What % of your income goes towards your mortgage?

[Anonymous]

Anonymous wrote:Our mortgage is 34% of our take home pay.

That would be manageable on its own, but the X factor is childcare. We pay 44% of our take home pay for childcare. We're in the thick of it (two kids in full time care) so this is the worst 18 months we'll ever have on this cost). But it means we have only 22% of our income left over for other expenses, so outside of mortgage and childcare, we live very, very frugally.

This is us except our childcare is only 20% take home.

[Anonymous]

Our monthly gross HHI is $20,000; net after taxes and 401K is $11,500 per month.

Kids are in college, so no daycare and we can see the end of the for college savings expenditures.

Our primary mortgage, from 1998, is $2,600 per month PITI.
And last year we bought a vacation house with a PITI of $1,200.

So total of $3,800 in mortgage payments = 19% of gross, 32% of net.

[Anonymous]

HHI is around $390K and our monthly payment is around $8000 including mortgage, insurance, property tax, utilities excluding internet and phone.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I know GROSS is what everyone looks at, but I think looking at NET is what you should be looking at if budgeting on a month to month basis. We NET $15K a month, mortgage + taxes and insurance is right at $5K. Our GROSS is probably closer to $30K but we max 401K plus catch up contributions, and we withhold "0".

Net though is highly dependent on personal choices as you kind of implied. My net changes a lot based on things like health, education and retirement accounts, tax issues, etc.

Gross in my opinion is far more easily comparable across households. For me PITI is 21% of gross.

In addition to this, about 30% of my compensation is either deferred or paid an irregular intervals, and so it doesn't factor into monthly cashflow, and we don't take it into account when figuring how much we can incur in monthly expenses. I know what our gross is, but it's a huge hassle to figure out net monthly income.

[Anonymous]

Anonymous wrote:HHI is around $390K and our monthly payment is around $8000 including mortgage, insurance, property tax, utilities excluding internet and phone.

That's insane.

[Anonymous]

PITI is 22% of take home on a 20 year mortgage.

[Anonymous]

HHI 550k

PITI+ HOA = $3,800/mo

That will change soon and jump to 6k

[Anonymous]

Ours is 16% of gross, 23% of take home, including the escrow for insurance and taxes. We make $260k combined gross a year. We have one kid in daycare, one kid in school, and no other debt besides a mortgage. It's very manageable.

[Anonymous]

Ours is 5.4% but our income is pretty high. The mortgage is a bit under $1mm.

[Anonymous]

PITI (plus HOA) is 15% of gross, 26% of take-home.

[Anonymous]

Anonymous wrote:Ours is 5.4% but our income is pretty high. The mortgage is a bit under $1mm.

^ sorry, meant 5.4% of gross. I don't have net numbers at hand.

[Anonymous]

we are trying to aggressively pay ours off so we put one whole paycheck towards mortgage every month. So that is 25% of net.If we were just paying mortgage amount- it would be like 8%

[Anonymous]

Anonymous wrote:

Anonymous wrote:HHI is around $390K and our monthly payment is around $8000 including mortgage, insurance, property tax, utilities excluding internet and phone.

That's insane.

I am the PP. I know but with the rate being only 2.875%, we are actually saving money into equity of the house. The stock market is unstable this year so we consider to put most money into real property.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I know GROSS is what everyone looks at, but I think looking at NET is what you should be looking at if budgeting on a month to month basis. We NET $15K a month, mortgage + taxes and insurance is right at $5K. Our GROSS is probably closer to $30K but we max 401K plus catch up contributions, and we withhold "0".

Net though is highly dependent on personal choices as you kind of implied. My net changes a lot based on things like health, education and retirement accounts, tax issues, etc.

Gross in my opinion is far more easily comparable across households. For me PITI is 21% of gross.

In addition to this, about 30% of my compensation is either deferred or paid an irregular intervals, and so it doesn't factor into monthly cashflow, and we don't take it into account when figuring how much we can incur in monthly expenses. I know what our gross is, but it's a huge hassle to figure out net monthly income.

Yes but I think the majority of people have a pretty predictable monthly NET. I know what ours is from Jan-April, that's usually when DH maxes out the social security portion of his pay and his paycheck increases about by about $1000-$1200 a month for the rest of the year. He gets an annual bonus paid in March, but I don't include that in our budget. We just put as much of that away as possible.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I know GROSS is what everyone looks at, but I think looking at NET is what you should be looking at if budgeting on a month to month basis. We NET $15K a month, mortgage + taxes and insurance is right at $5K. Our GROSS is probably closer to $30K but we max 401K plus catch up contributions, and we withhold "0".

Net though is highly dependent on personal choices as you kind of implied. My net changes a lot based on things like health, education and retirement accounts, tax issues, etc.

Gross in my opinion is far more easily comparable across households. For me PITI is 21% of gross.

In addition to this, about 30% of my compensation is either deferred or paid an irregular intervals, and so it doesn't factor into monthly cashflow, and we don't take it into account when figuring how much we can incur in monthly expenses. I know what our gross is, but it's a huge hassle to figure out net monthly income.

Yes but I think the majority of people have a pretty predictable monthly NET. I know what ours is from Jan-April, that's usually when DH maxes out the social security portion of his pay and his paycheck increases about by about $1000-$1200 a month for the rest of the year. He gets an annual bonus paid in March, but I don't include that in our budget. We just put as much of that away as possible.

On the other hand, if your DH maxes out his Social Security taxes in April, he's probably making about $500,000, which means you can afford even a very expensive mortgage.