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Question. How is it that pretty much everyone here on average is worth over $200k in NW, but statistics from
other internet sources say that most Americans can not afford a $400 emergency? What the heck? LOL
I'm just trying to figure out if stats I read from internet sources are even remotely true.
$200k NW is not hard to achieve when you count equity in a house. Most people replying in a Personal Finance forum are above average in terms of fiscal responsibility, there are very few people who are struggling or squandering their money away on here. And even if they make it here for one post they are derided for their spending habits and leave just as quickly.
We have 2 kids together, and he has 2 others before me
We each make $50kyear, so $100k HH income
net worth: $0 I am pretty sure. NO 401k, no investments, entire paycheck is gone by 8am after getting paid at midnight. I guess we do have home equity of about $60k though
Both have advanced degrees and good jobs, just a lot of money out the door for cars/insurance, older home issues, and all the damn kids
Shocked and impressed by people's net worth on here. I have a gorgeous 21 year old daughter I'd like you to meet 😜
a) Statistics are nothing but justification for analysts to have a job.
b) Go through US Dept. of Statistics and read what income statistics are based on. Have fun:>)
c) In my book NW is what I can write and cash a check for.
LOL!
Quote:
Originally Posted by Moonwalkr
$200k NW is not hard to achieve when you count equity in a house. Most people replying in a Personal Finance forum are above average in terms of fiscal responsibility, there are very few people who are struggling or squandering their money away on here. And even if they make it here for one post they are derided for their spending habits and leave just as quickly.
This is true. I watch people get their pride hurt severely in the PF forum.
I just see these stats thrown around all the time in the media and internet, that's why I was surprised
to see that so many people are actually doing very well!
This is true. I watch people get their pride hurt severely in the PF forum.
I just see these stats thrown around all the time in the media and internet, that's why I was surprised
to see that so many people are actually doing very well!
This isn't a group known to give out many free passes, that's for sure... And nor should it! Unlike with sense of happiness or quality of a relationship, much of maintaining a budget and building wealth is tangible and objective. Nobody has any justification to cry over their butt hurt after we've handed it (the facts of the matter) to them. I can remember half a dozen really dumb financial moves (spending). I can't say I feel any less shame about them, but I did learn how and why I was triggered to spend and that process has substantially reduced the likelihood of doing it again.
As my husband says educating yourself is expensive, but not educating yourself is more expensive.
31, metrowest suburbs of Boston
working on 2nd master's degree (tuition remission)
80K a year
80K net worth
Posted the above in March.
Thanks to some additional savings and the luck of being gifted an almost-new car (my grandmother's 2016 Prius with 6000 miles that has been meticulously maintained for how little it's driven and spent its winters in a garage), I crossed over the 100K net worth mark and for the first time in my adult life have absolutely no debt. I'll be able to dump all the car payments, higher maintenance, and gas costs I was spending on my previous vehicle into my house downpayment fund and increase my savings rate to about 25%.
Might not be much to some, but considering that 7 years ago I was making 35K a year and staring down a net worth of -35K thanks to cancer, it's huge for me. When I realized that I hit that milestone, I cried for about 2 days. I might even take my first *real* vacation away since college!
Note: I generally don't count my vehicle in my net worth, but I like the psychological boost here.
Moral of the story: if you're in a rough patch, even a prolonged rough patch, it can get better. Make compound interest work for you. I'd like my retirement savings to be more, but they're pretty good given how little money I made for so many years because I consistently put at least 13% away and increased that a little bit with every raise.
Question. How is it that pretty much everyone here on average is worth over $200k in NW, but statistics from
other internet sources say that most Americans can not afford a $400 emergency? What the heck? LOL
I'm just trying to figure out if stats I read from internet sources are even remotely true.
Because there's no way a survey can survey 100% of working Americans. There are guaranteed to be people with $100K, $75K, $50K, $25K, etc. in savings, all the way down to those with less than $400.
Because there's no way a survey can survey 100% of working Americans. There are guaranteed to be people with $100K, $75K, $50K, $25K, etc. in savings, all the way down to those with less than $400.
They don’t need to survey 100 percent of people to know the true number. That’s why statistical sampling uses confidence intervals, which are usually at 95 percent.
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I might even take my first *real* vacation away since college! 