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Old 06-16-2010, 10:36 PM
 
39 posts, read 139,146 times
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You would have enough DISPOSABLE INCOME to shop at higher-end stores like Nordstrom's, Saks Fifth, etc.? Let's assume, to hold some variables constant, that you live in Seattle (so an expensive but not outrageous city in terms of COL), have an average house, drive a typical Honda Civic for your car, etc. how much money would you have to make in order to be able to afford items from higher end stores?

Sorry if this question sounds stupid, but I was walking into Nordstrom today, and, even though my parents make A LOT more than the average person and well above 6 figures, we still can't afford to buy items from those kinds of stores on a whim and really have to be careful with things like this (which is fine because there are more important things in life than an Armani suit). However, I see a lot of people who go to those types of stores REGULARLY and buy whatever they want, so I'm wondering how well off their family must be in order to afford to do that, pay for a good house, etc.
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Old 06-17-2010, 12:00 AM
 
Location: Conejo Valley, CA
12,470 posts, read 19,040,955 times
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Nordstroms, Saks Fifth, etc are targeted towards the upper-middle class so a 6-figure salary should do the trick. But how much discretionary income you have depends on how much you spend on the essentials like housing. Buy a huge McMansion, shop stupidly for food, etc and you won't have that much discretionary income even on a good salary.

If I started to buy all my cloths at Nordstorm I'd only be spending an additional $500~$800 a year.
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Old 06-18-2010, 12:14 PM
 
Location: Virginia Beach, VA
5,517 posts, read 9,783,785 times
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Additionally, you arent calculating in the fact that most of those people in Nordstroms are probably not even in the income class the store is targeting. I have lost count of the number of people I have seen in designer clothes who have incomes that dictate them having no business in them, or even stores that sell them.

That is why this country has such a problem with consumer credit and personal debt.
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Old 06-18-2010, 01:14 PM
 
Location: Central Texas
13,719 posts, read 29,111,828 times
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I agree that some significant percentage of those Nordstrom shoppers are simply using credit cards and amassing a lot of debt.

But then again....there are probably plenty of people in the Seattle area with double incomes making $250K per year or more. A married couple with one person working at Microsoft at a senior (not executive) level and the spouse at a slightly lesser job could make that kind of money.

- Take home pay from $250K gross might be $150K, or $12,500 per month to "spend."
- Mortgage in Seattle might be $5K per month?
- Car payments might be $1K per month for two BMWs
- Food, utilities, and other semi-essentials perhaps $2K per month
- This class of person should be an investor, but who knows. Two IRAs per year would be $1K per month.
- The rest can be spent on clothes and toys
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Old 06-18-2010, 01:30 PM
 
Location: Sinking in the Great Salt Lake
13,144 posts, read 21,619,767 times
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I would wear cheap walmart-ish type clothes even if I was a billionaire. Stuff like that is just a waste to me.
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Old 06-18-2010, 09:13 PM
 
2,721 posts, read 4,093,068 times
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Quote:
Originally Posted by Chango View Post
I would wear cheap walmart-ish type clothes even if I was a billionaire. Stuff like that is just a waste to me.
I agree with you. Nordstrom clothes seem highly over-rated.
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Old 06-18-2010, 11:16 PM
 
117 posts, read 257,047 times
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I've personally shopped at consignment stores, and look better than those shopping at Nordstrom's, Saks Fifth, etc. at a fraction of the cost.

It's not how much, or what you've got....its what you do with it!

I wouldn't dignify them with a dime! I prefer to have Nordstrom or Saks monies in my bank account, instead of theirs! Lol!
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Old 06-19-2010, 07:19 AM
 
Location: Fairfield, CT
6,883 posts, read 10,139,609 times
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Quote:
Originally Posted by zeta_male View Post
You would have enough DISPOSABLE INCOME to shop at higher-end stores like Nordstrom's, Saks Fifth, etc.? Let's assume, to hold some variables constant, that you live in Seattle (so an expensive but not outrageous city in terms of COL), have an average house, drive a typical Honda Civic for your car, etc. how much money would you have to make in order to be able to afford items from higher end stores?

Sorry if this question sounds stupid, but I was walking into Nordstrom today, and, even though my parents make A LOT more than the average person and well above 6 figures, we still can't afford to buy items from those kinds of stores on a whim and really have to be careful with things like this (which is fine because there are more important things in life than an Armani suit). However, I see a lot of people who go to those types of stores REGULARLY and buy whatever they want, so I'm wondering how well off their family must be in order to afford to do that, pay for a good house, etc.
There are a lot of variables. You could have two people with the same income, but one may have a mortage of $100,000 for a house he bought 20 years ago. The other might have a mortgage of $600,000, having bought the house last year. Or one may be childless while the other may have 3 kids in college.

Generally, it's best to shop in those stores sparingly, for major items that are bought infrequently like suits.

Many of the people shopping in those stores all the time are in debt up to their eyeballs. Just because they're shopping there all the time doesn't mean they can afford it. And department store credit cards have notoriously high interest rates. Forget that action.
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Old 06-19-2010, 11:05 AM
 
1,901 posts, read 4,400,775 times
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You could say that in general about the american consumer economy though. We can't afford it but we still do it. So maybe these stores ARE targeted to the right audience after all. If these stores all of the sudden lost the " in debt up to my eyeballs" crowd many here suggest makes the volume of consumers there, then where would the stores be? Wouldn't it stand to reason these stores don't really have a real consumer base in the United States, to the levels they're branched out across the country anyways? Ergo the country is poor?

I'd say in debt up to my eyeballs is about par for the course. Remove that, and poof goes Saks...the real rich would have to do a lot of catching up shopping to make up for that.....
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Old 06-19-2010, 12:25 PM
 
Location: Planet Eaarth
8,954 posts, read 19,700,389 times
Reputation: 7193
Quote:
Originally Posted by zeta_male View Post
You would have enough DISPOSABLE INCOME to shop at higher-end stores like Nordstrom's, Saks Fifth, etc.? Let's assume, to hold some variables constant, that you live in Seattle (so an expensive but not outrageous city in terms of COL), have an average house, drive a typical Honda Civic for your car, etc. how much money would you have to make in order to be able to afford items from higher end stores?

Sorry if this question sounds stupid, but I was walking into Nordstrom today, and, even though my parents make A LOT more than the average person and well above 6 figures, we still can't afford to buy items from those kinds of stores on a whim and really have to be careful with things like this (which is fine because there are more important things in life than an Armani suit). However, I see a lot of people who go to those types of stores REGULARLY and buy whatever they want, so I'm wondering how well off their family must be in order to afford to do that, pay for a good house, etc.
There is a story about the man who started Wal-mart (Sam Walton) that when asked why he drove a ratty old Ford pickup. Sam replied....."I'm rich enough to drive anything I want to but I like my old Ford".

The point is that you don't have to be rich to enjoy what YOU like the rest of the world be damned !!!

Skip the fancy brand name sucker stores to enjoy "enough". That is the secret.
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