4 ms·

You pay 35% taxes so that's like 150, then you max out retirement and you're left with like 130. You spend 50-70k and then save 60k a year which is like 1 year

You pay 35% taxes so that's like 150, then you max out retirement and you're left with like 130. You spend 50-70k and then save 60k a year which is like 1 year of your pre-retirement expenses (not including any children, just like a couple or single person) So yeah definitely not retiring in 5 years unless you are already 55. This also means you didn't do anything flashy or crazy with your money or lose it in markets.

b20000 4y ago
you can’t live on 50k per year in the bay area or LA unless you have roommates and eat at work both of which are not sustainable. any decent apartment is going to be already 4k per month and you can easily spend another few K on food and other stuff, not even overdoing anything, so close to 10k per month is more realistic.
dpark 4y ago
> You pay 35% taxes so that's like 150 These are weird numbers. 35% of 250k is not 100k. It’s 87.5. And you shouldn’t be paying 35% on 250k. 35% is the top tax rate you pay. Most of your dollars will not be taxed at that rate. At 250k of income you should actually be paying about $70k in taxes. But yeah, you’re not retiring in 5 years unless you’re retiring somewhere exceedingly cheap.
- jsiaajdsdaa 4y ago
  You are forgeting the 10% (aka $25,000) state tax in California which might be where this person is, which will bring them quite neatly to $95,000.
  - dpark 4y ago
    If you choose to work remotely to save money, you’re probably not going to stay in California.
    - jsiaajdsdaa 4y ago
      That is true, however only a handful of states have 0 income tax (making up for it instead with property tax), and most still have around 5-7%.
- anm89 4y ago
  That's only federal. You could pay more than 100k on this.
  - dpark 4y ago
    I know that pedantry is kind of a thing here, but people working remotely to save money aren’t generally living in a state like California. Also for the sake of pedantry, you still won’t be paying 35% even with California taxes. Nor could you pay over 100k even in California, so far as I can tell, unless taxes go up or there’s other income at play.
    - anm89 4y ago
      California isn't the only state with state income tax. Most states have it. The pedantry is on your end.
AlchemistCamp 4y ago
> You spend 50-70k Woah, woah, woah! That's more than most people in the world, the US or even California earn in a year, before taxes. (Median per capita income in California is $39k). Why is a remote worker going to be spending roughly double the average Californian?
- b20000 4y ago
  what are you talking about? that statistic has no relevance… never heard of cleaning people working 4 jobs just to get by in CA?
- samstave 4y ago
  Its long been a a realtively true thing: take any salary in California, and cut it in half - and thats the same level of salary-Quality-of-Life you would have in any other state... So making 100K in CA is the same as making $50K in Wyoming. However, we are seeing a HUGE squeeze on cost of living in California. --- As an example, my brother bought a house in June 2020 for $327,000. The house now Zillows for between 488K and 517K (depending on if yu believe their site, or the emails they send you. This house was built in 1959. My grandparents bought their house in Saratoga in 1959 for $29,000. Sold it in ~2000 for $2,500,000. Its now zillowing for $3,650,000. Its almost the exact same layout as my brothers. Same build year. The only difference is that it is a 4BR and my brothers is a 3BR. (and location...) THe california real-estate market is literally crazy. --- But realors are an abomination. They are part of the reason (a major part) that cost of living is nuts. Reality shows about realtors should be illegal - its market manipulation. Look at companies like HouseCanary -- they attempted to build a ML/AI platform to inform hedgefund realtors on buying everything they could... There should be a "protected" class of real-estate, one that cannot be purchased by hedgfunds or any individual that does NOT live in the residence. THese housing developments should be partially helped by local muni ords etc.. Budget accountability should be a thing ; SF is proposing to PAY for people from outside SF and California to COME to SF and get an abortion, such that they will pay for travel, accomodation AND procedure. SF can't even take care of its OWN homeless folks, yet want to pay for out-of-state-abortion-medical-tourists??? --- A few years ago I went thrugh the CDPH budget and read it, and looked at the salaries and employees divided by the number of homeless it claimed to be "helping" I found that the city of SF was paying out ~$25,000 per year, per homeless person in "services" Why not just pay those homeless people the $25,000 a year to have a city job that requires them to clean the city? The salaries of the people that work in CDPH on the homless prblem shows the root cause These are just anecdotes on how california is fn broken.

b20000 4y ago

you can’t live on 50k per year in the bay area or LA unless you have roommates and eat at work both of which are not sustainable. any decent apartment is going to be already 4k per month and you can easily spend another few K on food and other stuff, not even overdoing anything, so close to 10k per month is more realistic.

dpark 4y ago

> You pay 35% taxes so that's like 150 These are weird numbers. 35% of 250k is not 100k. It’s 87.5. And you shouldn’t be paying 35% on 250k. 35% is the top tax rate you pay. Most of your dollars will not be taxed at that rate. At 250k of income you should actually be paying about $70k in taxes. But yeah, you’re not retiring in 5 years unless you’re retiring somewhere exceedingly cheap.

jsiaajdsdaa 4y ago
You are forgeting the 10% (aka $25,000) state tax in California which might be where this person is, which will bring them quite neatly to $95,000.
- dpark 4y ago
  If you choose to work remotely to save money, you’re probably not going to stay in California.
  - jsiaajdsdaa 4y ago
    That is true, however only a handful of states have 0 income tax (making up for it instead with property tax), and most still have around 5-7%.
anm89 4y ago
That's only federal. You could pay more than 100k on this.
- dpark 4y ago
  I know that pedantry is kind of a thing here, but people working remotely to save money aren’t generally living in a state like California. Also for the sake of pedantry, you still won’t be paying 35% even with California taxes. Nor could you pay over 100k even in California, so far as I can tell, unless taxes go up or there’s other income at play.
  - anm89 4y ago
    California isn't the only state with state income tax. Most states have it. The pedantry is on your end.

AlchemistCamp 4y ago

> You spend 50-70k Woah, woah, woah! That's more than most people in the world, the US or even California earn in a year, before taxes. (Median per capita income in California is $39k). Why is a remote worker going to be spending roughly double the average Californian?

b20000 4y ago
what are you talking about? that statistic has no relevance… never heard of cleaning people working 4 jobs just to get by in CA?
samstave 4y ago
Its long been a a realtively true thing: take any salary in California, and cut it in half - and thats the same level of salary-Quality-of-Life you would have in any other state... So making 100K in CA is the same as making $50K in Wyoming. However, we are seeing a HUGE squeeze on cost of living in California. --- As an example, my brother bought a house in June 2020 for $327,000. The house now Zillows for between 488K and 517K (depending on if yu believe their site, or the emails they send you. This house was built in 1959. My grandparents bought their house in Saratoga in 1959 for $29,000. Sold it in ~2000 for $2,500,000. Its now zillowing for $3,650,000. Its almost the exact same layout as my brothers. Same build year. The only difference is that it is a 4BR and my brothers is a 3BR. (and location...) THe california real-estate market is literally crazy. --- But realors are an abomination. They are part of the reason (a major part) that cost of living is nuts. Reality shows about realtors should be illegal - its market manipulation. Look at companies like HouseCanary -- they attempted to build a ML/AI platform to inform hedgefund realtors on buying everything they could... There should be a "protected" class of real-estate, one that cannot be purchased by hedgfunds or any individual that does NOT live in the residence. THese housing developments should be partially helped by local muni ords etc.. Budget accountability should be a thing ; SF is proposing to PAY for people from outside SF and California to COME to SF and get an abortion, such that they will pay for travel, accomodation AND procedure. SF can't even take care of its OWN homeless folks, yet want to pay for out-of-state-abortion-medical-tourists??? --- A few years ago I went thrugh the CDPH budget and read it, and looked at the salaries and employees divided by the number of homeless it claimed to be "helping" I found that the city of SF was paying out ~$25,000 per year, per homeless person in "services" Why not just pay those homeless people the $25,000 a year to have a city job that requires them to clean the city? The salaries of the people that work in CDPH on the homless prblem shows the root cause These are just anecdotes on how california is fn broken.