Excellent video and advice. I didn’t participate in the hobby from the time I entered high school in 1967 until my sons had all finished their college in 2005. My wife encouraged me to get back into the hobby and I did. She passed away a little over a year ago, but the hobby and the friends I’ve made have helped me tremendously. You are wise beyond your years. Life comes at us very rapidly and we certainly never know what the future may bring.
Nice approach to doing a much needed video. The key word you mentioned, and I can't stress it enough, is "discipline." If I may add some advice to your viewers, then this is what I'd say. Just about all of us are on direct deposit with our paychecks from our employers. Most HR departments allow you to deposit your check into more than one account. Set up a separate savings account and have between 5 to 10% of your income going into this separate train-buying account. You'll need to slightly adjust your budget to reflect the slight loss of weekly income, but you'll have more than enough buying power when the catalogs roll out. It's money that you won't miss each week that builds up over time. Just my 2 cents to add to keep hobbyists from getting into financial trouble.
Agreed. This is what I did for a long time before developing alternate revenue streams for the hobby. I still take a small amount and move it to my train fund every pay day. Again, being disciplined and only spending from that account is key.
I rebuilt my collection by using PayPal Pay in 4, which is interest-free. It was the easiest and most convenient way for me to buy trains, but with responsibility.
@Bdmrr enough people default on it, they make money on the fees and deferred interest. Not to mention. When you do it the heavily promote their credit services: 6 months no interest if paid in full, and they make money on that the same way... defaults and pushing a PayPal credit card.
That was a really good life lesson and a great Video Chris! The only time that I’ve ever use my credit card is for other than buying gas for my car or my dogs pet food is buying small parts and components for my engines and accessories. I’m planning to cut back a little and focus more on my other expenses. I will try to preorder at least one Locomotive yearly and a small majority of rolling stock. I’m also planning to sell some of my old trains to make space for some Newer trains. It’s just like redesigning your living space. Happy Railroading and full steam ahead, Mike🚂😎
Hi Chris and friends. Harry here from Henning's Trains. As a dealer that has done this all my life we see lots of people using credit cards. We don't recommend it for the larger purchases. 😂 Honestly we recommend using lay a Way. We have had our lay a way since the 40s and 50s. My grandfather and dad had started it following what the big department stores were doing way back then to help people afford items back then. We have done this with no extra charges. We found it works better for our customers an it has given them more flexibility to buy not having those extra charges. This also allowed to buy New or Used from us and put on lay a way. Having these flexibility with out extra charges allows our customers to afford some extra items.
Very true, Chris. It is easy to get underwater with your credit cards, for sure. I've always used PayPal, when I buy on eBay, which is the only place that I can find AMT passenger cars. There is a number of dealers that also accept PayPal. When I retired from my railroad career, in April of 2023, it was a change in income, but it took a while for that reality to set in. My fellow retirees told me that it takes about a year to a year and a half, to really get used to being retired and changing your spending habits, especially after 30 years of work. I stuck to my budget at York this year and got some of what I wanted. One dealer put out a handful of AMT cars on Saturday, after I reached my limit. As much as I really wanted them, I just had to walk, which I never do when it comes to AMT. Great advice and an excellent video, as always.
Hey Chris, great advice. Thanks for putting this together because I believe there are a lot of folks in the hobby that deal with over-extending themselves. Keep up the great work!
Thanks dad! Great video. I wish my dad had this kind of talk with me when I was in my teens. But I’ve been fortunate to have a good paying job and an understanding spouse who doesn’t mind if I spend a few hundred dollars on a new locomotive once a year. Oh, and that Amtrak set at 8:22 really got my attention!
Your emphasis on disciplined saving and spending is a great reminder for anyone to follow, Chris. Creating a budget fund with the goal of being able to pay off the expenses you're planning to take on can avoid the debt trap, as long as you're following the plan. Smart advice, especially at this time of the year when spending can get out-of-hand.
The toy exchange in Mt Airy MD will give you a better deal with cash and bundling items like at a show, they recently got in a great collection of 1:50 scale cat diecast vehicles
Chris, it's a very good idea to address the financial realities of a hobby like this considering it does come with a high cost. Wealth planning is something every person should be aware of and keeping yourself out of debt (a "good" mortgage is ok) is one of the most critical components of it. You laid out a number of good points and suggestions for individuals, excellent video!
Chris you were preaching in this one bro! I have become very focused in the last decade. This really helps limit my purchases but still provide the satisfaction of getting something that I want to add to my collection. Thanks for the reality check.
Excellent video. Thank you for sharing you tips and ideas with us. Thank you also for your transparency, I think us "others" forget that you "TH-cam'rs" move through life with real life things and these trains and layouts just fall at your door. Thank you for your wisdom and growth. Stay safe and Happy Thanksgiving.
My wife doesn't care much for trains, but she accepts my 'addiction' for them and goes with me to train shops and shows. One thing that keeps me out of trouble is that whether I buy from a store, show, online, or pre-order, I let her know how much I want or intend to spend and see if she agrees to whether or not we can afford it. I don't always get what I want, but our bills always get paid, there's always food on the table, we have money in our bank account, and (most importantly) she's not mad at me for doing something stupid. Asking forgiveness instead of permission is not always the best course of action.
Great video Chris and a lot of great information for people in the hobby. It’s easy to over spend in this hobby I’m asked all the time how I can buy things. All my boys are grown up. all my houses are paid for and we have 3 Airbnbs. Me and my wife have full time jobs. There was a time I wasn’t buying trains we were saving for our retirement and paying off our mortgage. It all takes time and as long as you’re having fun and enjoying your collection that’s all that matters!!!
Chris, you're a great example of what anyone can do when they are patience and disciplined early on. I appreciate your comment. I think we will see a few comments on this video from those that are not ready to hear the message...
Thanks for having a frank discussion of this topic. Good point about the dopamine. I'll throw in my 2 cents. I use credit cards for almost everything because I get a 2% rebate - $2 for every $100 spent adds up. I would pay by cash or check if the merchant would give a discount for not using a CC, but few do that anymore. The key word is discipline - charge only what you can afford, and pay it off in full every month - in over 40 years of credit card usage, I've paid ZERO in finance charges. I also took a personal finance class in high school - learned all about how loans, finance charges, etc. add up - every kid should do this. Remember that trains are a discretionary luxury good - don't buy anything until your obligations are covered.
Good advice. I found the preorder route is a good way to go. Then I try to put a little aside every month. Also me not allowing my layout to have wider ratius curves also helps me eliminate the higher dollar locomotives. Ken
I really appreciated your video. Thank you for the reality of what is an expensive hobby and sharing good money habits! I enjoyed listening to you and hearing the trains in the background. It was a great balance
As always a good video Chris. You bring up a lot of good points and even better explain your own process. It's always good to have a perspective on how others manage their hobby. If I pre order, from the moment I make that call I am putting funds away for that item. With the lead times it's usually pretty easy to make that goal if not more. Have a great Thanksgiving!
Great video! I learned budgeting as a kid and enjoyed the refresher course. I love looking for that deal and swapping. I'm trying to teach myself electronics and adding DCC to older DC models. I have pretty good will power as I'm building a new layout this winter. All of the points that you made are important in enjoying the hobby.
Chris, this is a great video and thank you for sharing it and it is very helpful to me. I do like the Alaska train set you have there and all of the passenger cars you have for it❤❤❤❤❤❤
Great video and advice. The one thing hardly anyone is ready for is sudden change in budget. Our income took a hard hit recently when my wife was laid off. The train budget definitely took a severe hit and I'm not sure when I will be back to buying anything train related. We just keep praying
Excellent video, and a lot of points that I resonate with and would even add to: 1) The credit cards thing is absolutely huge. My wife and I will use our credit cards online for the sake of security (if something is compromised, at least fraudulent charges are not tied directly to a bank account) but will always either immediately pay that balance, or at the very least pay it off within the statement cycle. 2) Maybe I am just a more frugal person, but very rarely do I walk out of a hobby shop with something. I may watch half a dozen versions of the same thing go by on ebay before finally getting it. Point is, just as you say, be disciplined, and take time; things always come up. For over 10 years (high school through college and two children later) I watched and waited for the right opportunity to get Lionel’s Legacy Santa Fe 3751, and I at last have it, but not on a wim. Thanks for a great video and for reminding us that the bottom line is responsibility and discipline, not to mention having everything in the right order according to one’s means.
Well said Chris! I have been in the Hobby since 1972, but I have only been in to O-scale since 2007. some years I add 1 Train Car a month. Other years I add none. I don't own any O-scale steamers and I am okay with that. I sold my entire N-scale collection in 2015 and used most of the proceeds to buy most of my HO scale Collection. I resell on Ebay when I need to. I seldom do pre-orders, I just say no to myself and do without until I find the item on Ebay or at a Train Shop. When I put Trains on my credit card, I do w/o anything new until the card is paid to zero again. This all takes incredible patience, but that is what it takes in my life. Great Video, Thanks for Sharing!
im poor,...i have 4 train locos...but they are absolutely awesome and my favs....i decided early to by few but the best,..so i did...i run everything i own consistently...nothing sits on a shelf ,.nothing is there just to gaze at...there are different aspects of this hobby..the runners and the collectors..i am a runner...the hobby will not get rich off me...real life rules my hobby..but in the end both hobbyists enjoy the same endgame...enjoyment of something you put your heart and soul into.....and isnt that what its all about...
If I pre order something I typically save up for it and pay for it with cash. Usually I’ll have the right amount saved up for when the preorder comes in at the end of the year
Here’s something I do. If I see something online I do not pull the trigger right away. I consider it for 24 to 48 hours then make my decision. At that point if I decide to buy and it’s still available okay, if it’s gone it’s gone. Thanks for the great video. It’s something we should all practice.
I worked in an essential service industry dealing with individuals who would habitually run into financial trouble. A large portion of those individuals actually had the resources to pay, but really had little concept of budgeting. Binge and credit spending was the norm for them. We’d spend a good time helping them manage their expenses and in a reasonable amount of time, they’d get their finances under control. Seems to me that we are failing in schools or wherever in not teaching people basic life skills - and as you note, the problems with credit card spending.
If you dont have it, dont spend it. I have a friend who went through a divorce because of overspending on this hobby, then had to sell his entire collection. Great video, Chris 🙏
Great video… discipline is the key. Personally, I have a budgeted amount put into my train account each month. I track my preorders on a spread sheet by ETA date, so I have an idea of how much money I need to cover items coming in and how much money I have available for cash to take to train shows. Any extra money is generally used to purchase scenery items for the layout.
The key to using a credit card is to be disciplined to Always Pay Off the Charges each billing cycle. That has helped me to have some discretion on what I buy, if I buy. The other thing I do now is to sell off parts of the collection that I’ve lost interest in before buying something new, just as you described. But the most important thing is to spreadsheet your collection and be truthful about its worth so should something stupid happens to you, your family has some idea of what can be recouped.
I guess I am lucky... I love Lionel, but I love the old Lionel. You can find them every where from antique store, garages sales and church rummage sales. I also feel in love in the late 70s / early 80s, when all the ads for Lionel was some train whipping around the classic tight corner, which to me says "Lionel"... I am not into these new huge trains that take giant radius's. I have wanted for years a Lionel Blue Streak... a couple of weeks ago at a rummage sale in a church basement, I bought a whole box of Lionel T track (which I like for display) for a whooping $10...in the bottom of the box where a Torpedo and a Commodore Blue Streak with its cars all in their original box... but if you are willing to look, there are always finds. Also, as long as you aren't a size queen, lol, into these new super huge to scale engines, the hobby can be pretty affordable. I just got the Great Lake train with all four passenger cars for $135... can you imagine, $135 won't even buy you a new fancy passenger car, much less 4 and the train! No, it doesn't have all kinds of weird electronics, so it doesn't talk or whatever... but it runs flawlessly and I don't have to worry about chips burning up or technology changing.
Chris HAPPY THAnksgiving to you and your family this video you made is a great tool for those of us who love the hobby yet we can control what we spend I'm an N scaler I have twelve Amtrak trains on my 4x12 layout all kato uni track with 17 turnouts I have 30 P42s in my fleet and on a very sad note Amtrak P42 genesis 50th anniversary heritage unit #161 caught fire at the Ivy city yard in Washington I am retired with my wife but I always have a little disposable income for things THANK YOU CHRIS for being a great ambassador to our hobby GOD BLESSINGS TO YOU AND YOUR FAMILY
Fantastic video Chris 👍 Well said, informative and good tips.. I wish you posted this about 10 years ago...I went through time when I charged so much then I did a panic sell on eBay for pennies on the dollar 😢
One thing that helps is to stay on target. I model Chessie in the 80's; it would make no sense for me to purchase the latest and greatest incarnation of UP's Big Boy from Scale Trains. Conversely speaking, it would also be a waste of money if I got a great deal on say an Atlas Alco RS-3 because the potentially great price on a great model, it doesn't fall within my target of modeling the Chessie System of the 1980's.
Great advice young man and I'm in my 60's now and would only suggest that people have one credit card for emergencies cause life happens and will help your credit scores as long as you do the right thing with payments. But try to keep the balance low . This hobby is very expensive as We all know! Great video 👍👍👏👏
I put most things on a debit card but I do typically take cash to train shows. I never use a credit card unless I know I can pay it off almost immediately. I got into a LOT of credit card debt years ago, so lesson learned.
Sound advice all around. One thing I tend to see from a lot of people who aren't in the hobby is the assumption that a collection is built all at once and you're somehow automatically wealthy for it.
Oh man I did that at first especially after I discovered TH-cam and all the guys with all the trains and I let myself get out of hand a little bit but luckily my wife, how to conversation with me and I was able to reel everything back in And one thing was a video you put out about never putting Trains on credit cards So I’m sure you will reach a lot of people with this video Thank You Friend You and Sean’s train depot are the best guys to trust
Before I retired, I bought what ever I wanted whenever I could. I did have a top end budget that I routinely used. The problem was after getting everything I thought I needed I had to find a place to store the collection. Two (2) 20 by 20 Storage Container, the garage attic, the regular attic later it became I had a major problem. Combine that with we downsized from a 4K SQ FT i had no more space for the collection. $10k later , moving expense, I decided to sell off a good chunk of it. Add in the Insurance to cover them this had become a bottomless pit. I am down to 1,500 pcs of rolling stock and 100 engines. I recently sold a Lionel Milwaukee Road S3 and the matching cars for $2.5 K on Marketplace. Bottom line, I am selling off what I don’t use or need and will keep what I like then better manage my resources. I also realized that I don’t need everything issued bu Lionel, MTH, Atlas or 3RD Rail. Today I sold $6.5k of my collection which were items I bought and never used. No credit cards used. Pre buy only. Overall great video.
I hope people take your advise. I was taught to "live within your means". There is one cost associated with ordering on line and it has become quite expensive over the last few years. That is SHIPPING. Its crazy what is being charged and that adds to the overall cost to a pre order or any order. When items come in one at a time and you ordered several, it becomes even more expensive. Instead of one shipping charge, you end up with several. I wish they can wait to ship once your entire order is in. However, they need the space and you also may not want to wait. Hopefully, the reason behind the high shipping cost will change.
Another key to having money for trains is to buy a modest house and don't feel compelled to trade up every few years. Pay it off, and you'll have plenty of discretionary funds. I've noticed that a lot of guys with great layouts have lived in the same house for 20+ years.
A great tutorial with some VERY sound advice Chris! There's not much I can add but I'll add what works for me. First off, remember that that article you're looking at and considering buying is a TOY. Nothing more, nothing less. An expensive toy for big kids but a toy none the less. Never forget that. Other things have to come before toys. Second, I won't spend money for features I'll never use. Certainly it's amazing what todays models will do but those electronics come at a cost, a BIG cost. Having worked with electronics it wouldn't surprise me to hear the electronics in the models represent nearly 75% of the retail price. I'm a conventional runner anyway and have no interest in doing otherwise so I'm not paying for those gee-whiz features which are of no use to me. And besides high-tech stuff gives me a headache. (What I AM doing is buying Post-Wars and making my own custom jobs. But that's another story for another time.) And absolutely pay cash whenever you can! Watching that wad of cabbage in the wallet disappear is a powerful discipline inducer! It's stopped me cold plenty of times! "Do I REALLY need this?" And always be realistic. We've all see the videos of guys with mega-collections and may be envious but look down the road a bit, sooner or later it's going to have to go. You can't take it with you. The Egyptians tried it, it didn't work. Personally I don't WANT that much stuff. Anyway, just a few thoughts. "Free advice costs nothing and it's worth the price!"
Talk about Self Control. That is the way to go with these. I think your Ready for Dave Ramsey. You'd be a good coach! Good Video. Not enough people are straight up about cost. Tell it how it is , No sugar coating. Cheers!
I took thr DR financial peace years ago, i haven uses credit cards since,i sometimes wrestle into the old gotta have it now..but lately i keep telling myself i have enough trains.Work on your scenery for awhile. Save my money cause i may change my mind and see something else i like better
Wonderful video! Thank you. At some point I think you need to make a decision to stop buying. For me its a feeling when I've reached a saturation point. Then the urge to keep buying gets less. Of course saying this is easier than doing it. I think it's a challenge for all collectors and we need to be careful not to get in over our heads.
I use my credit card for two reasons. First, I must be able to pay it off BEFORE their interest begins to accrue and second, I like getting the level of cash back from my card use. It does take discipline but it's not rocket science. The big thing about using a credit card is to be sure you can pay it off completely before you buy. To do this, I save up for a few or several months before I put an expense on my credit card. Never carry a balance on your credit card. Chris is 100% right when he says get your card balance paid off ASAP. Proper use of a credit card is great but don't abuse the privilege.
I do Ho and N scale after switching from O. The reason for that was because I could not realistically do what I want in O when compared to HO and N. But even after switching I don't go and grab everything. I keep a running list of items I am looking for. and every show that I go to I have a set cash budget and never deviate from that. Once I am out of cash or don't find anything then I am done completely at that show.
I try to buy as much as possible at train shows because you can haggle over price sometimes and buy second hand. But I do buy things from my dealer and pay over time usually three months or so for an engine.
Thank you for saying this, I have great money management but so many of my friends and family are horrible, just as the average person. It is sad to see
The only way to afford anything is work and disciplined buying over time. And if you can't afford it, don't buy it. I got a big collection over the course of 40 years, with about 20 years of real acquisition. Noa, ßi rarely guy any model train stuff, and focus more on building the layout, again not getting anything too expensive
Personally for me I focus on buying more rolling stocks since I have 4 different types of engines. It’s more affordable since I’m putting myself through school.
My secret is to have my trains shipped to my work address and sneak them into the house later. It's always easier to beg for forgiveness than ask for permission. Ha Ha!! That was the old me - then I grew up.
I need a support group for my o scale addiction. 😂 jk this video popped up and I get it. I like buying mpc era trains that have dc motors and installing a blunami board and LEDs. Typically is cheaper and keeps me busy enough between buys.
I rarely do impulse buying when it comes to locomotives. Normally, I just buy those after Christmas, my birthday, train shows, and any dealers I may stop at on vacation.
Great line up for ways to pay for trains. Cash is king, debit card is second, credit cards should be avoided at all costs! 😂 Never get in dept, if your going to put it on a credit card you probably don't really need that train 😂 Oh ya and train stores are dangerous! Never bring a credit card to a train store! 🤣 Happy thanksgiving!
It is somewhat surprising to find the best financial advise on a toy train site. And it certainly does not apply to just buying train. Today's credit card interest rates were considered "loan shark" rates (and criminal) when I was young. I am glad I only have a casual interest in model train because the prices are obscene and collecting could do serious damage to someone financial situation.
I have no credit Cards.I have debit card I use to order.I really don’t have a train spending problem.I have approximately 13 Trains.I have enough to have fun
Great video! I think this is really going to help a lot of people understand and enjoy this hobby a whole lot more! Being on the younger side I really appreciate your sharing your experience! Also, what are you selling your Alaska set for? I’ve been thinking about getting some Alaska stuff over the next couple years but I don’t know what an ideal cost would be. What would you say the best prices are for the engines or cars separately?
Excellent video and advice. I didn’t participate in the hobby from the time I entered high school in 1967 until my sons had all finished their college in 2005. My wife encouraged me to get back into the hobby and I did. She passed away a little over a year ago, but the hobby and the friends I’ve made have helped me tremendously. You are wise beyond your years. Life comes at us very rapidly and we certainly never know what the future may bring.
Nice approach to doing a much needed video. The key word you mentioned, and I can't stress it enough, is "discipline." If I may add some advice to your viewers, then this is what I'd say. Just about all of us are on direct deposit with our paychecks from our employers. Most HR departments allow you to deposit your check into more than one account. Set up a separate savings account and have between 5 to 10% of your income going into this separate train-buying account. You'll need to slightly adjust your budget to reflect the slight loss of weekly income, but you'll have more than enough buying power when the catalogs roll out. It's money that you won't miss each week that builds up over time. Just my 2 cents to add to keep hobbyists from getting into financial trouble.
Agreed. This is what I did for a long time before developing alternate revenue streams for the hobby. I still take a small amount and move it to my train fund every pay day. Again, being disciplined and only spending from that account is key.
Best. Video. Ever. So much GREAT advice in this video. Not just about trains, but about life in general.
This is your best video yet! It touches on the important things in life that we tend to forget about. Well done Chris!
Thanks!
I rebuilt my collection by using PayPal Pay in 4, which is interest-free. It was the easiest and most convenient way for me to buy trains, but with responsibility.
How do they make money off pay in 4
I agree, I used PayPal pay in 4 also. It's a great way to pay for expensive items especially locomotives.
I think they stopped that
@Bdmrr enough people default on it, they make money on the fees and deferred interest. Not to mention. When you do it the heavily promote their credit services: 6 months no interest if paid in full, and they make money on that the same way... defaults and pushing a PayPal credit card.
@@JasperJokerIIthey still have it.
This gives me the feeling like I was back sitting in school, but much more enjoyable! Nicely written Chris.
Chris, great video I think the community really needs to hear this. This is a much needed video.
This should be the first video anyone getting into the hobby should watch (unless you’re literally pooping out money).
That was a really good life lesson and a great Video Chris! The only time that I’ve ever use my credit card is for other than buying gas for my car or my dogs pet food is buying small parts and components for my engines and accessories. I’m planning to cut back a little and focus more on my other expenses. I will try to preorder at least one Locomotive yearly and a small majority of rolling stock. I’m also planning to sell some of my old trains to make space for some Newer trains. It’s just like redesigning your living space. Happy Railroading and full steam ahead, Mike🚂😎
Hi Chris and friends.
Harry here from Henning's Trains.
As a dealer that has done this all my life we see lots of people using credit cards.
We don't recommend it for the larger purchases. 😂
Honestly we recommend using lay a Way.
We have had our lay a way since the 40s and 50s. My grandfather and dad had started it following what the big department stores were doing way back then to help people afford items back then.
We have done this with no extra charges.
We found it works better for our customers an it has given them more flexibility to buy not having those extra charges.
This also allowed to buy New or Used from us and put on lay a way.
Having these flexibility with out extra charges allows our customers to afford some extra items.
Very true, Chris. It is easy to get underwater with your credit cards, for sure. I've always used PayPal, when I buy on eBay, which is the only place that I can find AMT passenger cars. There is a number of dealers that also accept PayPal. When I retired from my railroad career, in April of 2023, it was a change in income, but it took a while for that reality to set in. My fellow retirees told me that it takes about a year to a year and a half, to really get used to being retired and changing your spending habits, especially after 30 years of work. I stuck to my budget at York this year and got some of what I wanted. One dealer put out a handful of AMT cars on Saturday, after I reached my limit. As much as I really wanted them, I just had to walk, which I never do when it comes to AMT. Great advice and an excellent video, as always.
Hey Chris, great advice. Thanks for putting this together because I believe there are a lot of folks in the hobby that deal with over-extending themselves. Keep up the great work!
Thanks dad! Great video. I wish my dad had this kind of talk with me when I was in my teens. But I’ve been fortunate to have a good paying job and an understanding spouse who doesn’t mind if I spend a few hundred dollars on a new locomotive once a year. Oh, and that Amtrak set at 8:22 really got my attention!
Your emphasis on disciplined saving and spending is a great reminder for anyone to follow, Chris. Creating a budget fund with the goal of being able to pay off the expenses you're planning to take on can avoid the debt trap, as long as you're following the plan. Smart advice, especially at this time of the year when spending can get out-of-hand.
The toy exchange in Mt Airy MD will give you a better deal with cash and bundling items like at a show, they recently got in a great collection of 1:50 scale cat diecast vehicles
Chris, it's a very good idea to address the financial realities of a hobby like this considering it does come with a high cost. Wealth planning is something every person should be aware of and keeping yourself out of debt (a "good" mortgage is ok) is one of the most critical components of it. You laid out a number of good points and suggestions for individuals, excellent video!
Chris you were preaching in this one bro! I have become very focused in the last decade. This really helps limit my purchases but still provide the satisfaction of getting something that I want to add to my collection. Thanks for the reality check.
Keep it up!
Excellent video. Thank you for sharing you tips and ideas with us. Thank you also for your transparency, I think us "others" forget that you "TH-cam'rs" move through life with real life things and these trains and layouts just fall at your door. Thank you for your wisdom and growth. Stay safe and Happy Thanksgiving.
My wife doesn't care much for trains, but she accepts my 'addiction' for them and goes with me to train shops and shows. One thing that keeps me out of trouble is that whether I buy from a store, show, online, or pre-order, I let her know how much I want or intend to spend and see if she agrees to whether or not we can afford it. I don't always get what I want, but our bills always get paid, there's always food on the table, we have money in our bank account, and (most importantly) she's not mad at me for doing something stupid. Asking forgiveness instead of permission is not always the best course of action.
Great video Chris and a lot of great information for people in the hobby. It’s easy to over spend in this hobby I’m asked all the time how I can buy things. All my boys are grown up. all my houses are paid for and we have 3 Airbnbs. Me and my wife have full time jobs. There was a time I wasn’t buying trains we were saving for our retirement and paying off our mortgage. It all takes time and as long as you’re having fun and enjoying your collection that’s all that matters!!!
Chris, you're a great example of what anyone can do when they are patience and disciplined early on. I appreciate your comment. I think we will see a few comments on this video from those that are not ready to hear the message...
@ thank you 🙏 it takes time and discipline. and thank you for all your support with the hobby we all love and share!
Thanks for having a frank discussion of this topic. Good point about the dopamine. I'll throw in my 2 cents. I use credit cards for almost everything because I get a 2% rebate - $2 for every $100 spent adds up. I would pay by cash or check if the merchant would give a discount for not using a CC, but few do that anymore. The key word is discipline - charge only what you can afford, and pay it off in full every month - in over 40 years of credit card usage, I've paid ZERO in finance charges. I also took a personal finance class in high school - learned all about how loans, finance charges, etc. add up - every kid should do this. Remember that trains are a discretionary luxury good - don't buy anything until your obligations are covered.
This is a very interesting to the point no bull video. I am going through this. And it is so important to not buy yourself broke 👍
Great video Chris. Spot on!
I liked the gift card at Trainland idea!
Excellent video, Chris. It’s something that’s not talked about much in our hobby but should be. Thanks for sharing!
Some very sound advice. Thanks for sharing this.
Excellent subject and advice for any hobby and life in general...well done.
Good advice. I found the preorder route is a good way to go. Then I try to put a little aside every month. Also me not allowing my layout to have wider ratius curves also helps me eliminate the higher dollar locomotives. Ken
I really appreciated your video. Thank you for the reality of what is an expensive hobby and sharing good money habits! I enjoyed listening to you and hearing the trains in the background. It was a great balance
As always a good video Chris. You bring up a lot of good points and even better explain your own process. It's always good to have a perspective on how others manage their hobby. If I pre order, from the moment I make that call I am putting funds away for that item. With the lead times it's usually pretty easy to make that goal if not more. Have a great Thanksgiving!
Thanks 👍
Great video! I learned budgeting as a kid and enjoyed the refresher course. I love looking for that deal and swapping. I'm trying to teach myself electronics and adding DCC to older DC models. I have pretty good will power as I'm building a new layout this winter. All of the points that you made are important in enjoying the hobby.
This video is gonna blow up, like, FAST.
Chris, this is a great video and thank you for sharing it and it is very helpful to me. I do like the Alaska train set you have there and all of the passenger cars you have for it❤❤❤❤❤❤
Great video and advice. The one thing hardly anyone is ready for is sudden change in budget. Our income took a hard hit recently when my wife was laid off. The train budget definitely took a severe hit and I'm not sure when I will be back to buying anything train related. We just keep praying
Excellent video, and a lot of points that I resonate with and would even add to:
1) The credit cards thing is absolutely huge. My wife and I will use our credit cards online for the sake of security (if something is compromised, at least fraudulent charges are not tied directly to a bank account) but will always either immediately pay that balance, or at the very least pay it off within the statement cycle.
2) Maybe I am just a more frugal person, but very rarely do I walk out of a hobby shop with something. I may watch half a dozen versions of the same thing go by on ebay before finally getting it. Point is, just as you say, be disciplined, and take time; things always come up. For over 10 years (high school through college and two children later) I watched and waited for the right opportunity to get Lionel’s Legacy Santa Fe 3751, and I at last have it, but not on a wim.
Thanks for a great video and for reminding us that the bottom line is responsibility and discipline, not to mention having everything in the right order according to one’s means.
Well said Chris! I have been in the Hobby since 1972, but I have only been in to O-scale since 2007. some years I add 1 Train Car a month. Other years I add none. I don't own any O-scale steamers and I am okay with that. I sold my entire N-scale collection in 2015 and used most of the proceeds to buy most of my HO scale Collection. I resell on Ebay when I need to. I seldom do pre-orders, I just say no to myself and do without until I find the item on Ebay or at a Train Shop. When I put Trains on my credit card, I do w/o anything new until the card is paid to zero again. This all takes incredible patience, but that is what it takes in my life. Great Video, Thanks for Sharing!
I always use the PayPal pay in 4! Great video, Chris and an awesome subject! Nicely done! Happy Thanksgiving!🦃💯
This video hits home for must hobbyists that I know…
Very well done! Thanks for making this.
This was a great video, thanks Chris!
Glad you enjoyed it!
Very helpful information for the model railroad industry 👍🏻✨️✨️✨️✨️✨️
im poor,...i have 4 train locos...but they are absolutely awesome and my favs....i decided early to by few but the best,..so i did...i run everything i own consistently...nothing sits on a shelf ,.nothing is there just to gaze at...there are different aspects of this hobby..the runners and the collectors..i am a runner...the hobby will not get rich off me...real life rules my hobby..but in the end both hobbyists enjoy the same endgame...enjoyment of something you put your heart and soul into.....and isnt that what its all about...
Thanks Chris, very interesting look at train purchases. Great video.
If I pre order something I typically save up for it and pay for it with cash. Usually I’ll have the right amount saved up for when the preorder comes in at the end of the year
Here’s something I do. If I see something online I do not pull the trigger right away. I consider it for 24 to 48 hours then make my decision. At that point if I decide to buy and it’s still available okay, if it’s gone it’s gone. Thanks for the great video. It’s something we should all practice.
Great video Chris! Well done!!
Nice to see videos like this instead of people showing off 20k worth of trains they bought at york
I worked in an essential service industry dealing with individuals who would habitually run into financial trouble. A large portion of those individuals actually had the resources to pay, but really had little concept of budgeting. Binge and credit spending was the norm for them. We’d spend a good time helping them manage their expenses and in a reasonable amount of time, they’d get their finances under control. Seems to me that we are failing in schools or wherever in not teaching people basic life skills - and as you note, the problems with credit card spending.
If you dont have it, dont spend it. I have a friend who went through a divorce because of overspending on this hobby, then had to sell his entire collection. Great video, Chris 🙏
Great video… discipline is the key. Personally, I have a budgeted amount put into my train account each month. I track my preorders on a spread sheet by ETA date, so I have an idea of how much money I need to cover items coming in and how much money I have available for cash to take to train shows. Any extra money is generally used to purchase scenery items for the layout.
The key to using a credit card is to be disciplined to Always Pay Off the Charges each billing cycle. That has helped me to have some discretion on what I buy, if I buy. The other thing I do now is to sell off parts of the collection that I’ve lost interest in before buying something new, just as you described. But the most important thing is to spreadsheet your collection and be truthful about its worth so should something stupid happens to you, your family has some idea of what can be recouped.
Thank you this video helped out a lot.
I guess I am lucky... I love Lionel, but I love the old Lionel. You can find them every where from antique store, garages sales and church rummage sales. I also feel in love in the late 70s / early 80s, when all the ads for Lionel was some train whipping around the classic tight corner, which to me says "Lionel"... I am not into these new huge trains that take giant radius's. I have wanted for years a Lionel Blue Streak... a couple of weeks ago at a rummage sale in a church basement, I bought a whole box of Lionel T track (which I like for display) for a whooping $10...in the bottom of the box where a Torpedo and a Commodore Blue Streak with its cars all in their original box... but if you are willing to look, there are always finds. Also, as long as you aren't a size queen, lol, into these new super huge to scale engines, the hobby can be pretty affordable. I just got the Great Lake train with all four passenger cars for $135... can you imagine, $135 won't even buy you a new fancy passenger car, much less 4 and the train! No, it doesn't have all kinds of weird electronics, so it doesn't talk or whatever... but it runs flawlessly and I don't have to worry about chips burning up or technology changing.
Chris HAPPY THAnksgiving to you and your family this video you made is a great tool for those of us who love the hobby yet we can control what we spend I'm an N scaler I have twelve Amtrak trains on my 4x12 layout all kato uni track with 17 turnouts I have 30 P42s in my fleet and on a very sad note Amtrak P42 genesis 50th anniversary heritage unit #161 caught fire at the Ivy city yard in Washington I am retired with my wife but I always have a little disposable income for things THANK YOU CHRIS for being a great ambassador to our hobby GOD BLESSINGS TO YOU AND YOUR FAMILY
Great video 👍 good advice in general be patient and smart excellent advice and video 👍
It’s Not A Race Little By Little it’s A Passion Patience Thing.we Like What we See we Buy it.
Fantastic video Chris 👍 Well said, informative and good tips.. I wish you posted this about 10 years ago...I went through time when I charged so much then I did a panic sell on eBay for pennies on the dollar 😢
One thing that helps is to stay on target. I model Chessie in the 80's; it would make no sense for me to purchase the latest and greatest incarnation of UP's Big Boy from Scale Trains. Conversely speaking, it would also be a waste of money if I got a great deal on say an Atlas Alco RS-3 because the potentially great price on a great model, it doesn't fall within my target of modeling the Chessie System of the 1980's.
Great advice young man and I'm in my 60's now and would only suggest that people have one credit card for emergencies cause life happens and will help your credit scores as long as you do the right thing with payments. But try to keep the balance low . This hobby is very expensive as We all know! Great video 👍👍👏👏
I put most things on a debit card but I do typically take cash to train shows.
I never use a credit card unless I know I can pay it off almost immediately. I got into a LOT of credit card debt years ago, so lesson learned.
Trouble is that once you have been bitten by the model train bug, you're a goner. Suddenly you have 10 locos, 50 then 100! What a wonderful hobby!
Great advice for collecting, I do use a credit card for gas, etc, but have it pd in full from bank account so there's a $0 debt balance on it.
Sound advice all around. One thing I tend to see from a lot of people who aren't in the hobby is the assumption that a collection is built all at once and you're somehow automatically wealthy for it.
Oh man I did that at first especially after I discovered TH-cam and all the guys with all the trains and I let myself get out of hand a little bit but luckily my wife, how to conversation with me and I was able to reel everything back in
And one thing was a video you put out about never putting Trains on credit cards
So I’m sure you will reach a lot of people with this video
Thank You Friend
You and Sean’s train depot are the best guys to trust
Before I retired, I bought what ever I wanted whenever I could. I did have a top end budget that I routinely used. The problem was after getting everything I thought I needed I had to find a place to store the collection. Two (2) 20 by 20 Storage Container, the garage attic, the regular attic later it became I had a major problem. Combine that with we downsized from a 4K SQ FT i had no more space for the collection. $10k
later , moving expense, I decided
to sell off a good chunk of it. Add
in the Insurance to cover them this had become a bottomless pit. I am down to 1,500 pcs of rolling stock and 100 engines.
I recently sold a Lionel Milwaukee Road S3 and the matching cars for $2.5 K on Marketplace. Bottom line, I am selling off what I don’t use or need and will keep what I like then better manage my resources. I also realized that I don’t need everything issued bu Lionel, MTH, Atlas or 3RD Rail.
Today I sold $6.5k of my collection which were items I bought and never used.
No credit cards used. Pre buy only.
Overall great video.
I hope people take your advise. I was taught to "live within your means". There is one cost associated with ordering on line and it has become quite expensive over the last few years. That is SHIPPING. Its crazy what is being charged and that adds to the overall cost to a pre order or any order. When items come in one at a time and you ordered several, it becomes even more expensive. Instead of one shipping charge, you end up with several. I wish they can wait to ship once your entire order is in. However, they need the space and you also may not want to wait. Hopefully, the reason behind the high shipping cost will change.
Another key to having money for trains is to buy a modest house and don't feel compelled to trade up every few years. Pay it off, and you'll have plenty of discretionary funds. I've noticed that a lot of guys with great layouts have lived in the same house for 20+ years.
A great tutorial with some VERY sound advice Chris! There's not much I can add but I'll add what works for me.
First off, remember that that article you're looking at and considering buying is a TOY. Nothing more, nothing less. An expensive toy for big kids but a toy none the less. Never forget that. Other things have to come before toys.
Second, I won't spend money for features I'll never use. Certainly it's amazing what todays models will do but those electronics come at a cost, a BIG cost. Having worked with electronics it wouldn't surprise me to hear the electronics in the models represent nearly 75% of the retail price. I'm a conventional runner anyway and have no interest in doing otherwise so I'm not paying for those gee-whiz features which are of no use to me. And besides high-tech stuff gives me a headache.
(What I AM doing is buying Post-Wars and making my own custom jobs. But that's another story for another time.)
And absolutely pay cash whenever you can! Watching that wad of cabbage in the wallet disappear is a powerful discipline inducer! It's stopped me cold plenty of times! "Do I REALLY need this?"
And always be realistic. We've all see the videos of guys with mega-collections and may be envious but look down the road a bit, sooner or later it's going to have to go. You can't take it with you. The Egyptians tried it, it didn't work. Personally I don't WANT that much stuff.
Anyway, just a few thoughts. "Free advice costs nothing and it's worth the price!"
Talk about Self Control. That is the way to go with these. I think your Ready for Dave Ramsey. You'd be a good coach! Good Video. Not enough people are straight up about cost. Tell it how it is , No sugar coating. Cheers!
great video, great advice, always getting trains for Christmas
When is your guest appearance on the Ramsey show? Very practical advice. Well done.
I took thr DR financial peace years ago, i haven uses credit cards since,i sometimes wrestle into the old gotta have it now..but lately i keep telling myself i have enough trains.Work on your scenery for awhile. Save my money cause i may change my mind and see something else i like better
Wonderful video! Thank you. At some point I think you need to make a decision to stop buying. For me its a feeling when I've reached a saturation point. Then the urge to keep buying gets less. Of course saying this is easier than doing it. I think it's a challenge for all collectors and we need to be careful not to get in over our heads.
Any gift card can also be used for online purchases because I shopped online on gift cards before.
I use my credit card for two reasons. First, I must be able to pay it off BEFORE their interest begins to accrue and second, I like getting the level of cash back from my card use. It does take discipline but it's not rocket science. The big thing about using a credit card is to be sure you can pay it off completely before you buy. To do this, I save up for a few or several months before I put an expense on my credit card. Never carry a balance on your credit card. Chris is 100% right when he says get your card balance paid off ASAP. Proper use of a credit card is great but don't abuse the privilege.
Hi Chris
I use Legacy Station. They allow me to pay in full on preorders.
Well said and very much appreciated. Thanks Chris 👍
I do Ho and N scale after switching from O. The reason for that was because I could not realistically do what I want in O when compared to HO and N. But even after switching I don't go and grab everything. I keep a running list of items I am looking for. and every show that I go to I have a set cash budget and never deviate from that. Once I am out of cash or don't find anything then I am done completely at that show.
I'll go to a show and spend 1k easily but I only shop a few times a yr and get items that keep me busy on the layout til the next round
I try to buy as much as possible at train shows because you can haggle over price sometimes and buy second hand. But I do buy things from my dealer and pay over time usually three months or so for an engine.
Chris I am going to York this weekend can you recommend a diner or family style restaurant that serves decent food for me and wife.
Thanks
Tom
I’m not too familiar with the food spots in York as I am Lancaster. Sorry!
Thanks Chris
We are actually staying in Lancaster for the weekend, tonight we going to try the Manor buffet.
Thank you for saying this, I have great money management but so many of my friends and family are horrible, just as the average person. It is sad to see
Great advice Chris!
Thanks for watching!
What is the product name and source for the aluminum extrusion that you are using for the display shelves behind you on the wall ?
The only way to afford anything is work and disciplined buying over time. And if you can't afford it, don't buy it. I got a big collection over the course of 40 years, with about 20 years of real acquisition. Noa, ßi rarely guy any model train stuff, and focus more on building the layout, again not getting anything too expensive
Personally for me I focus on buying more rolling stocks since I have 4 different types of engines. It’s more affordable since I’m putting myself through school.
My secret is to have my trains shipped to my work address and sneak them into the house later. It's always easier to beg for forgiveness than ask for permission. Ha Ha!! That was the old me - then I grew up.
I need a support group for my o scale addiction. 😂 jk this video popped up and I get it. I like buying mpc era trains that have dc motors and installing a blunami board and LEDs. Typically is cheaper and keeps me busy enough between buys.
I rarely do impulse buying when it comes to locomotives. Normally, I just buy those after Christmas, my birthday, train shows, and any dealers I may stop at on vacation.
Chris…how do you insure your investment. If something were to happen to home or the layout due to an event?
Well done! Thank You
What I learned from this video: Don’t buy trains. Trains are bad. Credit cards are also bad.
AND KEEP EM ROLLING ;-)
Great line up for ways to pay for trains. Cash is king, debit card is second, credit cards should be avoided at all costs! 😂 Never get in dept, if your going to put it on a credit card you probably don't really need that train 😂
Oh ya and train stores are dangerous! Never bring a credit card to a train store! 🤣 Happy thanksgiving!
Where and how do you sell your trains?
It is somewhat surprising to find the best financial advise on a toy train site. And it certainly does not apply to just buying train. Today's credit card interest rates were considered "loan shark" rates (and criminal) when I was young. I am glad I only have a casual interest in model train because the prices are obscene and collecting could do serious damage to someone financial situation.
I have no credit Cards.I have debit card I use to order.I really don’t have a train spending problem.I have approximately 13 Trains.I have enough to have fun
Great video! I think this is really going to help a lot of people understand and enjoy this hobby a whole lot more! Being on the younger side I really appreciate your sharing your experience! Also, what are you selling your Alaska set for? I’ve been thinking about getting some Alaska stuff over the next couple years but I don’t know what an ideal cost would be. What would you say the best prices are for the engines or cars separately?
My mother-in-laws famous words" if you don't the $ now. You're not going to have it later.
You need to have some good project management skills to succeed in this hobby. Managing money over time is a key part of that.