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What are you spending money on that you need to earn $350k to break even? Assuming you find a modest home in SF for $1mil your 30 year mortgage would be ~$57k
by Veelox 9y ago
What are you spending money on that you need to earn $350k to break even?
Assuming you find a modest home in SF for $1mil your 30 year mortgage would be ~$57k a year. Property tax is ~$7k. Insurance will be <$5k. So to have a home you only need <70k. Assuming no deductions filing as a single you will pay ~$140k in taxes on $350k. This leaves you with (350-140-70) $140k a year in disposable income.
So I repeat, what are you spending money on that you need to make $140k in disposable income to break even?
- abc_lisper 9y agoYou have to be very modest for that $1 mil. You would probably get a 900 sqft home :D
- Veelox 9y agoYou can find several. https://www.redfin.com/city/17151/CA/San-Francisco/filter/max-price=1M,min-beds=2,viewport=37.82379:37.69961:-122.32198:-122.53965 https://www.redfin.com/city/17151/CA/San-Francisco/filter/ma...
- pc86 9y agoIt's a cost of living calculation. I earn $x,000 in my current low-COL area. To maintain an identical standard of living that comes out to $350k before factoring in California's high tax environment, and the increased federal taxes. Don't try to spin San Francisco being the most expensive place to live in the country into me being bad with my money - I'm not. But when you make a high income in a low COL area, it means moving to any high COL area means you either take an effective pay cut in standard of living, or you need to earn an amount that is very unlikely.