4 ms·
I agree... but it's important to recognize that the smaller the difference between one's pay and one's expenses, the more impact any kind of disruption has. 'do
by suoduandao3 3y ago
I agree... but it's important to recognize that the smaller the difference between one's pay and one's expenses, the more impact any kind of disruption has. 'don't go bankrupt' isn't a requirement with a lot of leeway - the leeway to take risks comes when losing a job wouldn't lead to immediate bankruptcy.
- steveBK123 3y agoSavings is important no matter your income. However you'll find its a lot easier to save money as you make more money. My savings rate AND my absolute dollars saved have gone up as I progressed through 20s/30s/40s/etc. Increases in your rent or real estate taxes +/-5% don't matter as much when housing is a lower overall % of your income. This is a big hurdle in HCOL areas when you are starting out, so the faster you can move through that phase the better.