My family makes $100k plus a year, its not enough!!

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vi edit

Elite Member
Super Moderator
Oct 28, 1999
62,403
8,199
126
Hospitals are last on the chopping block, but its coming soon. I don't mean to be doom and gloomy. There are people in hospital/clinical with 20 years of big raises during the good days that isn't sustainable right now. Clinical is also pretty isolated from the day to day operations and probably don't realize how lean pharmacies are trying to operate these days on the front end (often to their own detriment).

Actually pharmacists are one of the keys in saving money at a hospital. At her last gig, my wife saved the system over $400k a year by convincing them to swap out one drug for a different one that was pennies on the dollar and actually had better outcomes. But it took months of meetings and convincing of docs to do it. They are also key players in care transitions and discharges for going over med recs saving hospitals huge amounts of legal liability. Most hospitals are just starting to scratch the surface in what a quality pharmacy team can provide to their system if given opportunity.

But that's a different thread.
 

OverVolt

Lifer
Aug 31, 2002
14,278
89
91
Shhh it was TMI!

Some hospitals have too small of a clinical department, others laughably huge. It just depends. My sister is a staff pharmacist sooooo.
 

alkemyst

No Lifer
Feb 13, 2001
83,967
19
81
$10k/year living costs mang, plus my undergrad debt ($20k) plus the interest thats accruing over 4 years. Did I mention I'd need a new car in 4 years so I'd be paying loans with loans? Awesome!

Also in the early 2000's pharmacists were getting nice sign on bonuses I know. Thats not true in 2014, things change. If anything I actually know of new grads willing to take $60k in long term care. 100% the reality. $100k is being generous because thats the BLS data but thats not really what the new grads get anymore.

Everyone has costs of living, you really can't count those. Also it's pointless to count the interest as well.

I know pharmacists that paid just in line with what I stated recently.

If you go to a private or public school as an out of state student, you can easily spend $100K+

I know social workers that make around $30k a year for a Master's, one did state school for around 1/5 the price plus had most of it covered with state money vs her friend which went to her parent's alumnus and spent about $150k with room / board and tuition. Fortunately, her parent's covered it. Had they not there is no way she'd have been able to pay back the loans on the salaries they make.
 

Firetrak

Member
Oct 24, 2014
131
0
76
You said your kids have to go to school in the area, yet are home schooled?!?!?

My fiancee worked in local 'jails' as well in Corrections.

It's a good job, $40-50k starting and benefits. The hours are 24/7 though and usually 3-4 12 hour shifts a week. Fortunately, she was able to get daytime only during the week.

Another good option if you have that background is become a government armed guard for something like a Social Security office. $50-60k and better benefits plus 9-5 with all holidays off.

They were homeschooled, we moved to this area specifically so that could go to this school. LAUSD schools are a joke.
 

Firetrak

Member
Oct 24, 2014
131
0
76
As expected, a bunch of people that don't read in this thread, and of course, derailed by our resident me-me-me expert. He said ~$100K for the family, that could be 4 people making $25K/yr. And once you start breaking down transportation cost, etc... for all working persons, then the story is a bit different.

Now, OP, how many that are working in your family?


Its just me and my wife working, I make x2 her salary, but she has good health insurance, we have too young kids

The sad thing is that you probably really do think a family income of $100K is 1%er territory. Why do you think this? Because you're dumb.

OP, I haven't read the entire thread but I read the first page and I have to say, those advising you to move are correct. Your kids will get over it. As someone said, it will be rough at first but much better in the long term.

%1er are like 10mil plus prob more. I'm more like the 40%ers.
 

Firetrak

Member
Oct 24, 2014
131
0
76
We're leaving SOCAL as soon as we can. Only the rich make it here. Every one else chokes to death.

Yeah seriously, $100k should be baller money and its like low income and i know that sounds crazy to some people on here, but if you lived here you would understand.

I can highly recommend the Denver/Boulder area, lower cost of living, good wages, and decent people. Plus still a lot of interest in maintaining a healthy lifestyle.

Something we've actually considered as well. thanks
 

Firetrak

Member
Oct 24, 2014
131
0
76
Holy fuck! there's your problem. I pay $750 for mortgage and live in a 3000sqft house...granted I pretty much am surrounded by cousins of my uncles brother's wives.

It's common to take a pay cut to move out of a big city, and yet still increase your quality of lifestyle.

As the next guy said $2000 is the avg apartment cost here, i know insane.

That is the going rate in CA. I've got a friend who pays $2300 per month for a small one bedroom apartment in the South Bay. We keep telling him to just buy a house instead.

In comparison, we pay $5000 a month in mortgage for 4300 sq. feet in LA County. We feel pretty lucky compared to the INSANE rent/mortgage the Bay Area guys pay.

See as he said ^^^

Switch to one vehicle. That is the biggest money saver that most households can easily do.

Just no possible, I go south 30 miles and my wife north to the Jail by 5 miles..
 

Firetrak

Member
Oct 24, 2014
131
0
76
I suggest you read the 1996 book, The Millionaire Next Door. Even a doctor making 700,000 USD a year back in the mid 1990s, was having money troubles.

And yeah, I'd GTFO, from California.

100% agree, I fucking hate.. HATE SOCAL. but i'm stuck by circumstance right now. Got another year maybe before we can make a move.
 

Firetrak

Member
Oct 24, 2014
131
0
76
I suggest you read the 1996 book, The Millionaire Next Door. Even a doctor making 700,000 USD a year back in the mid 1990s, was having money troubles.

And yeah, I'd GTFO, from California.

100k in two incomes + kids is about the worst spot you can be in. You are right on the cusp of where it sort of...but doesn't sort of make sense for one person to stay home and skip the daycare thing. If one person is making $40,000 or less once you factor in taxes, day care costs, commute costs, daily grind of dealing with two kids (or more) and all the shuffling around they need done then staying at home really is an attractive option.

What sucks is that kids do get older and eventually go to school for the whole day. If that person is interested in working they likely have forfeited years of job experience, retirement accounts, vacation accruals and pay raises. They have to start over again once the kids are older. That's tough. Especially if you've been a stay at home parent for 5-7 years.

But if you don't stay home, then you can be looking at $1500+ a month in daycare costs, dealing with work schedules and trying to work around days off, burning PTO time for sick kids, summer vacations, holiday breaks, ect. A shit load of work for really almost no money back in your pocket. Plus if you eak up into that $130k range then you've lost out on child credits for income taxes, student loans can no longer be deducted and some other credits are phased out, if not gone entirely making that bump in income almost useless too.

That income range between 90k & 150k or so for a joint household with kids is almost meaningless as the difference is just sucked up in costs to support the dual incomes, taxes, and loss of credits. You have to really get over the hump of where two working parents is worthwhile from a monetary standpoint.

With my wife working, she brings in an extra $1400 a month after the extra daycare expenses so it does make financial sense for us now. She was out of work for 7 years and got a job 3 days after starting to look for work. So did pretty well for herself.
 

rednas

Senior member
May 26, 2010
298
0
76
100% agree, I fucking hate.. HATE SOCAL. but i'm stuck by circumstance right now. Got another year maybe before we can make a move.


I thought that the majority of the adult business had moved to vegas since they do not have to use condoms there.
 

Firetrak

Member
Oct 24, 2014
131
0
76
And it's not even that, it's the stress and anxiety of being in a car that long and the toll on your body and mind. If you have to be in to work at 8, you have to leave *BY* 5:30. that means you need to get up at 5:00AM at the latest. Best case scenario you leave at 4:30 on the money and don't get pulled into any last minute meetings or calls. And you get home at 7:00. That's a 14 hour day. You still have to get dinner. Tuck kids in. Mow the yard. Whatever else needs to be done. Good luck finding a time to exercise. Relax. Enjoy time with your kids or family. That's a good way to develop an anxiety disorder by the age of 30 and chronic blood pressure issues.

If there's any traffic problems or bad weather or then you are proper fucked for the day.

Just. No. Nothing is worth that. Quit or move.

SORRY EVERYONE FOR THE MULTIPLE POSTS, WAS JUST EASIER THIS WAY.

Totally agree, in London I traveled for 2 hours on mass transport and loved it, got to read, listen to music. I looked forward to it.

But the USA sucks fucking ass for mass transit and i think will eventually if not even now get ass raped royally for such short sited foolishness.
 

Firetrak

Member
Oct 24, 2014
131
0
76
I thought that the majority of the adult business had moved to vegas since they do not have to use condoms there.

Its totally and 100% illegal to do that in LV. A lot of people are 100% ignorant of that fact.
 

Scarpozzi

Lifer
Jun 13, 2000
26,389
1,778
126
Honestly, we probably put near 20% of our salaries into retirement savings, 10% into mortgage payments, 5-6% into car payments....here's the kicker...10% into daycare payments....

The rest is going to home construction, credit card payments, food, gas, diapers, clothes, living expenses....taxes... We're just about breaking even each month...for now. Next year, we'll have more income...but if you are trying to increase your standard of living, it's certainly a rough climb.
 

vi edit

Elite Member
Super Moderator
Oct 28, 1999
62,403
8,199
126
Honestly, we probably put near 20% of our salaries into retirement savings, 10% into mortgage payments, 5-6% into car payments....here's the kicker...10% into daycare payments....

Yep. At one time my day care tab was close to $1600 a month. Infant care is stupid expensive. That's almost a year of $1200/mth costs + whatever it is for the 2nd kid. Have twins and you are looking at over $2000 a month in most cases. Unreal.

That's why I said earlier that it's a very gray line on where that 2nd income becomes worthwhile. You need to be over $40,000 a year if not higher for that to be useful income.
 

Firetrak

Member
Oct 24, 2014
131
0
76
Honestly, we probably put near 20% of our salaries into retirement savings, 10% into mortgage payments, 5-6% into car payments....here's the kicker...10% into daycare payments....

The rest is going to home construction, credit card payments, food, gas, diapers, clothes, living expenses....taxes... We're just about breaking even each month...for now. Next year, we'll have more income...but if you are trying to increase your standard of living, it's certainly a rough climb.

Good on you for saving for retirement, we aren't really doing that yet a little 402k (Teacher version), but other than that nothing.

One of my kids is turning 11 soon and i think she'll be able to stay home alone then after school, so that'll be a $400 a month savings.

Yep. At one time my day care tab was close to $1600 a month. Infant care is stupid expensive. That's almost a year of $1200/mth costs + whatever it is for the 2nd kid. Have twins and you are looking at over $2000 a month in most cases. Unreal.

That's why I said earlier that it's a very gray line on where that 2nd income becomes worthwhile. You need to be over $40,000 a year if not higher for that to be useful income.

Yeah my wife isn't there yet. But i'm sure she'll get there soon.

I think what this thread demonstrates is exactly what I thought, and that SOCAL is no place to raise a family and have any sort of normal life.

A lot to digest thats for sure.
 

alpineranger

Senior member
Feb 3, 2001
701
0
76
I was born in the Bay Area (San Jose), lived in West LA for college / grad school, and moved back to the Bay Area for work. I have no frame of reference regarding living outside high COL areas, but I've done so as both a poor young student, and now, reasonably compensated professional.

During the time I was in college, I lived close to campus, so I spent the vast majority of my budget (at times approaching 100%) on housing. At one point I made $25k a year, and I got by trimming all non housing expenses to a minimum. I spent ~$1 a day on food, didn't go out to eat, had almost no discretionary expenses, I had an old car which I repaired myself, etc. Later I found ghetto living arrangements to cut down on housing expenses to a few hundred a month. It wasn't luxurious, but one can adjust and make do. This is from someone who, just before starting college, couldn't imagine having a roommate, or living in anything other than a single family house.

Currently, real estate is significantly more expensive in both the Bay Area and Los Angeles compared to then, but I think the principle is the same; you make sacrifices, and after a while that becomes the new normal. While I make a decent living and could afford much more than I do spend, it's nice to live well within my means. I also have a family with a young child now, which constrains things a bit although not as much as one might expect.

At the moment total nondiscretionary expenses add up to a level where I'd be spending just every dollar of take home pay from $100k gross (taxes are high here), but there is room to cut and a significant portion of that is related to the high housing costs here, which are offset by generally high salaries. Nevertheless, even constrained by parameters like distance to work, it's possible to go quite a bit lower than most might think, although again, not without some compromise. I think I could live in LA with a similar quality of life for $60-70k gross.

When I tell people about some of my expenses, I get some initial skepticism (I've shown my $30 utility bill to incredulous coworkers a few times, and I have a new leased car for which total expenses including fuel, is <$250/mo over the life of the lease). The secret is, to find out what you really can do without and try to gain a little breathing room on multiple fronts - put off what you don't need immediately and seek out deals. Keeping up with the joneses in all aspects of life wears at your finances and unless you are truly well off compared to your friends and acquaintances, is generally a losing proposition which many people would acknowledge intellectually but which emotionally, is harder to get control of.

I have friends and acquaintances who make a fraction of what I do and because they are not careful about what they spend, spend everything regardless of what sort of raises they get at work, and are often in debt. I grew up in a comfortable upper middle class setting, but regardless of my economic circumstances (eg even as a teenager), always felt uneasy about the prospect of running out of money without a safety net, and so I always sought to have a financial cushion. Generally, I believe that if one is not proactive about such things, it's easy to get into cases where you end up overextending yourself beyond what you were anticipating, regardless of how much you make, where you live, etc.
 

doubledeluxe

Golden Member
Oct 1, 2014
1,074
1
0
Well pinning your retirement hopes on the appreciation of your home is a stupid strategy. The buy a home and get rich scheme was one bubble that really screwed a lot of Americans.
 

OverVolt

Lifer
Aug 31, 2002
14,278
89
91
IIRC, the 1% starts at roughly $400K, maybe a little less. Dave is clueless.

Measuring income is kind of pointless anyway since one of the biggest drivers of wealth inequality lately is ownership of stocks and such.

Nobody who is making 10mil typically makes it as a salary but usually in the form of stock options or whatever.
 
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