Re: Trades
AskAsa
4/25/2012 11:09:14 PM
Haircuts in NYC usually cost $30 plus tip.
Lets say he's doing $80 -$100 cash each hour.That kind of money easiiy translates to a new car and trip overseas. Especially if most eveyting else is paid for. Many older people spend money wisely. I know a number of 80 somthings who wouldn't be caught dead with a perrier in their hand. Just plain tap water is fine. They are inherently suspicious of banks and the credit process and will only buy what they can afford.
My guess is the barber has a modest house in a neighborhood with reasonable property taxes. In the NYC area, that means he lives within the NYC boundaries, because property taxes are a fraction of what they are in the suburbs, The schools are another issue, but I am assuming this is an older guy. NYC has a wage tax, but a self-employed person can offset a lot of that income -- legitimately -- so he would owe very little wage tax. And if he has a barber chair in a room in his house too, he is probably taking both a home office deduction and depreciation on top of everything else.
The key seems to be having something other than W2 wages.
Another example: The man who washes the windows on my house once or twice a year. He and his wife live in a great part of Westchester County, NY; they spend part of the summer with his family in the south of France; and spend several months each winter at their second home in Florida.
Self employment has its perks. No health insurance benefits, but perks nonetheless!
My Grandfather was a postal worker and a cab driver and my grandmother was a part-time cocktail waitress (in Pittsburgh) and they bought a new Cadillac every 5-10 years for as long as they lived, pretty much. They thought that was the definition of the American dream. For them, it was! Sometimes it's best just to keep things simple.
I still have a hard time w/ the math. Does he do more than 20 haircuts per day? Or maybe he's compounded his return by putting all of his haircut earnings into Apple stock.
Re: Trades
AskAsa
4/25/2012 12:12:40 PM
Someone in a high volume cash business with low overhead can make enough to afford that lifestyle.
AskAsa—not to be cynical but is the Cadillac leased and the trip to Italy paid for on a credit card. In today's day and age we need to ask remember that TV commercial with the guy who seems to have it all, but is in debt up to his eyeballs?
Re: Gen Y why are they entiteled?
impactnow
4/25/2012 11:44:48 AM
Driveway girl I am not underestimating the impact of the economy today on the ability to find work. When I graduated it was about 40% and I lived in rural area which made it far worse an individual with a business degree. My point is that entitlement doesn't happen its created and the study should evaluate the sources and how to address the issue. Entitlement has a negative connation I prefer expectation reset. Unfortunately I think college does a poor job of setting expectation for the real world. It doesn't prepare students for the reality of working in a corporate environment and the issues that they deal with from politics, to turf battles. I am in favor of changing for the better of all not casting stones, our young people are our corporate leaders of tomorrow we need to understand the disconnect and address the problem, the economy will eventually recover but the expectation reset needs to be established.
Trades
AskAsa
4/23/2012 5:24:00 PM
Even my barber (not hair stylist) but an honest to God barber serves as an example of what a skilled trade can do.
He drives a new caddy every year (status car among his generation) and spends most of his summers in Italy.
All for some snipping and clipping at 20 bucks a pop
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