$155K HHI and broke - any tips?

[Anonymous]

It's tough to make it around here on 150k the largest expense is mortgage when the average decent home is over 600k.

[Anonymous]

Anonymous wrote:It's tough to make it around here on 150k the largest expense is mortgage when the average decent home is over 600k.

Then buy a cheaper home that has fewer features until you can afford a better one. Or rent. Or get paying roommates.

Jeesh. It really is that easy.

Not as easy as whining and feeling how downtrodden you are while only making more than 99.95% of the world's population, but still stunningly easy.

[Anonymous]

Anonymous wrote:It's tough to make it around here on 150k the largest expense is mortgage when the average decent home is over 600k.

It's quite easy to live on that amount in the suburbs, where the average decent home is less than $600k.

[Anonymous]

Take out a home equity line of credit. Pay off the cars with that and you will have a lower interest rate for the cars AND more time to pay them off with lower payments.

[Anonymous]

Anonymous wrote:Take out a home equity line of credit. Pay off the cars with that and you will have a lower interest rate for the cars AND more time to pay them off with lower payments.

Sell the expensive cars - even at a few thousand dollar loss - and replace them with ultra-cheap used cars. Drive those cars until they die.

Sell the expensive house and get one you can afford.

Sell the expensive junk that led to the overly high credit card balances.

No one but a financial idiot or a drug addict should have any trouble getting by on $155,000 a year anywhere in this country.

[Anonymous]

I remember that hhi , it was tough wishing you the best

[Anonymous]

If you are making this kind of money and think you are not making enough, check out this website for some much needed perspective:

http://www.globalrichlist.com/wealth

[Anonymous]

Is there any equity in your home? If you sell, can you at least break even? Consider that and renting at $2000 a month (in the suburbs, not DC of course) instead of a $2500 a month mortgage. What if you need roof repairs or another major home expense? That sounds like it would be a huge problem for you. Also, how old is your DC and when can she be in public school so you can lose the $1600 daycare payment? If only another year, I might just muddle through, but since you mentioned you had a "baby" it sounds like it would be at least a few years.

[Anonymous]

Anonymous wrote:

Sell the expensive cars - even at a few thousand dollar loss - and replace them with ultra-cheap used cars. Drive those cars until they die.

Sell the expensive house and get one you can afford.

Sell the expensive junk that led to the overly high credit card balances.

No one but a financial idiot or a drug addict should have any trouble getting by on $155,000 a year anywhere in this country.

Cannot sell my 8 year old car. A cheap and reliable car will cost the same.
Cannot sell the house. I am upside down on the mortgage, cannot even refinance. My interest rate is 4.75
I do not own expensive junk. Just some camping equipment, those do not sell for much on craigslist.
Kids will have to do summer camp this year. I will have to charge it on the credit card.
Another kid has braces, but I got a good deal. In 10 months time that monthly payment will be gone. I am paying for glasses, dermatologist and doctors as well.

Mortgage payment is $2100. My kids need their own rooms. I cannot move the family into the city ghetto. That place scares me, and I am not "city" like enough to be able to live in gang land.

But I suppose it could be worse. So if you have some tips, tell us. So far I bake my own bread, never do take out or restaurants. Do not shop, except to buy the kids what they need

[Anonymous]

Anonymous wrote:

Mortgage payment is $2100. My kids need their own rooms.

"Own rooms" is a want, not a need.

I grew up sharing a room with either one or two siblings for most of my childhood; I was not scarred by it. I only got my own room after my oldest sibling moved out of the house.

Your money problems are rooted in your thinking. Baking bread (something that is super-cheap to buy) is not going to make the difference; questioning and revising your preconceived notions might.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Sell the expensive cars - even at a few thousand dollar loss - and replace them with ultra-cheap used cars. Drive those cars until they die.

Sell the expensive house and get one you can afford.

Sell the expensive junk that led to the overly high credit card balances.

No one but a financial idiot or a drug addict should have any trouble getting by on $155,000 a year anywhere in this country.

Cannot sell my 8 year old car. A cheap and reliable car will cost the same.
Cannot sell the house. I am upside down on the mortgage, cannot even refinance. My interest rate is 4.75
I do not own expensive junk. Just some camping equipment, those do not sell for much on craigslist.
Kids will have to do summer camp this year. I will have to charge it on the credit card.
Another kid has braces, but I got a good deal. In 10 months time that monthly payment will be gone. I am paying for glasses, dermatologist and doctors as well.

Mortgage payment is $2100. My kids need their own rooms. I cannot move the family into the city ghetto. That place scares me, and I am not "city" like enough to be able to live in gang land.

But I suppose it could be worse. So if you have some tips, tell us. So far I bake my own bread, never do take out or restaurants. Do not shop, except to buy the kids what they need

Kids don't need their own room
They don't need to have summer camps. Send them to stay with grandma, or find a nanny share with another family.
Get a roommate even its a bit cramped and awkward. Even a couple hundred a month can go a loooooong way when you are penny pinching.
Think about the under water house - what would it cost to sell? How much could you save long term if you did it? I sold a house that I lost $50,000 on because I realized I could save that much in mortgage in 2 years. You payout might be different, but just because its underwater doesn't mean you shouldn't sell. Digging bigger debts doesn't help you. $2,100 mortgage plus taxes is no joke on $150K.

Rethink your situation.

[Anonymous]

NP here. Her mortgage is $2100/mo. She'll never be able to rent a decent place for that amount. Something else has to give in this situation. OP, I get the camp/childcare thing. It may have to be something you ride out until you become free of the binds of childcare. To commiserate, we also have to charge camp on our credit cards. We usually pay it off by the end of the summer but it's hard. I think people are imagining fancy camps on lush campuses when we're only really talking about day camps in the county rec center (glorified daycare). Just keep chugging away at it OP.

[Anonymous]

Anonymous wrote:NP here. Her mortgage is $2100/mo. She'll never be able to rent a decent place for that amount. Something else has to give in this situation. OP, I get the camp/childcare thing. It may have to be something you ride out until you become free of the binds of childcare. To commiserate, we also have to charge camp on our credit cards. We usually pay it off by the end of the summer but it's hard. I think people are imagining fancy camps on lush campuses when we're only really talking about day camps in the county rec center (glorified daycare). Just keep chugging away at it OP.

Housing is indeed a real killer. The OP could find cheaper housing, but that would entail either moving farther away from DC, or into a sketchy neighborhood---and each of these options comes with other costs, such as spending less time with family and more money on gas.

[Anonymous]

I feel so sorry for people who post in good faith asking for advice on DCUM. For every one thoughtful poster who contributes some genuine, well-intentioned advice that actually applies to the OP's situation, there are 20 more rude, insensitive, self-righteous posters who don't even read the original post or any of the OP's followup posts, and just shovel out their usual b.s.

People - stop accusing her of secretly eating out all the time. She's already said she cooks at home, and low-cost items at that. Instead of leaping to conclusions and pointing fingers because you think it's fun to judge other people and be nasty, pay attention to the numbers: mortgage, child care, and student loans. And then just...children. Children are expensive. Co-pays, field trips, clothes, shoes, braces - it all adds up.

OP, I'm glad a few people on here gave you GOOD advice (tracking every cent using mint.com or similar, withholding, cheaper phone plans, cheaper/no gym). But you people who are telling her to send her kids to Grandma's and sell her new house for a loss? Or take on a stranger as a roommate with kids in the house? Jeebus.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Mortgage payment is $2100. My kids need their own rooms.

"Own rooms" is a want, not a need.

I grew up sharing a room with either one or two siblings for most of my childhood; I was not scarred by it. I only got my own room after my oldest sibling moved out of the house.

Your money problems are rooted in your thinking. Baking bread (something that is super-cheap to buy) is not going to make the difference; questioning and revising your preconceived notions might.

Agree completely.