I just want some honest feedback from everyone. I am finally in the $100k club and make about $105-$107k/year. I have thought for years as I have worked my way up the ladder that things would be financially easier when I get to this number but they are not. I am struggling majorly, to the point that I worry if I will honestly not be able to do this, but I don’t even know what the alternative would be.
For reference: I am single I live in an area that is not the cheapest place in the US but not the worst either - according to Forbes it has the 20th highest cost of living in the country as of 2023 I DO own my own home. My mortgage is $1870/month. I have no other debts - no car payment, no student loan debt, no credit card payments I do put in 6% of my income to my 401k. I got solar for my home, so although I have a $200/month loan cost for that, I have $0 in utilities every month, which I feel like is a good trade-off and why I do it (it saves me about $1600 averaged out over the year versus before I got the solar)
My take-home, after taxes/401k/insurance is taken out is $2789 per pay period, or an average of $1395/week if averaged out and 26 pay periods accounted for (yes, I know some years there are 27). I usually get about $500/year on my tax return. My bills average out to $1400 per pay period or $700/week (mortgage, car insurance, solar/utilities, internet, cell phone). This is $695/week for “spending money” after regular bills, which sounds fine initially but after gas, food (even cheap food), and things like toilet paper and laundry detergent, I’m often looking at $20 leftover at the end of the month. One unexpected or large expense like a house or vehicle repair can take me months to pay off.
I don’t shop for stuff. I own two pairs of jeans and keep patching them. I eat ramen a LOT. I have an older car that is barely hanging on and I am 100% confident I cannot afford to replace it, but live in constant fear of it having expensive repairs that I won’t be able to afford. The air conditioner in the car died a year ago and I can’t afford to replace it so, in the summer, I’m just hot. I often don’t do things with friends because I can’t afford to do them (go to dinner, etc). I used to be able to save money (I saved for my down payment 10 years ago or so) and now that never happens.
I see houses listed for $2500/rent or mortgage per month or see people buying $800k houses. People go on vacations and, unbelievably, have children. I don’t get it. How do people do this? Is everyone else making $400k and I’m getting screwed? Does everyone else just rack up thousands of dollars in debt and not care? I really, honestly want to know. I feel like life should be easier by now but it most assuredly is not. I feel like I should be able to go on a decent vacation or trip once a year and that is a completely laughable thing to even think about. Even if I sold my home and rented or bought elsewhere I highly doubt I’d find a lower monthly rent/mortgage cost than I have. What’s the deal?
Submitted December 21, 2023 at 11:21PM by Imaginata1994 https://ift.tt/9p07m8V
