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britneyireland
10-20-2007, 10:27 AM
Correct on the interest rate thing. I'm getting a better return in AAPL stock than I would be from wiping my debt slate clean and depleting capital.

I wouldn't say I'm competeing in Dancerwealth's field, since the sales process is only one arm of my concept, and I refer girls to his course. I'm doing all pro bono mentoring right now for research. I also don't want to stop stripping because I see that as more profitable than running once a month dancer seminars.

Miabella is right. Just being a stripper isn't going to put 100 million in your bank account. Neither is just being a patent attorney or Family practice doctor. Owning several cash flow properties might get you into the single digit Mils though.

My point all along has been that if a SuperStripper uses the extra time and extra money that stripping provides to sink into OTHER cash flow investments and businesses than she will be RICHER than if she hadn't stripped. (Wasn't the OP "I would be richer if I hadn't stripped" not "I would be happier if I hadnt' stripped" or "I would have a better quality of life if I hadn't stripped")

242_fair
10-20-2007, 07:30 PM
My earnings potential will be higher than yours, for longer...

We have moved into deep waters, which seem to have bene muddied by all too many contradictions.

Indeed I cannot reconcile a catapulted to wealth and a 10 year inabilibty to repay student loans, so I will stop trying, and avoid judging her the way she did me.

scarlett_vancouver
10-21-2007, 12:15 AM
I disagree a bit. I went to school full time and danced on the side about 2-3 nights a week to cover bills and it worked well for me. I think it depends on the person and their end goal whether they should work full time or part time as a dancer.

Hear hear. I like my life. I'm getting educated, saving money, and LIVING my 20's. What's the problem?

Melonie
10-21-2007, 04:06 AM
Indeed I cannot reconcile a catapulted to wealth and a 10 year inabilibty to repay student loans, so I will stop trying, and avoid judging her the way she did me.


I like my life. I'm getting educated, saving money, and LIVING my 20's. What's the problem?


There isn't any problem. And there shouldn't be any judgements, in either 'direction'

However, there is the original premise i.e." I would be richer if I never danced", versus the cold hard numbers.



My earnings potential will be higher than yours, for longer...

This is only true in terms of ACTIVE income before taxes i.e. as a professional you may indeed land a position with a gross annual income of $200k+ per year. But in terms of total active plus PASSIVE income after taxes, it may never be true. The key difference of course is that while going to school to become a professional, and while working your way up the 'ladder' of entry level professional positions, you are not building a nest egg. In comparison, a full time dancer is immediately earning money plus contributing to an investment portfolio. As the dancer's investment portfolio continues to grow both from contributions and from compound interest / dividends, that additional PASSIVE income begins to take on a life of its own.

Also, increasingly, the after tax income of a $200k a year professional is coming under assault. The inflating AMT cuts deeper and deeper into tax deductions. Plans are already in the works to raise income tax rates ... as well as proposals to institute a 4% tax surcharge on people earning more than $100k per year ... as well as proposals to eliminate the SSI tax ceiling. Thus the after tax remainder of a $200k a year professional may only be $140k or $130k or even $120k in the near future, depending on the results of the 2008 election re federal income tax increases, depending on future state and local income tax rates etc.

In comparison, the dancer's investment portfolio is not generally subject to income taxes since that income is derived from capital gains. There is also the option of the dancer's investment portfolio to escape income taxes altogether via the purchase of triple tax free muni bonds. At the moment this constitutes a de-facto tax rate of 15% or less on the dancer's passive investment income versus a 28-33-40% tax rate on the professional's active salary income. If this differential in tax rates continues, or as is more probable this differential in tax rates increases, the professional's high active salary income becomes more and more of a 'bragging point' but less and less of a cold hard financial contribution in terms of actual money in the bank after taxes are paid.

Jenny
10-21-2007, 10:26 AM
Ok. We've got it. 242 is an idiot for wanting to do something besides strip and she has betrayed the sisterhood by not paying for her degree and becoming a millionaire by the time she was 25.

For everyone for whom stripping is the right decision - I mean, that great and it's great that you're doing it. Is that hard and demoralizing that someone might think, in retrospect, that it was the wrong decision?

Susan Wayward
10-21-2007, 12:35 PM
I'm with you, Jenny. We are a really diverse collection of women here with different goals, life circumstances, and priorities, and I think everyone should just get out of each others' panties at this point. Don't take it so personally that you can't get your point of view across to each other.

Katrine
10-21-2007, 04:45 PM
In comparison, the dancer's investment portfolio is not generally subject to income taxes since that income is derived from capital gains. There is also the option of the dancer's investment portfolio to escape income taxes altogether via the purchase of triple tax free muni bonds. At the moment this constitutes a de-facto tax rate of 15% or less on the dancer's passive investment income versus a 28-33-40% tax rate on the professional's active salary income. If this differential in tax rates continues, or as is more probable this differential in tax rates increases, the professional's high active salary income becomes more and more of a 'bragging point' but less and less of a cold hard financial contribution in terms of actual money in the bank after taxes are paid.

Ummm, plenty of professionals invest their earnings into these types of vehicles. This has absolutely NOTHING to do with one's chosen career. Dancer earnings are subject to self-employment tax, and employer benefits are non-existant. Although deductible, paying for all of your own insurance needs can be a monthly cash-flow killer.

So Melonie, everything you said is just fine, about ANYONE. And how many dancers do you know actually do ANY of this, much less even report their earnings?

Melonie
10-21-2007, 06:04 PM
Ummm, plenty of professionals invest their earnings into these types of vehicles. This has absolutely NOTHING to do with one's chosen career.

True enough, as long as they actually have money to invest. This is where there is a HUGE difference (which you are ignoring) between a dancer immediately earning money at age 18 and making 10 years worth of contributions to these types of investment vehicles by age 28, versus a professional spending six years in college earning nothing (or more likely racking up debts), and then spending the next 4 years in entry level jobs that don't pay enough to cover college debts let alone contribute to an investment portfolio by age 28. THIS was the original premise posted in this thread, and as a matter of financial fact the full time dancer is far ahead at age 28. As to whether the dancer remains ahead at age 38 or 48 versus a professional depends on a huge hopper full of variables from college debt levels to future income levels to future tax rates to future interest rates, which I pointed out earlier.

Look, I'm not trying to make any sort of 'quality of life' judgement that girls at age 18 who decide to pursue higher education vs full time dancing are superior or inferior to girls that decide to dance full time. Other posters are injecting that discussion / implication. All I am saying is that the old paradigm of obtaining a college degree automatically guaranteed financial success is no longer a lock ... and particularly so where a bachelor's degree is concerned vs a masters or doctorate.



And how many dancers do you know actually do ANY of this, much less even report their earnings?

based on my total exposure to dancers in all types of clubs in all types of cities, maybe 3-5% of overall dancers actually exhibit financial discipline and approach full time dancing as a serious (albeit short term) career. A solid 30% view dancing as a part-time means of earning quick bucks while they seriously prepare for a mainstream career that is unrelated to dancing. The remainder seem to have no long term outlook / strategy / discipline whatsoever, and simply live day to day spending money, partying, and stripping. It is the latter group who are highly likely to wind up at age 28 with little or no remaining dancer earnings potential, little or no savings, and little or no future prospects outside of dancing.

velvet
10-21-2007, 06:13 PM
this has run it's course. closed.