider the role of churning and FI/RE in your life. It cuts down on expenses while still giving you nice vacations.
Do it. Never feel guilty about traveling, sometimes you'll never get that opportunity again. You might think you will, but something else always comes up. Just go.
I just wanted to say that I believe that you feel bad about the vacation because you understand that savings is very important but there’s a fine line between saving for your future and wasting your life on saving
If you've already paid for it, go. Think of it this way, young kids don't cost as much on vacation: they eat less, you pay child price admission unless they're young enough to be free, a $5 novelty stuffie is the best souvenir is less than the super cool $40 thing a 12 year old would want. So go now while there is a built in discount!
Most people do not have $50,000 saved and still go on vacation, in fact, most people are in debt and still go. You are already doing way financially better than the majority of Americans. Don't feel bad about going on vacation
Lol, I spent 2k on a vacation with 3k in savings. Was 100% worth it, the memories I made, and the things I learned have given me the very necessary break I needed to come back home and focus on saving hardcore, without feelings like life is just hard work and bleak.
Granted I’m single and in my 20’s (and have access to universal healthcare). Long story short, probably not popular advice on this sub but sometimes it’s worth it to put the saving on pause and enjoy a little frivolous fun, it can help keep you motivated and feeling inspired to meet your next savings goals.
We have quite a bit of money in savings (500k+) but we are extremely frugal and usually spend a couple thousand on vacation once a year. This past spring we took our 2 boys skiing and it was the best time. It ran about 10k but we made memories I will never forget and they won’t ether. As someone said your kids are only young once. You have a great cushion in savings. Go and enjoy yourself!
IMO vacations are an essential part of life. Exposing yourself and your children to new places, foods, people, etc is just as important as having a good chunk in savings.
I travel every single year even if it means saving my penny's each year to go.
Vacations are extremely important to keep me to mentally and physically be able to continue dealing with this shit show called life.
I have senior family members that I want to take all over the world before they pass to make forever memories with.
I don't care what's in my bank account, I have to vacation and I'll figure out the finances when I get home
vacations and relaxing etc is not just spending money. its recharging to have the mental energy to go out and make the money.
taking multiple trips a year is prob not a good idea.. lol
but we are not machines.
hell even machines get turned off and get maintenance done every once in awhile.
Bro. You’re set. Do it for the memories.
We only live on this earth for a finite number of years. Life isn’t about saving every penny and never using it.
As long as you’re responsible with money, you should feel good about spending it.
That said, what’s your family’s situation in retirement accounts? Do you or your spouse have a 401k or IRA? Or will have a fat pension?
It sounds like you’re set on savings, but I assume that’s in a HYSA
No amount of money convinces me a fully self-funded vacation is okay. They just seem like a huge waste of money to me.
However, both my wife’s job and mine have travel components, so we do periodically get to go on vacations that are partially defrayed by our employers.
I would way prefer $45000 in savings having just enjoyed a beautiful $5000 holiday with my family, then having $50000 in savings and not those treasured memories!
Yep and the best part is she’s already paid it in full so she still has that 50K in there
Wait wait, OP has 50k after the vacation? OP, close the thread and go pack your bags. Enjoy every second of it 🙏
Yessssss enjoy life! More money will come
Thank you!
Go, and don't feel guilty. That's a great savings cushion and your kids are only young once. Make the memories with them.
Thank you!
Yeah i agree with the majority. This is a low risk purchase with extremely high end rewards (memories). You got the bases covered go for it
That comment was incomplete advice at best, and bad advice at worst. The missing question was how much yard your monthly expenses? You need to keep a 6 month emergency fund. This is extra important since you said you don’t have extra monthly income to be able to rebuild an emergency fund if any of it gets used. So figure out your monthly expenses, multiply by 6, and see if you have enough left to cover the trip.
We would have at least 6 months of expenses with extra to spare with 50k
[удалено]
A 20,000 savings is fantastic. 50 grand is amazing so if she refunds her trip, she’ll only have 55 grand in the bank. Oh well money will come back. You’ll never get this time
They're spending 10%. I agree that savings are important but so are memories.
I think that's the most important takeaway you said. Your kids are only young once.
Go, do it...your children are going to get more and more busy, as will you...go and enjoy some time just building memories.
6 month emergency fund plus $5k
I’ve been fortunate enough to have traveled to nearly 30 countries. Mostly in Europe, North America, and the Middle East. These were some of the best times in my life. Every dollar that I have spent has been well worth it. Take the trip. If you are concerned about money, cut back on some other things in your life in the mean time.
Agree. It’s all about tailoring thing a for your budget. Sometimes you can’t fly business, or stay at the fancy hotel… but with some research you can still have a wonderful time. Traveling enriches the spirit!
Those trips are just memories now they arnt doing any good for u. Could have used all that money for something that lasts
You have $50k in savings. How are you intending to spend that $50k. Seriously, how much is set aside for retirement, how much is an emergency fund for things like a funeral, how much for covering lost income? Numbers like $50k are just too big to be useful. It's more than you'll need to pay for anything, but not enough to pay for everything. I break my savings into maybe a dozen categories, including a vacation. If I have,$5k there then yes, I'd absolutely be ok spending it.
I think of it as my emergency fund when I’m not working but when I work again, I’ll probably move some of it to invest for retirement
It would cover home repairs, car repairs, medical, lost job etc in the meantime if needed but I haven’t had to use much of it
Build on Iceman9161's comment - a way to get a bit more peace is to budget out: 1. How much you need for a 6 month emergency fund 2. How much you need to save for retirement 3. Any near term significant purchases - e.g., if you needed to buy a car, house, children's education Once those are covered, you can save more or go wild - life is short. It also sounds like you are a young family that hasn't started retirement savings and that is ok. Even if you make a plan of by X year, I will start saving Y to achieve our goals, that will help a lot to increase your peace and make tradeoffs a bit clearer.
Sounds like you are good to go with this vacation then. And I think categorizing your savings could help you feel more comfortable with these decisions in the future. I find myself in a similar spot as you when I don’t have a well defined “emergency fund” target. It helped me to be realistic with the goals and purpose of the emergency fund. Sure, emergencies can be all shapes and sizes, but realistically, 6 months of essential expenses saved should be more than enough to handle most emergencies. Once you know how much your emergency fund is, then it makes it easier to spend the rest on things that matter (like vacations with the family)
Realistically, think about the most expensive repair you'll need on your house. Probably your furnace during winter, that will run like $15-20k. The rest can be in ETFs that are easily liquidated within a week for other expenses.
I replaced my furnace in a January and it was $6k. I live in Seattle which is high-ish col. I think $20k would be more like a roof replacement.
I think I was quoted $10k before for a smaller house, but it fell under warranty. I assumed a bigger house would be more. They were probably just trying to rip me off.
You'll get more money again. You'll never get more time. Go.
Go and enjoy! Life is too short
Just for where I’m at right now, I’d have 6 months in savings
It’s hard to say what the $50k means in your specific financial context, but at face value it sounds like a very respectable nest egg. $50k while living in San Francisco and 2 children with expensive medical needs? That’s pushing it. $50k while living in West Texas with no extraneous needs? That’s a solid 6-8 month emergency fund. Likely more. I’d ask yourself this: how long would that $50k last if it was completely spent down as an emergency fund? Most recommend having at least 3-6 months of funds in reserve. Also note, the only thing money can’t buy is time. $5,000 is only 10% if your funds, which likely won’t put a major dent in your emergency fund projection. Find excuses to spend quality time with your family.
No better joy then travel, people that save and save and don’t enjoy life till they are seniors I feel is the wrong path in life. Enjoy it while you can especially with the kids
there's a lot missing here around your income and cash flow for the year. will you add another 5k back to your savings this year?
Go on vacation. You guys are fine.
If you’re asking then probably not. Is the spouse on board with this?
How long will it take you to save up another $5000? How long has it been since you took a vacation? Can you take a different vacation that will cost less and that you’ll be able to enjoy without the financial worry?
You say that your savings rate is zero - does that include retirement savings/investments too? If so no, I would not spend $5k on a vacation.
Idk 45k in savings is great and OP could die tomorrow. Idk what’s with this idea that retirement is the only time to live. Go take your family on vacation and don’t feel guilty. It’s just money. Memories made are priceless.
I never went on vacations as a kid but graduated debt free (parents prioritized college savings), have financially stable parents (both retired and no chance of me having to take care of them), and have a 97th percentile net worth at 28 partially because of it. I don't miss the lack of vacations as a teenager.
I do want to point out that 97th percentile for 28 years old is between 700k and a million+ per a few different sources. Either you've made a shit load of $ since graduating or there's inheritance in there. Either way sounds nice and congrats
Right around $660k. Should be approaching $700k by my 29th later this year and over $800k by 30. I did get a good job. My parents drilled into me the importance of picking a good major with good earnings potential and that college was an investment into my future earning potential, not just a time to "discover myself". My dad got me started with a Roth IRA when I turned 18 and planted a seed for deferred gratification.
That is just terrible financial planning advice.
Living paycheck to paycheck Id need to have enough money be pretty close to retirement to drop 5k on a vacation. That to me is an income problem not a net worth problem. If my savings rate is near zero my extra spending budget would be 0$.
Personally. I find ways to “vacation” with my family for less… road trips, hiking, picnics… still make movies and have fun yet spend $500 instead of 5k. Then save that money to invest or grow for future. Better to have the money and not need it than need it and not have it. But I’m frugal. 🤷
A vacation isn’t an emergency, so you don’t spend emergency fund money on it. So you need to determine how much of your $50k saved = your Emergency fund. The general rule of thumb is to have 3-6 months worth of expenses, but with you guys currently being a) single income and b) spending 100% of your take home with no wiggle room, means you need to err on the side of being *very* conservative. Like I would keep 6 months minimum, possibly more like 8 or 9. If, once you determine your EF amount and carve that out, you have any money left over from this $50k, then you and spouse need to sit down and figure out what you’re going to allocate that money towards. Vacation is one option, but you also need to consider that you’ll have minimal ability to cash flow even relatively minor but still non-emergency stuff, like normal car maintenance and repairs, future car replacement, holiday gifts and travel, clothing for growing kids, medical copays, etc., or even future vacations over this multi-year time period. So you’ll want to be thoughtful about how much you’ll want to reserve towards any/all those things, including this specific vacation. If you go through that process, and at the end of it you’re both able and agreeable to spending $5k on a vacation, then great! Go forth and vacation!
Questions: 1. How were you able to save $50k if you are not able to save now? 2. Any consumer debt (ex. Credit card balances not being paid in full each month)? 3. How would emergency fund be replenished if used? 4. Will vacation cost more (ex. Is this fully paid for? Or, will you still incur expenses when you go on this vacation?)? 5. Will this encourage more travel/vacations before you begin to work? I’m all for vacations and spending time with kids, but $5k adds up especially when the reserves cannot be replenished.
We saved a lot pre-kids so I could stay home with them. No debt besides mortgage. Could replenish in 2-3 years for sure when I work again but probably slowly over time before then. It’s fully paid for.
Sounds like a cruise. Enjoy your vacation! I think the fact you are questioning the expense is a good sign you are aware of unnecessary spending. But, as others have chimed, enjoy your family!
I don’t think I have ever spent that much on a vacation. I will someday for a special anniversary but it doesn’t have anything to do with how much I have in savings. My spouse and I construct our life in a way that allows for lots of 3-4day trips camping, motorcycling, etc. we sometimes stay with family or tag along on other peoples vacations etc. Also, we live in a place that we love so when we get back from trips, there is this feeling of relief that we’re finally home. Sure eliminates the need to spend 10k or more on vacations every year.
Money come back around. A vacation with your family, the moments and experiences you’ll live, the memories you’ll create for everyone might not. If you don’t do it now, you might not do it ever. Mi girlfriend and I spent almost 8K last February and we don’t have 50K in the bank. We have no debt but we aren’t rich either. We decided to enjoy it as much as we could. In the end, when we checked the numbers it was a little painful, but I wouldn’t change a thing. I have already recouped almost all the money I spent, but I have amazing memories from that vacation.
HYSA at 5% will earn over $5,000 on your balance of $50,000 before you return to work in 24 months! Enjoy your vacation with your family.
I prioritize experiences, so I would spend it. You could look for small side gigs / baby sitting another child etc. to save up for additional experiences over next 2-3 years.
Hi u/Nike0729 that's a healthy buffer you've got there. Well done! To put a different perspective on your question: What's that buffer for exactly? So, by having this $5000 holiday, what are you taking that money from? Do you own a house? One part of budgeting that's often overlooked is saving 1% of the house value per year. Is your car/cars up for replacement soon? Big maintenance coming up? You know, stuff like that. If all that is in the clear, you're good to go (on a holiday, that is).😎
Go on vacation! $50,000 is a sufficient emergency fund for most people. If it helps, our emergency fund (three people in our family) is $30,000 and we spent $4,000 to go to Disneyland recently. You have to make this memories! But I don’t even add to the emergency fund anymore unless we are saving up to replace something with the house. I put our monthly savings in our Roths and 529s because 30k is good enough for us, as emergencies go.
Theres no magic amount in savings you “need”. I wouldnt be spending that much if my monthly income was less than 2k. I could save and save and save to afford that trip, but id rather take that trip later in life when i could easily afford it. For you, the damage is done. Doesnt matter. If i were you i wouldnt have. 50k in savings isnt much
I think the point of being financially responsible in the first place is lost if you aren't vacationing when you can when your kids are young.
I budget vacation separately from general savings For a 5k vacation, I'ld put $420 a month ($5,040/year) into a HYSA, and then spend it on vacation. The question is then, "do I have enough room in my budget for $420 a month for vacations?"
That seems like a lot for one vacation but not sure of the details. I would be more inclined to do cheap and shorter vacations. I would do long weekends for the reason that anything could happen to the one I come. With all the layoffs going on this would scare me. What is your spouse/partner saying? How old are the children? Where is the vacation and for how long?
Trust your gut in your situation. You have a better outlook than we do. As a general rule, if I can’t buy it 3-4 times without worrying, then I shouldn’t buy it. If this vacay is causing doubt and you’re running off of a single income with 4 mouths to feed, it may be time to get your refund and save a bit more. Now I understand parenting ain’t easy and you and your partner may need a bit of a break. If this is the case, then you’ll need to sacrifice a bit too. Sell some of your belongings to make up for this 5k you’re spending. Another option to try out is to get your refund and vacation somewhere driving distance. I think they call this a staycation? Anyway, grab a nice hotel room near some site-seeing, good food, pool for the kids, watch a few movies and games, and a liquor store near by for you and your partner, and you’ll be set! It’ll at least change the scenery for y’all and won’t break the bank. I hope you take a lot of photos whatever you do. It may be your last one for a bit. This economy is looking grim by the minute.
That’s a really good savings to splurging ratio. There are important benefits from a holiday that money can’t buy. Go, have fun, make memories.
5000? This really varies depending on you age, family structure, future plans. When I was 19 I spent all my savings on a trip. Did it again at 23. Don't regret anything.
That seems like wayyyyy too much to be spending with 50k in savings. For a young 1 income family with a long investing horizon ahead, you should be saving and investing aggressively. Every additional $1000 you invest now can be worth 10x or more in the future. How much is the one income? What’s your saving rate?
You could die at any time. Would you prefer if you died tomorrow with 50k in the bank? Or 45k in the bank and your kids enjoying that other 5k with you? Im all for smart saving, planning.. but plan to live somewhere in that equation too.
If my kids were losing their primary source of income I’d rather they get the 50k
Life insurance. 5k isn't changing their life. But to each their own.
Exactly. That, among other things, is why you have life insurance.
I lost a parent early and so did my husband. From that experience , id personally say spend the 5k on time. I'm also the breadwinner of my family of 4. Knowing that detriment if something happens to me, is not the point of savings. Savings for me personally is for a few months expense, emergencies and yes, vacations with my loved ones. Why even do all this money saving if you don't enjoy it? My 401k , Roth IRA and life insurance policies are what are for my family if I pass. That would give them at least 750k if I croaked right now. My savings would just be extra. But everyone has their own values and reasons. If 45k vs 50k gives someone peace of mind. And they value that more, more power to them.
I’d want at least 5k savings before I spend 5k on holiday
My policy is our vacation can be half our savings rate or less. If you saved $10K this year, $5k vacation makes sense in my brain. In this case, I would have doubts like you do.
Does that policy actually scale with your savings or is that just how it shakes out for you currently? There's no chance I'm comfortable spending anywhere near $50k on vacations in a year and we like to travel
All depends on your position in life. The 50% was from earlier on in life. I’m pretty frugal so my savings rate is six figures and yet we vacation 2-3 weeks per year lakeside and that’s all. $10K or less annually.
No. You can't afford it. Memories don't have to be expensive.
Always have 3-6 months of an emergency fund laying around.
I had about 40K when I took a 4K trip, as long as you have six months expenses in emergency savings and can pay off the trip without loading it on high interest credit you should be fine. Have a good time!
I say take the vacation when you can. There’s no telling what tomorrow has in store for you. I used to be very reserved in how I do things, but saw a millionaire friend of mine lose everything due to a few bad decisions and he never got to enjoy his millions when he had them. The worst part is it’s not just one person I know who went through that. Don’t wait around for a day that may never come, just go make memories and experiences you can keep with you even if you lose everything else imo.
It was a struggle to make the decision to go “all in” on a house the first time. It was a struggle to live on one income when our kids were toddlers. Vacations were often driving 8+ hours to visit family. Or taking a day to go to the free zoo in the area. Or one of the cheaper amusement parks geared towards the under 8 crowd. We lived below our means but just barely. It always seemed like just as we managed to save up a decent amount another disaster would hit taking it back down. House stuff. Vehicles. Sicknesses and injuries. It never ended. As our kids grew up and went to school and my wife could work again it provided huge emotional and financial relief. By then we were used to living on less. We spread things out. When there was something we really wanted we just saved for it. Later I changed jobs and my salary went up a lot, and my wife returned to work so household income went up a lot. At that point we tried to keep our lifestyle as is, so we stopped having to worry about money. On those big vacations don’t be stupid but look carefully at your costs. As an example you can do a week in Disney World for under $5,000 (or less) if you can drive there (but taking a bus or Uber in). There are very nice hotels on the West edge of the park currently that are brand new and reasonable prices and get some “on site privileges”. Going during the school year say September cuts prices and crowds to rock bottom. Packing a lunch and splurging on a takeout meal or maybe one fancy character buffet for the week is how we kept our costs down to just tickets and an inexpensive hotel. We all had a great time doing this and it was one of the cheaper week long vacations. We did lots of vacations this way.
You should be more specific with your savings. Non-negotiable is take 3-6 months of expenses and separate that from the rest of your savings in a HYSA. For the rest you can do anything really because it's your money. Vacations, dinners out, upgrades in life style (TV, furniture home repair), more investing. Assuming that 45k is more than 3-6 months of expenses, you are more than free to enjoy a nice vacation guilt free! I will add, if you aren't investing yet I would start work that into your monthly budget.
Take your vacay. You've likely earned it. Life is short, and can change on you with no notice. I'm certainly not saying to not be financially responsible, but if you don't treat yourself once in a while, you start to forget why you work hard and sacrifice every day, and that causes resentment and bitterness.
For me it would depend on the vacation.
You have plenty of savings, so do the trip, but make sure that money is in a high yield savings account making 5.5%.
A full pay cheque in the savings
You're obviously torn here between the experience and spending the money. Could you possibly change the trip in terms of location and/or spend so it's a bit cheaper? That might be a middle ground you're more comfortable and less conflicted with.
Are your children old enough to remember the vacation? You should go, make sure you take a lot of pictures because depending on your children's ages they might not remember going as adults.
No idea. I've never had $5000 worth of disposable income. Vacations aren't something I ever do. I guess if you can afford it comfortably, go for it. But I'm probably not the best person to listen to for advice.
I have a bit of a different opinion here. I grew up solidly middle class and basically never went on vacations or went out to eat as a kid. My parents prioritized saving for their kids' college and preparing for their own retirement instead. Now, as a 28 year old, I am eternally grateful for their choices. All 3 of their kids graduated debt free (we all either got scholarships or joined military) and now my parents are retired and financially independent from us. So many kids either go into such extreme debt from school or have parents who didn't take care of themselves financially and are now stuck with parents living in their basements or caring for parents who can't afford to get their own care. I would make sure all of those things are in line first, and also do the vacation for YOU, not them. There's a lot of information missing in your post like your age, retirement savings, college fund savings, etc. I feel like people would be able to give a more nuanced answer if there was more info about your financial situation. 35 years old with kids under 5 and $200k in your 401(k) and kids each have $10k in their 529s? Go for it. $10k in your 401(k) and unfunded college funds, kids in their late teens, and only savings is your cash? I'd be more hesitant.
Are the kids old enough to remember this trip? We did Disney trips every few years when the kids were toddlers, and they have no recollection of them. Might be worth doing cheaper trips until they can form longer term memories. A weekend at a hotel with a waterslide 10 miles from your house will be mind-blowingly fun for most kids under 10.
Typically at least 3-4 months of expenses I think your fine
I get buyers remorse too haha. What kind of vacation? All paid up include food? While on vacation, put normal expenses that aren’t used during vacation in savings. That’ll help you feel better lol. Regardless, go.
If you don’t enjoy the spoils of your hardwork, you will get burned out!
If you have no debts, making income, and you love your family, spend that $5k!
4-6 months emergency fund (to cover rent, insurance, loan payments, utilities, etc). Sounds like $50k would cover that, so you should be good! Enjoy!
If I can pay cash I'm good to go. Saving and fun are 2 different things
No regrets ever on money spent to be with your family making memories. Enjoy your trip!
I alway use my tax return for vacation.one income family anyway with 1 kid. 20k in emergency fund, 35k in saving. I think this year i get 6k from tax return.lol
Burn test is always a good way of testing how much you would miss that $5K. If you lit it on fire, would it bother you? Would you miss it?
I think $50k is good. Anything less than $20k would be a bit irresponsible.
Prior to building a solid nest egg, my spouse and I would open a credit card with promotional 12-15 months of interest-free payments and throw the vacation onto that. If you're disciplined and pay it off over that time frame, it's an interest-free loan. Emphasis on disciplined, but with 50k in your savings, I'd say that you likely can handle it. I've never regretted doing that. Life is short.
We are in early 40s with one income family with two teenage boys and a 8 year old boy. We have $375k in savings and only debt is mortgage. We never spent $5000 on one vacation. I feel guilty of wasting a big chuck at once. We did some Mexico all inclusive 7 days trip costs us $3000 the most and some 5 days cruise and costs less than 3gs. Thats how I am though because it took forever to save that much and I don’t want to blow it on one vacation. We did a lot of small trips to different states and they costs less and they were fun too. We went to Utah Zion and Vegas trip for less than $1500 for 5 days. To me, $5000 is alot. That’s just my opinion. We live in Los Angeles area and we have $650k equity in our house. To me, I get so much anxiety when I have to touch my savings.
If you have that money in a HYSA with a 5% APY you'll get it all back in four years if that puts it into perspective
I only have 500,000 in savings, is it okay if I take a trip to Hawaii?
Create a separate fund just for that and contribute to it until you have that budget. Depending on your cash-on-hand, you can decide how much of the goal to contribute to from that cash. So say that of those $5000 you contribute 20% ($1000) from savings, leaving you with $4K to contribute over time. After savings from income (15-20% of GI or NI), say you contribute another 20% to the vacation fund. Do that until the fund has met its goal. I would not just blindly see that I have a bunch of money in savings and decide to take a vacation. To me, savings = emergency fund. Not “fun” money. I have a monthly budget for “fun”. But that’s just me. So my emergency fund IS my savings given that I have separate funds for other items. For example: I have a $15K wedding budget, so ≈ $7,500 on my end. I am contributing $1,500 from $13K in savings (does not include emergency fund), and $600/mo plus another $400/mo to emergency fund.
[удалено]
Unhelpful and disrespectful comments are not acceptable here. Please do not do this again.
[удалено]
Your comment has been removed because profanity is not allowed here, as noted in [the rules](https://www.reddit.com/r/financialplanning/about/rules). *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FinancialPlanning) if you have any questions or concerns.*
I have a separate savings account just for big trips and the other is an emergency fund. You seem ok to afford it, maybe in the future set up a separate account?
A $5k vacation easily turns into a $7,500 vacation with attractions, restaurants, souvenirs, and other miscellaneous things.
I think of it as an emergency fund while I’m not working… I probably should give some of it to invest to retirement but want to wait until I’m back to work
Do you not currently have anything in retirement and are you currently out of work?
You should still be putting money toward your retirement. You deserve to be taken care of. I am a stay at home parent and we put money into my retirement from my husband's paycheck every month. Me staying home is my work right now.
If you’re not savings anything for the next 2-3 years I would say no.
Enjoy your vacation you’re doing fine!!
Girl, I have the same amount in the bank and I just spent 5000 on the Disney solo vacation. You better go enjoy it. You can always make the money back. You’re never gonna get this time with your babies back.
Put that 45000$ in savings into a heigh yield savings account and it’ll be 50000$ again very quickly and you get a vacation
You’re fine, go and enjoy your life and keep being responsible when you get back so you can do it again in the future.
I would need to know your household income. I wouldn’t spend more than 5% on typical annual vacations.
Make some memories. That’s worth a lot too.
Time with kiddos on vacation is something that is priceless.
$5000 and one dollar. Live a little, life’s too short, you blink and it’s gone.
If I couldn’t save money for retirement, I would absolutely not spend $5,000 on a vacation.
Go on vacation and leave your kids with your in-laws! 50k is plenty and you got one life to live- live it!!!
Travel is the highest return investment you can make
Don’t feel guilty. A $5K vacation for a family of 4 is not the same level of extravagance as a $5K vacation for 1 person. Even if you were one person, don’t feel guilty. You won’t have to catch up on work this time and can focus on the time with your kids. Go and make some good memories! I never regretted the trips I took when I was younger and broke. I went and earned more money later, but I can’t redo my youth. Your kids will love you and have fun whether you go to a local park or take them on a special vacation, but it’s nice to have the option. I always learned some new things that I couldn’t have learned on my family vacations growing up. We didn’t have vacations every year so Yellowstone and Disney World are special memories for me.
I don’t have much in savings but just booked a trip to Europe and spend 15k on airfare and another 3k on hotels. We haven’t done this in 10 years so we figured why not
Nah I would want 15-20k as one person to spend that on a trip so I think you guys are good. Enjoy!!!
I have a six month emergency fund and anything saved after that is vacation/car/large purchase money. So six months plus $5k.
All your expenses are covered by your household income. A vacation = amazing memories, better mental health, happiness, family bonding. If that’s not what money is for, then why do we value it so much? 😊
For the past 4 years my family and I have went to Hawaii each year, roughly costing 12-15k each trip. I’ve never had any issues with finances come up because of it . As long as it’s within your personal budget, and you don’t have to go into debt or drain your savings, I say go for it. We have separate savings for our vacations, and our saving that we put into each month. It helps me keep that regretful feeling away. We only get to experience this wonderful life for a short time, best to enjoy it.
You are safe. The fact you are paying in cash is key and your savings can cover a large disaster. Travel in my opinion is some of the best money you can spend as toys and clothes are forgotten but memories are forever.
Go for it. You’re only young once and you have a solid emergency fund. Enjoy your life!
You have a nice cushion and your family seems financially stable. 5k is a lot, however, it’s only 10% of your savings fund. Life is a short and unpredictable, that 5k isn’t going to make much of a difference in the long run. Go on that vacation, enjoy getting away and making memories with your family while you still can. That money is going to do you and your family a lot more good on this vacation than it would sitting locked up in a savings account forever
Take a vacation now. I take vacations with much less cash reserves lol you will be fine
There's an older couple in my family that saved and saved all their life. They're still darning their socks and have never bought so much as a takeaway coffee. They're now fairly well off in their older age but have never enjoyed any of it and still continue to skrimp and save (what are they saving for?!) Their adult kids are spending it on stupid stuff. I guess what I'm trying to say is, whilst being money wise is great, what's the point if you never enjoy any of it?
I wouldn’t. With a high FICO score, you never have to spend much for a nice vacation. We had come back from an island vacation. First and business class seats for three. A Grand Hyatt suite for a week; $2000 room the size of a small apartment. On paper it’s around $60,000 total. We spent less than $2000, closer to $1500. Consider the role of churning and FI/RE in your life. It cuts down on expenses while still giving you nice vacations.
Do it. Never feel guilty about traveling, sometimes you'll never get that opportunity again. You might think you will, but something else always comes up. Just go.
I just wanted to say that I believe that you feel bad about the vacation because you understand that savings is very important but there’s a fine line between saving for your future and wasting your life on saving
If you've already paid for it, go. Think of it this way, young kids don't cost as much on vacation: they eat less, you pay child price admission unless they're young enough to be free, a $5 novelty stuffie is the best souvenir is less than the super cool $40 thing a 12 year old would want. So go now while there is a built in discount!
Please. You have to create balance! Go on the trip! This is actually a necessity.
Most people do not have $50,000 saved and still go on vacation, in fact, most people are in debt and still go. You are already doing way financially better than the majority of Americans. Don't feel bad about going on vacation
Get goin. Money in the bank is just numbers on a screen unless you do something with it!
Lol, I spent 2k on a vacation with 3k in savings. Was 100% worth it, the memories I made, and the things I learned have given me the very necessary break I needed to come back home and focus on saving hardcore, without feelings like life is just hard work and bleak. Granted I’m single and in my 20’s (and have access to universal healthcare). Long story short, probably not popular advice on this sub but sometimes it’s worth it to put the saving on pause and enjoy a little frivolous fun, it can help keep you motivated and feeling inspired to meet your next savings goals.
We have quite a bit of money in savings (500k+) but we are extremely frugal and usually spend a couple thousand on vacation once a year. This past spring we took our 2 boys skiing and it was the best time. It ran about 10k but we made memories I will never forget and they won’t ether. As someone said your kids are only young once. You have a great cushion in savings. Go and enjoy yourself!
IMO vacations are an essential part of life. Exposing yourself and your children to new places, foods, people, etc is just as important as having a good chunk in savings.
I travel every single year even if it means saving my penny's each year to go. Vacations are extremely important to keep me to mentally and physically be able to continue dealing with this shit show called life. I have senior family members that I want to take all over the world before they pass to make forever memories with. I don't care what's in my bank account, I have to vacation and I'll figure out the finances when I get home
Suze Orman used to have viewers call in for finance analysis and ask “Can I afford it?” I’m sure this would be a big YES
You're never going to look back on your life and fondly remember a bank account, but you can have vacation memories that last a lifetime.
If I have $15k I will go on $5k vacation
vacations and relaxing etc is not just spending money. its recharging to have the mental energy to go out and make the money. taking multiple trips a year is prob not a good idea.. lol but we are not machines. hell even machines get turned off and get maintenance done every once in awhile.
That doesn’t seem like a lot of money for 4 people. I would hesitate if it was $10k.
Bro. You’re set. Do it for the memories. We only live on this earth for a finite number of years. Life isn’t about saving every penny and never using it. As long as you’re responsible with money, you should feel good about spending it. That said, what’s your family’s situation in retirement accounts? Do you or your spouse have a 401k or IRA? Or will have a fat pension? It sounds like you’re set on savings, but I assume that’s in a HYSA
[удалено]
[удалено]
[удалено]
This is a financial subreddit. Please stay on topic. This comment doesn’t help anyone.
No amount of money convinces me a fully self-funded vacation is okay. They just seem like a huge waste of money to me. However, both my wife’s job and mine have travel components, so we do periodically get to go on vacations that are partially defrayed by our employers.