4 ms·
By sacrificing and living frugally for a couple of years?
by majani 6y ago
By sacrificing and living frugally for a couple of years?
- chrisseaton 6y agoShort of sacrificing a roof over your head and frugally eating nothing I can't see how that adds up to $200k cash in a couple of years.
- adrr 6y agoSave 50k a year for 4 years isn’t that hard making $150k. Take home is 100k. Rent with a roommate is 2000. Monthly expenses is 2000(mobile service, food).
- RestlessMind 6y agoLet's do some back of the envelope calculation: starting total compensation: 150K. If your partner works a similar job, your combined annual income is 300K. No income tax in Washington State, so Federal + FICA taxes would be ~70K (look up any online calculator). Rent ~1800 per month or 22K per year (based on Zillow's data for 1bd/1ba in Redmond, WA). Living expenses of 2K per month or 24K per year. You are looking at 300K - (70 + 22 + 24)K, or >180K potential annual savings. Let's double the living expenses or throw in student loan repayments on top, but saving 100-125K per year is easily doable for such a couple. And in a couple of years, you have 200-250K for your downpayment.
- chrisseaton 6y agoHmmm... does add up can't deny that. But in reality I don't see many of my professional friends saving anywhere near to this kind of cash. Childcare, loans etc seems to really eat into it.
- s1artibartfast 6y agoYeah, This leads to the general convention of getting a house before having children. It is easier to save and stack cash without them.
- duutfhhh 6y agoA spouse making another 150k is a big assumption. It's mostly males living in such places.
- TomVDB 6y agoUnder these exact circumstances, it took my now-wife about 4.5 years when she was still single.