When you look at it this way... kind of depressing!
- Thread starter luvhautecouture
- Start date
You should present this to your accounting professor: what is the REAL cost of things PRE-TAX, in other words figure out the costs of anything in real labor dollars before federal income taxes are taken out.
Examples: (a) For someone in the highest marginal tax bracket (approx 35%) the real cost of a $2,500 Chanel bag is approx $3,846 pretax. (b) For a mid-range tax bracket of 28%, the $2,500 Chanel actually costs that person $3,205. (c) Low income earners paying 15% tax need to work/earn $2,940 before taxes to pay for a $2,500 bag.
Now divide that amount of money you are paid per hour and you can figure out how many hours of labor it takes to own a Chanel.
Talk about depressing, the more money you make the more the Chanel costs!!! Well, really the more ANYTHING costs. Haha!!!
Examples: (a) For someone in the highest marginal tax bracket (approx 35%) the real cost of a $2,500 Chanel bag is approx $3,846 pretax. (b) For a mid-range tax bracket of 28%, the $2,500 Chanel actually costs that person $3,205. (c) Low income earners paying 15% tax need to work/earn $2,940 before taxes to pay for a $2,500 bag.
Now divide that amount of money you are paid per hour and you can figure out how many hours of labor it takes to own a Chanel.
Talk about depressing, the more money you make the more the Chanel costs!!! Well, really the more ANYTHING costs. Haha!!!
I do understand that some people can afford a couple luxury line cars, hundreds of designer clothing and shoes, and hundreds of designer bags...they can afford ski trips to the Alps and Summer vacations off in the Mediterranean and MUCH more.
They can afford to buy these bags and not have to worry about it putting a dent in their lifestyle.
However, at the same time, you can buy a Chanel and live in the City where you can take the subway wherever you want and taxis...you don't need a car for anything. And so, the extra money you don't spend on a car (which you have to change every 5 years) goes to other things and the amount you spend on bags is far less.
They can afford to buy these bags and not have to worry about it putting a dent in their lifestyle.
However, at the same time, you can buy a Chanel and live in the City where you can take the subway wherever you want and taxis...you don't need a car for anything. And so, the extra money you don't spend on a car (which you have to change every 5 years) goes to other things and the amount you spend on bags is far less.
I didn't mean to make this a "what is more valuable, a car or purses" but rather a "putting the price of the purse in perspective to other things"... it's totally fine that people brought up that point, but that wasn't my intention.
It was just shocking to me because my aunt who makes triple digits is worried about buying a new car (perhaps a civic), yet someone else like me (who has no income whatsoever) wants to buy a $2,000-3,000 purse without really working for it. It was just a sort of reality check for me that I need to stop seeing money as numbers, but as something that is earned for hard work.
It was just shocking to me because my aunt who makes triple digits is worried about buying a new car (perhaps a civic), yet someone else like me (who has no income whatsoever) wants to buy a $2,000-3,000 purse without really working for it. It was just a sort of reality check for me that I need to stop seeing money as numbers, but as something that is earned for hard work.
I'd rather have 10 bags
a car yes.. sure good relative importance but talk about feeding people... i was wacthing idol gives back the other night and it said tht every minute 2 kids die because they don't get the two pounds for a single pill and a net...
shall i do the math?
thats 25000 dollars meaning 3 birkins or 10 chanels or 13000 days of life
i guess the solution to this is not to stop buying bags but to do that little needed to help others less able than us whenever we can!
shall i do the math?
thats 25000 dollars meaning 3 birkins or 10 chanels or 13000 days of life
i guess the solution to this is not to stop buying bags but to do that little needed to help others less able than us whenever we can!
hahahaI agree! I'd rather get bags than a car!
me three, rather have the bag than a car or even vacation:shame:
Liberte: wait where are you located? I just found out my car cost 3x the price in Singapore! I was SHOCKED -and ACTUALLY thought how many more Chanels you could buy with that, so it's funny you mentioned it. LOL
loveaddict: it's all relative! LOL, I don't mind if you mention H -but that might just be me!
Yes for example, a Honda Civic will cost around SGD70+K here. That's like a little over USD50K!
True. I think there's a big "reality check" here.
5 Chanels would be about 12,000 USD...12,000 USD would help feed, clothe, educate, and entertain a family of 5 in Iran for 40 months...that's almost 3+ years!
5 Chanels would be about 12,000 USD...12,000 USD would help feed, clothe, educate, and entertain a family of 5 in Iran for 40 months...that's almost 3+ years!
yes a month ago, my DH made me decide between getting a new granite counter top in the kitchen ( which I wanted for awhile) or getting a new chanel purse. the new granite countertop was about 1500 more than a the jumbo navy reissue, but I was shocked for a couple of days by what I could do with a price of a purse!
well in the end, I couldnt choose one so instead I picked a rodeo drive hobo which is about $1000 cheaper than the jumbo navy and got my countertops. I justified it by saying "happy wife means happy life" but i definitely felt a bit guilty that I was buying a purse that costs as much as new granite countertops! and I've been putting off gettign new countertops because of its price!!! but no hesitation in buying a purse! for a second I though I had gone insane and completely lost my touch with the real world. well, until i went and picked up my new rodeo drive...
well in the end, I couldnt choose one so instead I picked a rodeo drive hobo which is about $1000 cheaper than the jumbo navy and got my countertops. I justified it by saying "happy wife means happy life" but i definitely felt a bit guilty that I was buying a purse that costs as much as new granite countertops! and I've been putting off gettign new countertops because of its price!!! but no hesitation in buying a purse! for a second I though I had gone insane and completely lost my touch with the real world. well, until i went and picked up my new rodeo drive...
