I make good money but am now constantly worried about losing it

[Anonymous]

I recently broke into a seven figure income (think junior c-suite at a mid-sized tech company). As a former public servant, this is both unexpected and unfamiliar. It wasn't until a few years ago that I realized this was even a possibility let alone a likelihood. I feel exceptionally fortunate.

But this situation is new enough that I haven't yet built up an equivalent nest egg, so the income/wealth doesn't feel permanent. The "problem" is that I now find myself perpetually concerned about the ethereal nature of the situation. I like my job and am unlikely to lose it, but stranger things have happened - an issue I'm blamed for, an acquisition by a larger company that make my role duplicative, etc. And while I think I could probably land an equivalent role, I find my thoughts frequently drifting toward what-if scenarios regarding a loss of my income.

For those who have been in high-paying jobs for a while, does this eventually go away? Is this just the new situation jitters, or will this now preoccupy my spare thought cycles? I don't want to be a person who thinks about money all the time, even if it's from a position of privilege.



And just to head off the inevitable... I don't post this with the intention to rub my good fortune in the faces of others. I'm not trolling. I recognize the cry-me-a-river aspect of this, but it's a legitimate situation and, for obvious reasons, I don't really have anybody to talk to in real life about it. So here I am.

[Anonymous]

Try not to let lifestyle creep take over. Save aggressively for a few years, and build up a 6 month emergency fund. I think then you will feel more comfortable.
- a former fed ($125k) who has a $500k/yr job and felt this way at first

[Anonymous]

Accept that it may be temporary. All things are possible. Make hay while the sun shines and save, save, save. Don't get stuck on the hedonistic treadmill of lifestyle creep.

Once you build the nest egg you'll worry less about the permanence of the income

[Anonymous]

Anonymous wrote:Try not to let lifestyle creep take over. Save aggressively for a few years, and build up a 6 month emergency fund. I think then you will feel more comfortable.
- a former fed ($125k) who has a $500k/yr job and felt this way at first

This is sound advice. I came from nothing, ended up in Biglaw law, eventually made partner and very, very good money, never allowed lifestyle creep to take over, lived as I always had, was able to save aggressively without really feeling it as a result, and retired very early and now living very comfortably.

Just act like you won a few million in the lottery. Be smart about it.

Finally, don't be a dick. Remember that just because you now make money you're not a better person than you were before and you're not better than anyone who makes less. Never define yourself by your job or your money.

[Anonymous]

There's a junior C-suite now?

[Anonymous]

Pay a financial planner

[Anonymous]

If you don’t creep your lifestyle up you don’t need to worry about it. DH makes low 7 figures now. Our living expenses are about $220k/year after taxes.

[Anonymous]

Avoid lifestyle creep. Sit down (possibly with a financial manager) and think about where to put your money. Make a plan that accounts for a possible temporary or more permanent lower income. Review the plan at regular intervals depending on your comfort level. Having a plan will help with feeling in control.

[Anonymous]

Thanks all. Yeah, we try to keep things pretty sane and after paying down the mortgage in a big way, all the new money is going directly into savings accounts.

There's no real chance of the money changing our personalities, either. If I'm honest, I think both of us are modest to a fault.

[Anonymous]

Anonymous wrote:I recently broke into a seven figure income (think junior c-suite at a mid-sized tech company). As a former public servant, this is both unexpected and unfamiliar. It wasn't until a few years ago that I realized this was even a possibility let alone a likelihood. I feel exceptionally fortunate.

But this situation is new enough that I haven't yet built up an equivalent nest egg, so the income/wealth doesn't feel permanent. The "problem" is that I now find myself perpetually concerned about the ethereal nature of the situation. I like my job and am unlikely to lose it, but stranger things have happened - an issue I'm blamed for, an acquisition by a larger company that make my role duplicative, etc. And while I think I could probably land an equivalent role, I find my thoughts frequently drifting toward what-if scenarios regarding a loss of my income.

For those who have been in high-paying jobs for a while, does this eventually go away? Is this just the new situation jitters, or will this now preoccupy my spare thought cycles? I don't want to be a person who thinks about money all the time, even if it's from a position of privilege.



And just to head off the inevitable... I don't post this with the intention to rub my good fortune in the faces of others. I'm not trolling. I recognize the cry-me-a-river aspect of this, but it's a legitimate situation and, for obvious reasons, I don't really have anybody to talk to in real life about it. So here I am.

Don't change your lifestyle. Love below your means. I am very high income and my lifestyle has remained the same. I still take free flights using credit card points. I don't go to 5 star Michelin restaurants. I don't drink alcohol. I do a lot of free things such as hiking kayaking. I do road trips and stay at cheap hotels. I never worry about how much things cost or how much I have in savings because I am constantly doing things under budget.

Now if you feel as an "executive" you need to live in a mansion and drive an s-600 Benz then yeah you should freak out cause that lifestyle isn't cheap.

[Anonymous]

Anonymous wrote:There's a junior C-suite now?

If a company is big enough to have multiple divisions/business units or subsidiaries, what would you call the heads of those if they're not the C-suite of the overall parent?

[Anonymous]

Anonymous wrote:Thanks all. Yeah, we try to keep things pretty sane and after paying down the mortgage in a big way, all the new money is going directly into savings accounts.

There's no real chance of the money changing our personalities, either. If I'm honest, I think both of us are modest to a fault.

I'd prioritize putting money into a brokerage account after you max out your 401k, especially if you have a low interest mortgage. It's how you build real wealth.

I felt the same way as you OP, for years. I had a bad case of impostor syndrome, having come from a blue-collar family. It didn't change until I had amassed FU money (which I define as enough money to walk away from my career and maintain my standard of living until death).

[Anonymous]

I definitely feel this way, and we do have a sizeable amount saved from jobs along the way. (But the big salaries are only 2 years old). My issue is we're getting older, and I don't know how long we'll want these jobs. Or at what point we'll decide it isn't worth the work/time. It's hard to find a balance between spending, saving and giving. I think we'll end up saving more than we need for retirement, or for the time after we downshift, but I'd rather go that way than not have enough.

[Anonymous]

Possessions are fleeting.

[Anonymous]

Anonymous wrote:Possessions are fleeting.

But financial security/peace of mind is not, and that's what OP is working toward.