I applaud your enthusiasm, and like Pushka, half of me really wants to see you give this a crack to see how it turns out.
However, the other half is a bit of a killjoy and wants to temper your expectations. I think that in your extreme focus on status you are somewhat blinkered to what will be the reality of your plan. You have obviously done a large amount of research but I think there's some key areas requiring a better understanding. Or perhaps you just need to try it to find out the reality for yourself. A few things I've noticed through this thread and my own experience;
- The earn rate for status on both flights and cards is less than you were expecting so it will take more time and money to gain status.
- On the cheapest flights there is often no earn rate for status or points at all.
- The cheapest of flights are generally about twice what you have originally budgeted (and those usually wouldn't earn you points or status towards your goal anyway)
- In Australia there is no such thing as last minute cheap flights to fill unsold seats. In fact it's the opposite; the airlines assume that if you want to fly last minute it's an emergency and you'll pay 3x the normal price. They're happy to take this gamble and fly with empty seats.
- You have linked the QF international first lounge as an example of where you want to hang out and get fed. That's awesome. But it's also one of the very best lounges in the country, and you can only access it if you are flying international Qantas (and have status or an F ticket), but you've said you'll mostly be aiming for cheap domestic, so it's going to be very rare for you to be able to use it.
- The vast majority of lounges are comfortable, but not anywhere near as spectacular as the QFi first lounge. As for food, depending on the location and time, you might find a range of yummy hot selections, or you might find just a couple of dried up pastries, something unidentifiable and a few packets of nuts. It will sustain you, but barely nourish you and will be nowhere near the quality dining of QFi F lounge.
- They'll only let you in the lounge for a relatively short amount of time, and you need an onward ticket to get in. This means that you can't just go in there and set up camp all day with no plans to await the next flight deal.
- You'll need to also factor in transport costs if you're going to leave the airport to your discounted accommodation and activities. This isn't a major cost, but can be $10-30 each way which will add up if you're budgeting close to $0.
I'm not knocking your big idea, the points game is a great hobby to immerse yourself in and premium flights and their perks are amazing. I'm just trying to gently point out that your intended life of a semi-homeless frequent flyer in the quest for QF LTG is unlikely to be as awesome as you think it will be in your current plan. I strongly suggest more research and an open mind to other ways to get great value out of the game.
And if you decide to throw caution to the wind and give it a crack anyway, please start a thread on here detailing your adventures, I'm sure it's not just me who is interested in if your who-dares-wins attitude can pay off!.