Spending Money - Should I follow my Friends Advice ?

[bignok]

56 minutes ago, ChaiyaTH said:

This is obviously not smart at all, even if you had the money in gold for the past 5 years, you would now have had 4.5 million baht already. If you would just get 6% yearly returns that already increases your monthly budget by 15,000 baht without taking out the 3 million. This is your best solution.

Gold up 50% in 5 years?

[billd766]

My advice to the OP, for what it is worth, is to spend 5 or 10k on your wife first and yourself every 3 months or so and retain the way you are living now, if both of you are happy with it.

 

I am in a similar position to you (I am 79) as my state pension dies with me. Fortunately I have 2 other pensions that my wife will receive the greater portion of, until she dies.

 

Our son (19 years old) who is in college at the moment will receive nothing from my pensions, but the house and land will go to him free and clear.

 

Please do not take your good friends advice except under caution.

 

You are very lucky in having a good wife who will stick with you to the end. I have been married to my Thai wife for 23 years and she is a treasure worth more than I deserve.

 

I, like you want to do the best I can for my wife after my death.

Edited October 19, 2023 by billd766
added extra text

[observer90210]

Spend and enjoy by all means ...but within one's limits. Avoid or never get in debt.

 

Always have a cushion for emergencies at the bank. Most important, avoid listening  to others or giving them details,  when it comes to your money.

 

The best way of spending your money is what suits you and what is within your limits.

[retarius]

Do what you like with your own money. The best strategy is to keep it under the mattress so that when the phone rings and a man you don't know, from a company you never heard of asks you 'Do you want to make a fortune today, send me 10 million baht" Then you can do it immediately from the post office. I know loads of people who have made a fortune this way, I haven't made a fortune because I didn't follow their advice. 

[EVENKEEL]

Coincidentally I was just telling my ole lady I hoped to spend all my money before I die. I got to get cracking on that. I surely don't feel the need to cheat myself so the wife will have something when I'm gone.  

[Sigmund]

When money is involved, even the next kith and kin can fight. Not to mention a wife or spouse. Put the deserving by all means in a will but never throw around money all over in bars, clubs, restaurants or in a flashy exposed life style. It usually ends up with trouble in Los.

[Sheist]

If you earn 10kb more per month than you spend, and your savings never takes a hit, then you sound fine.  You might live 9 years longer before she gets her hands on your loot to spend any way, or as quickly, as she wants.  

 

I agree with the suggestion of living a little for yourself now while you can.

[swm59nj]

To the OP.  I congratulate you on your successful marriage and family life in Thailand.  You have been more successful a number of married couples. 
I understand you want your family taken care when you are gone. But I think you are being somewhat extreme.  You and your family need to enjoy life while you are able..  I’m not saying squander all of you money of course.  
But balance it out .  Do things and buy things within reason.  Enjoy yourself with you family.  Splurge a little bit now and then. 
Discuss it with your wife and enjoy your time together. 

[scorecard]

13 hours ago, Liverpool Lou said:

"Spending Money - Should I follow my Friends Advice?"

 

Is your friend going to top up your bank account when his spending-your-money advice causes the balance to drop to unexpected levels? 

Good point.

Seems to me that ultimately you should follow your own principles, I admire your aim to provide into the future for your family.

[daveAustin]

New member & all… I know you love your wife, but you’ve only one life whatever your religious persuasion. I see this time and again with guy here working/giving non-stop with the woman sat around, ‘waiting’, and the guy nonchalantly putting his time aside. Just live your life without lack, she will be fine and daughter can work. Don’t just exist for someone else. 

[loong]

You state that your monthly spending is approx. 25,000 Baht.

Now, if you have bought your house, then I know that is possible, but I find it hard to imagine that this 25K also includes health insurance for a 76 year old. I advise you to check your coverage as it may not include full coverage.

Your pension is 35K so you have scope to increase your spending each month and still not have to touch the money in the bank.

[KannikaP]

16 hours ago, AlienBoy said:

My monthly expenditure is around 25,000 Baht a month. - including my Private health Insurance 

Please, with which company is this Health Insurance?

[rickudon]

Yes, spend a little more. What he doesn't say is what arrangements he has made so his wife can access the money after he dies. Probate can take 3 months or more, He needs to have a will, and ideally his wife should have her own account with about 3 months expenses in it in case of difficulty in accessing the money. The OP may have already done this, but if not, start thinking about that now.

[Freddy42OZ]

1 hour ago, KannikaP said:

Please, with which company is this Health Insurance?

If the OP has paid off his home then 25K a month living frugally for two people could well be 10k on food (for two people) and 15K on insurance (180,000 baht a year for insurance).

My basic food bill is only 140 THB a day and I live in Bangkok.  I would think in that in the boonies it would be less. 
Granted a wife would mean 2 people to feed, but a Thai wife would probably mean more variety and more savings. 
I don't eat rice for example, if I did my food bill would be much lower. 

 

[Xonax]

I am in a similar situation with similar savings and state pension, that will terminate after my death. I am a few years younger than the OP and I am not holding back, unless for totally unneccesary spendings, like visiting fancy restaurants and bars. When you are dead, it's too late to start enjoying life. Years ago I helped my wife open her own small business, which will be able to feed her well after my death, without needing to touch any savings. 

[KannikaP]

35 minutes ago, Freddy42OZ said:

and 15K on insurance (180,000 baht a year for insurance).

Which company please, and what coverage?

[Will B Good]

Blow the three million in Nana Plaza....then live frugally.....that's my plan as soon as I hit 70.

[AlienBoy]

 

Hi every one , its been enlightening and heart warming to read all your comments and advice which have given me a lot to think about . 

 

Just to answer a few points that were raised in your comments . ( in no particular order ) 

 

My Thai wife and I can honestly say that in all the past 19 years we have been together not once have we argued or been unhappy with our marriage . Since we married she has never worked mainly due to my mind set that she would be the home maker and I would be the provider . Over the years my wife has gone from being a un educated village girl to a far better educated woman who has a bright mind can converse very well in English .

 

My daughter , is actually my step daughter who was aged around 6 when I first met her . Over the years due to me wanting her to receive a good education , she attended private schools and finally she received a university degree . She is un married now lives away from home and is employed in an accounting office. My daughter is fully aware that at home her parents live a frugal life , but I’m not sure if she understands my mind set relating to me trying to sustain a healthy bank balance that would provide money to her and her mother after I die. 

 

 

Over the years of following our frugal way of life I can honestly say that I feel I have become less fun to be around and seem to have become more serious in my attitude .

 

Its a strange feeling I get if in fact we do on the very odd occasion splash out to may be have some thing from the local kentucky fried chicken place, as we sit at home eating the take away I start to feel a bit guilty.

 

Cutting the slack a little is some thing I wish I could do , but so far I've found it very difficult as I seem to have become obsessed with not spending money .

 

Some times we lay in bed on a sweltering hot night with a floor fan blowing across our double bed the thought of switching on the bedroom air conditioning is out of our mind because of the electric bill cost . 

 

After we married I paid to have a 3 bedroom bungalow type house built , over the following years the house has slowly dilapidated and due to the costs involved in maintaining the house and because of my don’t spend to much money mindset , the house is currently in need of a lot of repairs. 

I’m going to talk to my wife about her setting up a small business that may provide some income to help our situation . Just thinking about that subject , as I spend the majority of my time at home ( going out can cost money ) I’m wondering if I to could in some way find some thing that would generate a little bit of cash . One of the luxuries we do allow our selves is a fiber optic internet connection ( 650 Baht a month ) So I’m wondering if its possible to some way make a little extra cash using the internet .

 

One point I forgot to mention relating to my bank balance is the fact that in my 3 Million Baht amount I need to constantly keep 800,000 Baht to do my retirement visa yearly extension . I've often thought about changing to the married to a Thai option which only requires 400,000 Baht in a bank.

 

I have never thought about making a will , its some thing I’m now going to look into .

 

My wife only eats Thai food , but I tend to stick to European type food . 

 

One option that keeps crossing my mind is that I do have private health insurance that Ive had with the same company ( Cigna ) for many years . The monthly amount for that private health insurance is 13,000.00 Baht . Its crossed my mind about stopping that private health insurance which would then provide an extra 13,000.00 Baht a month to spend. 

I think Sheryl made a good point about Thais not being very good at managing money and after my death relatives will come calling with their hands stretched out . Those points have crossed my mind and I've always hoped that my wife would appreciate our past frugal life style and act act accordingly after my death , but who really knows what will happen after my coffin has been placed in the cremation room and the fire has been lit .

 

Some good points have been made about my age and the fact that I should be enjoying my self more at my time of life . Yes I’m getting more and more concerned that at my age the clock it ticking away , so I now feel that its time to sit down with my wife and talk to her about our frugal life style and what doing that actually means to us both. One part of me wants to try and make sure that my wife and daughter will be provided for after my death , but now on the other hand I’m just starting to realise that at my advanced age , may be its time to start to think about making my remaining years more enjoyable , even if that means spending more money . I’m not at this stage sure how to or what to say to my wife about my feelings that may be I should use some money from my bank account to allow me and of course her to enjoy ourselves more . 

 

I wonder what her reaction may be knowing that if I do use more money from my bank account to allow us both to do or have things that in the past we have denied our selves while living a frugal life style , will she still want to  live our frugal life style in the knowledge that the 3 Million Baht will be there for her once I pass away . I’m not sure what she will think . 

 

 Thanks guy’s your continuing comments are appreciated 

 

Thank You
 

[circa02]

17 minutes ago, AlienBoy said:

 

Hi every one , its been enlightening and heart warming to read all your comments and advice which have given me a lot to think about . 

 

...

 

I think many people presumed based on your original post that your step-daughter was still in school, why would you need to provide for her now that she has been through Uni on your dime, now has a job and has moved away? What good is that doing?

Edited October 20, 2023 by circa02

[wwest5829]

As you asked for thoughts ... I am in a similar situation as regards to my death ending any further income to my Thai Wife and Stepdaughter (age 17). However, our finances are handled a bit differently (to each their own). I bring in 65K every month (for 12+ years now) and am continuing to do so as that is our monthly budget (actually it is $2200.00 USD), excess goes into the savings account which I want to build up over time. However, we do dip into the savings for domestic travel (just returned from eye appointment in Bangkok). And we are entering a contract to buy a house so the downpayment drew down the savings considerably (house will now represent some security rather than only cash). Works for us ("knock on wood"). Your scenario would not be feasible for me. At 76, while not wanting to burn through money, this is my earned retirement made possible by retiring in Thailand since I could not afford retirement on the same level in my own country.

[Sheryl]

 

If the savings are all in the one account also used fir immigration purposes then it is a single account and there will be delays and hurdles in your wife accessing it.

 

Keep 800 (or better yet 400 after  changing to marriage extension) in the solo account and use the rest to purchase a deferred lifetime  annuity for your wife that comes into effect after your death. (or similar instrument...you need to consult a financial  planner).  Not only would this protect her from greedy relatives but it would also ensure she does not outlive her money which is a very real risk. You have not given her age but as she had a child 25 years ago I assume she is in her late 40's to late 50's now. 3 million is very little money for what could be  a 40 year widowhood... unless you invest it in an interest bearing instrument of some sort. She could otherwise be headed for an impoverished old age and  being a significant financial burden to her daughter. 

 

Going forward live on your 35k monthly income and  start to make the needed repairs on your house. That burden will otherwise fall to your wife and the worse you let it get the more it will cost to repair it. 

[Sheryl]

43 minutes ago, AlienBoy said:

I've always hoped that my wife would appreciate our past frugal life style and act act accordingly after my death , but who really knows what will happen after my coffin has been placed in the cremation room and the fire has been lit 

 

Hoping is not a plan.

 

Even if she manages to fend off all relative requests it would  come at  the cost of estrangement from her family....a family she will need when this lump sum runs out.  Which, if left as  a lump sum in a bank account, it will do no matter how frugal she is and at a point where she is too old to have many options.

 

As discussed above there are concrete measures you could take to protect her on both counts.

[In Full Agreement]

18 hours ago, bignok said:

Even if you live to 90 the best years are pre 85. Body starts breaking down.

 

 

Everyone must be enjoying your company at the party to which you're never invited.   

 

You're such  a bundle of joy and positivity.

 

 

[1FinickyOne]

1 hour ago, Will B Good said:

Blow the three million in Nana Plaza....then live frugally.....that's my plan as soon as I hit 70.

The whole world awaits the day... sound the alert at Nana Plaza!!!

 

have fun.

[1FinickyOne]

The questions raised - - Are you making any money with investments?

 

How can you fit medical insurance into that budget? 

 

But, these decisions are all personal but I would think there would be some sliding scale where you might enjoy your money a little too. 

[J Branche]

I understand your objective there are some challenges though.

 

If possible Best invest in high grade high yield corporate bonds.  That expire in at different times, this would allow the money to grow, be taxed and theoretically last approximately 7.5 years at a 400,000 baht a year burn rate.

 

I can count on one hand the people I would trust with any larger sum of money including lawyers, accountants and such.

 

I would not mess with index funds as the market could sell off for years and they would not see a return possibly.

 

There are some oil bonds Valero, etc that have 10% yields make sure you look at YTM yield to maturity percentage as that is what you receive.  Good Luck. 

[Jenkins9039]

20 hours ago, AlienBoy said:

Financially I have approximately 3 Million Baht in a Thai savings bank account .

One thing you should fix, is this, spread that around across multiple major banks (Kasikorn, SCB, Bangkok Bank) -> Gov only protect upto 1m THB per bank.

[Jenkins9039]

1 minute ago, J Branche said:

If possible Best invest in high grade high yield corporate bonds.  That expire in at different times, this would allow the money to grow, be taxed and theoretically last approximately 7.5 years at a 400,000 baht a year burn rate.

Don't do this, Corporate Debt, Government Debt result in loss of entire capital if corporate debt, and Gov debt is debasement of the currency.

 

76 yrs old, you'd be lucky to live another 10 yrs (well past life expectancy as it is... lets be honest...) so just enjoy the years remaining without any risk taking.

[Will B Good]

40 minutes ago, 1FinickyOne said:

The whole world awaits the day... sound the alert at Nana Plaza!!!

 

have fun.

13th May 2026.......🥳

[AlienBoy]

1 hour ago, circa02 said:

I think many people presumed based on your original post that your step-daughter was still in school, why would you need to provide for her now that she has been through Uni on your dime, now has a job and has moved away? What good is that doing?

I'm sorry about that , I should have made it more clearer , it was not my intention to mislead any one .

 

Thanks.