Yeah, english was never my strongest subject in school.mech9t5 wrote: ↑Nov 25th, 2018 7:42 amFYI squandered means wasted. I don't think you were trying to say that.
Some people think it was so easy for their parents cause houses were so cheap. It is not true at all.
My parents came to Toronto in the 80s. Interest rates for mortgages were as high as 21%. My parents were paying 12%. We had a 1600sqft house. It cost around 160000
Assume you put 20% down, your mortgage would be roughly 130k. At 12percent the monthly payment would be around $1350. Imagine you were unlucky and had a 21% rate? That same mortgage of 130k would be $2200
Next that was 80s dollars. This link shows $1 in 1988 is equal to $2.14 in 2018. (I just picked 30 years)
http://www.in2013dollars.com/1988-dolla ... 8?amount=1
That means a $1350 is actually closer to $2900 today. That's roughly $600k mortgage today.
So, in conclusion. It was as rough if not rougher back then compared to today. Salaries were a lot lower and interest was suffocating. At least in today's environment, the $2900 you spend is at least building a lot more principle.
When I grew up in Toronto we had no money for anything extra. Our family had 4 kids. I did not take ANY vacations. My first flying vacation was not until I made enough money to pay for it myself after university. During university any money I made went to paying tuition and books, etc. I was always envious of those who were able to take vacations in the summer and spring break.
I'm glad you realize what your parents did for you. Just remember when it is time to pay them back. My parents really didn't have much opportunity to save money so i have been giving them $500 a month since I could afford it (been 12 years now).
That way they can retire a bit more comfortably (they are in their 60s now). They are still frugal and don't want to take my money so they just save it. And they tell me they are putting it away "for me". But at least I know they have it if they ever need it.
To your latter point, we pretty much get taken care of as kids and later in life we swap roles pretty much.
The only time our parents give us money now is for Chinese new years lol.
Glad to say that my parents are happily retired and we just pay for random things here and there for them.
I roughly pay about the same to my parents as you but in groceries and such; only cash is for birthday. I dont give them cash normally because like you said, they're still living frugally and I have to force them to spend their money. With that thought, it makes more sense to just buy stuff for them.