Maui is Officially in My Financial Plan

Unattainable goals

Humpback whales are breaching in the background as I type this.

I have a steaming hot cup of black coffee, chill beats playing in the background, and the kids are eating cereal at the counter.

Our day will consist of bizarrely smooth and silky shaved ice, snorkeling with colourful fish, chasing sea turtles (at a distance), and, undeniably the greatest sunset on God’s green earth.

Paradise.

It is hard not to already start thinking about our next trip back to this magical place, which is Maui; even making a plan to live here partially in retirement.

But, the reality is, my wife and I will never be able to afford to buy a place here.

Maui is expensive … mind blowing expensive

Here is an inclusive list of all things reasonably priced on our eight days in Maui:

• Flights to get here
• Gas for our rental car

And here are some ‘Excuse me, how much?’ moments from our unforgettable trip:

• $4.50 USD for one cucumber
• $10 USD for shaved ice 
• $280 USD for a round of golf
• $2,500 USD per night condo*
• $1,000 USD night hotel room
• $22 USD Mai Tai

*We were extremely lucky to be hosted by friends for most of our stay; I’m ballparking this cost based on what I found searching AirBnb as I lay in our bed, listening to the waves crash, dreaming about living in our own place.

The reality of Maui Real Estate crushes my dreams

Buying in Maui is unachievable for most, my family included. A one-bedroom condo facing a parking lot will run you about $2,000,000 USD. I imagine a three-bedroom with an ocean view would be about $4,000,000 USD.

Obtaining a mortgage for a property in Maui is less than conventional, so to buy these places, you essentially have to have $3,000,000 CAD in cash.

Dream. Killer.

Pick myself up and pivot

With my feet back on the ground, I know a few things. 

• Ownership in Maui is off the table. 
• We want to live close to our girls and their families as they grow. 
• We love spending summers in Invermere. 
• Ergo … Living in Hawaii is not goal ONE. But that doesn’t mean we are giving up on spending time there.

It turns out I’m more boujee than I realized, and want a few finer things in life, so I need my financial plan to account for it! When I get home, I will be re-running our financial plan with $50,000 in real spending on travel, starting at age 55 (up from a previous $25,000). 

We don’t need to sink millions of dollars into owning a place. Sure, it would be a great investment, but the numbers are too big to put into one particular investment, for us at least.  

New goal

Our new goal is to save enough to peel off $50,000 a year from our investments for travel. With a 15-20 year time horizon, that is a much more achievable goal. I can see that goal. I have a number. I can taste the Mai Tais on my lips! 

Game on.

THAT is what a financial plan is for

Financial plans show you the numbers to support your goals; they help you get there, show you how much you have to save, by when, and help make dreams like this happen, while paying as little tax as possible along the way.

What is your ‘month in Maui’ goal?

Why are you saving?

What are you working so hard to achieve?