is household income $220,000 lower middle class for DCUM?

[Anonymous]

Anonymous wrote:is household income $220,000 lower middle class for DCUM?
Family of 4, IS $220,000 poor FOR DCUM? I feel like I am the poorest person using this site.

It is UMC. It may not feel that way but it is.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

[Anonymous]

Anonymous wrote:$250k HHI with about a 2 mil net worth and we feel very much like lower middle class in DC, especially when we attend school events. Perspective has been reinforced after looking on DCUM and interacting with parents at our private. It depends on your social circle.

Assuming no family money, you're at an income where private school requires a financial sacrifice. You're not LMC, but spending a large chunk of your income on private school and being around the very wealthy will make you feel LMC with what's left over. Think about whether or not staying at the private is best for your child and family, financially and socially. Maybe it is, but you're giving up being UMC at a good public school and having more savings and discretionary income. Good luck whatever your path.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

That's your choice, but pretending like someone with 5 mil in NW doesn't have a huge leg up even with HHI of 220K is myopic. You choose to work, but you don't have to. If you do not have anything close to it and make 220K you have to work just to pay the bills, e.g. your perception of your social status would be very diff. than your perception where your income is to grow your already existing wealth and your necessities could be covered without touching your principal already.

[Anonymous]

Anonymous wrote:

Anonymous wrote:$250k HHI with about a 2 mil net worth and we feel very much like lower middle class in DC, especially when we attend school events. Perspective has been reinforced after looking on DCUM and interacting with parents at our private. It depends on your social circle.

Assuming no family money, you're at an income where private school requires a financial sacrifice. You're not LMC, but spending a large chunk of your income on private school and being around the very wealthy will make you feel LMC with what's left over. Think about whether or not staying at the private is best for your child and family, financially and socially. Maybe it is, but you're giving up being UMC at a good public school and having more savings and discretionary income. Good luck whatever your path.

Well, duh, if you are in a private school circle you are doomed to feel poor even with much higher income and several millions in NW. There is a huge gap between UMC and real wealth, and if you rub shoulders with real wealth and get a glimpse of their lifestyle no surprise you feel impoverished.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

Earning interest isn't investing There are people who live off their money without touching principal because they are good at making decent returns, not interest.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

Earning interest isn't investing There are people who live off their money without touching principal because they are good at making decent returns, not interest.

Lol. Here’s the active investor who should be on Wall Street again.

[Anonymous]

Anonymous wrote:$250k HHI with about a 2 mil net worth and we feel very much like lower middle class in DC, especially when we attend school events. Perspective has been reinforced after looking on DCUM and interacting with parents at our private. It depends on your social circle.

Pure BS.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

Earning interest isn't investing There are people who live off their money without touching principal because they are good at making decent returns, not interest.

Lol. Here’s the active investor who should be on Wall Street again.

Lol. Here is someone who really must love their job or has anxiety issues of being on the skid row with millions in the bank.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

if you earn 5% on 5 mil it's pretty much what OP's entire HHI is, and you do not have to work or touch your principal. How is this not dramatically different from a situation where you have to work full time to make this money, and still have to manage to save and invest to grow your NW? Do you really not see the difference, or you are oblivious to reality because you are in your own little misery bubble keeping up with the Joneses who need 10 mil min to consider retirement?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

That's your choice, but pretending like someone with 5 mil in NW doesn't have a huge leg up even with HHI of 220K is myopic. You choose to work, but you don't have to. If you do not have anything close to it and make 220K you have to work just to pay the bills, e.g. your perception of your social status would be very diff. than your perception where your income is to grow your already existing wealth and your necessities could be covered without touching your principal already.

No one is "pretending like someone with 5 mil in NW doesn't have a huge leg up." The entire point was that someone's NW matters a lot.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make a lot more than that. But it’s a good income. People on this site get carried away and I think a lot exaggerate.

Income is also just one side of the ledger. I know a lot of people making my income and more who have 200k+ of student loan debt at 7-8% interest for the next 15 years. Plus people also consume a lot and buy cars and houses that leave them with less flexibility

At 220k you make enough to have flexibility if you spend carefully.

So, I wouldn’t worry about how much others are making and spending, but rather how much flexibility your current income affords you now and in the future.

This. Your mortgage and other costs matter a lot. Big difference between someone looking to buy their first home, $250K net worth, and paying for daycare or a nanny vs. someone who owns a $1.5M home that they bought for $750K back in the day with a 3% mortgage, $5M net worth, and kids in great public schools.

Those with NW of 5 mil who live in a house worth only 1.5 mil likely have their money invested and producing extra income. If their job earnings are the same as OP's this doesn't mean their actual HHI is the same. If this HHI is all investment income and not from job earnings, then these people are on a different level, as they are financially independent and do not have to earn a living. Like someone already said it's also what you spend, having a life where you do not need to work for a living is closer to the wealthy classes in principal even if a lot more modest consumption wise.

Not true. Lots of people in this situation live off part of their salaries while continuing to save and letting the interest compound without withdrawing. This is what we do. People like us are in this situation because we live below our means.

That's your choice, but pretending like someone with 5 mil in NW doesn't have a huge leg up even with HHI of 220K is myopic. You choose to work, but you don't have to. If you do not have anything close to it and make 220K you have to work just to pay the bills, e.g. your perception of your social status would be very diff. than your perception where your income is to grow your already existing wealth and your necessities could be covered without touching your principal already.

No one is "pretending like someone with 5 mil in NW doesn't have a huge leg up." The entire point was that someone's NW matters a lot.

It's why conversations about HHI are meaningless.

[Anonymous]

Anonymous wrote:is household income $220,000 lower middle class for DCUM?
Family of 4, IS $220,000 poor FOR DCUM? I feel like I am the poorest person using this site.

No. However, if they have several kids and not budgeting well, it can be.

[Anonymous]

We earn way less and travel a lot. House is nearly paid for and we have no college debt. Yes, our parents helped us pay for college.

I don’t feel I’m missing much.

[Anonymous]

Anonymous wrote:

Anonymous wrote:is household income $220,000 lower middle class for DCUM?
Family of 4, IS $220,000 poor FOR DCUM? I feel like I am the poorest person using this site.

You middle class because you work for money. Money needs to work for you DCUM or not.

This is true. You are wealthy when your money is invested well enough to bring you cash flow.