Anonymous wrote:

Anonymous wrote: Yeah, I'd sell and move. Go further out, spend WAY less than 1.2 mil and spouse can commute.

So how do I convince spouse about this? Super reluctant to move after only being here 3 years. We should have $400k to $550k in equity in house, but of course RE commission will bite.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ugh op. You have to cut:

1. Mortgage to $2500
2. Beach week
3. Vacation
4, cell phones (check google fi)


Then set a more realistic budget for shopping, groceries, camps, entertainment childcare.
You’re not special. Make a budget and stick to it.

Okay, Google Fi is $30 unlimited data but Verizon is $40 — that $50/month is crucial? We have 5 phones on the plan, and I don’t want metered data and have to monitor people’s usage (I wouldn’t mind prepaid where it just drops to 3G after N GBs).

With a $5000 PITI and zero other debt, I can’t understand why we can’t fit into the 28% rule? We are $800 below it!

https://www.thebalance.com/how-much-home-can-you-afford-mortgage-rule-of-thumb-1289846

Anyone who makes $250k and has a higher 28% mortgage, please compare our budget.

What I’ve gotten is: NO VACATIONS, no organic food, and no cleaner.

You are missing git entirely - cut back on your mobile, travel, DIY house repairs, cut out streaming, reduce your grocery bill by at least 1/2, reduce your shopping, and no cleaners.


My mortgage has always been under $2k. So, I spend and do what I want on less income. Your housing is a huge issue.

A mortgage under $2k is like a $400k house. Where the heck do you live?

Where are all of you finding $500k homes in the DMV?

Just because they’ll bank approves you for the mortgage at 28% doesn’t mean you should take it, especially if you want to spend $15,000/yr on vacations.

We make $250,000 and both max our our 401ks. Our take home (after taxes, 401k, FSA, health insurance) is around $11,000/mo. If you do the 28% math on that number you get a housing budget of about $3000/mo.

We live in Silver Spring, where there are many $400-700,000 houses for sale right now.

Ok, but we make $250k and have a mortgage of $4900 and we are doing fine. So I think if OP would cut else where they would be fine.

Thanks, could you share a rough idea of your monthly expendiures.

Here's the budget I seem to be getting from people's suggestion:


Income: Self $12500
Spouse $8300
TOTAL: $20800

Expense
Income Tax: -$5600
House -$5,100.00 ($1.2M house)
Daycare -$1,688.00 (ends Sep 2022)
Insurance -$400.00 (Life, car, umbrella)
Internet -$50.00
Mobile -$300.00 (How would google fi help, for 5 that's still $240 even on flexible low data plan https://support.google.com/fi/answer/6201699?hl=en)
Home Repair -$1,166.67 (Old house, we expect 1% repairs a year)
Streaming -$40.00
Groceries -$800.00
Vacation -$200
Camps -$200.00 (au pair rather than camps)
Med -$133.33
Shop -$300.00
Kids Activities -$166.67 (rec sports and academic enrichment)
Cars -$200.00 (Paid off, this is just maint and gas for short commutes)
Utils $-375.00

Expenses: $16552

Savings: $4248

So given this, we should be able to have some wiggle room.

I think a big change is that I calculated my true taxes, which I think overestimated by $4k

OP - I'm still not getting this. Are you pulling out retirement savings and health care expenses before posting the $20,800 number?

Where are your 529 savings?

If the $20,800 includes fully funded retirement and health care expenses, then your HHI is not $250K, it's closer to $300K. If you have not already pulled out retirement, health expenses, and 529 savings from the income numbers, then you don't have $4248/month for wiggle room.

Also, you note that you'd get an au pair rather than spend the money on camps. Where is the money for the au pair? Is that your daycare budget? I don't remember seeing an au pair mentioned previously? Are you feeding an au pair, two adults, and three kids on the $800/month?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ugh op. You have to cut:

1. Mortgage to $2500
2. Beach week
3. Vacation
4, cell phones (check google fi)


Then set a more realistic budget for shopping, groceries, camps, entertainment childcare.
You’re not special. Make a budget and stick to it.

Okay, Google Fi is $30 unlimited data but Verizon is $40 — that $50/month is crucial? We have 5 phones on the plan, and I don’t want metered data and have to monitor people’s usage (I wouldn’t mind prepaid where it just drops to 3G after N GBs).

With a $5000 PITI and zero other debt, I can’t understand why we can’t fit into the 28% rule? We are $800 below it!

https://www.thebalance.com/how-much-home-can-you-afford-mortgage-rule-of-thumb-1289846

Anyone who makes $250k and has a higher 28% mortgage, please compare our budget.

What I’ve gotten is: NO VACATIONS, no organic food, and no cleaner.

You are missing git entirely - cut back on your mobile, travel, DIY house repairs, cut out streaming, reduce your grocery bill by at least 1/2, reduce your shopping, and no cleaners.


My mortgage has always been under $2k. So, I spend and do what I want on less income. Your housing is a huge issue.

A mortgage under $2k is like a $400k house. Where the heck do you live?

Where are all of you finding $500k homes in the DMV?

Just because they’ll bank approves you for the mortgage at 28% doesn’t mean you should take it, especially if you want to spend $15,000/yr on vacations.

We make $250,000 and both max our our 401ks. Our take home (after taxes, 401k, FSA, health insurance) is around $11,000/mo. If you do the 28% math on that number you get a housing budget of about $3000/mo.

We live in Silver Spring, where there are many $400-700,000 houses for sale right now.

Ok, but we make $250k and have a mortgage of $4900 and we are doing fine. So I think if OP would cut else where they would be fine.

Thanks, could you share a rough idea of your monthly expendiures.

Here's the budget I seem to be getting from people's suggestion:


Income: Self $12500
Spouse $8300
TOTAL: $20800

Expense
Income Tax: -$5600
House -$5,100.00 ($1.2M house)
Daycare -$1,688.00 (ends Sep 2022)
Insurance -$400.00 (Life, car, umbrella)
Internet -$50.00
Mobile -$300.00 (How would google fi help, for 5 that's still $240 even on flexible low data plan https://support.google.com/fi/answer/6201699?hl=en)
Home Repair -$1,166.67 (Old house, we expect 1% repairs a year)
Streaming -$40.00
Groceries -$800.00
Vacation -$200
Camps -$200.00 (au pair rather than camps)
Med -$133.33
Shop -$300.00
Kids Activities -$166.67 (rec sports and academic enrichment)
Cars -$200.00 (Paid off, this is just maint and gas for short commutes)
Utils $-375.00

Expenses: $16552

Savings: $4248

So given this, we should be able to have some wiggle room.

I think a big change is that I calculated my true taxes, which I think overestimated by $4k

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.

Why is your take home $13500 not $15200? Are you taking out taxes and things like 401ks/health insurance before your net income?

Yes - spouse's 401k comes out before take home, and we have small HSA.

Do you have a new house, your home maintenance/repair budget is 0.25% of the home's value, which is exceptional. Or are you a contractor so can do major products or get trades and supplies at cost?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.

We got a lot of beef about $1500 grocery bill, but we don't do take out so your $1350 food (groceries + dining) is very similar, is that why folks are up in arms, they assume we also do dining on top of high groceries?

But I was comparing costs, and even at Costco Organic eggs are 2x price of conventional; and Organic milk from Costco is not any cheaper than WF which baffles me.

How do you get such cheap life and auto insurance PP? We have two policies for both working parents and they are about $80/month each, and then Geico is $90/month. We bought term life 15 years ago, and as we are older I cant imagine shopping around will give us such good rates; did you sign up in your 20s or something?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.

Why is your take home $13500 not $15200? Are you taking out taxes and things like 401ks/health insurance before your net income?

Yes - spouse's 401k comes out before take home, and we have small HSA.

Anonymous wrote:

Anonymous wrote:

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.

Why is your take home $13500 not $15200? Are you taking out taxes and things like 401ks/health insurance before your net income?

Anonymous wrote:

Anonymous wrote:OP, you said you've refinanced your mortgage to 2.75. So that means your mortgage is 1M if monthly payment is 4k or 1.2M if 5k. Extremely frugal people can get by with this. But with your spending habit, this would be outrageously over-leveraging at 250k HHI.
So try to sell your house and buy (or rent) a cheaper one. You can't expect to lose this much of the income but don't lose the quality of life.

OP has also said that he has $400-550k in equity. So this is a $1.6-$1.85M house, not 1.2. It was too expensive on the old salaries, and it's ridiculous on the planned salaries.

Or OP is just a troll.

Anonymous wrote:OP, you said you've refinanced your mortgage to 2.75. So that means your mortgage is 1M if monthly payment is 4k or 1.2M if 5k. Extremely frugal people can get by with this. But with your spending habit, this would be outrageously over-leveraging at 250k HHI.
So try to sell your house and buy (or rent) a cheaper one. You can't expect to lose this much of the income but don't lose the quality of life.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ugh op. You have to cut:

1. Mortgage to $2500
2. Beach week
3. Vacation
4, cell phones (check google fi)


Then set a more realistic budget for shopping, groceries, camps, entertainment childcare.
You’re not special. Make a budget and stick to it.

Okay, Google Fi is $30 unlimited data but Verizon is $40 — that $50/month is crucial? We have 5 phones on the plan, and I don’t want metered data and have to monitor people’s usage (I wouldn’t mind prepaid where it just drops to 3G after N GBs).

With a $5000 PITI and zero other debt, I can’t understand why we can’t fit into the 28% rule? We are $800 below it!

https://www.thebalance.com/how-much-home-can-you-afford-mortgage-rule-of-thumb-1289846

Anyone who makes $250k and has a higher 28% mortgage, please compare our budget.

What I’ve gotten is: NO VACATIONS, no organic food, and no cleaner.

You are missing git entirely - cut back on your mobile, travel, DIY house repairs, cut out streaming, reduce your grocery bill by at least 1/2, reduce your shopping, and no cleaners.


My mortgage has always been under $2k. So, I spend and do what I want on less income. Your housing is a huge issue.

A mortgage under $2k is like a $400k house. Where the heck do you live?

Where are all of you finding $500k homes in the DMV?

Just because they’ll bank approves you for the mortgage at 28% doesn’t mean you should take it, especially if you want to spend $15,000/yr on vacations.

We make $250,000 and both max our our 401ks. Our take home (after taxes, 401k, FSA, health insurance) is around $11,000/mo. If you do the 28% math on that number you get a housing budget of about $3000/mo.

We live in Silver Spring, where there are many $400-700,000 houses for sale right now.

Ok, but we make $250k and have a mortgage of $4900 and we are doing fine. So I think if OP would cut else where they would be fine.

Thanks, could you share a rough idea of your monthly expendiures.

Here's the budget I seem to be getting from people's suggestion:


Income: Self $12500
Spouse $8300
TOTAL: $20800

Expense
Income Tax: -$5600
House -$5,100.00 ($1.2M house)
Daycare -$1,688.00 (ends Sep 2022)
Insurance -$400.00 (Life, car, umbrella)
Internet -$50.00
Mobile -$300.00 (How would google fi help, for 5 that's still $240 even on flexible low data plan https://support.google.com/fi/answer/6201699?hl=en)
Home Repair -$1,166.67 (Old house, we expect 1% repairs a year)
Streaming -$40.00
Groceries -$800.00
Vacation -$200
Camps -$200.00 (au pair rather than camps)
Med -$133.33
Shop -$300.00
Kids Activities -$166.67 (rec sports and academic enrichment)
Cars -$200.00 (Paid off, this is just maint and gas for short commutes)
Utils $-375.00

Expenses: $16552

Savings: $4248

So given this, we should be able to have some wiggle room.

I think a big change is that I calculated my true taxes, which I think overestimated by $4k

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.

We got a lot of beef about $1500 grocery bill, but we don't do take out so your $1350 food (groceries + dining) is very similar, is that why folks are up in arms, they assume we also do dining on top of high groceries?

But I was comparing costs, and even at Costco Organic eggs are 2x price of conventional; and Organic milk from Costco is not any cheaper than WF which baffles me.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Ugh op. You have to cut:

1. Mortgage to $2500
2. Beach week
3. Vacation
4, cell phones (check google fi)


Then set a more realistic budget for shopping, groceries, camps, entertainment childcare.
You’re not special. Make a budget and stick to it.

Okay, Google Fi is $30 unlimited data but Verizon is $40 — that $50/month is crucial? We have 5 phones on the plan, and I don’t want metered data and have to monitor people’s usage (I wouldn’t mind prepaid where it just drops to 3G after N GBs).

With a $5000 PITI and zero other debt, I can’t understand why we can’t fit into the 28% rule? We are $800 below it!

https://www.thebalance.com/how-much-home-can-you-afford-mortgage-rule-of-thumb-1289846

Anyone who makes $250k and has a higher 28% mortgage, please compare our budget.

What I’ve gotten is: NO VACATIONS, no organic food, and no cleaner.

You are missing git entirely - cut back on your mobile, travel, DIY house repairs, cut out streaming, reduce your grocery bill by at least 1/2, reduce your shopping, and no cleaners.


My mortgage has always been under $2k. So, I spend and do what I want on less income. Your housing is a huge issue.

A mortgage under $2k is like a $400k house. Where the heck do you live?

Where are all of you finding $500k homes in the DMV?

Just because they’ll bank approves you for the mortgage at 28% doesn’t mean you should take it, especially if you want to spend $15,000/yr on vacations.

We make $250,000 and both max our our 401ks. Our take home (after taxes, 401k, FSA, health insurance) is around $11,000/mo. If you do the 28% math on that number you get a housing budget of about $3000/mo.

We live in Silver Spring, where there are many $400-700,000 houses for sale right now.

Ok, but we make $250k and have a mortgage of $4900 and we are doing fine. So I think if OP would cut else where they would be fine.

Thanks, could you share a rough idea of your monthly expendiures.

Here's the budget I seem to be getting from people's suggestion:


Income: Self $12500
Spouse $8300
TOTAL: $20800

Expense
Income Tax: -$5600
House -$5,100.00 ($1.2M house)
Daycare -$1,688.00 (ends Sep 2022)
Insurance -$400.00 (Life, car, umbrella)
Internet -$50.00
Mobile -$300.00 (How would google fi help, for 5 that's still $240 even on flexible low data plan https://support.google.com/fi/answer/6201699?hl=en)
Home Repair -$1,166.67 (Old house, we expect 1% repairs a year)
Streaming -$40.00
Groceries -$800.00
Vacation -$200
Camps -$200.00 (au pair rather than camps)
Med -$133.33
Shop -$300.00
Kids Activities -$166.67 (rec sports and academic enrichment)
Cars -$200.00 (Paid off, this is just maint and gas for short commutes)
Utils $-375.00

Expenses: $16552

Savings: $4248

So given this, we should be able to have some wiggle room.

I think a big change is that I calculated my true taxes, which I think overestimated by $4k

PP here. Sure, I'll give you our budget. Take home monthly is $13,500.

PITI $4900
Groceries: $900
Dining out/takeout: $450
Utilities: $475
Cleaners: $220
Cell Phone: $185
Newspapers: $20
Gas/Metro/Parking: $150
Dog food/meds/vet: $300
Dry cleaning: $50
Auto Insurance: $67
Life Insurance: $69
Subscription Fees: $55
Bar Dues: $75
Pool membership: $70
Summer camp: $367
Kid activities: $250
Home supplies: $100
Personal care: $300
Family activities: 150
Gifts: $300
Clothing: $250

Travel: $250
Dental: $250
Medical: $100
Auto maintenance: $200
Home Maintenance: $250
Home Furnishings: $200

That totals about $11,000 per month. We save the remaining $2,500/month ($30k-ish) plus we are paid bi-weekly so we get four "extra" paychecks for year for an extra $10k or so in savings.