4 ms·

My family is high earning, about 4-5x the threshold they are talking about, and our budget is tight enough that it feels like it's paycheck to paycheck. We max

My family is high earning, about 4-5x the threshold they are talking about, and our budget is tight enough that it feels like it's paycheck to paycheck. We max out the 401k and IRA and invest as well, but I don't see our savings growing. High rent, taking care of my parents, and home child care almost as high as rent are the big outlays, I know these are just choices we made, we're super lucky to be in this situation, but I kind of get it. Your life starts to take the shape of the container it's in, and when you raise the cost of everything 5% a month but the income doesn't change, it does weigh on things. Add this to the cost of homes where I live have almost doubled, from a small 1000sq foot home being priced around 1.3M now selling for over 2M and we feel like we're priced out of home ownership without doubling our salaries. I remember being abjectly poor, and while I don't worry about money for rent or food now, I never cared about retirement back then and just had to look at what is in front of me, make rent, buy ramen, etc. I know this isn't worse, but it sure feels similar.

nradov 4y ago
Aren't you above the income limit for an IRA? https://www.irs.gov/newsroom/irs-announces-changes-to-retirement-plans-for-2022 https://www.irs.gov/newsroom/irs-announces-changes-to-retire...
- murderfs 4y ago
  https://www.bogleheads.org/wiki/Backdoor_Roth https://www.bogleheads.org/wiki/Backdoor_Roth
- deleted 4y ago
  [deleted]
bejelentkezni 4y ago
If you are maxing retirement funds you are not living paycheck to paycheck.
- MarkMarine 4y ago
  I know. I’m not saying I am. I’m just saying it feels similar, because I remember making a thousand dollars a month and having to do odd jobs to cover rent and food. I have the same urge now. Look, I’m not looking for sympathy. I was honest about that. I’m just trying to add some color from my perspective to this article.
purple_ferret 4y ago
400 - 500K income is a lot of money. Of course wealthy people can have high expenses and live beyond their means, but at that level, I fail to see how a non-extravagant lifestyle can produce an outcome of no savings even in the highest COL areas. Unless, of course, most of the money goes to taking care of your parents.
- deleted 4y ago
  [deleted]
- MarkMarine 4y ago
  Laying out all my expenses would be like a meme, it's like I'm asking someone to feel bad for me for being privileged. I'm not. I'm also not spending on an extravagant lifestyle, I rent a small 1000sq foot house, I have a family, one paid off car and one car I have a loan on. I don't really look at prices at the grocery and I buy organic food and decent coffee that I grind and brew myself, but the idea of say, having a sports car to drive around with the top off, designer clothes, or even eating at fancy restaurants (or any restaurant more than once a week) sounds nuts to me. I'm not spending money on avocado toast or whatever the meme is. I'm trying to save to be able to buy a modest home where I live, and I can't. It's out of reach. Don't feel bad for me, I could move 1.5 hours away and live a super comfortable life, but the commute would of course take me away from my family.

nradov 4y ago

Aren't you above the income limit for an IRA? https://www.irs.gov/newsroom/irs-announces-changes-to-retirement-plans-for-2022 https://www.irs.gov/newsroom/irs-announces-changes-to-retire...

murderfs 4y ago
https://www.bogleheads.org/wiki/Backdoor_Roth https://www.bogleheads.org/wiki/Backdoor_Roth
deleted 4y ago
[deleted]

bejelentkezni 4y ago

If you are maxing retirement funds you are not living paycheck to paycheck.

MarkMarine 4y ago
I know. I’m not saying I am. I’m just saying it feels similar, because I remember making a thousand dollars a month and having to do odd jobs to cover rent and food. I have the same urge now. Look, I’m not looking for sympathy. I was honest about that. I’m just trying to add some color from my perspective to this article.

purple_ferret 4y ago

400 - 500K income is a lot of money. Of course wealthy people can have high expenses and live beyond their means, but at that level, I fail to see how a non-extravagant lifestyle can produce an outcome of no savings even in the highest COL areas. Unless, of course, most of the money goes to taking care of your parents.

deleted 4y ago
[deleted]
MarkMarine 4y ago
Laying out all my expenses would be like a meme, it's like I'm asking someone to feel bad for me for being privileged. I'm not. I'm also not spending on an extravagant lifestyle, I rent a small 1000sq foot house, I have a family, one paid off car and one car I have a loan on. I don't really look at prices at the grocery and I buy organic food and decent coffee that I grind and brew myself, but the idea of say, having a sports car to drive around with the top off, designer clothes, or even eating at fancy restaurants (or any restaurant more than once a week) sounds nuts to me. I'm not spending money on avocado toast or whatever the meme is. I'm trying to save to be able to buy a modest home where I live, and I can't. It's out of reach. Don't feel bad for me, I could move 1.5 hours away and live a super comfortable life, but the commute would of course take me away from my family.