How many people here live paycheck to paycheck?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I do not and this is the primary reason I don't own a home. I don't want to be living paycheck to paycheck. Rent is $700 a month cheaper than owning the same home and that does not include unexpected repairs.

I want to applaud you. You seem to be one of the few sensible ones on this thread. Everyone wants a luxurious life and then they wonder why they are living paycheck to paycheck.

Owning a house is a luxury, owning or leasing two new cars is a luxury, vacations are luxury, eating out is a luxury, private schools is a luxury, getting your mani-pedi-facial-bikini wax and coloring your hair in a salon is a luxury, buying brand name anything when generic is available is a luxury, buying new furniture when second hand furniture is available is a luxury, having electronic devices for entertainment is luxury, having cable and magazine subsription is a luxury, keeping a non-working pet is a luxury.

So, if you are unable to dial back on any of your luxurious spendings then you should not think that you are living paycheck to paycheck. You are just blowing away your retirement and children's college funds, because you want a luxurious life now.

But some of us live in a shitty suburb and share 1 old car, with our college furniture, undyed hair etc. I started out with student loan debt, then spouse got hurt (not at work) and expensive surgery and 6 months of unemployment followed. It's hard to get out of the red, even if you skip the luxuries.

Yes, it is true that when all above calamities fall on you, you could be living from paycheck to paycheck. What is your mortgage in the shitty suburb? How much student loan debt do you carry and what was your degree in? What is your grocery bill like? Do you have cable? What have you dialed back on?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Poor assumptions here. I was making sub 50k when my child was born with a mortgage and daycare that exceeded my income. No mater what, I've always had something going to retirement and a bit to a savings account and then I used credit. I figured at the least, I wouldn't live on cat food in my golden years. I didn't have enough to cover bills month to month. Even now, I'm well under 100K at a point where I make a dent in my debt each month. I'm broke by payday. I will be out of the hole a year from now, with 10 years of retirement saved. Happy with my philosophy. Yes, I live paycheck to paycheck.

There seems to be a difference between living "paycheck to paycheck" and being poor. Being poor is someone who cannot save and has absolutely no savings at all (retirement or otherwise). A person who is poor has absolutely no recourse for paying bills if they lose their job (no 401K or equity in house to borrow on). Apparently "paycheck to paycheck" means something like using your whole paycheck for expenses (including the retirement fund).

I think that if a person has substantial equity in their house and any savings accumulated, they have a buffer and are not poor. Maybe the question should be more about total net worth . . . like is your total net worth zero or less? ??

I'm the PP you quoted and agree with your assessment. To answer your question, I had a negative net worth for years because my property was (and still remains) underwater. However, my retirement savings has grown and my high consumer debt has been cut in half, so I have a positive net worth. If I lost my job, I'd be in trouble, as I have 401K loan that I couldn't pay in full. So, yes, I'm paycheck to paycheck, though I won't be a year from now.

To add, my consumer debt was as high as 30K at one point and I haven't cleared 100K (or close to it) in any of those years.

What was your consumer debt for? Was it medical debt or something else -- wants or needs?

[Anonymous]

Yeah, I agree the pet thing is a definite luxury, especially when no one's home all day. Not nice for the animal either.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Live on half your salary for a few years. And if that means living an extremely frugal life, so be it.

We did that when we were a young couple. We lived in a one room apartment in a safe but cheap area. Rarely ate out, had only one second-hand car, DH carpooled, we did not buy clothes etc unless necessary and lived on 30K, while having 42K HHI. Basically, we lived like how majority of college students live. Our furniture was second hand and most of our stuff was from salvation army.

When we reached a HHI of 75K (within 5 years of marriage), we saved 35K in one year and that was our down payment to our SFH worth 350K.

We have not looked back after that. We now have a HHI of 300K, and we still live on 120K a year. Our cost structure is very low because our mortgage is very low. We are the millionaire's next door. Our retirement, insurance, and college funds are top notch. My kids have got full ride on merit scholarships to college, and we have instilled in them the lesson to live below their means.

I think you were looking for the "Unable to answer a simple question" forum. Not everyone has enough left over to live on half.

I'd say that poster married very well. So did the spouse.

[Anonymous]

Anonymous wrote:The phrase "paycheck to paycheck" could be viewed as a microaggression. Just an FYI.

To whom? Please explain.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I do not and this is the primary reason I don't own a home. I don't want to be living paycheck to paycheck. Rent is $700 a month cheaper than owning the same home and that does not include unexpected repairs.

I want to applaud you. You seem to be one of the few sensible ones on this thread. Everyone wants a luxurious life and then they wonder why they are living paycheck to paycheck.

Owning a house is a luxury, owning or leasing two new cars is a luxury, vacations are luxury, eating out is a luxury, private schools is a luxury, getting your mani-pedi-facial-bikini wax and coloring your hair in a salon is a luxury, buying brand name anything when generic is available is a luxury, buying new furniture when second hand furniture is available is a luxury, having electronic devices for entertainment is luxury, having cable and magazine subsription is a luxury, keeping a non-working pet is a luxury.

So, if you are unable to dial back on any of your luxurious spendings then you should not think that you are living paycheck to paycheck. You are just blowing away your retirement and children's college funds, because you want a luxurious life now.

But some of us live in a shitty suburb and share 1 old car, with our college furniture, undyed hair etc. I started out with student loan debt, then spouse got hurt (not at work) and expensive surgery and 6 months of unemployment followed. It's hard to get out of the red, even if you skip the luxuries.

Yes, it is true that when all above calamities fall on you, you could be living from paycheck to paycheck. What is your mortgage in the shitty suburb? How much student loan debt do you carry and what was your degree in? What is your grocery bill like? Do you have cable? What have you dialed back on?

Mortgage! Ha! How would I get a mortgage?

[Anonymous]

We have an emergency fund that we don't touch, but we are at a point in our lives (childcare, home, loans, etc), where we are spending what we make every month. We, however, are lucky to have a lot of job security. I am thankful for that everyday!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I do not and this is the primary reason I don't own a home. I don't want to be living paycheck to paycheck. Rent is $700 a month cheaper than owning the same home and that does not include unexpected repairs.

I want to applaud you. You seem to be one of the few sensible ones on this thread. Everyone wants a luxurious life and then they wonder why they are living paycheck to paycheck.

Owning a house is a luxury, owning or leasing two new cars is a luxury, vacations are luxury, eating out is a luxury, private schools is a luxury, getting your mani-pedi-facial-bikini wax and coloring your hair in a salon is a luxury, buying brand name anything when generic is available is a luxury, buying new furniture when second hand furniture is available is a luxury, having electronic devices for entertainment is luxury, having cable and magazine subsription is a luxury, keeping a non-working pet is a luxury.

So, if you are unable to dial back on any of your luxurious spendings then you should not think that you are living paycheck to paycheck. You are just blowing away your retirement and children's college funds, because you want a luxurious life now.

But some of us live in a shitty suburb and share 1 old car, with our college furniture, undyed hair etc. I started out with student loan debt, then spouse got hurt (not at work) and expensive surgery and 6 months of unemployment followed. It's hard to get out of the red, even if you skip the luxuries.

Yes, it is true that when all above calamities fall on you, you could be living from paycheck to paycheck. What is your mortgage in the shitty suburb? How much student loan debt do you carry and what was your degree in? What is your grocery bill like? Do you have cable? What have you dialed back on?

I know you're probably trying to be my money savior but really, how is asking my college major helpful? Can I go back and change it, absolving myself of the debt? I don't have the luxuries you posted. I've read a million of these threads. I know I have a lower than average grocery bill.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I do not and this is the primary reason I don't own a home. I don't want to be living paycheck to paycheck. Rent is $700 a month cheaper than owning the same home and that does not include unexpected repairs.

I want to applaud you. You seem to be one of the few sensible ones on this thread. Everyone wants a luxurious life and then they wonder why they are living paycheck to paycheck.

Owning a house is a luxury, owning or leasing two new cars is a luxury, vacations are luxury, eating out is a luxury, private schools is a luxury, getting your mani-pedi-facial-bikini wax and coloring your hair in a salon is a luxury, buying brand name anything when generic is available is a luxury, buying new furniture when second hand furniture is available is a luxury, having electronic devices for entertainment is luxury, having cable and magazine subsription is a luxury, keeping a non-working pet is a luxury.

So, if you are unable to dial back on any of your luxurious spendings then you should not think that you are living paycheck to paycheck. You are just blowing away your retirement and children's college funds, because you want a luxurious life now.

But some of us live in a shitty suburb and share 1 old car, with our college furniture, undyed hair etc. I started out with student loan debt, then spouse got hurt (not at work) and expensive surgery and 6 months of unemployment followed. It's hard to get out of the red, even if you skip the luxuries.

Yes, it is true that when all above calamities fall on you, you could be living from paycheck to paycheck. What is your mortgage in the shitty suburb? How much student loan debt do you carry and what was your degree in? What is your grocery bill like? Do you have cable? What have you dialed back on?

I know you're probably trying to be my money savior but really, how is asking my college major helpful? Can I go back and change it, absolving myself of the debt? I don't have the luxuries you posted. I've read a million of these threads. I know I have a lower than average grocery bill.

They ask those questions so that they can shame us and judge us for not having had the kind of wisdom and knowledge that they had at the ripe old age of 20 to choose a degree and career path that would serve well financially, for not buying in a desirable area pre bubble, for not obsessively reading a copy of The Millionaire Next Door until it is dogeared, for not driving the shittiest car you could buy with "all cash" that you don't even have, etc, etc.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I do not and this is the primary reason I don't own a home. I don't want to be living paycheck to paycheck. Rent is $700 a month cheaper than owning the same home and that does not include unexpected repairs.

I want to applaud you. You seem to be one of the few sensible ones on this thread. Everyone wants a luxurious life and then they wonder why they are living paycheck to paycheck.

Owning a house is a luxury, owning or leasing two new cars is a luxury, vacations are luxury, eating out is a luxury, private schools is a luxury, getting your mani-pedi-facial-bikini wax and coloring your hair in a salon is a luxury, buying brand name anything when generic is available is a luxury, buying new furniture when second hand furniture is available is a luxury, having electronic devices for entertainment is luxury, having cable and magazine subsription is a luxury, keeping a non-working pet is a luxury.

So, if you are unable to dial back on any of your luxurious spendings then you should not think that you are living paycheck to paycheck. You are just blowing away your retirement and children's college funds, because you want a luxurious life now.

But some of us live in a shitty suburb and share 1 old car, with our college furniture, undyed hair etc. I started out with student loan debt, then spouse got hurt (not at work) and expensive surgery and 6 months of unemployment followed. It's hard to get out of the red, even if you skip the luxuries.

Yes, it is true that when all above calamities fall on you, you could be living from paycheck to paycheck. What is your mortgage in the shitty suburb? How much student loan debt do you carry and what was your degree in? What is your grocery bill like? Do you have cable? What have you dialed back on?

This is not the PP you responded to.

Why is that you cannot accept that PP is living frugally and living paycheck to paycheck? Can you not fathom that there are people who do all the right things and aren't magically millionaires or that they don't have a cushiin. Life happens and sometimes there are circumstances beyond our control that screw up our financial situation. Get your head out of your ass and stop being so sanctimonious.

[Anonymous]

Anonymous wrote:I never have--even when I was waitressing and paying my own way through college. I always found living situations that were well below my means and then continued to have roommates ten years out of college. I understand when job loss or medical bills cause someone to have to live paycheck to paycheck. I don't understand people doing so rather than cutting back their expenses (such as by renting instead of buying, renting out a room from their house, having roommates if single, living in a smaller house/apartment, etc).

+1
People on this thread are living lifestyles they can't afford.

[Anonymous]

Also people move! This is a very high cost of living area. I would never live here without a great salary never. And before you mention family, I moved away from mine to work here and make the money I do.

[Anonymous]

Anonymous wrote:Also people move! This is a very high cost of living area. I would never live here without a great salary never. And before you mention family, I moved away from mine to work here and make the money I do.

Are you offering free moving services? That's so sweet.
The problem is that you can get stuck, if you truly are paycheck to paycheck it's almost impossible to gather moving expenses and deposits for a new place. If your credit is shot it's even harder.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Also people move! This is a very high cost of living area. I would never live here without a great salary never. And before you mention family, I moved away from mine to work here and make the money I do.

Are you offering free moving services? That's so sweet.
The problem is that you can get stuck, if you truly are paycheck to paycheck it's almost impossible to gather moving expenses and deposits for a new place. If your credit is shot it's even harder.

Get a part time job. Waitress. Babysitt. Sell your stuff. Charge
the moving expenses. Some people just don't fix the problems they create

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Poor assumptions here. I was making sub 50k when my child was born with a mortgage and daycare that exceeded my income. No matter what, I've always had something going to retirement and a bit to a savings account and then I used credit. I figured at the least, I wouldn't live on cat food in my golden years. I didn't have enough to cover bills month to month. Even now, I'm well under 100K at a point where I make a dent in my debt each month. I'm broke by payday. I will be out of the hole a year from now, with 10 years of retirement saved. Happy with my philosophy. Yes, I live paycheck to paycheck.

There seems to be a difference between living "paycheck to paycheck" and being poor. Being poor is someone who cannot save and has absolutely no savings at all (retirement or otherwise). A person who is poor has absolutely no recourse for paying bills if they lose their job (no 401K or equity in house to borrow on). Apparently "paycheck to paycheck" means something like using your whole paycheck for expenses (including the retirement fund).

I think that if a person has substantial equity in their house and any savings accumulated, they have a buffer and are not poor. Maybe the question should be more about total net worth . . . like is your total net worth zero or less? ??

I'm the PP you quoted and agree with your assessment. To answer your question, I had a negative net worth for years because my property was (and still remains) underwater. However, my retirement savings has grown and my high consumer debt has been cut in half, so I have a positive net worth. If I lost my job, I'd be in trouble, as I have 401K loan that I couldn't pay in full. So, yes, I'm paycheck to paycheck, though I won't be a year from now.

To add, my consumer debt was as high as 30K at one point and I haven't cleared 100K (or close to it) in any of those years.

What was your consumer debt for? Was it medical debt or something else -- wants or needs?

Answer is in bold for you.

Agree with a PP that this question reeks of a way to shame someone living paycheck to paycheck.