4 ms·

Their comp is presumably higher than it was a few years ago, even adjusted for inflation. The question to be asked is why their spending has increased similarly

by lkbm 5y ago

Their comp is presumably higher than it was a few years ago, even adjusted for inflation. The question to be asked is why their spending has increased similarly. Half of all households in NYC live on ~$60/yr or less (2019)[0]. What's stopping the OP from having their level of spending and saving $50k (minus taxes) a year? The answer to that is also the answer to their question. "Make more money because $110k is very low" is an absurdly out-of-touch response. [0] https://smartasset.com/retirement/average-salary-in-nyc https://smartasset.com/retirement/average-salary-in-nyc

jurassic 5y ago
OP isn’t going to fix his financial picture by skipping lattes and getting a cheaper apartment. Even if he went into hardcore miser mode he might save about $20-30k per year. Compare that with seeking market rate comp he could pretty easily double or triple his income, and be putting away $100k+/yr (and maybe a lot more than that) of additional savings with no change to his lifestyle. Seems pretty obvious where the focus should be. The fact poor people exist doesn’t change the fact OP is likely being taken advantage of by the current employer.
- bluefirebrand 5y ago
  Certainly, doubling or tripling their comp should be a part of OPs plan, but even if they do make tons more, they may have to adjust spending behaviour to prevent it from overtaking the higher salary eventually. Some people really do just spend every dollar they receive, no matter how much it is.
- lkbm 5y ago
  Yeah, increasing comp is a good idea, but I assume their comp has increased multiple times over the past decade and it's had zero effect on their saving. Something's causing a growth in spending exactly equal to the growth in income. Increasing income only helps if that function is addressed.
  - scarface74 5y ago
    Maybe 3 kids?
    - lkbm 5y ago
      Yup, that addition explained a lot. With the further breakdown, the $1200/mo on childcare is low enough that I suspect this is a one-income household, in which case cutting back there may be possible, but I'm guessing that also causes most of the pain to fall on their partner.
scarface74 5y ago
He’s a software developer in NYC. We aren’t talking about the “average” household. We are on a tech oriented site and we know what he could be making as just your standard “full stack developer”. People with 3-5 years of experience can throw their resume in the air and make more. We aren’t talking “FAANG jobs”
- lkbm 5y ago
  I don't think you're addressing what I actually wrote. Yes, they can and should earn more, but somehow their expenses are exactly tracking their income, and identifying why is key to ensuring it doesn't continue to happen as that income grows further.
  - scarface74 5y ago
    Yes, he had three kids during that time. By not continuing to happen do you suggested he cuts off his ability to reproduce?

by lkbm 5y ago

jurassic 5y ago

OP isn’t going to fix his financial picture by skipping lattes and getting a cheaper apartment. Even if he went into hardcore miser mode he might save about $20-30k per year. Compare that with seeking market rate comp he could pretty easily double or triple his income, and be putting away $100k+/yr (and maybe a lot more than that) of additional savings with no change to his lifestyle. Seems pretty obvious where the focus should be. The fact poor people exist doesn’t change the fact OP is likely being taken advantage of by the current employer.

bluefirebrand 5y ago
Certainly, doubling or tripling their comp should be a part of OPs plan, but even if they do make tons more, they may have to adjust spending behaviour to prevent it from overtaking the higher salary eventually. Some people really do just spend every dollar they receive, no matter how much it is.
lkbm 5y ago
Yeah, increasing comp is a good idea, but I assume their comp has increased multiple times over the past decade and it's had zero effect on their saving. Something's causing a growth in spending exactly equal to the growth in income. Increasing income only helps if that function is addressed.
- scarface74 5y ago
  Maybe 3 kids?
  - lkbm 5y ago
    Yup, that addition explained a lot. With the further breakdown, the $1200/mo on childcare is low enough that I suspect this is a one-income household, in which case cutting back there may be possible, but I'm guessing that also causes most of the pain to fall on their partner.

scarface74 5y ago

He’s a software developer in NYC. We aren’t talking about the “average” household. We are on a tech oriented site and we know what he could be making as just your standard “full stack developer”. People with 3-5 years of experience can throw their resume in the air and make more. We aren’t talking “FAANG jobs”

lkbm 5y ago
I don't think you're addressing what I actually wrote. Yes, they can and should earn more, but somehow their expenses are exactly tracking their income, and identifying why is key to ensuring it doesn't continue to happen as that income grows further.
- scarface74 5y ago
  Yes, he had three kids during that time. By not continuing to happen do you suggested he cuts off his ability to reproduce?