What to Cut?

[buad hai]

When I first moved here a couple of years ago I monitored my spending pretty closely because I really had no idea how much I'd need to support my desired lifestyle. This was when the baht was hovering around 40 to the US dollar. All was well. We lived comfortably, took a three or four day road trip every month and enjoyed the modern conveniences: Internet, TV, air con, etc. And, I managed to save a little money every month....

When we decided to buy a house, nearly a year ago, I had stopped monitoring my spending very closely. We were buying stuff for the house and, since Ms. B had started working, we were traveling less. I guess I just figured we were OK.

I took some time yesterday and looked at a few recent bank statements and was shocked, but not really surprised to see that my recent spending exceeds my income by about a hundred bucks a month. That's the grim reality of currency depreciation and roughly corresponds with a 20% drop in the value of the dollar vs. the baht.

Now I have to figure what to cut to get back to a more balanced budget. First to go will be drinking out. It's a no brainer. 70 baht beers at the pub or 20 baht beers on the front porch? Also going will be farang food. No more 120 baht loaves of nice dark rye bread. No more cheese. No more 60 baht per 100 gram salami or ham. No more burgers.

I'm hoping the power bill at the new house will be less; three people instead of eight. Less need for air con. One TV instead of three. One computer instead of two.

I can't see giving up the Internet or TV, but maybe with a kitchen we'll need to eat out less.

Any of my fellow Americans feeling a similar squeeze?

[dano]

just have to get accustomed to the way us po foke live

[The_Dude]

BH,
Don't tell Dutch from KF.com about cutting cheese off of your budget. He may faint!!! Sad to hear your perdicament. But, I am sure you will bounce back into the black shortly. It's a very big change now for you and makes for a tense time.

[in4zip]

I'm not one of the fellow seppos but I'm not feeling the squeeze but also I'm not in dollars but in euros and other stuff.

I can't see saving vasts amounts of dosh skimping on food and things one enjoys (wtf is the purpose of retired life then? I'll go back to work ... even Tefling need be! Fark, a whole 30k THB/mo, and prolly I could nearly save ten grand ...

Cooking at home saves some money but not much and not time.
Plant more vegies, keep a couple of egg hens running around the garden ... now and then do a dog, Stroller docet !

[slimboyfat]

its a shame you dont smoke a lot so you could cut that out.

i am saving at least S$348 (thats about US$230) a month by quitting.

[kingwilly]

You might have to cut out the weekly short-times at the local Go-go bar also!

its a shame you dont smoke a lot so you could cut that out.

i am saving at least S$348 (thats about US$230) a month by quitting.

bladdy heck thats expensive!

I dont see the point in me quitting in Indo just to save .... approx $30 a month!

[Rigger]

Yeh I know how you feel I have had to cut back on spending money on bike parts down to 2000 dollars this month

[forreachingme]

Use your computer skills to generate a few more ?

Does the hotel where your wife works, need a new website ?

Be a reporter for the Korat Post, the newspaper nobody knows where it can be found...


Is it true that the Irish bar is yet a bit more interesting ? I'll have to go there and see one of those days...

[buad hai]

You might have to cut out the weekly short-times at the local Go-go bar also!

Lucky for me I hadn't found it yet.

I can't see saving vasts amounts of dosh skimping on food and things one enjoys

You might be right. I'm just thinking out loud here. I just need to trim 3K baht from the spending to get back on an even keel.

My income will get a US$500 boost in January, so it's only for a short time that I need to "plead poverty".

[buad hai]

Is it true that the Irish bar is yet a bit more interesting ? I'll have to go there and see one of those days...

It is. And, by cutting out weekly visits there I'm saving more than I'd like to reveal.

[Wayne Kerr]

Not an American mate, but paid in your currency. Over the past few years I have suffered a similar decline from around 40 baht mark you mentioned to (hang on just changed some money yesterday) 33.7. Everything else seems to have gotten more expensive too, except the beer at the local shop .

[lom]

You might be right. I'm just thinking out loud here. I just need to trim 3K baht from the spending to get back on an even keel. My income will get a US$500 boost in January, so it's only for a short time that I need to "plead poverty".

I'll do the math for you..
Continue with your current budget, and you are minus 15.000Baht at the end of the year. Your Jan boost will take care of that in one sweep.

Next year will be plus 12.000Baht monthly with current spendings.
Looks promising to me, what's the fuzz about?

[barbaro]

Buad Hai:

It seems A/C can be pricey. I prefer a good ceiling fan, and then stand fans oscillating in stead of Aircon.

Don't know if you would want this or if it's possible for you.

I think you're on a non-O retirement visa, right? Can't work teaching part-time for fun?

I agree with comments by others. Just cut some expenses you noted, and remember you can have fun and stay occupied by doing free things and/or cheaper things.

Good luck. Keep enjoying life.

[buad hai]

what's the fuzz about?

Good point. I just need the limited savings I have available now to buy stuff for the house. Don't want to cut in to that unnecessarily.

It seems A/C can be pricey.

I'm hoping to use it sparingly in the new house. All the rooms have ceiling fans, the walls are SuperBlock and it is well-situated to catch the prevailing winds. I pay about 2.5K a month now for power. Getting that down to 1K would be great.

Interesting thoughts here folks, keep 'em coming....

[The_Dude]

Better yet! Find a spot where the rich Thais go for private Ladyboy shows. You will be the star attraction. Kind of what Carol Doda was on in N. Beach District , Broadway ,San Francisco. You will clean up $$$$.

[Thetyim]

I don't think you will get power down to 1k but 1500b should be doable.

How much do you spend on farang food each month now ?

[Jet Gorgon]

First off, I'd keep a tally of all expenses everyday. All. Bt10 for this, Bt10 for that. When you have a clear picture of what's going out, then you can limit spending easier and are more conscious of it. I know rich gits who account for every last baht!
When you know how to say no to some stuff, then you can keep your other wants, like rye bread and cheese, etc.
Yep, you got a kitchen, read the food thread to learn how to cook yor fav dishes.
Don't give up going out for a beer now and then. Social contact is good.

[El Gibbon]

BH

Know what your thinking, when I first moved to Thailand I was getting 43+ per dollar. Living on a fixed income can be challenging at times especially if your dependent on an offshore income.

I would be willing to bet that your utilities bill will be substantially less in your new home. The new aircons are super efficient, my 28,000 Btu (new at the end of Mar.) raised my elect bill by 500 baht per month with continuous use through the month of April 24x7.

With the reduction in discretionary spending I've given up nothing!

What I have done is be more conscious of my spending. For example, instead of going out and blowing 1000 baht on a Sunday afternoon drinking session I limit myself to a couple of coffees and then no more than 3 drinks. Even in a Sukumvit expat hangout it generally comes to no more than 500 baht thereby saving approx 50% for the same entertainment value.

When I go shopping at Villa I only buy 1 block of blue cheese instead of 3. I find that I have more money in my account now than I did when the exchange rate was higher.

The Ms. also is 'keeping me honest' lol

E. G.

[baldrick]

BH - forget all the "supposed" rational advice.

head down to the irish pub and settle in for a bit , then ring the wife and tell her she needs to work some more hours to make up for the budget deficit , and if that is not enough , pimp out the pets for sexual favours.

[William]

BH - I feel your pain re the $ rate. If the Yanks don't get it sorted soon, I'm going to stop accepting the greenback and move into Euros. It really is hurting

[Sir Burr]

Me too, I get paid in that mickey mouse currency too.
I've had good pay-rises over the last year, but, when I convert to Baht, I'm still getting the same.
Bugger!

[buad hai]

How much do you spend on farang food each month now ?

I probably go out by myself (when Ms. B is working) for farang food two or three times a week. That means a 200 or 300 baht meal in lieu of a 20 baht meal. That easily accounts for the hundred bucks I've got to cut back.

This whole problem stems from a major cock up on my part. When we decided to buy this house I carefully calculated how much I'd need for the purchase, land registration, kitchen, furniture, garden, etc. I was slightly extravagant and built in a small cushion. I then withdrew what I needed from my retirement savings account. You can do this sort of lump sum withdrawal only once in your life. Unfortunately, four months elapsed from the time of the withdrawal request until Bangkok Bank finally got the money in our account here in Korat. During those four months the dollar tanked about 10%.

So, we went from having plenty to not having enough. We've already decided to forget about furniture and will probably have to delay registering the land until next year.

It's a bit of a blow to go from dreaming about a nicely furnished house to the grim reality of mattresses on the floor and three people sharing one wardrobe.

But, to even get that far I need to cut down now.

[klongmaster]

I pay about 2.5K a month now for power. Getting that down to 1K would be great.

you'll certainly save some money on the power bill...I only have AC in the bedroom and eat most meals at home, and my power bill is around 1500 baht a month...

nothing wrong with furnishing the house bit by bit...I set myself to buy one item every month - or 2-3 months if it's something expensive - started with just a new bed when I bought the house and little by little - room by room - things are starting to come together...

so what if it takes a couple of years...you're there for the duration so relax and spend what you can afford...personally food is one area where I try not to scrimp cause it's one of life's little luxuries...

[Spin]

I pay about 2.5K a month now for power.

Instead of going on those long bike rides you could take the back wheel off your bike and connect the chain to the pump in the air con compressor box. Position yourself in front of the tv showing the National Geographic channel so that you have some nice scenary to look at wilst you pedal.
This should keep your house cool and save money on electricity. The benefits to you are good also because you will keep fit and you wont get wet in the rain.

Seriously though, the USD dollar index is hovering around its support level at 80 at the moment. Most bloggers I read on the web expect it to bounce off support and continue on a run upwards. The last few days have seem the Thai stock exchange pull back a bit and that couple with a glimmer of dollar strenght has rasied exchange rates a little against the Baht. It might go to 34.5 some time next week

[ChiangMai noon]

I don't think you will get power down to 1k but 1500b should be doable.

I don't use aircon and have never had a leccy bill in excess of 800 baht.