450k HHI- lifestyle questions
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Anonymous
+1 this answers the OP's question. If you make 450k but live this kind of lifestyle then that's why the complaining about lack of money. It doesn't take much to live at or beyond your means. Just look at all the insanely wealthy athletes that went bust. It's not the income that matters so much, but more what you do with it and if you make smart financial choices. |
Anonymous
Sorry we are both doctors who make around this much with 2 kids in private school and made it a priority to pay off our student loans first (done) and mortgages second (just refinanced into a 15 year mortgage at an outrageously low rate this summer). We have health insurance and use it. One of our cars is paid off, the other has a $400/month car payment on a 3 year loan - 0.9%. No therapy necessary 
We save a LOT more than you. Obviously. |
Anonymous
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Anonymous
| silly rich people problem |
Anonymous
You're an ass. You're gloating about how you don't have to provide your children with private therapy and don't happen to need it yourself? And good for you that you don't have complex medical needs that require you to see the best doctors. You can  yourself all the way to the bank, then.
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Anonymous
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Seems to me it is quite easy not to have extra funds if two parents are working with a family income of around $200,000. Figuring about $2,500 for child care till kindergarten and then once two are in school about $10-12K per year for summer options and before/after care. Add in a mortgage of about $2,500, upgrades on many older homes over time and also two 529 plans along with maxing out any retirement savings options. This also assumes no need for private school and very good health insurance coverae. It is very scary that just a basic lifestyle can cost that much. |
Anonymous
| 450k is not rich and a nanny costs at least 3100 a month. |
Anonymous
You're out of touch, bro. |
Anonymous
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Our HHi varies but is around 350-450 depending on bonuses.
$3k mortgage and taxes $400 car (finally bought a new one, DH glady drives a beater) Maybe $1k a month home maintenance stuff $1k a month groceries $500 month utilities Rest savings So many of our work peers love paycheck to paycheck because they have the big house, the NEED the new BMW every other year, etc. |
Anonymous
| Why a car loan? |
Anonymous
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HHI =525k, net monthly income per month = 24.5k (after maxing out 403b and pension contributions plus health insurance)
Mortgage plus taxes and insurance = 7.5k Nanny (salary plus taxes) = 4k Household expenses (utilities, groceries, house maintenance, etc.) = 5k Savings = 8k Our summer vacation usually costs about 5-7k. |
Anonymous
When you can borrow at 1% and earn at 4% it makes a lot of sense. |
Anonymous
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We are also around $350-450 HHI depending on bonuses. We did hit $450 last year. Two kids. $4400 mortgage, $3000 childcare, every household expense we can goes on credit cards and it generally comes out to $4-5k/month. The rest we save in 401k, 529 plans for the kids, and an investment account. My view is that we are very comfortable and I would never say we have money worries. We have the flexibility to do what we want without worrying, though I wouldn't say we live extravagantly. We don't even have more than one car, and it's a Honda.
DH believes our jobs and paychecks at this level are not guaranteed (we are both lawyers, one in biglaw, so he's right to some extent) and he feels financially insecure even though we have a lot in savings. He's crying wolf a bit because he clearly doesn't feel insecure enough to cut back on buying lunch every day, last minute weekend trips, new kitchen toys and expensive food purchases, etc. But anyway, I think that's another way people can feel that way at this HHI, if they worry it won't last. |
Anonymous
| NP here, but I'll answer the car payment question..... with super low car interest rates (1-2%), you can better leverage the money. If you can instead invest that money where you make more than you pay in interest, it's actually a better financial decision to keep the cash for as long as you can... |
Anonymous
We live in a big house and I like to lease a brand new luxury car every 2-3 years. Nothing bothers me more than car troubles. I even hate taking the car in for routine maintenance. Our kids attend public school and we save $100k+ per year. |