How Much Money To Start Off?

[paragone23]

Hey everyone! Been a lurker for a while now. I'm excited to get into this lifestyle. I plan to hit the road in June. I'll have about $48,000 saved up. I made plans to to go to Croatia and Italy for a month. Backpacking and hostels keeping it dirt cheap. But when I get back to the states, after my trip and I wanted to buy a used cargo or astrovan... I'll have $35,000. Estimating at the worst case scenario.

I plan on working, taking temp jobs and such. I don't mind working and busting tail. I'm not planning on becoming a slouch but at the same time, not putting so much work in to be a cog in the machine.  I work in construction now for the gov. and I also do web and graphic design and handyman work on the side. I have my CDL A. Working a Bobcat like my back hand. 

So my question to everyone is... How much did you have saved up when you started your life as a Vandweller? 

I'm just a little nervous getting out there... Fear is a bitch. Testing the job market and such when I had a steady paycheck for the last 10 years.  Wondering if $35,000 (say $30,000) is enough to hold me over until I can find a temp gig. That is my only fear getting into this lifestyle. Sorry for the rambling....

I guess I am looking for some reassurance and hand holding saying "relax, it's going to be alright"....hahahahhaha... Fear is a bitch...

Thank you for any help you guys can provide.

John

 

[BradKW]

I think you'd want at least $60,000 in the bank before living in a van...all the partying and girls aren't cheap!

 

[paragone23]

That's what I was thinking!! Both will make you run dry... 

 

[cyndi]

I want enough to replace my van, if the worst was to occur. $4,000-$5,000. more would be great, but right now, I'm having trouble recouping $4,000.

I do have a small income every month, just over $1,000. So if something does happen I just have to hold tight until payday

 

[rvpopeye]

When I started out 36 years ago $500 was a good amount , now ....$5-10K ?
Sounds like you'll have enough for a real nice rig and emergency fund too !

 

[vsession]

Wondering if $35,000 (say $30,000) is enough to hold me over until I can find a temp gig. That is my only fear getting into this lifestyle.

How much of your saving you’re willing to lost right now without any issue? Even with 35 000 in the bank after your trip, you probably don’t want that to go at 0 before the temp work is regular and you’re comfortable with vandwelling. When you know exactly how much is your minimum saved you still want available, use your monthly spending and do the math. Reevaluate when you're hit that number to see if this lifestyle is still sustainable. If not, change the lifestyle, the work schedule, reduce spending, etc. Saving money is not easy to do, It takes time and dedication. Good job for the 48 000!

For me personally, I don’t spend a lot and for the past 6 years, everything is tracked down in an excel document to understand where the money goes. I have enough saved to last for a while, but I will not let that number go to 20% of my current saving without changing my lifestyle. The reason is if something happens, I want to be able to start fresh and not have to worry about money.

My point is, there is no right number, you just have to find the number that you’re comfortable with. Some will be 5000, 50000 and even 100000.

 

[rvpopeye]

100K ! Ai Chihuahua.............

 

[Bast]

I have wondered about this also. I am having trouble figuring out a realistic budget This lifestyle seems so different from living in s house.

 

[Grizzly Stardust]

So you are asking if 30,000 dollars will be enough to hold you over for a few months while you look for work after your trip to Italy? And you'll be living in a vehicle during this time? I don't get the question. Are you planning on spending 10-15k a month living in the Astro Van? If not, you should be fine.

 

[jester]

If you're thinking that you might spend around $13000 for a month in Italy you might benefit greatly from writing up a budget. As a comparison I would spend close to 3 months traveling in Europe for about $3000. Do real research for costs associated with places to stay, trains, food, etc.

Once you've done that you should have a better idea how much you'll have to start van-traveling with. Set a budget range for getting the van including what you'll use to make modifications. What you have left is your travel budget. Try to work out the minimum you would need per month to survive (barely driving, beans and rice for meals) and what you'd like to have to live on (cooking 'at home', gas, some set aside for repairs and insurance...).

From these numbers you can figure out your own tolerances. For example: If you end up with $30k after preparing your vehicle and you need $1k per month to live, you can go for 30 months without a job and possibly 60 months if you pared down to the minimum. If you need $2k/month then you'll have 15 months of expenses. Is 15 months a comfortable number for you? Do you feel like you'd be able to find work often enough that you wouldn't have to worry about running out of money then you are good.

Play with your numbers so you know what to expect. For me it's the not-knowing that concerns me. When I've gone through the numbers I feel comfortable.

 

[LadyJo]

I went to Europe last fall, 3 weeks. Airfare, trains, metro, food, Air B&B for about $5K. Paris, Barcelona, London. Did lots of sight seeing, very nice meals out. Could have done it cheaper if we had stayed in Hostels.

 

[IGBT]

We started this lifestyle with $1.4 million but are only spending about $25k a year and that is as a couple so I think you would be fine.  Perhaps your tastes are finer than ours though.  We eat a lot of rice and beans and stay at free campsites.

 

[anewbiewannabe]

^^^hoping this is a bit of tongue in cheek

 

[IGBT]

^^^hoping this is a bit of tongue in cheek

What do you mean?  We spend about $25k a year for food, healthcare, camping, fuel, insurance, and a small entertainment budget.  That is for a couple.   A single person with $30k should be able to get by for well over a year with our lifestyle, which I do not consider to be as meager as some blogs on here I have read (and admired).

 

[anewbiewannabe]

Well, I think reading 1.4mil and eating beans and rice and staying at free campsites in the same post on this website shut off my brain. Culture shock I guess. But then just now I did the math and at 25k a year it would last 56 years! Don't get me wrong---I love beans and rice, but if I was that well set I never would have found this site.  Forgive me please as I forgot that I've known some millionaires that became millionaires because they lived frugal lives and had good incomes. Carry on and don't mind me.

As for the OP, I agree ~30k should tidily handle at least the 1st year until the income opportunities present themselves.

 

[IGBT]

Well, I think reading 1.4mil and eating beans and rice and staying at free campsites in the same post on this website shut off my brain. Culture shock I guess. But then just now I did the math and at 25k a year it would last 56 years! Don't get me wrong---I love beans and rice, but if I was that well set I never would have found this site.  Forgive me please as I forgot that I've known some millionaires that became millionaires because they lived frugal lives and had good incomes. Carry on and don't mind me.

As for the OP, I agree ~30k should tidily handle at least the 1st year until the income opportunities present themselves.

Getting off topic but it should last a lot longer than 56 years.   The money is invested in the stock market for the most part (about 5 years expenses are in cash).   The dividends on the stock portion are more than $25k.

Yes, other than inherit or win lottery, being frugal while putting in some 60 hour weeks at a high paying job eventually gets you there.  That is what we did.  My last smartphone was 9 years old with a cracked screen before I replaced it.

 

[anewbiewannabe]

Getting off topic but it should last a lot longer than 56 years.

Well, just the principle would last that long. Living off the dividends could extend it indefinitely. I had a nice tidy sum in a Roth IRA investment account with dividends that would have kept me comfortable for the rest of my life but things beyond my control changed all that. Now 30k sounds like a lot to me. At least I was already used to living frugally so it's not as extreme a culture shock as it might have been. I'm just grateful to have found this site so I'm around others who understand the lifestyle choices I hope to make for my future.

 

[mayble]

Maybe I missed it - is that $35k before or after buying and outfitting the van?
$35k should easily last me two years once the van is fully equipped.  On the other hand, if I'm starting with $35k and have to buy the van, build it out and buy equipment and supplies, then I'm probably broke before I hit the road.
YMMV, as they say.

 

[ArtW]

$25k a year sounds like a lot for even a couple living on rice and beans in free campgrounds, but I supposse gas can really eat up a budget if you travel a lot and have a big RV

 

[IGBT]

$25k a year sounds like a lot for even a couple living on rice and beans in free campgrounds, but I supposse gas can really eat up a budget if you travel a lot and have a big RV

300 a month for our ACA plan
400 a month for fuel
600 a month for food/toiletries/paper plates, etc
65 a month for cell phone/internet
200 a month for vehicle insurance/registration/maintenance
300 a month for sometimes campground fees/park fees/occasional hotel stay
200 a month for entertainment, eating out