The total of my future expenses each year will be approximately $49,722. I know this is logical because my primary sources for information are my mom, who manages all the expenses of our family, and the websites of the typical phone, electricity, and other companies that will potentially provide essential services for me in the future. According to Salary.com, the average college professor of some form of physical science makes about $90,000 per year on average. Although, the education required for me to obtain this job will likely cost me about $100,000 after five years in a typical doctoral program.
I want to save about $10,000 per year for my rainy day fund, as well as about $10,000 for retirement each year. If I save $10,000 per year for retirement, I should have about $350,000, plus interest, by the time I'm 65 years old.
Comparing my predicted future income and expenses makes me hopeful for my future. I do not desire a large apartment, and I rarely spend money on the luxuries of excessive clothes, movies, restaurants, or electronics. Having about $20,000 per year after all expenses would be quite ideal, as I wish to spend all of my free money on traveling. I know that this ideal scenario will likely not be achieved, but it does make me realize that my goals are obtainable and a near-ideal life and career are quite possible with adequate planning and disciplined spending, not to mention the comforting support of substantial rainy day and retirement funds.
It's great that one of your ideal job careers pays so well, and that you don't spend a lot on unnecessary items. Looking at your budget makes me want to aspire for higher paying salaries in the profession I've already chosen. Also, I should work on cutting down my luxury costs because traveling is also one of my goals in life.
ReplyDeleteYou are planning on putting a lot of money into your rainy day and retirement funds. If I were you, I would cut back on that so you could plan an extra vacation each year. You are already not planning on spending too much money on expenses, which will be A LOT higher than $20,000 regardless of traveling.
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