Question about WW budgets

[Jason Morgan]

I have ready many different posts about folks buying equipment and many times people have mentioned their "woodworking budget". I know that we are all in different circumstances, but I was wondering if any of you would share your "budgets". Doesn't necessarily need to be exact dollars and cents, (but is can be if your would feel comfortable). Im currently making the change from a red to a black lifestyle and that made me wonder what other folks put in the "WW" row of their budget.

Thanks, hope this isnt too personal for this forum. I guess we'll see by the response rate.

[Don Baer]

Jason,
I dopn't realy have a WW budget but I do pay cash for all of my tools. Since this is a hobbie, I don't believe in going into debt to finance it. If I can't afford a new tools I just keep saving till I have enough in my WW Fund to pay cash.

[Mark Pruitt]

My woodworking budget consists of letters, not numbers--five letters to be exact: SWMBO. Actually, she is very supportive of my WW hobby, although she does have a project list for me! Like Don I don't have a "budget" as such, and buy only what I can afford. I find that I go through periods where I will buy next to nothing and then periods where I spend quite a bit. It all evens out for me; I just pay attention to bank statements each month and adjust my spending as needed. As long as the end balance exceeds the beginning balance I'm happy.

[Lee DeRaud]

I started with the actuals from the six months before I retired, removed any big-ticket tool acquisition costs, and doubled the remainder. The resulting number was a bit pessimistic and is already starting to go down as the tool collection gets to critical mass...pretty soon it will be mostly steady-state consumables like wood, glue, finishes, and hardware.

But it all comes out of a larger pot of discretionary "hobby" money, subject to all sorts of seasonal priority issues: wood, greens fees, pistol ammo, computer widgets/software, books and music, and beer are all competing for those dollars. And of course the discretionary side of the budget grows and shrinks as inconvenient things like "life" interfere with it.

[Helen Gee]

I don't have a real "budget" per se, but I'm with Don. If I have to make a major purchase, I won't be doing another one for a while at least until I can save some and justify the cost ;). Unless of course it's a deal too good to pass up.

I am still eyeing a nice table saw, cyclone, and some sufficient electricty :eek: but I think the electrical upgrade will kill any dreams of getting the table saw anytime soon.

[Ed Labadie]

I usually base most of my tool budget on my income tax refund. Kind of like my own personal x-mas club. It will usually run between $1,000 to $1,500 per year. If I do need something else during the year, like a new drill or some clamps, I'll buy it.
Material costs aren't really a factor in spending the woodworking budget. Most of the wood (except plywood.) comes from my own property, I only pay milling & drying. Only downfall is the quality, I don't have a big pile of select grade material to pick thru. Projects are usually done with whats available.
I'm also single, so I don't have to "share" finiances or explain purchases. :D

Ed

[Steve Ash]

I don't have a budget, since part of my income is made in my shop I just buy what I need as I need it. If it were up to my wife I'd have a heck of a lot more tools than I do. She realizes part of the income is made out there and wants me to have whatever I need to make it go smoothly. She even bought a shaper for me last winter cause she knew I was looking into one.

I think I'll keep her. :D

[tod evans]

jason, i butcher boards for a living so this may or may not apply? on every job that leaves the shop 20% of the gross goes toward the shop whether it`s taxes or electricity or equipment. that`s gross sales not profit, so some months it works out to paying myself minimum wage but the shop won`t suffer as an entity......02 tod

[Allen Bookout]

I don't have a budget, since part of my income is made in my shop I just buy what I need as I need it. If it were up to my wife I'd have a heck of a lot more tools than I do. She realizes part of the income is made out there and wants me to have whatever I need to make it go smoothly. She even bought a shaper for me last winter cause she knew I was looking into one.

I think I'll keep her. :D

You had better keep her Steve or someone else will grab her. What a wife!!!! Allen

[Alain Tellier]

Jason,
I dopn't realy have a WW budget but I do pay cash for all of my tools. Since this is a hobbie, I don't believe in going into debt to finance it. If I can't afford a new tools I just keep saving till I have enough in my WW Fund to pay cash.

My situation exactly. My lovely wife never bothers me with the purchase of a new tool, the same way I don't bother her with the purchase of a new pair of shoes... :)

We each manage our own money ( no joined bank account ) and we split expenses in proportion of the percentage we each bring into the house, that way the economics and obligations is the same for both of us. For instance if I brings 70% of the household income, then I pay for 70% of expenses, vice versa.

We've been together for 14 years now... not a single argument about money.

[glenn bradley]

I'm a fan of "this is a hobbie, don't go into debt". I have paid cash for everything and although I can talk myself into anything if I really want it, I draw the line at making payments on tools and supplies for my hobby. That being said; the standard rule applies. . . buy the best you can and buy it (hopefully) once.

[Allen Bookout]

Jason,

What a complicated question!

Easiest case: Not married----After household bills are paid, spend what you want.

A little tougher (Well, a whole lot tougher): Married----Below is the way that we set it up many years ago and it works very well.

We have an informal corporation set up this way. The household corporation takes in all of the income. It pays for all of the household expenses which include house payment, taxes, medical bills, utilities, auto repairs, gas, food, savings and anything else that affects both of us. We know about what that averages per month so the amount left over is split 50/50 and paid to each of us in what we call our salaries. The salaries can be spent as each of us desire without the other one complaining. Salaries can be adjusted as income and expenses vary. We each have our own bank accounts like Alain said but also Household has it's account as well. I would say that I spend about 75% of my salary on my woodworking hobby and the rest on clothes and the like. Sometimes Houshold will supprise me with a new tool and that is special and really appreciated. If Household needs something built it pays for those expenses.

If the woodworking was an income producer we would have to come to some agreement as to the income and expenses of that endeavor.

I know that this setup may seem strange to you but we have never had a fight over money using this system for nearly thirty years and it sure makes things easier when then the money thing is running smoothly.

I may have gone off in a completely different direction than what you are after but it works in our world.

Allen

[mark koopman]

I started woodworking when I was 19 (3 years ago), i was seriously dating my wife at the time but I was living at home with my parents (rent free) so disposable income was readily available. I made a point of trying to buy as many tools as needed before we got married and started renting our apartment etc...

My wife is very supportive of my hobby and even bought me a Delta TS as a surprise no reason gift once before we were married. It was then I decided I would marry her and I did a year later.

Now adays major tool purchases $150+ are always a gift for birthday, christmas, valentines etc. Project and materials are just something we just deal with usually by the time I finish a project theres enough money kicking around to purchase the materials for the next one.

[Steve Clardy]

A tool budget???
Don't have one.

[Chris Dodge]

Agreed. I won't go into debt for a tool. If I have the cash then I can buy it. That doesn't mean I do but it but I can.

[Jason Morgan]

Wow,

Didnt think there would be such a response. Great advice one and all.

Thanks!

[Dave Falkenstein]

I do woodworking projects for clients on a part-time basis. My tool "budget" is my income, less expenses, from those projects. I sometimes need a new tool for a project, so the justification is a bit easier when that is the case. Research buying decisions thoroughly, buy the best you can afford, and use those tools for a long time. We have never been good at running our household on a budget, but we do have the understanding that if you cannot pay cash for something you "need", then don't buy it until you can.

[Tom Hamilton]

Jason, like Alan, we have a House account that all income goes into. Out of it come household expenses, and an allowance for each of us. We spend our allowance without accountability to the other.

My wife is a world class knitter and most of her allowance goes for yarn. Most of mine goes to tools and wood.

If one of us overspends one month then there is the credit card interest to be paid also. We each have our own cards and a House card.

Loans are sometimes made from the House to the individual to cover big purchases. These are repaid out of allowance over time without interest.

We will celebrate 38 in December, works for us.

We have taught this type of system to young marrieds in various churches over the years and always get very positive feedback.

Hope this helps. Best regards, Tom

[Vaughn McMillan]

No set budget, but I don't buy any tools or supplies on credit. Cash only. As a hobbyist, I also tend to take any money I receive in sales (gross) and put it back into either tools or wood, usually adding some of my own money as well. More than once have I sold a $50 item, then turned around and bought a $100 tool. Some of my tools have been purchased with the intent that they will pay for themselves, but if they don't, I still won't go hungry.

LOML and I maintain separate bank accounts, and both put money into the House fund. So far she's had no complaints about my tool buying (out of "my" money), and I don't give her grief about whatever she purchases.

- Vaughn

[Andy London]

My shop generates a hobby/commercial income but I have somewhat of a budget. I upgrade one major tool a year anything under $250. if needed is just purchased, anything that brakes down is just replaced. I put 50% of after tax net income into the kids education plan, 25% for around the house (mainly landscaping) and 25% is for misc. I pay cash for everything and have for years, the only debt the shop has is my truck which is pays the payments and insurance on.

Before it became a business, I put 10% of my work income into it in order to build it to where it is today.

The only thing left, as I have two sometimes three of everything is a spiral head for my new planer and then the shop is finished, every tool is now industrial.

[lou sansone]

good question, but sort of like asking folks how much they make.... people are funny about that subject.

I end up spending a few $k per year

hope this helps
lou

[tim rowledge]

I don't have a budget per se, like many others. I try not to buy big tools on impulse (I'm fighting back the temptation to buy a woodrat and festool router and shopvac and L-N chisel set and......) but if I'm doing a project and need a tool for it I get it asap.

I read a really interesting article in Australian Wood Review (*great* magazine) about a year ago about setting up a shop. The author assumed that anyone taking it seriously would surely be willing to spend about as much as a modest car; I think his example was AUS$35k (about US$27k these days) and the spend included things like a MiniMax CU410, drum sander or stroke sander etc. Pretty serious stuff. I've probably spent about that much all in all over the last 10 years.

[Jesse Cloud]

I probably should have a formal budget, but I don't. I agree with the rule that everything is cash, going into debt would ruin the fun of the hobby.

Buying new tools and learning how to use them is a big part of the fun I get from WW, so I don't fight the urge too hard. Having said that, after the Festool bug bites, I take a few months off :rolleyes:

One thing I'm getting better at is getting rid of stuff that doesn't help. I used to have three or four different setups for sharpening and about the same for mortise and tenon. Now I pick the best of breed and sell the rest - less maintenance and I can focus better on skill building that way.