5 ms·
Not too far off it myself, but I save 75%+ of my post-tax income. Note that I do not deprive myself of luxuries, I am merely skilled at delayed gratification an
by sleazebreeze 9y ago
Not too far off it myself, but I save 75%+ of my post-tax income. Note that I do not deprive myself of luxuries, I am merely skilled at delayed gratification and grew up very financially unstable. I have a lovely 2017 car with < 1600 miles on it (purchased brand new), but I take the bus to work, for example. I do keep my finances very close to my chest for fear of judgement from others - I did not reveal the $ amount to my fiance-to-be until we had been dating for 4 years.
My timeline is 5-10 years to be safe (age ~40). However, I get satisfaction out of creating and delivering software, beyond collecting a paycheck and don't have any intention to stop working - just not as a wage slave once I've reached my number.
I am hard-pressed to think of mistakes that software engineers would make that people in other professions don't make - there are the usual things like buying too much house, too much car or letting someone else spend your money. Perhaps the only unique-ish mistake would be to assume the large salaries will last forever and not save for contingencies. My impression of people in finance is that they know they're worked like dogs, so they are trying to get out as soon as possible. Tech is so cushy that people can get lulled into forgetting that there's more to life than foosball and free lunch.
- gruez 9y ago>Not too far off it myself, but I save 75%+ of my post-tax income how? are you working remote in a low cost of living area, while getting a high wage?
- sleazebreeze 9y ago* I budget every dime and have automatic transfers into various investments, so I set it to the % I want to save and then base my other expenses around what's left, which is still plenty. * Max ESPP, max 401k, max Roth. No excuse for not doing these if they're available to you. * No debt. Paid off student loans ASAP after college, which were not huge, but I also lived on scraps in college, lived in cheap dumps and worked during the summers and holiday breaks to make ends meet. * Very moderate living expenses. Seattle area. Our rent is $1700. My share is $950 and my fiance pays the difference. Got lucky with the place, but we also don't live in a sexy neighborhood and my fiance is a bargain hunter. * Excellent compensation package, although not out of band for my experience level.
- Maro 9y agoWhen I lived in Budapest, I was able to save ~50% of my invome. When I lived in London, I was able to save 60-70% of my income. Here in Dubai I can save 70-80%. Reason: (i) no kids (ii) I don't need anything other than phones and Macbooks and some shoes (iii) no expensive cars/houses to maintain (iv) high income (but not out of the ordinary for Eng). More generally: earn money in high pay cities and live frugally (London, Dubai), spend money in low cost cities (Budapest). Works like a charm.
- digianarchist 9y agoI'm surprised that you were able to save more money in London than Budapest. Rents in London are prohibitively expensive. Did you share a place? In Toronto my min-expenses swallow 50% of my salary.
- Maro 9y agoI had significantly higher income in London, at Facebook. I saved about 50% of my base salary, but I got lots of bonus/stock money on top of that.