4 ms·
>> 10-20% is a good benchmark, if you can do it. 5% is still good. I would say even if 10-20% is acceptably good by most people, don't limit yourself to 10-20%
by meric 11y ago
>> 10-20% is a good benchmark, if you can do it. 5% is still good.
I would say even if 10-20% is acceptably good by most people, don't limit yourself to 10-20%. If you can be comfortable saving 75%[1], and invest your savings into real estate or stocks, then do that.
[1] $30000 is a liveable wage, and if that's what you were living on before you got your $140k software engineering job, there's no reason to increase your living expenses, just because people say "10-20%" savings is enough.
- turnip1979 11y agoBe very careful maximizing 401k. If you live in a crazy expensive area, make sure you have enough for a down payment on a house (if u aspire for one). You can get a loan from your 401k for home purchases but the amount is pathetically low .. like 50k or something. I kinda got screwed with this since I need 200k for a down payment on my first home :(
- yolesaber 11y ago200k downpayment?? Must be in the Bay Area, right?