Watch vs savings

[Ed.YEO]

Watch collecting hobby has always been a expensive activity that eats chunks of your monthly take home pay.
Before you jump into watch collecting interest, you should really determine how much percent in your take home pay you are willing to "burn". Where this "burn" doesn't really means that you will see only ashes, but the hidden value which you may get back if you flip your piece.
If you had never jumped into watch collecting, think back, how would you have spent your money? Booze? Clubbing? err...(this will be offensive to fellow brudders here) womanizing...where you get seconds of pleasures by paying off a big chunk of your earnings?

So... how much you're able to save. really determines on how much you set aside for watch collecting. Then, you'll have to work out a certain percentage that goes into your personal savings. Of course, not forgetting a certain percentage for your personal allowance lor...

[seiko.citizen]

Everyone has their hobby of choice, some hobbies naturally are expensive. As such there is no hard/fast rule to say what one can/cannot spend. As long as you don't go into debt for hobby, shouldn't be a problem.

[Watcha]

I'm just a poor bloke, dude. Can't match up with many here

Well, I'd inject myself with some "antibiotics" before I attend those gatherings

you are being modest.

[Watcha]

Everyone has their hobby of choice, some hobbies naturally are expensive. As such there is no hard/fast rule to say what one can/cannot spend. As long as you don't go into debt for hobby, shouldn't be a problem.

I was funding hobby with debt at one time. ha
Hopefully will not happen again.

[monstaR]

In my opinion, there is never a right or wrong figure to save or spend but I normally base my purchases when there is excess cashflow like bonuses or returns from investments etc etc...

My 2 cents.

[Dfive]

I think this post has very serious problem. I DO NOT think buying fine watches is like buying property. Not all fine watches are assets. And honestly, no one should be taught to believe one can invest in watches

Agree with you here mod, I almost think some are marketing this to be true ( watches are investment ) but they are not in reality.

Property always wins in the longterm..... 15+ years > and beyond.

(( Funny thing mind you... Regarding collectors hobbies....... the best unknown investment in Australia from 1990 to Current is Australian Pre-Decimal Banknotes ( Pre 1969 ) they have had a waaaaaay higher appreciation than any property in Australia !!! ))

[Dfive]

As for original topic....... for me I'll put a max of 20% of Annual Salary into a watch but even then I'll just buy what I like..... I'm not a collector... just a mere quality swiss watch fan.

As you see in my signature ( the future ) - I have a long waaaaay to go to get the watches I want to add.

[Dfive]

Wow 20% of annual? Gulp!

not so bad... if take home 50K spending 10K on a watch is poss..... I got my IWC and DSSD in 16 months ( $20K + in watches ) my aim Before Xmas is the new Explorer 42mm in white.... wish me luck

Work hard, play harder.... hehehe

[Ian Limm]

IMO savings first, built up savings equal to min one year of your annual income before you blow thousands on a watch.

as you get older , going into your 40s should have 2 to 5 years of annual income as savings.

hit 50s should have 6 to 10 years of annual income in savings.

60s should have Passive income so you don't have to sell property (and Rolex !) to support your retirement.

[seiko.citizen]

IMO savings first, built up savings equal to min one year of your annual income before you blow thousands on a watch.

as you get older , going into your 40s should have 2 to 5 years of annual income as savings.

hit 50s should have 6 to 10 years of annual income in savings.

60s should have Passive income so you don't have to sell property (and Rolex !) to support your retirement.

nicely said.

[Alexlow]

IMO savings first, built up savings equal to min one year of your annual income before you blow thousands on a watch.

as you get older , going into your 40s should have 2 to 5 years of annual income as savings.

hit 50s should have 6 to 10 years of annual income in savings.

60s should have Passive income so you don't have to sell property (and Rolex !) to support your retirement.

I like that theory, the best comment/ advice so far. Thanks!

[Rolex01]

60s should have Passive income so you don't have to sell property (and Rolex !) to support your retirement.

May I know where does the passive income come from if at the age of 60s no other souce of income and no property to rent out for passive income.

If retirement based on the savings, wouldnt the savings be depleted over 20yrs? if there is no other source of income?

[toffeesthings]

I'll try...maybe passive income from children's allowance? : )

May I know where does the passive income come from if at the age of 60s no other souce of income and no property to rent out for passive income.

If retirement based on the savings, wouldnt the savings be depleted over 20yrs? if there is no other source of income?

[Ian Limm]

May I know where does the passive income come from if at the age of 60s no other souce of income and no property to rent out for passive income.

If retirement based on the savings, wouldnt the savings be depleted over 20yrs? if there is no other source of income?

Examples of Passive income are rentals, dividend payout from shares, regular payout from insurance or other investment products.

Another example of passive income is if I have a spare room and I rent it out, every month I will get few hundred dollars for my daily meals, better than nothing when we retire.

what i have listed out are objectives, we need to have objectives to work towards, it is going to be tough but I will try my best so even if you fall short of the ideal target, hopefully you will still have some savings!

I don't want to depend on my children for handouts every month when I retire, and yes the danger of our savings running out when we are old and useless is a "clear and present danger"

[Dfive]

Examples of Passive income are rentals, dividend payout from shares, regular payout from insurance or other investment products.

Another example of passive income is if I have a spare room and I rent it out, every month I will get few hundred dollars for my daily meals, better than nothing when we retire.

what i have listed out are objectives, we need to have objectives to work towards, it is going to be tough but I will try my best so even if you fall short of the ideal target, hopefully you will still have some savings!

I don't want to depend on my children for handouts every month when I retire, and yes the danger of our savings running out when we are old and useless is a "clear and present danger"

Esp here in Singapore bro.... agree with you.

And i often wonder how the kids who are 10-15y/old will even survive here in SG in the next 10-15 years....... Salaries are far lower than that of Australia, yet cars are double, and homes are double or more !!! It's a little scary really.

If a 16-18y/old is not saving $100-200 a month now for retirement they will be in REAL trouble !!!