150k/yr is bad now

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:…it isn’t short term inflation that gives you the impression $150k is bad. Also, it is still a freaking great salary in the grand scheme of things. Plenty to live on. Not sure where you’re coming from.

150k now is 120k in 2016 dollars according to CPI, 20% decline but other costs have gone up 30-40% since then like cars, housing, food, then if you include higher interest rates for mortgages this can effectively be a 50-100% cost increase. So for certain things 150k is like 75k just several years ago.

100% increase is a little nuts and afaik not backed up by facts. However one big thing you're noting is why we have to take on this as public policy -- cost of housing both to rent and to purchase is batshit insane and is in many ways the expense that makes people feel their pay isn't enough. Those of us who were privileged to be older millennials with stable jobs who could buy at the bottom of the market post 2008, and refinance to a freaking low rate are in a different financial position from someone who doesn't own now and is facing higher and higher rents. We need more housing, we need more housing that is available, attainable, and afforable to those at all income levels.

True, but you know who is first in line to decry the building of more affordable housing for working and lower middle and even middle class people?

The people who lucked into the timing of buying during the bottom of the market in post-2008, refinanced to a sub 3% rate in the last few years, and are now living in homes they bought for 400k that are worth 1.4m. Those folks (you) see the dollar signs from their "smart financial choices" (read: incredibly fortunate timing) lining up and don't like the idea of building additional housing that might impact how that works out for them. Y'all are looking at early retirement, selling out to go mortgage free. Some of you snapped up multiple properties, or have pre-marital properties you've held onto and rented out, and now you're thinking about passive income and quitting the rat race altogether.

You don't want affordable housing. You're capitalists now. You want high rents and high housing prices.

400 to 1.4 m is an exaggeration. We bought at 460 sub 3% and now it’s around 600. But what does it matter if I can’t sell it to anyone and buy somewhere else without taking a 100k interest hit. Market is frozen. That money is a mirage.

Ok now compare P&I of your house at current rates and prices vs current P&I of what you locked in. Basically doubles the housing cost for someone buying for the first time and taking out a mortgage.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:
Funny how I raised two kids on much less in this area, then! Do you really want to go through life being miserable and feeling deprived? Try to be content with what you have, or hustle to make more.

So your kids are already grown? Yeah no shizz, $150k back when your kids were kids was a lot better of a salary

My kids are 13 and 18 (one is in college).

So not that long ago, and we're still living as a family of 4 on less than 150K.

Happiness is a choice and sometimes it's work.

*in a home you bought 15-20 years ago that would now cost 2-3x as much*

If real estate costs in the area are going to double, then people would need double your income to live the exact same lifestyle. The math on this isn't hard, folks. That's how I know none of you are financial geniuses -- your inability to understand extremely basic math.

[Anonymous]

The smart financial move right now is to just keep paying down your sub-3% fixed rate mortgage with dollars that are increasingly devalued. Do not sell that damn house - that crazy low mortgage rate is your hedge against inflation. Even if you move, you keep that house and rent it out. I can't really stress this enough.

[Anonymous]

Anonymous wrote:The smart financial move right now is to just keep paying down your sub-3% fixed rate mortgage with dollars that are increasingly devalued. Do not sell that damn house - that crazy low mortgage rate is your hedge against inflation. Even if you move, you keep that house and rent it out. I can't really stress this enough.

Yep. We will never have a mortgage again. We are paying 2.25% and will be done in 7 years. If we move after that we will pay cash. We are hoping to have $5M in retirement which should give us $150k of income, and we won't have a mortgage, college expenses or retirement savings coming out of that.

[Anonymous]

A third of Americans earning $150,000 a year or more say they're living paycheck to paycheck and many rely on credit cards to close the gap, per Moneywise!

150k is the new 20k

[Anonymous]

Our household income is 150k ish AFTER taxes and we only saved $2,200 since January 2023..

[Anonymous]

We should be allowed to apply for foot stamps and or food banks of anything like that, sadly we don’t qualify it’s so sad.

[Anonymous]

I make $110k/yr. I'm a 53 yo single mother of two college-aged kids. I own a home and a car and my kids are in college. We do just fine.

[Anonymous]

^^ I also wanted to add that I am debt-free (outside of my mortgage).

[Anonymous]

Aww I'm sorry life's unfair. Just compare yourself to everyone making less and you might feel better. I make 90k working 2 jobs and just finished paying off DD's first semester.

[Anonymous]

Anonymous wrote:I make $110k/yr. I'm a 53 yo single mother of two college-aged kids. I own a home and a car and my kids are in college. We do
just fine.

Do you save anything?
We getting $150 k a year and we only saved between $2100-$2200 this year..

[Anonymous]

Anonymous wrote:A third of Americans earning $150,000 a year or more say they're living paycheck to paycheck and many rely on credit cards to close the gap, per Moneywise!

150k is the new 20k

And these people are unwilling to make sacrifices. No sympathy whatsoever.


The standard for being middle class has changed. It used to be going to ok public schools and living in a 1,100 sq ft house. Now it's: 3,000 sq ft house, fly everywhere, good schools, centrally located, latest electronic, refuse to get college paid via GI bill, 50k new car, etc.

[Anonymous]

The cost of childcare in some states now exceeds the cost of some in state public colleges.

https://www.usatoday.com/story/money/personalfinance/2023/09/25/cost-of-raising-a-child-college-tuition-car-childcare/70930351007/

[Anonymous]

Anonymous wrote:

Anonymous wrote:I make $110k/yr. I'm a 53 yo single mother of two college-aged kids. I own a home and a car and my kids are in college. We do
just fine.

Do you save anything?
We getting $150 k a year and we only saved between $2100-$2200 this year..

If I'm being really careful I can save 1k a month, but some months that's not possible. I also contribute the max to my retirement savings plan (my employer also contributes).

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I make $110k/yr. I'm a 53 yo single mother of two college-aged kids. I own a home and a car and my kids are in college. We do
just fine.

Do you save anything?
We getting $150 k a year and we only saved between $2100-$2200 this year..

If I'm being really careful I can save 1k a month, but some months that's not possible. I also contribute the max to my retirement savings plan (my employer also contributes).

We can only contribute like 3%.. we can do more, but then we will only eat PB&J. For breakfast lunch and dinner with .55 bread and not the good bread