Thursday, 15 May 2014

MGTOW: Effect of Divorce on Financial Networth

MGTOW:  Effect of Divorce on Financial Networth


Sometimes you hear advice, and it just doesn't sink in.  You know the advice is true, but for some reason you just file it away with other good advice like keeping your weight down in a healthy range, eating more vegetables, excercising more....

You've probably heard the cliche statistic of 50% of marriages ending in divorce, and we all know what upheaval it creates in the family (especially the kids), with relatives, with friends and your general sanity. We've all heard various stories of a wife taking her husband to the cleaners, and unfair settlements which basically spawned a Men's Rights movement that seems to be growing daily.   The following is my story.

My story


Unlike most stories, my divorce was quite calm and amiable. The marriage had been dead for a while, and no amount of walking on eggshells and trying to 'fix' things by me initiating marriage counseling SEVERAL times over the 11 year marriage, made any lasting difference.  When she announced she had met with a lawyer and wanted a divorce, I simply accepted it.  A massive weight was off my shoulders.   We chose to go the route of collaborative law. Each party brings their lawyer, and you hash out an agreement.  No judges, no long drawn out process.  Child support was based on a federal table and my current income, spousal support came to $100 a month, and visitation was pretty open-ended.  She had been a stay at home Mom for the past few years, and fortunately for me found a job rather quickly.  Eventually I didn't have to pay spousal support anymore.

Taking all this into account, the effect on my fiancial networth was still huge. In 11 years of marriage 'we' accumulated a networth of about $220,000, and had about maybe 2 years left before our house was going to be free and clear. I say 'we' because I made 3X the salary that she made when she was working.  The legal separation was official in September 2003, but to lessen the effect on the kids, we all spend one last Christmas season together, and I eventually got my own apartment in February of 2004.  Around June, our house finally sold, and after all the real estate (vulture) fees, lawyer fees, and closing costs, my financial networth as a now single, divorced guy, started at a new (and lower) level of $98,949.30.   A small drop of 56%.....

A chart says it all... buyer beware


The drop in networth from divorce was bigger than the drop during the financial crisis of 2008...
It was only while composing this article that I noticed how it took roughly 7 years just to get back to my last networth figure when I was married.   I only discovered MGTOW this year, but by definition I was MGTOW for roughly the last 4 years.  In the last two years I had spent next to zero time on online dating sites.  With all the freed up time, I focused much more on my finances and investing.  The majority of the growth has simply been money I have saved, tax refunds from maximizing my RRSP, and saving tax on the money put into my TFSA account. Not much has been made in the investments themselves since I am mostly in safe investments (stocks are way over-priced) but that is an entire series of articles in itself.

My core pillar


One of the core pillars, if you will, of going my own way is financial independence. MGTOW is a statement of self-ownership and a declaration that I have the supreme right to decide what my  goals in life will be as opposed to having my goals dictated by someone else.  Some of my most important goals are financial in nature.  Most men today die poor not because they didn't make enough money, but because they spent it on bullshit consumer items their spouses all but had to have. In my case, when I was married, our 3 bedroom, 2 story house was on track to be paid off in 2 - 3 years.  There was already talk of buying a bigger house on my wife's part! To me, paying off a house is was a cornerstone to retiring before age 65 (on a decent retirement income). A bigger house just means paying more property tax (which NEVER goes down), and a bigger house will have more space that will 'need' to be filled with more 'stuff'.

My advice to men 


I guess it's easy for women to have ever expanding wants when your slave/husband is making 3X your salary. Is that what the feminists mean by male privilege? Take that extra money you're not spending on women and associated BS (like stylish clothes, a chick-magnet car, and those nice shoes that women judge us on), and invest it instead. As an unattached man, you have the ability to adjust your income and purchases to a degree impossible in any committed relationship. Being poor is a state of mind, not your salary. If you haven't made the mistake of getting married, you have a HUGE headstart financially.


Capital One Credit card commercials ask "What's in your wallet?"

Canadian MGTOW asks, "Who's in your wallet?"

Regards,
"Arctic"
The Canadian MGTOW
MGTOW Journey Day #53
Regards,
Regards,
"Arctic"
The Canadian MGTOW
MGTOW Journey Day #40 - See more at: http://mgtow1.blogspot.ca/2014/05/a-mgtow-responds-to-isabel-chalmers.html#sthash.pGxcTkzN.I5B7ORiL.dpufRegards,
"Arctic"
The Canadian MGTOW
MGTOW Journey Day #46 - See more at: http://mgtow1.blogspot.ca/search?updated-max=2014-05-11T15:15:00-07:00&max-results=1#sthash.JlF6GtQL.dpuf

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