Reply to Middle class professionals: tell me about your finances

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[quote=Anonymous][quote=Anonymous]32 with 2 young kids. DH, who is 37, stays home. HHI (my income) is 400k.

Our numbers are not nearly as cushy as many of y'all are claiming I should be. Making 400k in DC proper is extremely different from making 400k in middle America or even western Virginia. Making 400k is different with you have gigantic student loans. It's silly to say "you're rich!" Just based on HHI. It doesn't work that way.

Retirement: I have 50k, DH has nothing

Student loans: 40k left- I paid off 100k in the past year and a half. Paid about 100k in loans and interest over the course of six years prior to that.

Liquid savings: 100k. This is our emergency fund. Given that everyone is dependent on my job, I feel it's necessary to keep this at this level in case anything were to happen to my job (or me).

Home equity: ~150k. Mortgage is $3200.

No credit card debt. No college savings yet, but this is my next major money dump focus (first was an emergency fund, second was student loans, and third was a down payment for our first home).[/quote]

WTH?! What do you do for a living? Dr. ? Lawyer? Why the panic to pay off loans -- how high is the interest rate? Do you realize that if you hadn't paid off 100k last year, you could have maxed out the 401k, put some in taxable accounts and in your kids' college accounts and made 19% on that and another 6% YTD? Is your interest rate higher than 6% or 19%? I get the thinking of "saving/paying off one thing at a time" but in doing that you short yourself on time -- and the time value of money that you gain from investing NOW. Seems like you've missed out on 7.5 yrs of a bull market and now are sitting on 50k in retirement at ages 32/37 for TWO people!?[/quote]

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