3 ms·
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
by 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 agoCertainly, 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 agoYeah, 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 agoMaybe 3 kids?
- lkbm 5y agoYup, 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.