Take a Look at My Budget: An Atlanta Family of 5 Living on $162K (Marietta: real estate, renting)

[Born 2 Roll]

"Take a Look at My Budget: An Atlanta Family of 5 Living on $162K" takes a look at the expenses of a couple from the Atlanta suburb of Marietta who earns $162k combined.

The couple (which includes the husband who is an accountant that earns $150k per year, the wife who earns only $12k per year as a freelance writer and a stay-at-home mom and their three kids under the age of 8) aims to save for big future expenses while attempting to invest.

Meet Brittni, a freelance writer and stay-at-home mom of three kids (all under age 8!) in Marietta, Georgia, a suburb just outside of Atlanta.

Brittni considers her family financially responsible, but maybe not as savvy as they could be. They have quite a few family goals, such as taking a big vacation (grandparents included!) and dipping a toe into real estate investing. And because they run their household primarily on one income, they know being conservative and sticking to a budget is important.

Here’s a look at this Atlanta family’s money goals, including typical expenses for the area, what they’re saving up for and even a peek at day-to-day spending habits.

"Take a Look at My Budget: An Atlanta Family of 5 Living on $162K
...Vacay goals, the perks of family museum memberships and water gun runs" (The Real Deal by RetailMeNot)

[ATLTJL]

Between eating out and a country club membership, they blow $800 a month while not wanting to contribute more to a 401(k) because it doesn't show an immediate profit.

Jeez.

[Citykid3785]

I want to be careful to not bash a family that is bold enough to lay it all out there, and in this case, even ask for help. I also think it's unrealistic to just suddenly ask someone to cut all fun/excess just to hit a goal. Let's face it, unless we are in a dire scraping by scenario, we all need our own outlets.

Being mindful of those things, the biggest opportunities to cut are the following:

Utilities: seemed high. Do we really need more than Netflix and basic internet these days/
Loans: also seem high given their age and income. They don't say what the personal loans are, but I would prioritize knocking these out before contributing BEYOND the 401k match
Daycare: why does a SAHM pay for daycare?
Cell: $282 for cellphone sounds high, even for a family of 6
Country Club membership: sounds excessive and it is, no?
House cleaning/landscaping: both "keep up with the Joneses" expenses. Yard work is good for the soul and gets you outside and encourages the kids to be outside more.

Wait for a good bonus year, and set that aside for the big family vacation. I will say, an $1,800/mo mortgage sounds really good for a high income family of 6 in the Marietta area. Once again, while I don't value landscaping and a country club given the costs, if that's their primary outlet then so be-it. I know for me that a $5 latte on the weekends is a sanity keeper, while another person would see excess in paying that much for a little caffeine

[ATLTJL]

They can have a great vacation by driving down to the Gulf Coast and renting out a 3-bedroom condo or house for a week. Go a bit before Memorial Day or after Labor Day to get it even cheaper. Assuming most of the kids aren't in school yet and yanking one out for a week wouldn't be a big deal.

Alternatively, a cruise might be a good option. But I get the feeling this family is going to blow way too much money on a vacation that costs more than it needs to.

[bryantm3]

what kind of vacation are they talking about taking? that's at least three and a half times what my family of four makes.

[jsvh]

One thing I have learned, is no matter how much people earn they will still find a way to live pay check to pay check.

If there is one piece of advice I can offer anyone it is to live below your means and don't feel an obligation to join in mass consumerism.

[samiwas1]

Originally Posted by Citykid3785

I want to be careful to not bash a family that is bold enough to lay it all out there, and in this case, even ask for help. I also think it's unrealistic to just suddenly ask someone to cut all fun/excess just to hit a goal. Let's face it, unless we are in a dire scraping by scenario, we all need our own outlets.

Being mindful of those things, the biggest opportunities to cut are the following:

Utilities: seemed high. Do we really need more than Netflix and basic internet these days/
Loans: also seem high given their age and income. They don't say what the personal loans are, but I would prioritize knocking these out before contributing BEYOND the 401k match
Daycare: why does a SAHM pay for daycare?
Cell: $282 for cellphone sounds high, even for a family of 6
Country Club membership: sounds excessive and it is, no?
House cleaning/landscaping: both "keep up with the Joneses" expenses. Yard work is good for the soul and gets you outside and encourages the kids to be outside more.

The utilities seem a little high, but not by too much. We have a three-floor townhome, all electric. Our average monthly total utility bill is around $415, not including phones (since they have separated that out). However, ours also does not include gas (we are all electric) or trash service (included in HOA). So, I could see a larger SFH coming in at the $676 mark. As for Netflix and basic internet, speak for yourself. I like a wide variety of entertainment options, and certainly don't fancy slow internet.

The daycare is part time, three days a week. It might allow the mom time to do her shopping, work her part time job (writer), or to go work out a few times a week. $800 a month for part time daycare seems crazy though. We paid less than that for private Buckhead preschool. Hell, we paid only slightly more than that for twice-weekly specialized at-home Autism therapy.

The cell phone does seem very high, unless all the kids are in high school. But, these kids are all under 8. The two parents must have multiple devices with unlimited data plans.

Country Club membership might be excessive, unless the dad is an avid golfer, or they offer workout facilities and a pool. Expenses for those things can add up to where a membership might make sense. I grew up as a country club kid. I went there almost every day during the summers to play tennis, golf, or swim at the pool, with no parents needed. $300/week comes to $10/day (very cheap for a country club), much less than a babysitter, daycare, or many other activities. However, yes...it is a luxury.

House cleaning and landscaping: I know that I don't have the time or energy to do any of these things. I work on average 75 hours a week, and don't need "good for the soul" yard work to take up my weekend. House cleaning is the same. Sure, my wife could do it all, but I'm going to let you tell her that. If I have disposable income, these two would be at the top of my list. But yes...they are a luxury.

Originally Posted by jsvh

One thing I have learned, is no matter how much people earn they will still find a way to live pay check to pay check.

If there is one piece of advice I can offer anyone it is to live below your means and don't feel an obligation to join in mass consumerism.

I didn't get the impression that this family is living paycheck to paycheck. Just looking to restructure things a bit to put more towards savings. But, a lot of people certainly do that. You hear about these lottery winners all the time who are bankrupt within just a few years. That's asinine.

But, that is solid advice that anyone should learn. I make a hefty income. I purposely do not tell my wife how much I bring in, nor how much I have saved, because she lives by the "spend what you make" code...because money is supposed to afford you things that make you happy. I prefer to live comfortably, but stash away some for another day. Maybe when we buy our next house, I can put down a 30-50% down payment. Or maybe just pay it outright. This would blow her mind.

[Citykid3785]

Originally Posted by samiwas1

The utilities seem a little high, but not by too much. We have a three-floor townhome, all electric. Our average monthly total utility bill is around $415, not including phones (since they have separated that out). However, ours also does not include gas (we are all electric) or trash service (included in HOA). So, I could see a larger SFH coming in at the $676 mark. As for Netflix and basic internet, speak for yourself. I like a wide variety of entertainment options, and certainly don't fancy slow internet.

The daycare is part time, three days a week. It might allow the mom time to do her shopping, work her part time job (writer), or to go work out a few times a week. $800 a month for part time daycare seems crazy though. We paid less than that for private Buckhead preschool. Hell, we paid only slightly more than that for twice-weekly specialized at-home Autism therapy.

The cell phone does seem very high, unless all the kids are in high school. But, these kids are all under 8. The two parents must have multiple devices with unlimited data plans.

Country Club membership might be excessive, unless the dad is an avid golfer, or they offer workout facilities and a pool. Expenses for those things can add up to where a membership might make sense. I grew up as a country club kid. I went there almost every day during the summers to play tennis, golf, or swim at the pool, with no parents needed. $300/week comes to $10/day (very cheap for a country club), much less than a babysitter, daycare, or many other activities. However, yes...it is a luxury.

House cleaning and landscaping: I know that I don't have the time or energy to do any of these things. I work on average 75 hours a week, and don't need "good for the soul" yard work to take up my weekend. House cleaning is the same. Sure, my wife could do it all, but I'm going to let you tell her that. If I have disposable income, these two would be at the top of my list. But yes...they are a luxury.



I didn't get the impression that this family is living paycheck to paycheck. Just looking to restructure things a bit to put more towards savings. But, a lot of people certainly do that. You hear about these lottery winners all the time who are bankrupt within just a few years. That's asinine.

But, that is solid advice that anyone should learn. I make a hefty income. I purposely do not tell my wife how much I bring in, nor how much I have saved, because she lives by the "spend what you make" code...because money is supposed to afford you things that make you happy. I prefer to live comfortably, but stash away some for another day. Maybe when we buy our next house, I can put down a 30-50% down payment. Or maybe just pay it outright. This would blow her mind.

An honest question, your wife is genuinely in the dark about how much you make? Does she not inquire? Or do you tell her a different figure? Do you not see it as a joint salary, and instead a single salary?

[Pemgin]

It's hard out there for $162k families.

[VJP]

Mo kids = Mo money spent.