Reply to Private school -- what portion of income are people spending?

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[quote=Anonymous]We have two kids--one at home still and one in preschool, and are on the fence about whether to go the private route for both for elementary.  I know we can technically afford it and whether it's "worth it" is subjective, but I'm wondering what portion of their income most private school families are paying for tuition.  We take home about $25k per month after maxing out 401ks, not including year end bonuses, which are typically $100k after taxes.  We have about $250k in retirement (in our mid 30s), $100k in liquid investments, $100k in illiquid investments (exit in ~3 years hopefully for 2x returns), and $600k in home equity.  Our biggest monthly expenses are mortgage ($7.5k including property taxes), and a nanny ($4.2k), but I anticipate the nanny expense will go away or be significantly lower once both kids are in school in a few years.  Other big expenses are our student loans ($1.2k), car payments ($1.1k), utilities ($1.5k)--other than that, we typically spend about $7k/month on groceries, home maintenance, home supplies, gas, kids lessons, medical visits, clothes, entertainment, etc.  This is not spending wildly, but also not trying hard to budget.  Our income will most likely continue to go up given our industries, but of course there are no guarantees.  We're looking at schools that would be in the $40k range, and I realize tuition will increase every year.  There are a lot of factors to the private/public decision outside of the financial piece that I won't get into.

So my question is: is our financial situation typical for families with 2 kids in private?  I know we make good money, but $80k for two kids is still almost 20% of our take home after taxes.  Again, I realize people have different comfort levels, but I'm curious where we fall in the range.[/quote]

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