Reply to 150k household of 1 is barely making it

Forum Index » Money and Finances

Reply to "150k household of 1 is barely making it "

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous]Fixed it for you.

Here is what your budget needs to be:

Let's just say you have a $150k salary in DC:

You should not be paying over 50k on taxes- it should be more like 35k in taxes- maximize/research your deductions

Now you have 115k

Next thing to pay is yourself.  You need to be investing 20-25k a year into retirement on this salary.

Now you have 90k

rent - no you should own at that salary. Save more immediately and buy soon. Then half that housing payment will go towards equity. $2k p/month)

Now you have 66k

Health insurance/copays- this should not be more 6k a year for one person if your employer subsidizes

Now you have 60k

Utilities and WiFi - yes 165 a month is pretty reasonable if it includes your cell

Now you have 58k

- car- you truly don’t need one being one person living in a city with good public transportation. With your rent payment, you must live somewhere walkable and on bus lines.  Not having a car will save you about 4-5k a year on car payments, insurance, maintenance, and gas. Use zip car when necessary. Maybe 100 a month max in public transport. 
 
Now you have 57k

Food/ You can eat meat, organic, and afford groceries at Whole Foods for one person at 600 a month not 800. Shop at Trader Joe’s and spend even less a month.

Now you have 50k

Your ordering out AND eating out needs to be cut back to 400 a month which is PLENTY for one person. Do takeout no more than once or twice a week and eat out once a week.

Now you have 45k

I can see clothes costing 200 a month IF you are including dry cleaning and you have a job where you must dress to impress

Now you have 43k

Streaming should be 75-100 a month. Geez- start sharing accounts and use only two-three

Now you have 42k

vacation twice a year $3000. Okay if each vacay is 1500

Now you have 39k

- gambling and entertainment. Should be 1200 per year- 100 a month. You are wasting so much on this! Get lawn tix at concerts, go to free comedy shows, go to matinee movies and sneak in candy/drink

Now you have 38k
-
 miscellaneous- no misc allowed. this should go to your emergency savings fund until you have six months living expenses saved. 500 month until you have 25 saved in this.

Now you have 32k - all of which should get put into additional investments- down payment fund for house (Roth IRA/high yield savings)

You are ridiculous feeling poor being one human on your salary. You can save half of it and live a very nice life.  I live on barely more than that with a family of three and save 35-45k a year.

[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics