This is an expensive hobby

MidLifeCrisis

One forum member asked what he should collect for $7,500. If that the total amount he can ever spend on the collection, I'm afraid there aren't a lot of choices. The amount we spend for our coins quickly adds up.

But then think about the other ways we spend money on our hobby:
Books and auction catalogs
Club memberships
Grading fees (including regrading, reholdering, crossover, etc.)
CAC fees
Buyer's fees
Show admission fees
Shipping fees
Supplies
Travel expenses to get to shows or meetings or seminars, etc.

I'm sure I'm leaving some things out.

This is an expensive hobby!

AnkurJ

It is an expensive hobby, but that doesnt mean one can't have fun on a budget.

keyman64

I would rephrase that to...this sure can be an expensive hobby the way many of the board members play the game.

MidLifeCrisis

I compare coin collecting to genealogy, for example, which happens to be one of my other hobbies.

An annual membership to Ancestry.com - $100-$200.
Travel expenses to get to court houses, cemeteries, etc. - Let's say $1K. Of course, that depends on where you live in relation to your ancestors.
A genealogy software program - $50-100.
Folders, paper, misc. supplies - $200

maprince230

Absolutley!

The good thing though, is there are lots of ways to collect. You dont have to collect a complete set.. you could do a 20th century typeset.. you could collect state quarters.. etc.

For me though, if it's not a classic US coin, I lose attention quickly. Thus, it's an expensive hobby.

DennisH

It's a whole lot cheaper than loose women, fast cars/boats/planes, or medicinal self-indulgences.

TwoSides2aCoin

Loose women aren't expensive. They're cheap, Dennis. Though, in the long run they could cost a few trips to the doc for shots. The ugly ones cost a trip to the bar for a few shots.

Broadstruck

<< <i>Loose women aren't expensive. They're cheap, Dennis. Though, in the long run they could cost a few trips to the doc for shots. The ugly ones cost a trip to the bar for a few shots. >>

Elcontador

<< <i>One forum member asked what he should collect for $7,500. If that the total amount he can ever spend on the collection, I'm afraid there aren't a lot of choices. The amount we spend for our coins quickly adds up.

But then think about the other ways we spend money on our hobby:
Books and auction catalogs
Club memberships
Grading fees (including regrading, reholdering, crossover, etc.)
CAC fees
Buyer's fees
Show admission fees
Shipping fees
Supplies
Travel expenses to get to shows or meetings or seminars, etc.

I'm sure I'm leaving some things out.

But you can cut some corners
1) Only go to shows you can attend without airfare / hotel bills. I even take the metro-rail to Long Beach. To and from costs me $6 and the metro-rail station is three miles from the house. Have a rep look at coins for you elsewhere.
2) Supplies - how much do you really need. I need very little
3) Show admission fees aren't expensive.
4) Shipping fees - anything submissions I do at a show, which reduces shipping costs
5) Buyer's fees - a lot depends on from whom you are buying what coins
6) CAC fees - you can only send in coins before you want to sell them
7) Grading fees - This is more complex. I try to buy coins I like in the holders I like. This way, unless you hold the coin for a long time, there is no need to send it in for regrading or crossovers, etc.
8) Club memberships - Local coin clubs aren't expensive. How many other memberships you have is a function to some degree of how many coins you want to submit for grading. See item 7).
9) Books and catalogues - No skimping on the books. You must be up to speed on what you collect. But I've never actually had to pay for a catalogue.

This is an expensive hobby! >>

It depends on what you collect, from what sources do you buy your coins, and how much of a hurry are you in to acquire them?

mkman123

Some forum members seduce old ladies or men with $$$$$ and voila, instant #1 registry sets.

MrEureka

The hobby is as expensive as you choose to make it. To do it on the cheap, collect something like circ Indian Cents by die variety and buy them all on eBay. Cherrypicks only.

And to spend a lot, well, send me a PM.

lordmarcovan

<< <i>One forum member asked what he should collect for $7,500. If that the total amount he can ever spend on the collection, I'm afraid there aren't a lot of choices. >>

What, are you kiddin' me? Man, the stuff I could do with $7,500! Even if I were never allowed to put any more cash into the kitty, but only buy and sell and flip 'em... that would be a nice bit of seed money as far as I'm concerned.

Heck, my primary collection (ancients) probably ain't worth much more than that.

Never underestimate the power of the Dark Side, and there's always exonumia and other stuff off the beaten track. Nobody says you have to collect Gem quality Flowing Hair coins, or Gem quality anything.

There is fun to be had in every tier of the market.

millennium

My expense varies.......a few years ago I was in it big.......not so much now...I'm thinking about a fresh restart...

MidLifeCrisis

OK LordM, how much do you estimate you've spent on the hobby since you started collecting? Or even in the last 12 months?

Remember to count everything.

Even if you flipped a coin for profit and used that money to buy another coin, that expense still counts because there are other things you could have done with that money.

My main point was how expensive this hobby is compared to other hobbies, such as genealogy.

It's still a great hobby...but understand why it's historically been called the hobby of kings.

RYK

It's a lot cheaper than remodeling a kitchen!

Justlooking

I think you could put together a solid box of 20 with $7,500, and have a heck of a fun time doing it. Otherwise, you could pick up some very attractive widgets, a few nice toners, a bit of bullion, some tokens, and a few wholesome examples of early U.S. coinage.

kookoox10

It is certainly expensive depending on your preferred taste in coins, but at the same token, this can also be an inexpensive hobby as well.

MidLifeCrisis

Of course, you could always collect coins from circulation at face value;
Never worry about getting them graded or CAC'd;
Use only the resources available on the Internet to learn about them;
Never go to any shows;
Never buy any coins online, thus eliminating shipping charges.

There are plenty of ways to save money in the hobby.

Type2

<< <i>One forum member asked what he should collect for $7,500. If that the total amount he can ever spend on the collection, I'm afraid there aren't a lot of choices. The amount we spend for our coins quickly adds up.

But then think about the other ways we spend money on our hobby:
Books and auction catalogs
Club memberships
Grading fees (including regrading, reholdering, crossover, etc.)
CAC fees
Buyer's fees
Show admission fees
Shipping fees
Supplies
Travel expenses to get to shows or meetings or seminars, etc.

I'm sure I'm leaving some things out.

This is an expensive hobby! >>

You forgot the big one parking......

lordmarcovan

<< <i>OK LordM, how much do you estimate you've spent on the hobby since you started collecting? Or even in the last 12 months?

Remember to count everything.

Even if you flipped a coin for profit and used that money to buy another coin, that expense still counts because there are other things you could have done with that money.

My main point was how expensive this hobby is compared to other hobbies, such as genealogy.

It's still a great hobby...but understand why it's historically been called the hobby of kings. >>

OK, point taken. If you count "opportunity cost", i.e., what the money could have been used for elsewhere, I guess you have a point. It does tend to tie up one's money, but I don't think that money is as wasted as it would be with some other hobbies.

I like to think my hobby is mostly self-supporting. (At least that's how I justify it to ladymarcovan- sssh! LOL) I dunno how much it would stand up to scrutiny if there was an accountant with a green eyeshade standing behind my left shoulder, tallying everything up on an adding machine. This is one reason I've mostly stepped away from my onetime fantasies of being a "real" coin dealer and put my "collector" hat back on.

Geneaology, birdwatching, stuff like that which doesn't cost as much money, is fine. But to a certain degree, I do buy into that "hobby of kings" bit, even though I'm really nothing but a lower-middle-class peasant. It's fun to pretend to be a king (or a lord, if you take my username into account). King for a day, and all that, right?

Overdate

A set of Lincoln Memorial cents collected from circulation (no varieties) will set you back slightly over a buck.

The more affluent collector can spend an extra $0.16 and add the 2009 commems and the Lincoln Shield cents.

BryceM

It can be insanely expensive, but I'd guess that 90% or more people in the US who collect coins have spent less than $7,500. There are loads of people who collect only from change finds and have plenty of fun at it. You could easily complete a Dansco 7070 for far less than $7,500. It's a just a function of grade and scarcity.

tychojoe

<< <i>The hobby is as expensive as you choose to make it. To do it on the cheap, collect something like circ Indian Cents by die variety and buy them all on eBay. Cherrypicks only. >>



That does sound like fun. If I were in the market, the hunt would be on...

lordmarcovan

The "treasure hunt" aspect to cherrypicking can be the poor man's pleasure, for sure.

bosco5041

Its addictive, expensive,fun, and takes a lot of my time. Sounds like something some other people do thats not very good for them. In the end this hobby gives a lot back and sometimes you can even make a buck when you cash out. Some even say its a healthy pastime by stress reducing. I just try to stay within my own personal budget and not overdo it and use money I may need quickly.

yosclimber

<< <i>Of course, you could always collect coins from circulation at face value;
Never worry about getting them graded or CAC'd;
Use only the resources available on the Internet to learn about them;
Never go to any shows;
Never buy any coins online, thus eliminating shipping charges. >>



This is actually exactly what I have been doing for the past 10 years.
At some point I realized I liked the logic of attribution and disliked accumulating physical coins.
Even more, I like attributing very worn coins where it can barely be done.
I once attributed an 1840 transitional half dime - it had no date.
I sold it on ebay since I already had another, describing it as "possibly the worst known example"! :-)
So I really just collect images and knowledge these days. And a few state quarters from circulation.

Good free stuff:
- this forum
- Gerry Fortin's LS dime varieties site
- Rick Snow's Indian Cent wiki pages
- free online books at DLRC
- etc.

I do genealogy also, for free.
I've searched census records many times on familysearch.org without ever buying a membership.
There is lots of good free genealogy software.
My parents already did the road trips to gather info.
findagrave.com (free) - I've actually found several things there.

Of course I spend my time on both these things. Just no cash.
The cash gets spent on my main hobby - paying for gas to go climbing in Yosemite!

AnkurJ

<< <i>It can be insanely expensive, but I'd guess that 90% or more people in the US who collect coins have spent less than $7,500. There are loads of people who collect only from change finds and have plenty of fun at it. You could easily complete a Dansco 7070 for far less than $7,500. It's a just a function of grade and scarcity. >>



Minus the gold page.

ambro51

I consider it nothing more than putting some of my money into a savings account. Money spent on vacations is gone. Money spent on lavish meals is gone. Money spent paying cellphone/Internet bills is gone~~~~$1000 spent for a nice Vermont Copper is NOT gone. I can "use" that coin for years, decades.....and whenever I choose sell it snd reclaim the money. So whether you want to admit it or not... Money spent for rare coins IS much more an investment that a purchase.

ambro51

Expensive Hobby=. Several years ago I knew a guy who was fairly well off. His hobby was building remote control small helicopters with a dremel attached to it. The object was to hover over a dinner plate and drill a hole through it. One mistake and ZOOM/CRASH and then....repair or replace the 5k helicopter. This was long before toy helicopters came around.

AnkurJ

One thing I do for fun is a Dansco 7070 set with all holed coins! You can but fun classic coins pretty cheap. And it's a fun set to do!

lcoopie

Expensive, can be.

You can get a dollar for $1 up to $10,000,000

PerryHall

If you're willing to learn and study coins, this hobby can actually make you some money and if you buy the right coins and hold them for a period of time they can prove to be a good investment.

LochNESS

You could save in your other hobby, too:

I compare coin collecting to genealogy, for example, which happens to be one of my other hobbies.

An annual membership to Ancestry.com - $100-$200.... ... National Archives membership is free and cool, and they have branches all over the country not just DC
Travel expenses to court houses, cemeteries, etc. - Let's say $1K ... ... ... No argument there, especially since most of ours came from Europe.
A genealogy software program - $50-100. ... ... Use a spreadsheet. Oracle makes a free one called OpenOffice.
Folders, paper, misc. supplies - $200... ... You need to shop dollar store or BigLots. $50 buys a lifetime supply there.

Just tryin' to help a fellow forumite

Lakesammman

I've got a lot less than $7500 into my PCGS sample collection and am having a fun time doing it.

joeykoins

Yes,like mentioned,if you know how to "play the game" correctly,one can always stay on the even or above budget!The main thing is ,it's fun,and worth the money.One good tip,keep focused on collecting the Lincoln cent.The most cheapest series, as well as,the most exciting! My opinion anyway.

LochNESS

Says the man with a buffalo avatar

Sonorandesertrat

Hobby costs are relative. When I was in my 20s and 30s, I was into hiking and mountain climbing in the Rockies. I lived in Salt Lake City, and could get to the Tetons, the Wind River Mountains, the Sawtooth Mountains, etc., within a 4 hour drive. I had nice gear, but the cost averaged over the amount of time I spent was modest. One of my friends is a bird watcher who goes on birding tours---those aren't cheap. My wife's hobby is dressage---she has 6 horses that have to be fed 3x daily, poop to be cleaned up, vet bills to pay for, tack, show fees, etc. I could buy a decent coin for what that costs every month. I have friends who spend thousands each year on golf, boating, pro sports tickets, etc. They won't see a dime in financial return.

At least I have done well with my coins, when I have sold a number of them in the past. I won't recoup my investment in my library, but I'm OK with that---it keeps me tied to the numismatic hobby. When the state quarters began to appear in circulation, I started assembling a set in a nice album. Each coin was plucked from my pocket change. My total cost: < $40. Numismatics can be very cheap to very expensive, depending on one's wherewithal and goals.

yellowkid

<< <i>I compare coin collecting to genealogy, for example, which happens to be one of my other hobbies.

An annual membership to Ancestry.com - $100-$200.
Travel expenses to get to court houses, cemeteries, etc. - Let's say $1K. Of course, that depends on where you live in relation to your ancestors.
A genealogy software program - $50-100.
Folders, paper, misc. supplies - $200 >>



You need to be a 13th generation descendent living within 100 miles of where your original ancestor in this country landed, less travel expense! I agree that while coins collecting can be expensive, it can also be done on a shoestring.

LochNESS

<< <i>... I won't recoup my investment in my library, but I'm OK with that---it keeps me tied to the numismatic hobby. >>


Well said! As for the library, nice to know I'm not the only one who still has one! I'd just like to remind you forumites that the ANA has an outstanding library and all you pay is postage. Some extremely rare books available in a week's notice. County libraries are typically decent too, and still operating thank G-d...

joeykoins

<< <i>Says the man with a buffalo avatar >>

Yeah your right! Yet I do love the buffalo too! In saying that,the cent is still the least expensive,right? -joey

daOnlyBG

I sat down late in December with my parents and discussed potentially starting a savings account, diversified with ETF's, closed-end funds, high-dividend paying companies, and so forth. After we did the math, we concluded that it would actually be more expensive to not coin collect because of the nice returns that coin collecting provides. If you cherry pick, find good deals, be patient, etc., you'll find that coin collecting can give you returns that far surpass the 10% bench mark with other investments.

Coin collecting might have high up-front costs, but with my experience, it's a very rewarding hobby- both financially and as a pleasurable past time.

That is, if you're "doing it right."

lava

<< <i>Hobby costs are relative. When I was in my 20s and 30s, I was into hiking and mountain climbing in the Rockies. I lived in Salt Lake City, and could get to the Tetons, the Wind River Mountains, the Sawtooth Mountains, etc., within a 4 hour drive. I had nice gear, but the cost averaged over the amount of time I spent was modest. One of my friends is a bird watcher who goes on birding tours---those aren't cheap. My wife's hobby is dressage---she has 6 horses that have to be fed 3x daily, poop to be cleaned up, vet bills to pay for, tack, show fees, etc. I could buy a decent coin for what that costs every month. I have friends who spend thousands each year on golf, boating, pro sports tickets, etc. They won't see a dime in financial return.

At least I have done well with my coins, when I have sold a number of them in the past. I won't recoup my investment in my library, but I'm OK with that---it keeps me tied to the numismatic hobby. When the state quarters began to appear in circulation, I started assembling a set in a nice album. Each coin was plucked from my pocket change. My total cost: < $40. Numismatics can be very cheap to very expensive, depending on one's wherewithal and goals. >>



Golf is a good example. Greens fees each time you play. Gloves, balls, clubs, knickers.......

johnny9434

<< <i>Loose women aren't expensive. They're cheap, Dennis. Though, in the long run they could cost a few trips to the doc for shots. The ugly ones cost a trip to the bar for a few shots. >>

fugly ones = werewolf wake up. like it was said its not bad on a budget

Elcontador

<< <i>I consider it nothing more than putting some of my money into a savings account. Money spent on vacations is gone. Money spent on lavish meals is gone. Money spent paying cellphone/Internet bills is gone~~~~$1000 spent for a nice Vermont Copper is NOT gone. I can "use" that coin for years, decades.....and whenever I choose sell it snd reclaim the money. So whether you want to admit it or not... Money spent for rare coins IS much more an investment that a purchase. >>



The experiences I've had along with the photos I've taken of my many trips to me is far more valuable than my coin collection. In terms of making money collecting coins, this is a myth, as 95% of collectors lose money. I collect 19th century type and know what I am doing and I'm lucky enough to be even. The only coin I have which have appreciated are early 19th century type I bought many years ago. The bid - ask spread on these coins is anything from 10-15% to whatever the dealer thinks he can get from you.

Most gem post 1835 type coins are worth less today than they were fifteen years ago. The only exceptions I can immediately think of are the Indian Head Cent in an MS 65 RD holder, and Seated Dollars in MS 65. Seated and Barber type, as well as Liberty Nickels in gem in all denominations are down across the board.

Justacommeman

This hobby like most is what you make of it.............I love it. MJ

Type2

You can look at it this way you will aways have money.....

Baley

At least 97% of the money I spend in this hobby is for the coins themselves, the rest primarily shipping, books and safeflips. I have virtually none of the expenses listed.

bidask

I don't care if I make money or lose money.....its hobby money for me.

veryfine

Sure, you could do it cheaply, but do you really love your acquisitions?
We need to be honest with ourselves.

When we were kids, the cheap coins were the stepping stones to the more expensive , sophisticated collections. For example, circulated lincoln cents introduced us to coins, but many of us moved on to more challenging and higher grade sets.

If you are truly happy with your ag-vg Walking Liberty half dollar collection, without any further upgrade goals, then you going to really enjoy this hobby at a relatively small cost. However, if you're like me, you will be extremely frustrated when you REALLY wanted a sharp VF-XF collection.

How about a type set? We collectors act like we're so sure of ourselves. We say things like. "I am perfectly content with a 20th century type set." Really? Case closed?
You might want to dip into the late 18th century or include some gold (OUCH.)

Many of us quickly realize that this IS an expensive hobby! Compared to what? Well, it's certainly more expensive than collecting starfish on the beach.