annabanana wrote:hello everybody
I know this subject has been chewed over so many times,but we are planning moving to crete maybe next year,we do have house and a bit of land wich is all payed for,so now we will have 16.000 euros a year, we know haw much is electric and water will be, so my question is can we afford live in crete on 16.000,we need a car, we dont need a hair cuts and we make our own wine and beer at home ,we will go out once a month to taverna.What i try to say we will live a "a good life"
please can any one give us some answers,how much is cost simple living.
bobscott wrote:Given the caveat about a car, etc, the word 'austere' comes to mind. It won't be easy.
Kilkis wrote:It is a simple fact that, especially in the case of older people, what people own doesn't correlate in any major way with their income now or what they spend now.
Kilkis wrote:... in any major way ...
Kilkis wrote:So, for example John, you have a house with a pool and I have a house without a pool. Does that mean that your income today is bigger than my income today?
Kilkis wrote:Until a few years ago I drove a 15 year old car with a 1200 cc engine that was virtually worthless. I then gave it away and bought a three year old car with an 1800 cc engine. Had my income gone up? Do I now spend more on the car? The answer is no to both questions. Obviously I had to spend some capital to acquire the new car but that was spending capital that I acquired years ago when I was in a wealth accumulation phase of my life. Depreciation isn't really relevant. Once I have spent the capital I will not see any money actually going out each month because of depreciation. If this car becomes worthless before I die I might need to buy another but that will also be bought out of capital acquired years ago. Fuel costs are about the same. The engine is bigger but more efficient because technology has improved in the last twenty years. Insurance is a bit more but repair costs are less.
Kilkis wrote:I have a friend nearby who has a car, a moped and a boat. I have a car, no moped and no boat. His income is less than mine but the tax man would say it must be more. The only difference is that he chose to spend some of the capital he accumulated when he was working on a boat and I didn't.
Kilkis wrote:I reiterate. Particularly for older people, what you own relates far more to what happened in the past than to what is happening today.
I suspect that what you are really saying is you can afford the ongoing costs associated with those items out of €350 per week. That I don't doubt.
Users browsing this forum: Majestic-12 [Bot] and 38 guests