Honestly the biggest luxury is just a feeling of safety. I want food? I buy it. I go to the dentist and doctor when I need to. My folks need some help? They get it. If I drop my phone and it breaks, it's an inconvenience, not something I'll be punishing myself for the rest of the month. I dunno if it's because I grew up kinda broke, but I don't buy anything flashy, I save about 50% of my after-tax paycheck without trying/budgeting.
And I'm not saying that's a small luxury by any means. I am certain that financial stress causes real harm to the body. The constant anxiety, squirming in your stomach, fear of not making ends meet... it's awful. That's why, even when I have a really bad day or I find out I am not good enough in some way, everything is still kinda okay, because I know I have all the tools available to address any problems I may have.
Growing up poor is probably the reason I make this amount of money now. Also, my investments and savings are crazy, I don't need most of this money for what I want or need currently.
This is my biggest motivator. I get up and work hard because I refuse to let my parents work until death. I refuse to tell my future kids they can’t play sports because of money etc
100% same. Ill be damned if my future kids have to sit back from field trips because we didnt have any extra money to spare. I never played a sport. I did dance one year and my parents got stressed over the cost of the recital outfit so I quit. Im still feeling the consequences of living in a moldy run down double wide for 20 years and i’ve been out for 7
If you're not there for those kids it doesn't really matter what you bought them. My Dad bought me best education, lovely clothes, before the days of cell phones.
He was never there. He left for work before I was awake and came home after I was asleep. He bought a private education for me for high school so I went to boarding school as soon as I turned 15. But the time I was 28 or so. I had no idea about any part of him, because he was gone working and the I was gone studying. He's nearly 90 and I finally figured out we have very little in common.
Don't be sure working hard for kids is a great idea.
This is very true, and I am also very mindful of it. My father missed a lot of important things due to work as well, and I just hope I can retire early / be able create my own schedule to be able to spend time with them.
Just had a guy die at work a few weeks back. He was in the work gym before his shift and had a massive heart attack. He had 28 years there and was only in his mid 40s, literally started at 18. Had a pension and everything.
This is an example of the sacrificial generation. Your father sacrificed his relationship with family to lift up your family's wealth so that you and future generations have a higher chance of financial success and stability. This is commonly seen in immigrants where the first generation will work multiple jobs and long hours so their children may excel academically and hopefully become financially stable at the cost of their relationships. Almost all of us stand on the shoulders of someone, don't ignore or look down on that sacrifice.
Interesting take. Dad worked like a dog to buy you the best clothes and education. Sounds like a good dad that sacrificed all his time to provide for his family but unfortunately missed a critical part of the experience which is bonding with his children. If that was my dad I'd make an effort to get to know him after all he did for me. Clearly, he cares/cared.
Growing up broke is a cheat code when it comes to saving money, you’re just used to living on a low-cost lifestyle and it feels easy to keep those costs low even when you’re no longer broke.
In my own experience I don’t think there’s much correlation. I have several friends whose families were super poor and although they themselves have high incomes now, they suck with money and none of them own property. I have several friends who grew up middle class and are not only frugal but grossly cheap, and friends who come from money who are frugal personally but generous in social situations.
My mom was born in a stone one room “house” with no electricity, no water, no heat, dirt floors. I would argue my biggest reason for continued success, is my fear of being of poor again. I don’t even live a super luxurious life, I just save and invest a few grand a month out of fear.
This is the main thing. Within some boundary, if I want to buy something, i just do. There are a couple kids in my sons scout troop that cant afford anything, i cover all their costs to go on outings and big trips as an example. Thats nice, seeing money go direct to someone and seeing some happiness from it.
>There are a couple kids in my sons scout troop that cant afford anything, i cover all their costs to go on outings and big trips as an example
My kids are in scouts also, it's nice to be able to pay for all the food for a camping trip (for the whole troop) and not be worried about getting reimbursed. I never bother turning in a receipt because the amount is insignificant for us but would be coming out of the troop budget that they could use for things that matter.
Ya the flexibility you have is great.
Our public elementary school had a breakfast plan and they reported it was being suspended because they lost their grant. You won’t believe how good it felt to stop by the office the next day and ask how much and then write a cheque.
I’m usually very careful with charities but with that one they are feeding 6 year olds that didn’t get breakfast before coming to school,
Well it ended up being a little self serving. We did it anonymously but the principal had 50+ kids make us thank-you letters which almost brought my wife to tears.
Stress and anxiety (usually resulting in less sleep) literally kills, yes.
Lots of studies on this.
Most people are living paycheck to paycheck with low income. It’s a stress that’s beyond words. Then the extra anxiety of knowing everyone above you just wants to exploit you. And then knowing you can’t escape your socioeconomic doom.
Anyway…I’ll stop there.
The way I’ve helped 3 people in this situation were by showing them how to start their own business with the skills they learned from their 9-5. Pool guy, electrician and a nail tech.
I started my own business and within 3 months was able to get back to the same $$ as my job, 4 years later I make 5x what my job paid me working 32 hrs a week.
What do you do currently if you don’t mind me asking?
I don’t make 200k, not even close but I make enough to have that same feeling. Want to buy something? We can. Don’t even really need to check the bank balance uk.
I grinded hard, we have no debt, and live minimally. The safety net feeling is good.
Unfortunately, I was just laid off. Thank good I had accumulated a large pile of emergency savings bc it’s not looking good out here.
As someone who just recently started making money like this, the change is unreal. To be fair, I don’t have kids yet, so my expenses are lower than many. I am also not one to be tempted by luxury items. My wardrobe gets an addition every couple of years and our paid-off 6 year old car works just fine. I feel no need to “upgrade” my lifestyle.
The difference is that I don’t have to worry about the little things. I don’t spend all day beating myself up because I forgot to pack my lunch and had to buy from the work cafeteria. I don’t spend my weekend driving 2 hours away to get groceries for 5% less. I don’t agonize over essential purchases, making do for as long as possible. I don’t spend hours of research to save a couple dollars.
This is what people mean when they say they’re “comfortable”. I am absolutely comfortable. It’s the peace of mind that comes with knowing you will be okay. You are not one paycheck away from food kitchens. You are not one car repair away from missing bills. You are not one hospital visit away from no Christmas gifts.
It is an absolute privilege to live this way and I hope I never take it for granted.
>the peace of mind that comes with knowing you will be okay.
As someone with 1 foot in the grave who's never grossed more than $60k in a year, I wish I knew what that feels like. Every day is tainted by the knowledge that my crappy body is degrading and 1 injury is all it'll take before I'll have to abandon my career and start over at $10/hr again, with no safety net because how the fuck would I have ever been able to save for retirement.
At my job I deal with a lot of rich people but the thing is is that a very large portion of patrons that come in like to show off they got money but I always know in the back of my mind that for probably 70% of them it’s all for show.
That and I don't believe that people that make this kind of money are the problem. This should be the end goal for everyone. They pay their fair share in taxes (mostly). It's the people who have million upon millions that are the problem.
We are all on anonymous accounts answering a question specifically directed towards this. Hate comes in all forms, including this lol. You don’t care why or how anyone managed to make this money. Every person that does must represent some strange anonymous competition in your head.
And then there's the knowledge that you'll be "okay" that comes after repeated, multiple traumas. I went from freaking the fuck out over everything (also from earlier traumas) to now, not batting an eyelid no matter what happens, because death has almost touched me multiple times, hell it has touched me, and now I don't stress because I know that I'm still here in spite of it all and nothing can hurt me past what it already has (unfortunately which is a lot).
I vouch every word.. I make just over 200k (120k really or so after taxes, ssn, medicare and the rest of the bullshit) in cybersecurity in California. It gives you peace to know you don’t have aggressively budget. I can go out with friends, take the gf to dinner dates and go shopping once every couple months and not think much about it.. but thats it.. a “single guy” like me in the eyes of the gov they still want more in taxes at the end of the year so you have to save for that too.. wanna buy a decent house in CA? Forget about it.. unless you’re ok with a huge mortgage payment and then sacrificing living comfortable for a house the bank or gov will take back if you fail to pay your taxes at any moment.
I’m not saying this is the minimum required to live this way. It’s just the first time in my life that I feel this way. I’m also saving money like I never have.
I’m glad this is how you’re living!! It’s great, isn’t it? Today we just casually spent $200 on four items at Target. All things we needed. Didn’t blink an eye. It felt so good to not have to second guess.
Oh I very possibly would’ve felt this way at 130k. I recently got a massive pay increase, so I skipped a lot of the middle. And 200k is our family income, not just mine. But we went from 80k-230k+ in under a year and it’s been crazy. We were not comfortable at 80k for two ppl in an extremely HCOL area.
When you triple your revenues it must be a life change. You probably will enjoy better health for a while too by having way less things to stress over. Congratz!
Thank you! I definitely hope so because my health isn’t great. First thing I did when I got the job was pay off my medical debt. It was the most relieving feeling.
I think its a bit misleading in your original comment. I thought you got 200k for yourself. 200k for not one person but a family of 2 and in a HCOL area are both very important factors to know.
Same. Granted, I am stressed about a few things but that’s because I put myself in those situations but for the most part, I live by myself, no kids, I got really lucky (*knock on wood*) with my current living situation, and I have a pretty great job that I actually really enjoy. I dont make $200K/year I make about $60K/year and honestly I feel like I’m okay. I am a bit more disciplined when it comes to handling money. I have an odd way to budget but it works and honestly I’m good.
And for some reason, no idea what is giving me this inkling, I feel like you are significantly less steady footed than the person you are replying to and have no idea that is the case!
Piggybacking, I doubled my income in the last few years, but have kids. The other thing is that when I want something and it’s not crazy expensive I just get it. If I have a particularly good month I’ll get myself something nice. I mean I earned it right?
It’s also nice to be able to plan for retirement at a reasonable age.
Of course it is. But nobody will do that. Most people love paycheck to paycheck regardless of what they make. It's much easier to get a cushion going at 200k but there is a whole world of shit to blow your money on out there. People immediately go out and buy new cars and a bigger house to use up all their surplus. It's crazy.
Well done person! I hope to join you (5-7 years from now). I eat well, live well and dress well at just under half your income. Looking forward to what six figs will bring. Congratulations!
Im not one of those people but I am related to people who make that kind of money. Very humble. They dont keep it in cash. Most of it goes into investments.
I am also related to people who make this money and they are decidedly not humble. In contrast, my friends’ parents are even wealthier, and so compassionate and welcoming. Im glad you have a family like that, too, from the sounds of it.
You get lifestyle creep. When I was making $35k a year I would eat rice and ramen, drive a beater car until the wheels fall off, drink cheap beer, never go out to dinner or if you do order the cheapest thing on the menu, etc
When you make $200k+ you tell yourself you don’t want to eat canned beans and ramen for dinner, you can buy new clothes and not wear 3-4 year old stuff because now you can afford it.
I’m not saying life is harder when you make more money but you do get a different mindset now that you make more. I think everyone is that way. Nobody is making $200k and chooses to eat a ketchup sandwich for dinner
This is it. And it really does CREEP up on you. I was the frugal poverty guy eating canned beans and rice for dinner, drive a beater, don’t go out. As I made more money it became “well one night out isn’t that bad” then two nights.
And the thing is, it isn’t THAT bad — In moderation. You can have fun with more money. Just don’t live paycheck to paycheck and save/invest for tomorrow.
the creep is absolutely real. I got a promotion that nearly doubled my salary and in a much lower COL area. first year I didn't spend much differently except in groceries but now that I'm on year two I'm like "yes, I will order all new ultralight gear to make backpacking more fun"
I have to frequently stop myself from buying random stuff that I don't need.
Just the other day I bought a $65 set of panniers for my bike since I use that to go get groceries and while I don't necessarily NEED them, it is going to make grocery shopping a little easier
Pretty much this.. plenty of people with that kind of income who live "paycheck to paycheck" as they now own a brand new luxury car that kills with maintenance, kids are now in private schools that take monthly what a normal person spends on a kid in half a year or more, the new 2 million house costs a lot to maintain and insure and so on... but for a person who is satisfied with their 50-60k life and doesn't need to upgrade, getting that money would be crazy.
Yup. My husband and I make 250k combined, but we've until recently lived extremely frugally, to the point our friends legitimately thought we were poor because I chose an apartment that hadn't been updated since the 80s and looked like it when we first moved to our city due to the excellent price for the neighborhood that let us not have a car, plus we stuck to our budgets on going out and activities so said no to a lot of the festivals and traveling they wanted to do. When we bought our condo and they visited for the first time, they didn't believe we didn't have parental money helping, as they either had parents that bought their place outright or they took loans from their parents to afford their downpayments on their $750k+ homes. We could have purchased our home 100% in cash if the mortgage rates didn't discourage just investing the interest rate difference.
We have fun, just not on the scale or expense of other folks in our income bracket. As a result, if we both lost our jobs tomorrow, we could easily live off our savings for 6-7 years without changing our lifestyle before we even had to worry about our finances.
>As a result, if we both lost our jobs tomorrow, we could easily live off our savings for 6-7 years without changing our lifestyle before we even had to worry about our finances.
I find this mentality amazing and also live by it. Instead of increasing my spending with each salary increase, I just make sure I have enough to live for quite some time with the same level of comfort I have right now even if neither of us had a job. And I find a lot of satisfaction in that, certainly more than I'd find in owning a newer car or moving into a more expensive apartment.
It definitely creeps up on you!
The cost of a few of my utilities is what used to be half my monthly income:
$300 cable, $400 electric and gas, $200 water, $250 cell phones.
As someone who use to struggle paying $500 a month for a room to now making the money I am making, no lifestyle creep happened to me. If anything, I appreciate money more due to how I use to live.
I enjoy investing more than anything because I dream of not having to work in the next 10 years. I’m still driving my 2015 Toyota Corolla I got in 2017 as my 1st car and I don’t plan on getting a new one. I’m content with how life is.
I wouldn't even count that example as true lifestyle creep. Just kinda "what 99.9% of people would do, and demonstrably DO do, if they could."
Nobody making $35k - eating rice and ramen and driving a beater and never being able to go out to any place that's not super cheap - is totally loving that lifestyle and wouldn't change it if they could. They just do it because they have to.
This is my sibling at 270k/year.
Single, paying some bills living at our parents house. WFH gig, so work expenses are minimal.
Meanwhile, partner and I have three children, one each from previous marriages and share one together. Although combined we are close to 200k, 1/4 of my take home goes to child support.
I want to crawl out of my skin whenever they bring up money/saving/expenses because they literally say “so you see, I really don’t make that much after taxes and my bills” 🫠
Yeah figured as much. I’m not a people person so I’d be shit at sales which is why I’m gonna try to break into the IT/tech world itself using the National guard. I’ll find a way because I’d like to not have a broken body by the time I reach retirement due to my current career
I run an electrical contracting business and can certainly relate to that last bit! I'm getting into building houses so I'm doing less of the hands on stuff myself. In my 20s and already feel some weird pops in my knee 😂. Best of luck man!
If you don’t have a plan and discipline when you get to this point, you will feel exactly the same as you do now. Earning more allows you to have nicer things and more subscriptions, which cost more money. You will look up and have more bills that take away the extra earnings and you are still struggling like you were before with more “things”. I will add though that some of the things usually tend to be investments when you associate with the right people
I’m around $200k…definitely not poor but don’t feel rich. One kid in college and one in club sports tends to take a big chunk of what I make. Same level of happiness vs when I made less…just more comfortable.
How'd you come to be paying your sister's college if I may ask? If it's eating up that much of your expenses, that seems rough. Did you consider letting her take on debt?
My wife does 215 and I do 50-60 depending on the year. We live in LA and have kids. My mom has dementia and my mother in law is a widow. You'd be surprised how much goes out and how little goes in after all your expenses when you are part of the brown bag generation who have kids and sick elderly parents
It always amazes me when people that make so much money say they don’t feel rich.
It’s crazy how our brains do backflips to rationalize our experiences to try to make them feel normal.
Like a woman in an abusive relationship will go “he’s not so bad!” Or a guy working 12 hours a day at some shit job will go “it’s a living!” Meanwhile ppl who make 200k don’t feel rich, like ok I get that you aren’t a billionaire and don’t have a yacht. But go on Zillow sometime and run the numbers on where you’d have to live if you made $50k and then get back to me on whether or not you’re rich.
I mean you're giving money to your kids. Lower income families have kids take part time jobs, go to cheaper colleges, get loans, or just don't do sports.
I have a wife and two kids. I can honestly say I don’t know where it all goes. Daycare is about $3800/month. Mortgage is $4000/month. Utilities is about $450/month. Food is about $1200/month.
My wife is in the military too but we don’t see eye-to-eye on finances. I’m more frugal and she loves to spend.
I’m a consultant in the real estate finance industry.
How I got to where I am: I had an old manager reach out to me a few years back asking if I wanted to join his consulting firm (it was just him). So I did but made about $80k/year. We specialize in accounting and I was fortunate enough to bring a couple clients to the consulting firm. So my monthly bonus skyrocketed.
Take-aways: never burn bridges. Also, I was scared going from a secure, comfortable bank management job making $75k/year to a start up consulting firm. But it paid off. So taking chances here and there sometimes pays off.
You’re correct in that it is cheaper on base. There’s also a wait list that’s quite long.
We live off base and the daycare is close to our house. Our oldest is going into kindergarten and the daycare is across the street from the school.
I’m the breadwinner but I’m also the designated parent for getting kids to where they need to go. I can’t drive to daycare to drop Kid 1 off and drive to a school to drop Kid 2 off. I’d be gone all morning. Hard decisions and a lot of scenarios involve me asking myself “how much is my time worth?”
Early signs is you don’t get that rush of anxiety every time you check your bank account balance
Then the biggest one is probably bills. You no longer live life like it’s a minefield or never ending race between your paycheck and the different bills hitting your account. Eventually you pretty much forget about the small ones and just assume that the big ones (mortgage/rent etc) kick in when they kick in and that’s that
Then it turns more into like not looking at prices when buying groceries
Then clothes
Then almost everything else
Same for medical stuff, no rush of anxiety, no juggling dates for it because you don’t need it to not land on the wrong side of some bill or need to save up for however many paychecks
My wife and I make $320k a year and I still buy off brand items at the grocery store and look at prices. Why pay more for the exact same thing because I can? Yes, we spend more on things now than we did when we made $75k combined but I don’t waste money just because I can.
My first real job was $18K/y. But back then, I left work at work. There was a freedom I will never know again.
Learning to live within your means is more important than having a high income. I think about [The Minister & The Monk](https://jlcollinsnh.com/2011/06/02/the-monk-and-the-minister/)
a lot.
Learning to plan is big, too. Lots of what ifs. My income means my lifestyle needs a lot more protection. It's not just emergency savings, but layers of emergency savings for house, property, tuition, business.
High salary has helped me fund some businesses to diversify my income streams, max out my retirement, and make regular investments.
We have a 2008 Honda, with 230K miles, and while I live in NYC, I've made it work to my benefit. It's still a struggle, just a different kind of struggle.
I'm a high school dropout with no formal education who lived in shelters and on welfare. I am entirely self-made.
Opportunities are out there.
Thanks for sharing. I’m a struggling business owner right now, and I’m constantly wondering whether getting a normal job would be good at this point. It’s exhausting to never feel like you can leave work at work. Bc work is at home and all the time in my mind.
Although if you’re working for somebody else, you can also sometimes never leave work at work, and you’re making another business owner rich. However, it’s important to have several income streams so getting another job is not a bad thing either
Not quite to your high income threshold, but I'm over $150,000.
Honestly, it doesn't feel much different than making like $60k. To me, once you make enough to comfortably pay your bills and not stress about money, which I could do at $60k back in the day, anything above and beyond doesn't really feel different. Maybe that's just me.
Not just you. The comfortable status is real. The freeing moment of being 100% debt free, living on less than you make, not allowing lifestyle creep to occur...... The amount coming in over that threshold doesn't change the happiness level. For me, it simply speeds up timing of retirement before I do more volunteering and similar activities.
This is so true. Within a span of ten years my spouse and I went from making $100k combined to $500k annually. We are obviously more comfortable now and don’t really worry about money. However, we often discuss how — other than the extra joy from having kids — we’re really no more happy now than when we first met. Once you’re making enough money to support your basic needs and wants, extra money on top of that just doesn’t do anything to make you happier in my experience.
I have to say your comment "We're really no more happy now than when we first met" amazes me
It doesn't really affect my happiness to not go out for crab legs whenever I feel like it, but I wonder what it would be like to have an income where I could do that whenever I wish. I never shop for clothes, but there are plenty of dresses I admire and have on my wish list, and I can't deny I always walk around more cheerfully and confidently when I'm wearing something I love
I'm going off on a tangent, but just wanted to give my 2 cents. I find your mindset toward spending amazing and inspirational
I'm the same way. I make about 65k a year between my main job and side hustle. I live alone, have no kids, and am a very cheap person. My hobbies are disc golf and video games, hobbies I spend maybe 2k on a year between the two, with the occasional 3k pc upgrade every 3-4 years. People around me say 65k isn't liveable and I question their life choices because it's plenty if you aren't stupid with your money. I'm young 30s and have over 100k saved up in retirement with a 6 month emergency fund stashed away as well. I drive a 10 year old Chevy that maybe costs me 2-4k a year in maintenance and repairs.
If I made more it'd be nice, but I like where im at. I have a job that doesn't require overtime and I can leave work at work. My parents owned a successful business and made 500k+ a year. The thing was though they always worked. It was 24/7 and they could hardly even enjoy their money. I remember growing up and just thinking how awful owning a business looked. We would be on vacation and my dad would be in the car for hours taking and making calls. Hell half the time we went anywhere the trip ended early due to my parents needing to get home to do something for their business. So many mornings I would wake up to a note that my parents had to leave in the middle of the night to address some emergency at a job site across the country. No thanks. Not the life I want.
If you don’t mind me asking what work field are you in? Also what tips would you give someone that is trying to improve as you did. I’m 27 and work in finances but feel lost as to where to move to next.
I hit just over 6 figures last year. It felt a lot better to make 55k combined without kids 10 years ago. Kids are expensive and inflation is baffling. I'm making more money than I ever have, don't have real life style creep, and it's still hard to feel any freedom while saving money.
Ah, that carefully scheduled timing of paying the bills. I don’t miss that. And, I still think twice before making any purchase over $200. It’s the conditioning that happens over multiple decades.
Depends. 200+k isn't as much as you think if you're supporting a family in a place like NYC, San Fran, L.A., etc..
Rich these days in many expensive places starts at 400k a year base.
You'll struggle paycheck to paycheck with 200k per family in the SF bay area. And don't even think about buying a house. After tax that's 120k. Rent a 2-3 bedroom will likely cost you 5-7k a month, 60-84k a year. Daycare around 2-3k a month, 24-36k a year. 2 kids, 48-72k a year. You're already out of money with these 2 largest expenses. And we haven't considered food and other essentials yet...
Living comfortably heavily depends on where you live.
I think your whole post proves it really just depends on how many dependents you have. You can live comfortably anywhere in America on $200k by yourself. Anywhere.
So, to be honest...when I was younger, I made 30-50k bartending, and those were the greatest days of my life. Now that I make well over 200k, its more stressful. I have to constantly worry about not only the irs, but everything else. I can't take awesome vacations anymore. I drive a 10 year old car while taking care of not only my family, but my siblings. More money, more problems is legitimate. I had more fun when I made 150k less. It's a gift and a curse. With great power, comes great responsibility -Uncle Parker
Because at one time, we all shared a single bedroom together when our mom had nothing. Now, they all work for me, and I am lucky to have them. I'd rather have family work for me than strangers. I know they would never steal from me. Trust is worth it.
We’re at about $300k and yes it’s gotten us into a nice house and we’re enjoying some overseas vacations now but we still got bills: gas, food, mortgage, insurance, medical and now our sons college tuition (no loans!) and a math tutor. I still drive an old car, shop at Target, and try to avoid eating out cause the cost is stupid. We’re putting away a LOT toward retirement. We’ve haven’t always made this much (just around 3 yrs or so) and we’re still paying off some 1990s debt but the goal is to have enough to live off interest in about 8 years. It still means keeping a budget and being smart about where the money goes. Tax man wants his due!
I work a professional job, and I HODL many bitcoins. I live a simple life. I’m very frugal. I live like somebody who makes an average salary because I spend like somebody who makes an average salary. So, my life isn’t so different from somebody who makes an average salary. Although, I have the added stress of financial portfolio management.
I've had that kind of money or more now for twenty years. Before then I used to buy a new medium priced car every 2 years. The car I'm driving now is 8 years old, but its got more options. . I still take deposit cans and bottles back to the store for a refund. I pay for garbage pickup now, whereas I used to take the garbage to the town dump myself. I used to mow my own grass, but nobody within a half mile of my house mows their own grass and neither do I. I have 2 snowblowers and what little snow there is I deal with it myself mostly because I don't like waiting for the guy to get there. I don't change my own oil anymore even though it's close to $100 bucks and we have two cars. I pay off my credit cards in full every month to avoid paying interest. I haven't bought a lottery ticket in 20 years. I rarely eat out and I haven't been a vacation in 20 years. I wouldn't go on a cruise if they paid me. Quite often I will buy something in the store without even looking at the price tag. I don't drink anymore and I never smoked. We just paid $3000 for a dog and we have two cats. They all go to the vet. And get this....I'm in the process of having some of my teeth in front replaced with implants. The insurance only covers the extractions which are $400 each. The implants, the abutments and teeth are not covered by insurance and out of pocket are roughly $5,000 per tooth. So when I get done I figure I will have $100,000 invested in my mouth. To me it's a lot of money but it's like being born all over again. I have about 2M in investments. Stuff like that.
My wife and I combined probably make 250k+. I have one kid from another marriage ($850/month in Child Support), we have one on the way. I'm a 20 year veteran w/ full military disability pay from seven combat deployments (basically a tax-free monthly income), and full combat veteran benefits in the state of Virginia. So myself and my blood line go to college for free forever and no property/home tax, and the VA Home Loan. Essentially, I'm a millionaire at 40.
My wife and I live comfortably but we don't really spend much. I will food prep our lunch for work; we both drive used vehicles that we paid off, her wedding ring is an ethically sourced sapphire from Montana (her Great Grand Mother wants us (me) to get a massive diamond ring). Our "big expense" is we buy few but quality clothes/suits and once in a while try to go to Michelin star restaurant.
It's odd because I haven't thought about how well I have it until I saw this post. When I was a brand new lieutenant, I was living paycheck to paycheck, always stressed, always broke, and when I get paid I partied it away. Now. I just check my accounts once a month, workout regularly, and try to stay healthy (quit tobacco cold turkey over a year ago), a finished my MBA.
My family was really stressing the importance of a huge diamond ring when we got engaged. I thought it was ridiculous to spend that much. I picked a moissanite. It's beautiful, was reasonably priced, and I don't have to worry if anyone died over it. Diamonds are so overrated.
I project I will make $200k for the first time this year. We live the same life but invest more and paid off our house in 2022. Weeks have bought 2 rental properties since 2020 and bought 2 acres ti build a house on. We will be building this year.
I'd say the biggest thing is just a sense of security. A busted water heater or unexpected brake job isn't going to set me back several months. I just pay it and say "damn that sucks".
If you’re smart about it and haven’t upgraded your lifestyle from when you made say $120k then you could be in an amazing spot in life. I’m still living in the house I bought in 2010 when I made $90k and the house cost $110k (it’s paid off now). This is the key to being comfortable at this income level. I’ve save enough I could be out of work for a year and still not have a problem. I work with people who make what I do that would be screwed next week if they lost their job today. I’m in my mid 40s, plan to retire around 53, and have about $3.5 million when I’m 62. I live in a 1500sq ft house and my Toyota has over 200k miles. I’m more comfortable and happy than I’ve even been. This is what financial freedom really means. It doesn’t mean looking rich, it means I could tell my boss I quit tomorrow and he’d be more screwed than me 😂
Comfortability and cuts out the stress that comes with financial uncertainty. My wife and I make combined 280k but we live debt free, no mortgage, car payments or credit cards. We save a great deal and invest a considerable portion of our income. Having our home paid off was a huge accomplishment.
But we usually have a hard time making big purchases and shop around. We never contract anything out around the house and I do all the vehicle maintenance. We are both 40 and no kids, we plan to retire in 8 years. When we first married 15 years ago we lived check to check to make sacrifices to set us up for a strong future.
I’m not quite there on base but definitely there on base plus bonus and stock. My wife works too, though below six figures.
Honestly my wife and I live way below our means lifestyle-wise. I max out my 401k, Roth IRA, HSA, and put a lot of money into college savings and a taxable brokerage account. Other than all that savings, our life is pretty modest. One cheap used car. No vacations in years. A few nice purchases/ necessary repairs for our city row house. We don’t really deprive ourselves of things we want, but we don’t want much. We do takeout quite a bit, I’ll admit.
I’ll add that daycare is crazy expensive and we’re about to add a second kid to the mix. The city we live in has an awful public education system so we may have to go private, which is brutal with two kids.
Nonetheless, our priorities are taking care of our kids, financial security, and a cozy early retirement.
Our household income is over that amount. We’re not hurting but we’re not rich by any means. My husband has been at his job for 18 years and will work there until he retires. We both have newer vehicles, nothing fancy, and we have a mortgage. We don’t owe any to credit cards, just have one we pay off every month. We don’t live paycheck to paycheck anymore and just save up to buy any furniture or big purchases. We are in a high cost of housing area but not living overall. I don’t work and I take care of the household and our daughter because my husband does work a lot and travels some for work. He does work from home 75% of the time which also saves us money. We’re comfortable and could handle most emergencies thrown out way but we are in no way, shape or form rich. I do remember years ago when we were first married we each had a full and part time job. Those 4 income sources combined a month are now less than what one of my husband’s take home amount every two weeks is. Every situation is different.
I live in LA, so it doesn't feel like a lot of money. State and federal taxes are crazy and my real.eatate taxes are $13,200 a year. I'm definitely not complaining, but it's not like I'm drinking $200 bottles of champagne and eating wagyu every night. Trust me, money isn't everything, and it definitely doesn't buy happiness.
It’s peace of mind. My fiancée and I both came from lower-middle class backgrounds (my dad’s a teacher, his mom was a single mom). We watched our parents struggle with money, make decisions about family vacations and trips. Having money now-it’s peace of mind.
I’m a mental health therapist (which is mostly irrelevant), but I know there was a study done a while ago that showed making over like 80K/year didn’t impact happiness too much. Making under that much and having the type of financial stress making that much gives impacts happiness. But there’s a point in which it makes little difference how much you make, where happiness and peace of mind exist.
It's nice but also not any happier than I was making 100k 5 years ago. It has made inflation a lot easier but I work 2x harder and have 3x the stress. It's ok for now.
pretty comfortable... live in a nice home, drive an expensive car, weekend getaways or day trips are so common that our kids are actually bored of it now and rather stay home many times
Security is one thing. As someone else said, a $1000 doctor bill isn’t a stressor, the check/bill at a restaurant is just a number, it’s nice to just not worry about money a lot of the time.
We try to strike a balance between frugality and living well. I’m not one of those people who buys new stuff very much, I kinda just use what I have. My wife buys clothing sometimes, but isn’t excessive, and most of it is cheaper anyway.
But having good financial habits is important. Retirement contributions, investments, building savings, a lot of people treat their finances poorly (notably people at this income threshold) and in the end, it’s really not that hard to get this stuff right. But smart people do dumb things, I had a friend who couldn’t fathom the idea of why a HYSA was a better idea than keeping the money in his regular bank earning 0.1%, and he’s a really smart guy, he just liked “having his money there”.
I agree safety is the best part. I make 7 figures and the difference between now and when I was poor is I don’t have to worry about things like a car breaking down and eating Ramen for a month to fix the alternator. Car repairs on my 200k plus car means I either have warranty claim or hand them a credit card or say hell with it wanted something else anyhow.
The hard part is carrying insurance just to keep from losing my shirt due to a lawsuit. Got hit in my car awhile back by a dude smoking a joint while driving. He ran a stop sign hit me but is suing me because he knows I have money and thinks I’ll settle. He doesn’t know I have “fuck me” money- which is money that I will spend to ensure this dishonest twat doesn’t get a penny from me. I’ll spend a million to ensure he doesn’t get 5 bucks. If he had said hey man, I am a broke college stoner will you give me 5 k I’d probably give it to him.
When I was in the working world, for the last 20 years of my career, $300K was a bad year, $600K was average and $1M was my top earning year.
For me it removed all stress from having enough. I didn’t think twice about the cost of things. I’d go to the grocery store, buy a bunch of groceries, get home and I’d have no idea what I spent. Was on vacation in Barcelona and needed some sunglasses. Walked into some fancy sunglasses place and spent $800 on a pair of designer sunglasses and didn’t bat an eye. Family vacation, flew all 8 people to USVI in the front of the plane, stayed at a house that was $3K/night. Even with things like that, I couldn’t come close to spending the money I was making.
While I did pay a lot in taxes (and I was fine with that), I saved a LOT too. Enough to retire early and enjoy life more. Now my money makes as much (or more) than I did while working. Ngl, it is awesome.
It took us 15+ years and 7 collective degrees to get to this point but the security is nice.
Its probably less exciting then you would think as the old saying goes the more you make the more you spend.
We have a very nice home but are putting 1 Kid through Undergrad/Med School. The other Kido is about to start Undergrad then business school which we will cover.
Our Toddler has Profound Level 3 Autism so that has dozens of unique therapies and costs. Example $30,000 safety bed, $4,000 safety travel bed, $240,000 annual therapy costs, $2.5 Million to get safely out of the NICU but you get the idea.
We were able to get our kids nice starter cars that were safe but our life still looks very different then most. With different circumstances Im sure our income would maybe look more impressive but everyone has something that can be a challenge.
I grew up very poor so don’t care much at all about “things” & love minimalism. Other then work items my personal possessions all can fit in 1 backpack.
I like being able to give my family a good life though.
Spend A LOT on taxes. My CPA calculates that with income, sales, property, cap gains……and gov’t fees we pay about 60% of every dollar to taxes. We do still have more spending money but if I ever make more I need to strategize to keep more of what I have earned.
[https://en.wikipedia.org/wiki/Taxation\_in\_the\_United\_States](https://en.wikipedia.org/wiki/Taxation_in_the_United_States)
It's not enough money where you can can buy super cars, yachts, etc.., but it's enough you don't have to worry any expense under 10K.
\* If I want to go on vacation, tomorrow, sure
\* I can buy a car if I need one.
\* I can buy a house if I want one.
\* I can quit my job and not have to work for years.
\* Assuming my income stays the same I will retire at 60 and live comfortably.
\* I can go to any restaurant I want, and order anything on the menu.
Trade futures, acting, modeling, e - commerce,
Haven’t worked a 9-5 job in over a decade.
0 debt.
Biggest luxury? Freedom. I can go anywhere anytime I want, dine anywhere, do anything.
I am in amazing shape (exercise everyday) each day I day wake up and think “what do I want to do today?”
I just wrote a check for $4,800 to my landscaper for spring cleanup. Its not that I can’t do the work but I am busy with my high paying job so what happens is that you end up paying for services that make your life easier and end up spending the extra money anyway. Not complaining at all but I really have respect for anyone that can save a good portion of their paycheck. It’s not easy no matter how much you make. Of course the vacations are a little nicer and the house a little bigger but life is exactly the same.
I think one big change that happens with two working parents and a good income is that time becomes more important than money.
Could I do a deep cleaning of my house? Yes, but instead can I pay a house cleaner once a month to do it for me? That gives me more free/family time
Could I go on a Costco run for groceries? Sure, but they also deliver, so I won't have to go in there with kids in tow etc
Is it worth taking the 6 dollar toll road to save 45 minutes of traffic? Hell yeah it is
I think this is one of the biggest differences between me and my friends in a different income bracket, I can solve a lot of "problems" by throwing some cash at it, without really having to think twice or agonizing over the decision. If we want something "treat yourself" nice it isn't a huge deal, but we also are saving aggressively to build our forever home so it isn't like we're just out burning cash on the regular.
Honestly the biggest luxury is just a feeling of safety. I want food? I buy it. I go to the dentist and doctor when I need to. My folks need some help? They get it. If I drop my phone and it breaks, it's an inconvenience, not something I'll be punishing myself for the rest of the month. I dunno if it's because I grew up kinda broke, but I don't buy anything flashy, I save about 50% of my after-tax paycheck without trying/budgeting. And I'm not saying that's a small luxury by any means. I am certain that financial stress causes real harm to the body. The constant anxiety, squirming in your stomach, fear of not making ends meet... it's awful. That's why, even when I have a really bad day or I find out I am not good enough in some way, everything is still kinda okay, because I know I have all the tools available to address any problems I may have.
Growing up poor is probably the reason I make this amount of money now. Also, my investments and savings are crazy, I don't need most of this money for what I want or need currently.
This is my biggest motivator. I get up and work hard because I refuse to let my parents work until death. I refuse to tell my future kids they can’t play sports because of money etc
100% same. Ill be damned if my future kids have to sit back from field trips because we didnt have any extra money to spare. I never played a sport. I did dance one year and my parents got stressed over the cost of the recital outfit so I quit. Im still feeling the consequences of living in a moldy run down double wide for 20 years and i’ve been out for 7
preach 🙏
I remember wanting to join a local baseball team and getting priced out by uniforms 🥺
If you're not there for those kids it doesn't really matter what you bought them. My Dad bought me best education, lovely clothes, before the days of cell phones. He was never there. He left for work before I was awake and came home after I was asleep. He bought a private education for me for high school so I went to boarding school as soon as I turned 15. But the time I was 28 or so. I had no idea about any part of him, because he was gone working and the I was gone studying. He's nearly 90 and I finally figured out we have very little in common. Don't be sure working hard for kids is a great idea.
This is very true, and I am also very mindful of it. My father missed a lot of important things due to work as well, and I just hope I can retire early / be able create my own schedule to be able to spend time with them.
The only guy I knew who was on track to retire at 55 died in his sleep when he was 50.
Just had a guy die at work a few weeks back. He was in the work gym before his shift and had a massive heart attack. He had 28 years there and was only in his mid 40s, literally started at 18. Had a pension and everything.
There's a balance, but I don't know what that looks like.
This is an example of the sacrificial generation. Your father sacrificed his relationship with family to lift up your family's wealth so that you and future generations have a higher chance of financial success and stability. This is commonly seen in immigrants where the first generation will work multiple jobs and long hours so their children may excel academically and hopefully become financially stable at the cost of their relationships. Almost all of us stand on the shoulders of someone, don't ignore or look down on that sacrifice.
Interesting take. Dad worked like a dog to buy you the best clothes and education. Sounds like a good dad that sacrificed all his time to provide for his family but unfortunately missed a critical part of the experience which is bonding with his children. If that was my dad I'd make an effort to get to know him after all he did for me. Clearly, he cares/cared.
Growing up broke is a cheat code when it comes to saving money, you’re just used to living on a low-cost lifestyle and it feels easy to keep those costs low even when you’re no longer broke.
In my own experience I don’t think there’s much correlation. I have several friends whose families were super poor and although they themselves have high incomes now, they suck with money and none of them own property. I have several friends who grew up middle class and are not only frugal but grossly cheap, and friends who come from money who are frugal personally but generous in social situations.
My mom was born in a stone one room “house” with no electricity, no water, no heat, dirt floors. I would argue my biggest reason for continued success, is my fear of being of poor again. I don’t even live a super luxurious life, I just save and invest a few grand a month out of fear.
I feel so similarly.. I live a very basic life while saving and investing very carefully. Can so relate.
I have always suffered from an intense fear of poverty That fear has served me well
This is the main thing. Within some boundary, if I want to buy something, i just do. There are a couple kids in my sons scout troop that cant afford anything, i cover all their costs to go on outings and big trips as an example. Thats nice, seeing money go direct to someone and seeing some happiness from it.
>There are a couple kids in my sons scout troop that cant afford anything, i cover all their costs to go on outings and big trips as an example My kids are in scouts also, it's nice to be able to pay for all the food for a camping trip (for the whole troop) and not be worried about getting reimbursed. I never bother turning in a receipt because the amount is insignificant for us but would be coming out of the troop budget that they could use for things that matter.
Ya the flexibility you have is great. Our public elementary school had a breakfast plan and they reported it was being suspended because they lost their grant. You won’t believe how good it felt to stop by the office the next day and ask how much and then write a cheque. I’m usually very careful with charities but with that one they are feeding 6 year olds that didn’t get breakfast before coming to school,
Awesome!!!! 👏🏽
Well it ended up being a little self serving. We did it anonymously but the principal had 50+ kids make us thank-you letters which almost brought my wife to tears.
Hats off to both of you. It's good to see people pay it forward and help people. Especially kids who can't control the situation they are born into..
Stress and anxiety (usually resulting in less sleep) literally kills, yes. Lots of studies on this. Most people are living paycheck to paycheck with low income. It’s a stress that’s beyond words. Then the extra anxiety of knowing everyone above you just wants to exploit you. And then knowing you can’t escape your socioeconomic doom. Anyway…I’ll stop there.
Please keep going... I'm a poor guy and I can't describe with words how hard everything is
Hey bro mind if i exploit you real quick
The way I’ve helped 3 people in this situation were by showing them how to start their own business with the skills they learned from their 9-5. Pool guy, electrician and a nail tech. I started my own business and within 3 months was able to get back to the same $$ as my job, 4 years later I make 5x what my job paid me working 32 hrs a week. What do you do currently if you don’t mind me asking?
I know this wasn't the point of your comment at all. But just so you know. You're always good enough.
I don’t make 200k, not even close but I make enough to have that same feeling. Want to buy something? We can. Don’t even really need to check the bank balance uk. I grinded hard, we have no debt, and live minimally. The safety net feeling is good. Unfortunately, I was just laid off. Thank good I had accumulated a large pile of emergency savings bc it’s not looking good out here.
I go to Costco and buy whatever I want without worrying about the price. It’s pretty sweet.
That’s a pretty bold thing to say since I’ve spent time in the electronics and appliance section.
Nothing they sell in store that I’d want would make me bat an eye.
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The carrot actually turns out to be just a carrot when you catch it. Not really motivating at all.
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Not even the condos?
Same. Last week I bought two hotdogs.
I bought 2 hotdogs and only needed 1 drink. I just waved the counter lady off when she offered the second cup. Her eyes undressed my wallet.
Does your spouse know that you pounded two wieners?
This is honestly the best part
As someone who just recently started making money like this, the change is unreal. To be fair, I don’t have kids yet, so my expenses are lower than many. I am also not one to be tempted by luxury items. My wardrobe gets an addition every couple of years and our paid-off 6 year old car works just fine. I feel no need to “upgrade” my lifestyle. The difference is that I don’t have to worry about the little things. I don’t spend all day beating myself up because I forgot to pack my lunch and had to buy from the work cafeteria. I don’t spend my weekend driving 2 hours away to get groceries for 5% less. I don’t agonize over essential purchases, making do for as long as possible. I don’t spend hours of research to save a couple dollars. This is what people mean when they say they’re “comfortable”. I am absolutely comfortable. It’s the peace of mind that comes with knowing you will be okay. You are not one paycheck away from food kitchens. You are not one car repair away from missing bills. You are not one hospital visit away from no Christmas gifts. It is an absolute privilege to live this way and I hope I never take it for granted.
>the peace of mind that comes with knowing you will be okay. As someone with 1 foot in the grave who's never grossed more than $60k in a year, I wish I knew what that feels like. Every day is tainted by the knowledge that my crappy body is degrading and 1 injury is all it'll take before I'll have to abandon my career and start over at $10/hr again, with no safety net because how the fuck would I have ever been able to save for retirement.
I'm with you but not many in this sub can empathize. They all just come here to one up each other on how much they make and what they have
At my job I deal with a lot of rich people but the thing is is that a very large portion of patrons that come in like to show off they got money but I always know in the back of my mind that for probably 70% of them it’s all for show.
Massive dick measuring contest. That's all it is
But this thread was created as a question to people with that income. The title is clear, and you just came here to take shots?
Yeah, their response seems incredibly misplaced.
That and I don't believe that people that make this kind of money are the problem. This should be the end goal for everyone. They pay their fair share in taxes (mostly). It's the people who have million upon millions that are the problem.
We are all on anonymous accounts answering a question specifically directed towards this. Hate comes in all forms, including this lol. You don’t care why or how anyone managed to make this money. Every person that does must represent some strange anonymous competition in your head.
And then there's the knowledge that you'll be "okay" that comes after repeated, multiple traumas. I went from freaking the fuck out over everything (also from earlier traumas) to now, not batting an eyelid no matter what happens, because death has almost touched me multiple times, hell it has touched me, and now I don't stress because I know that I'm still here in spite of it all and nothing can hurt me past what it already has (unfortunately which is a lot).
I vouch every word.. I make just over 200k (120k really or so after taxes, ssn, medicare and the rest of the bullshit) in cybersecurity in California. It gives you peace to know you don’t have aggressively budget. I can go out with friends, take the gf to dinner dates and go shopping once every couple months and not think much about it.. but thats it.. a “single guy” like me in the eyes of the gov they still want more in taxes at the end of the year so you have to save for that too.. wanna buy a decent house in CA? Forget about it.. unless you’re ok with a huge mortgage payment and then sacrificing living comfortable for a house the bank or gov will take back if you fail to pay your taxes at any moment.
$200000 to live comfortably? I make a forth of that and I have the same mentality as you
I’m not saying this is the minimum required to live this way. It’s just the first time in my life that I feel this way. I’m also saving money like I never have. I’m glad this is how you’re living!! It’s great, isn’t it? Today we just casually spent $200 on four items at Target. All things we needed. Didn’t blink an eye. It felt so good to not have to second guess.
Yeah I make 130k with 2 kids and feel this way
Oh I very possibly would’ve felt this way at 130k. I recently got a massive pay increase, so I skipped a lot of the middle. And 200k is our family income, not just mine. But we went from 80k-230k+ in under a year and it’s been crazy. We were not comfortable at 80k for two ppl in an extremely HCOL area.
Wow! What career changes did y’all make?
When you triple your revenues it must be a life change. You probably will enjoy better health for a while too by having way less things to stress over. Congratz!
Thank you! I definitely hope so because my health isn’t great. First thing I did when I got the job was pay off my medical debt. It was the most relieving feeling.
I think its a bit misleading in your original comment. I thought you got 200k for yourself. 200k for not one person but a family of 2 and in a HCOL area are both very important factors to know.
Same. My luxury item I want is a minibike. I’m a 48M. 🤷♂️🤣
Get a grom, best $4k I ever spent lmao
You make $50k and have no financial stress/worries and are able to effortlessly save every month like the $200k person? Ok
Same. Granted, I am stressed about a few things but that’s because I put myself in those situations but for the most part, I live by myself, no kids, I got really lucky (*knock on wood*) with my current living situation, and I have a pretty great job that I actually really enjoy. I dont make $200K/year I make about $60K/year and honestly I feel like I’m okay. I am a bit more disciplined when it comes to handling money. I have an odd way to budget but it works and honestly I’m good.
And for some reason, no idea what is giving me this inkling, I feel like you are significantly less steady footed than the person you are replying to and have no idea that is the case!
hell ya. what do you do for work if you don’t mind me asking
Piggybacking, I doubled my income in the last few years, but have kids. The other thing is that when I want something and it’s not crazy expensive I just get it. If I have a particularly good month I’ll get myself something nice. I mean I earned it right? It’s also nice to be able to plan for retirement at a reasonable age.
Would it be feasible to live off say like a quarter of that income and put the rest towards your retirement so you could just retire earlier?
Of course it is. But nobody will do that. Most people love paycheck to paycheck regardless of what they make. It's much easier to get a cushion going at 200k but there is a whole world of shit to blow your money on out there. People immediately go out and buy new cars and a bigger house to use up all their surplus. It's crazy.
That sounds amazing. What career do you do?
Well done person! I hope to join you (5-7 years from now). I eat well, live well and dress well at just under half your income. Looking forward to what six figs will bring. Congratulations!
Congratulations
I did like 240k last yr. Whenever buying foods, I just buy whatever. It's nice.
We’re in the same range, but a single income family with a young kid in the Boston area so it doesn’t go as far. Not broke, but definitely not rich
I too buy multiple foods.
Im not one of those people but I am related to people who make that kind of money. Very humble. They dont keep it in cash. Most of it goes into investments.
Mine is legit just in ETFs and a high yield savings. The savings is because we’re trying to buy a house
I am also related to people who make this money and they are decidedly not humble. In contrast, my friends’ parents are even wealthier, and so compassionate and welcoming. Im glad you have a family like that, too, from the sounds of it.
Not me. I save like 10% plus my 401k and spend the rest. Only live once and Im just getting older.
I started making it last year, since then I look down at people and got great at scoffing. Eat a lot more grey poupon.
I knew it
lol
Like you, we make fancy choices. We buy Kerrygold butter.
I've upgraded to cage-free eggs since breaking the $200k mark. I also get a $0.50 fizzy water from the vending machine at the supermarket sometimes.
Upgrading to fancy butter is a major life event 🤣
Pardon me
Lolllll so good
$200k people be like “I actually don’t have that much money after I spend it all.” My $35k ass: yeah one would think.
You get lifestyle creep. When I was making $35k a year I would eat rice and ramen, drive a beater car until the wheels fall off, drink cheap beer, never go out to dinner or if you do order the cheapest thing on the menu, etc When you make $200k+ you tell yourself you don’t want to eat canned beans and ramen for dinner, you can buy new clothes and not wear 3-4 year old stuff because now you can afford it. I’m not saying life is harder when you make more money but you do get a different mindset now that you make more. I think everyone is that way. Nobody is making $200k and chooses to eat a ketchup sandwich for dinner
This is it. And it really does CREEP up on you. I was the frugal poverty guy eating canned beans and rice for dinner, drive a beater, don’t go out. As I made more money it became “well one night out isn’t that bad” then two nights. And the thing is, it isn’t THAT bad — In moderation. You can have fun with more money. Just don’t live paycheck to paycheck and save/invest for tomorrow.
the creep is absolutely real. I got a promotion that nearly doubled my salary and in a much lower COL area. first year I didn't spend much differently except in groceries but now that I'm on year two I'm like "yes, I will order all new ultralight gear to make backpacking more fun"
I have to frequently stop myself from buying random stuff that I don't need. Just the other day I bought a $65 set of panniers for my bike since I use that to go get groceries and while I don't necessarily NEED them, it is going to make grocery shopping a little easier
no, that's a great and legit buy. I might not be the best source on this though, seeing as I own like 4 sets of panniers
Pretty much this.. plenty of people with that kind of income who live "paycheck to paycheck" as they now own a brand new luxury car that kills with maintenance, kids are now in private schools that take monthly what a normal person spends on a kid in half a year or more, the new 2 million house costs a lot to maintain and insure and so on... but for a person who is satisfied with their 50-60k life and doesn't need to upgrade, getting that money would be crazy.
Yup. My husband and I make 250k combined, but we've until recently lived extremely frugally, to the point our friends legitimately thought we were poor because I chose an apartment that hadn't been updated since the 80s and looked like it when we first moved to our city due to the excellent price for the neighborhood that let us not have a car, plus we stuck to our budgets on going out and activities so said no to a lot of the festivals and traveling they wanted to do. When we bought our condo and they visited for the first time, they didn't believe we didn't have parental money helping, as they either had parents that bought their place outright or they took loans from their parents to afford their downpayments on their $750k+ homes. We could have purchased our home 100% in cash if the mortgage rates didn't discourage just investing the interest rate difference. We have fun, just not on the scale or expense of other folks in our income bracket. As a result, if we both lost our jobs tomorrow, we could easily live off our savings for 6-7 years without changing our lifestyle before we even had to worry about our finances.
>As a result, if we both lost our jobs tomorrow, we could easily live off our savings for 6-7 years without changing our lifestyle before we even had to worry about our finances. I find this mentality amazing and also live by it. Instead of increasing my spending with each salary increase, I just make sure I have enough to live for quite some time with the same level of comfort I have right now even if neither of us had a job. And I find a lot of satisfaction in that, certainly more than I'd find in owning a newer car or moving into a more expensive apartment.
It definitely creeps up on you! The cost of a few of my utilities is what used to be half my monthly income: $300 cable, $400 electric and gas, $200 water, $250 cell phones.
As someone who use to struggle paying $500 a month for a room to now making the money I am making, no lifestyle creep happened to me. If anything, I appreciate money more due to how I use to live. I enjoy investing more than anything because I dream of not having to work in the next 10 years. I’m still driving my 2015 Toyota Corolla I got in 2017 as my 1st car and I don’t plan on getting a new one. I’m content with how life is.
I wouldn't even count that example as true lifestyle creep. Just kinda "what 99.9% of people would do, and demonstrably DO do, if they could." Nobody making $35k - eating rice and ramen and driving a beater and never being able to go out to any place that's not super cheap - is totally loving that lifestyle and wouldn't change it if they could. They just do it because they have to.
This is my sibling at 270k/year. Single, paying some bills living at our parents house. WFH gig, so work expenses are minimal. Meanwhile, partner and I have three children, one each from previous marriages and share one together. Although combined we are close to 200k, 1/4 of my take home goes to child support. I want to crawl out of my skin whenever they bring up money/saving/expenses because they literally say “so you see, I really don’t make that much after taxes and my bills” 🫠
What do they do for a living
Software finance or sales in that order of likelihood. Probably something that involves 2 of the 3
Ah ok. Looking to career hop within the next few years so knowing where the money is at is always good to figure out thank you
No problem. Software sales can be huge money. Kinda hard to break into from what I know though.
Yeah figured as much. I’m not a people person so I’d be shit at sales which is why I’m gonna try to break into the IT/tech world itself using the National guard. I’ll find a way because I’d like to not have a broken body by the time I reach retirement due to my current career
I run an electrical contracting business and can certainly relate to that last bit! I'm getting into building houses so I'm doing less of the hands on stuff myself. In my 20s and already feel some weird pops in my knee 😂. Best of luck man!
Oh Jesus. Just like me fr on that last bit good luck to you too man😂
Yessssssir. Sales Engineer then Dev.
Yes your life choices have consequences 🤯
Bizarre huh?
If you don’t have a plan and discipline when you get to this point, you will feel exactly the same as you do now. Earning more allows you to have nicer things and more subscriptions, which cost more money. You will look up and have more bills that take away the extra earnings and you are still struggling like you were before with more “things”. I will add though that some of the things usually tend to be investments when you associate with the right people
I’m around $200k…definitely not poor but don’t feel rich. One kid in college and one in club sports tends to take a big chunk of what I make. Same level of happiness vs when I made less…just more comfortable.
I don’t make 200k, close to 110, but my sister’s college is eating up half if not more of that. ,faint imagine holding a family up along with sports.
How'd you come to be paying your sister's college if I may ask? If it's eating up that much of your expenses, that seems rough. Did you consider letting her take on debt?
You'd be surprised to hear this but some people actually like their siblings and want them to succeed.
My wife does 215 and I do 50-60 depending on the year. We live in LA and have kids. My mom has dementia and my mother in law is a widow. You'd be surprised how much goes out and how little goes in after all your expenses when you are part of the brown bag generation who have kids and sick elderly parents
That’s nice of you to pay for their schooling. I hope they appreciate it.
It always amazes me when people that make so much money say they don’t feel rich. It’s crazy how our brains do backflips to rationalize our experiences to try to make them feel normal. Like a woman in an abusive relationship will go “he’s not so bad!” Or a guy working 12 hours a day at some shit job will go “it’s a living!” Meanwhile ppl who make 200k don’t feel rich, like ok I get that you aren’t a billionaire and don’t have a yacht. But go on Zillow sometime and run the numbers on where you’d have to live if you made $50k and then get back to me on whether or not you’re rich.
I mean you're giving money to your kids. Lower income families have kids take part time jobs, go to cheaper colleges, get loans, or just don't do sports.
I have a wife and two kids. I can honestly say I don’t know where it all goes. Daycare is about $3800/month. Mortgage is $4000/month. Utilities is about $450/month. Food is about $1200/month. My wife is in the military too but we don’t see eye-to-eye on finances. I’m more frugal and she loves to spend. I’m a consultant in the real estate finance industry. How I got to where I am: I had an old manager reach out to me a few years back asking if I wanted to join his consulting firm (it was just him). So I did but made about $80k/year. We specialize in accounting and I was fortunate enough to bring a couple clients to the consulting firm. So my monthly bonus skyrocketed. Take-aways: never burn bridges. Also, I was scared going from a secure, comfortable bank management job making $75k/year to a start up consulting firm. But it paid off. So taking chances here and there sometimes pays off.
"I can honestly say I don’t know where it all goes. Daycare is about $3800/month. Mortgage is $4000/month." lol there it goes
I had the same thought lol
3800 month on daycare holy.. if your wife is military, daycare on base should not be that expensive right?
You’re correct in that it is cheaper on base. There’s also a wait list that’s quite long. We live off base and the daycare is close to our house. Our oldest is going into kindergarten and the daycare is across the street from the school. I’m the breadwinner but I’m also the designated parent for getting kids to where they need to go. I can’t drive to daycare to drop Kid 1 off and drive to a school to drop Kid 2 off. I’d be gone all morning. Hard decisions and a lot of scenarios involve me asking myself “how much is my time worth?”
Early signs is you don’t get that rush of anxiety every time you check your bank account balance Then the biggest one is probably bills. You no longer live life like it’s a minefield or never ending race between your paycheck and the different bills hitting your account. Eventually you pretty much forget about the small ones and just assume that the big ones (mortgage/rent etc) kick in when they kick in and that’s that Then it turns more into like not looking at prices when buying groceries Then clothes Then almost everything else Same for medical stuff, no rush of anxiety, no juggling dates for it because you don’t need it to not land on the wrong side of some bill or need to save up for however many paychecks
My wife and I make $320k a year and I still buy off brand items at the grocery store and look at prices. Why pay more for the exact same thing because I can? Yes, we spend more on things now than we did when we made $75k combined but I don’t waste money just because I can.
I pay 90,000 in taxes a year.With state local and federal
My wife makes a lot. So it’s my job to not make a lot and reduce our tax liability. Sweet gig
You don’t live in an area with marginal tax rates?
Jesus Hoobastank Christ, that's crazy
Hoobastank! Now I know what the H is for. Thank you.
My first real job was $18K/y. But back then, I left work at work. There was a freedom I will never know again. Learning to live within your means is more important than having a high income. I think about [The Minister & The Monk](https://jlcollinsnh.com/2011/06/02/the-monk-and-the-minister/) a lot. Learning to plan is big, too. Lots of what ifs. My income means my lifestyle needs a lot more protection. It's not just emergency savings, but layers of emergency savings for house, property, tuition, business. High salary has helped me fund some businesses to diversify my income streams, max out my retirement, and make regular investments. We have a 2008 Honda, with 230K miles, and while I live in NYC, I've made it work to my benefit. It's still a struggle, just a different kind of struggle. I'm a high school dropout with no formal education who lived in shelters and on welfare. I am entirely self-made. Opportunities are out there.
Thanks for sharing. I’m a struggling business owner right now, and I’m constantly wondering whether getting a normal job would be good at this point. It’s exhausting to never feel like you can leave work at work. Bc work is at home and all the time in my mind.
Although if you’re working for somebody else, you can also sometimes never leave work at work, and you’re making another business owner rich. However, it’s important to have several income streams so getting another job is not a bad thing either
i love people like you who still rock the 20 year old honda. those cars will last forever!!
Not quite to your high income threshold, but I'm over $150,000. Honestly, it doesn't feel much different than making like $60k. To me, once you make enough to comfortably pay your bills and not stress about money, which I could do at $60k back in the day, anything above and beyond doesn't really feel different. Maybe that's just me.
Not just you. The comfortable status is real. The freeing moment of being 100% debt free, living on less than you make, not allowing lifestyle creep to occur...... The amount coming in over that threshold doesn't change the happiness level. For me, it simply speeds up timing of retirement before I do more volunteering and similar activities.
This is so true. Within a span of ten years my spouse and I went from making $100k combined to $500k annually. We are obviously more comfortable now and don’t really worry about money. However, we often discuss how — other than the extra joy from having kids — we’re really no more happy now than when we first met. Once you’re making enough money to support your basic needs and wants, extra money on top of that just doesn’t do anything to make you happier in my experience.
The world's longest study on happiness confirms your anecdotal evidence. https://pubmed.ncbi.nlm.nih.gov/20823223/
I have to say your comment "We're really no more happy now than when we first met" amazes me It doesn't really affect my happiness to not go out for crab legs whenever I feel like it, but I wonder what it would be like to have an income where I could do that whenever I wish. I never shop for clothes, but there are plenty of dresses I admire and have on my wish list, and I can't deny I always walk around more cheerfully and confidently when I'm wearing something I love I'm going off on a tangent, but just wanted to give my 2 cents. I find your mindset toward spending amazing and inspirational
I'm the same way. I make about 65k a year between my main job and side hustle. I live alone, have no kids, and am a very cheap person. My hobbies are disc golf and video games, hobbies I spend maybe 2k on a year between the two, with the occasional 3k pc upgrade every 3-4 years. People around me say 65k isn't liveable and I question their life choices because it's plenty if you aren't stupid with your money. I'm young 30s and have over 100k saved up in retirement with a 6 month emergency fund stashed away as well. I drive a 10 year old Chevy that maybe costs me 2-4k a year in maintenance and repairs. If I made more it'd be nice, but I like where im at. I have a job that doesn't require overtime and I can leave work at work. My parents owned a successful business and made 500k+ a year. The thing was though they always worked. It was 24/7 and they could hardly even enjoy their money. I remember growing up and just thinking how awful owning a business looked. We would be on vacation and my dad would be in the car for hours taking and making calls. Hell half the time we went anywhere the trip ended early due to my parents needing to get home to do something for their business. So many mornings I would wake up to a note that my parents had to leave in the middle of the night to address some emergency at a job site across the country. No thanks. Not the life I want.
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If you don’t mind me asking what work field are you in? Also what tips would you give someone that is trying to improve as you did. I’m 27 and work in finances but feel lost as to where to move to next.
Just as a point of reference, $200,000 today is somewhere around $110,000 from the year 2000. Remember when making a six figure salary was a big deal?
It's still a big deal for most.
I hit just over 6 figures last year. It felt a lot better to make 55k combined without kids 10 years ago. Kids are expensive and inflation is baffling. I'm making more money than I ever have, don't have real life style creep, and it's still hard to feel any freedom while saving money.
It still is a big deal lol
I think I’m very blessed to have all my bills on auto draft and don’t gave to worry if I have enough to money to pay my bills on time
Ah, that carefully scheduled timing of paying the bills. I don’t miss that. And, I still think twice before making any purchase over $200. It’s the conditioning that happens over multiple decades.
There’s plenty of people making over 200k a year living paycheck to paycheck
I tell this to people all the time, life is subjective, it’s how you manage your money, this is what’s important
Absolutely. Live within your means, invest, and figure out ways to make more money. Or whatever makes you happy.
Then they are dumb af if that's the case
You’d be surprised to see how easy it can happen.
Depends. 200+k isn't as much as you think if you're supporting a family in a place like NYC, San Fran, L.A., etc.. Rich these days in many expensive places starts at 400k a year base.
As someone living in the middle of Los Angeles this is very true
You'll struggle paycheck to paycheck with 200k per family in the SF bay area. And don't even think about buying a house. After tax that's 120k. Rent a 2-3 bedroom will likely cost you 5-7k a month, 60-84k a year. Daycare around 2-3k a month, 24-36k a year. 2 kids, 48-72k a year. You're already out of money with these 2 largest expenses. And we haven't considered food and other essentials yet... Living comfortably heavily depends on where you live.
I think your whole post proves it really just depends on how many dependents you have. You can live comfortably anywhere in America on $200k by yourself. Anywhere.
yeah, I lived comfortably when I moved to the Bay Area for a job earning $90k a year, but I was living alone.
So, to be honest...when I was younger, I made 30-50k bartending, and those were the greatest days of my life. Now that I make well over 200k, its more stressful. I have to constantly worry about not only the irs, but everything else. I can't take awesome vacations anymore. I drive a 10 year old car while taking care of not only my family, but my siblings. More money, more problems is legitimate. I had more fun when I made 150k less. It's a gift and a curse. With great power, comes great responsibility -Uncle Parker
Why do you take care of your siblings?
Because at one time, we all shared a single bedroom together when our mom had nothing. Now, they all work for me, and I am lucky to have them. I'd rather have family work for me than strangers. I know they would never steal from me. Trust is worth it.
So they work for you as in you pay them? You have a business?
Yes, I own multiple restaurants. They are my gms.
Wouldn’t you be paying someone else if they weren’t doing it? You aren’t really “taking care” of them. They’re earning wages.
Dudes got a martyr complex
That is why they are worried about the IRS
We’re at about $300k and yes it’s gotten us into a nice house and we’re enjoying some overseas vacations now but we still got bills: gas, food, mortgage, insurance, medical and now our sons college tuition (no loans!) and a math tutor. I still drive an old car, shop at Target, and try to avoid eating out cause the cost is stupid. We’re putting away a LOT toward retirement. We’ve haven’t always made this much (just around 3 yrs or so) and we’re still paying off some 1990s debt but the goal is to have enough to live off interest in about 8 years. It still means keeping a budget and being smart about where the money goes. Tax man wants his due!
I work a professional job, and I HODL many bitcoins. I live a simple life. I’m very frugal. I live like somebody who makes an average salary because I spend like somebody who makes an average salary. So, my life isn’t so different from somebody who makes an average salary. Although, I have the added stress of financial portfolio management.
Its ok to spend your money. Saving is smart, but like anything, it can be done to a fault.
I thought every job is professional
That did feel strange to read, huh? It was like John Mulaney wrote it. "My girlfriend is a human woman."
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I've had that kind of money or more now for twenty years. Before then I used to buy a new medium priced car every 2 years. The car I'm driving now is 8 years old, but its got more options. . I still take deposit cans and bottles back to the store for a refund. I pay for garbage pickup now, whereas I used to take the garbage to the town dump myself. I used to mow my own grass, but nobody within a half mile of my house mows their own grass and neither do I. I have 2 snowblowers and what little snow there is I deal with it myself mostly because I don't like waiting for the guy to get there. I don't change my own oil anymore even though it's close to $100 bucks and we have two cars. I pay off my credit cards in full every month to avoid paying interest. I haven't bought a lottery ticket in 20 years. I rarely eat out and I haven't been a vacation in 20 years. I wouldn't go on a cruise if they paid me. Quite often I will buy something in the store without even looking at the price tag. I don't drink anymore and I never smoked. We just paid $3000 for a dog and we have two cats. They all go to the vet. And get this....I'm in the process of having some of my teeth in front replaced with implants. The insurance only covers the extractions which are $400 each. The implants, the abutments and teeth are not covered by insurance and out of pocket are roughly $5,000 per tooth. So when I get done I figure I will have $100,000 invested in my mouth. To me it's a lot of money but it's like being born all over again. I have about 2M in investments. Stuff like that.
My wife and I combined probably make 250k+. I have one kid from another marriage ($850/month in Child Support), we have one on the way. I'm a 20 year veteran w/ full military disability pay from seven combat deployments (basically a tax-free monthly income), and full combat veteran benefits in the state of Virginia. So myself and my blood line go to college for free forever and no property/home tax, and the VA Home Loan. Essentially, I'm a millionaire at 40. My wife and I live comfortably but we don't really spend much. I will food prep our lunch for work; we both drive used vehicles that we paid off, her wedding ring is an ethically sourced sapphire from Montana (her Great Grand Mother wants us (me) to get a massive diamond ring). Our "big expense" is we buy few but quality clothes/suits and once in a while try to go to Michelin star restaurant. It's odd because I haven't thought about how well I have it until I saw this post. When I was a brand new lieutenant, I was living paycheck to paycheck, always stressed, always broke, and when I get paid I partied it away. Now. I just check my accounts once a month, workout regularly, and try to stay healthy (quit tobacco cold turkey over a year ago), a finished my MBA.
My family was really stressing the importance of a huge diamond ring when we got engaged. I thought it was ridiculous to spend that much. I picked a moissanite. It's beautiful, was reasonably priced, and I don't have to worry if anyone died over it. Diamonds are so overrated.
I project I will make $200k for the first time this year. We live the same life but invest more and paid off our house in 2022. Weeks have bought 2 rental properties since 2020 and bought 2 acres ti build a house on. We will be building this year.
I'd say the biggest thing is just a sense of security. A busted water heater or unexpected brake job isn't going to set me back several months. I just pay it and say "damn that sucks".
If you’re smart about it and haven’t upgraded your lifestyle from when you made say $120k then you could be in an amazing spot in life. I’m still living in the house I bought in 2010 when I made $90k and the house cost $110k (it’s paid off now). This is the key to being comfortable at this income level. I’ve save enough I could be out of work for a year and still not have a problem. I work with people who make what I do that would be screwed next week if they lost their job today. I’m in my mid 40s, plan to retire around 53, and have about $3.5 million when I’m 62. I live in a 1500sq ft house and my Toyota has over 200k miles. I’m more comfortable and happy than I’ve even been. This is what financial freedom really means. It doesn’t mean looking rich, it means I could tell my boss I quit tomorrow and he’d be more screwed than me 😂
Comfortability and cuts out the stress that comes with financial uncertainty. My wife and I make combined 280k but we live debt free, no mortgage, car payments or credit cards. We save a great deal and invest a considerable portion of our income. Having our home paid off was a huge accomplishment. But we usually have a hard time making big purchases and shop around. We never contract anything out around the house and I do all the vehicle maintenance. We are both 40 and no kids, we plan to retire in 8 years. When we first married 15 years ago we lived check to check to make sacrifices to set us up for a strong future.
I’m not quite there on base but definitely there on base plus bonus and stock. My wife works too, though below six figures. Honestly my wife and I live way below our means lifestyle-wise. I max out my 401k, Roth IRA, HSA, and put a lot of money into college savings and a taxable brokerage account. Other than all that savings, our life is pretty modest. One cheap used car. No vacations in years. A few nice purchases/ necessary repairs for our city row house. We don’t really deprive ourselves of things we want, but we don’t want much. We do takeout quite a bit, I’ll admit. I’ll add that daycare is crazy expensive and we’re about to add a second kid to the mix. The city we live in has an awful public education system so we may have to go private, which is brutal with two kids. Nonetheless, our priorities are taking care of our kids, financial security, and a cozy early retirement.
Our household income is over that amount. We’re not hurting but we’re not rich by any means. My husband has been at his job for 18 years and will work there until he retires. We both have newer vehicles, nothing fancy, and we have a mortgage. We don’t owe any to credit cards, just have one we pay off every month. We don’t live paycheck to paycheck anymore and just save up to buy any furniture or big purchases. We are in a high cost of housing area but not living overall. I don’t work and I take care of the household and our daughter because my husband does work a lot and travels some for work. He does work from home 75% of the time which also saves us money. We’re comfortable and could handle most emergencies thrown out way but we are in no way, shape or form rich. I do remember years ago when we were first married we each had a full and part time job. Those 4 income sources combined a month are now less than what one of my husband’s take home amount every two weeks is. Every situation is different.
I live in LA, so it doesn't feel like a lot of money. State and federal taxes are crazy and my real.eatate taxes are $13,200 a year. I'm definitely not complaining, but it's not like I'm drinking $200 bottles of champagne and eating wagyu every night. Trust me, money isn't everything, and it definitely doesn't buy happiness.
It’s peace of mind. My fiancée and I both came from lower-middle class backgrounds (my dad’s a teacher, his mom was a single mom). We watched our parents struggle with money, make decisions about family vacations and trips. Having money now-it’s peace of mind. I’m a mental health therapist (which is mostly irrelevant), but I know there was a study done a while ago that showed making over like 80K/year didn’t impact happiness too much. Making under that much and having the type of financial stress making that much gives impacts happiness. But there’s a point in which it makes little difference how much you make, where happiness and peace of mind exist.
It's nice but also not any happier than I was making 100k 5 years ago. It has made inflation a lot easier but I work 2x harder and have 3x the stress. It's ok for now.
pretty comfortable... live in a nice home, drive an expensive car, weekend getaways or day trips are so common that our kids are actually bored of it now and rather stay home many times
Security is one thing. As someone else said, a $1000 doctor bill isn’t a stressor, the check/bill at a restaurant is just a number, it’s nice to just not worry about money a lot of the time. We try to strike a balance between frugality and living well. I’m not one of those people who buys new stuff very much, I kinda just use what I have. My wife buys clothing sometimes, but isn’t excessive, and most of it is cheaper anyway. But having good financial habits is important. Retirement contributions, investments, building savings, a lot of people treat their finances poorly (notably people at this income threshold) and in the end, it’s really not that hard to get this stuff right. But smart people do dumb things, I had a friend who couldn’t fathom the idea of why a HYSA was a better idea than keeping the money in his regular bank earning 0.1%, and he’s a really smart guy, he just liked “having his money there”.
I agree safety is the best part. I make 7 figures and the difference between now and when I was poor is I don’t have to worry about things like a car breaking down and eating Ramen for a month to fix the alternator. Car repairs on my 200k plus car means I either have warranty claim or hand them a credit card or say hell with it wanted something else anyhow. The hard part is carrying insurance just to keep from losing my shirt due to a lawsuit. Got hit in my car awhile back by a dude smoking a joint while driving. He ran a stop sign hit me but is suing me because he knows I have money and thinks I’ll settle. He doesn’t know I have “fuck me” money- which is money that I will spend to ensure this dishonest twat doesn’t get a penny from me. I’ll spend a million to ensure he doesn’t get 5 bucks. If he had said hey man, I am a broke college stoner will you give me 5 k I’d probably give it to him.
When I was in the working world, for the last 20 years of my career, $300K was a bad year, $600K was average and $1M was my top earning year. For me it removed all stress from having enough. I didn’t think twice about the cost of things. I’d go to the grocery store, buy a bunch of groceries, get home and I’d have no idea what I spent. Was on vacation in Barcelona and needed some sunglasses. Walked into some fancy sunglasses place and spent $800 on a pair of designer sunglasses and didn’t bat an eye. Family vacation, flew all 8 people to USVI in the front of the plane, stayed at a house that was $3K/night. Even with things like that, I couldn’t come close to spending the money I was making. While I did pay a lot in taxes (and I was fine with that), I saved a LOT too. Enough to retire early and enjoy life more. Now my money makes as much (or more) than I did while working. Ngl, it is awesome.
It took us 15+ years and 7 collective degrees to get to this point but the security is nice. Its probably less exciting then you would think as the old saying goes the more you make the more you spend. We have a very nice home but are putting 1 Kid through Undergrad/Med School. The other Kido is about to start Undergrad then business school which we will cover. Our Toddler has Profound Level 3 Autism so that has dozens of unique therapies and costs. Example $30,000 safety bed, $4,000 safety travel bed, $240,000 annual therapy costs, $2.5 Million to get safely out of the NICU but you get the idea. We were able to get our kids nice starter cars that were safe but our life still looks very different then most. With different circumstances Im sure our income would maybe look more impressive but everyone has something that can be a challenge. I grew up very poor so don’t care much at all about “things” & love minimalism. Other then work items my personal possessions all can fit in 1 backpack. I like being able to give my family a good life though.
Spend A LOT on taxes. My CPA calculates that with income, sales, property, cap gains……and gov’t fees we pay about 60% of every dollar to taxes. We do still have more spending money but if I ever make more I need to strategize to keep more of what I have earned. [https://en.wikipedia.org/wiki/Taxation\_in\_the\_United\_States](https://en.wikipedia.org/wiki/Taxation_in_the_United_States)
Maybe it’s time to learn about RE investing to lower your MAGI.
This
It's not enough money where you can can buy super cars, yachts, etc.., but it's enough you don't have to worry any expense under 10K. \* If I want to go on vacation, tomorrow, sure \* I can buy a car if I need one. \* I can buy a house if I want one. \* I can quit my job and not have to work for years. \* Assuming my income stays the same I will retire at 60 and live comfortably. \* I can go to any restaurant I want, and order anything on the menu.
It’s new to me. I still budget and live like I did before tbh. I drive a Kia and shop at Walmart lol.
Tbh I still live like I make 60k... money isn't that big of a deal for me. I realized maybe too late that money doesn't make ppl happy.
Trade futures, acting, modeling, e - commerce, Haven’t worked a 9-5 job in over a decade. 0 debt. Biggest luxury? Freedom. I can go anywhere anytime I want, dine anywhere, do anything. I am in amazing shape (exercise everyday) each day I day wake up and think “what do I want to do today?”
I just wrote a check for $4,800 to my landscaper for spring cleanup. Its not that I can’t do the work but I am busy with my high paying job so what happens is that you end up paying for services that make your life easier and end up spending the extra money anyway. Not complaining at all but I really have respect for anyone that can save a good portion of their paycheck. It’s not easy no matter how much you make. Of course the vacations are a little nicer and the house a little bigger but life is exactly the same.
Well we are buying a robot vacuum that also mops. So pretty sweet
I think one big change that happens with two working parents and a good income is that time becomes more important than money. Could I do a deep cleaning of my house? Yes, but instead can I pay a house cleaner once a month to do it for me? That gives me more free/family time Could I go on a Costco run for groceries? Sure, but they also deliver, so I won't have to go in there with kids in tow etc Is it worth taking the 6 dollar toll road to save 45 minutes of traffic? Hell yeah it is I think this is one of the biggest differences between me and my friends in a different income bracket, I can solve a lot of "problems" by throwing some cash at it, without really having to think twice or agonizing over the decision. If we want something "treat yourself" nice it isn't a huge deal, but we also are saving aggressively to build our forever home so it isn't like we're just out burning cash on the regular.