Saving money in NJ when making 100k USD/year? (apartment, rentals)

[pvgelder]

Hi all,

I've seen some "My husband makes approximately $100k and we are struggling." statements on this forum and I am (actually, my wife is :-) wondering if we ourselves will be struggling or not when we move to NJ next year:

- 100k USD/year
- expect to be renting for max. 2k/month
- 2 person household, no kids
- would like to have to two (cheap/small/etc.) cars

I was thinking 100k would be ~ 70k after taxes. After 24k rent this would leave 46k or ~ 3800/month. We don't have an extravagant lifestyle.

Please tell me it should be possible to safe money with such an income, even in NJ :-).

Thanks,

paul.

[TonyStarksNJ]

I think you're 70K after taxes is a little optimistic. After retirement and health care contributions you're going to be closer to 60K.

[mgt04]

You will definitely not be struggling. Many people make a litte more than half of what you got and can live comfortably within their means. Especially since you're renting too...$100K loses more of its value when you have to factor a mortgage with high property taxes in this state. I swear the property taxes in this state are making home ownership not worth it anymore.

[Raven1976]

I think 2k a month for rental is a lot, especially when you have no children. You could find rentals that are less than 1200. The only way I'd pay 2k a month is if it was a mortgage. That extra money you would save could go towards two cars.

[joe moving]

this depends on so many things

we make less than that, and are almost able to max out a 401k. it is tough and we drive a small economical car, no cable, 1 cell phone, no house phone, cheapest internet (40 a month) etc. We do OWN a house (or at least pay a mortgage) though which is a lot more than 2000 a month (especially including maintenance which you obviously do not necessarily see each month but then get hit with a new AC coil and a new roof for 6k in 1 year), one car, no car payment, cheap insurance. need to set priorities. we spend a ridiculous amount on food at Whole foods.

AGree for 2 people, you can rent a very nice place for 2k a month or modestly for 1100-1200.

[todd72173]

As long as you have no kids, sure you can save! But..once kids roll around, forget the savings..

[MontyLaSalle]

I agree with the consensus--you shouldn't have any problem saving money with that income, and you should be able to find a nice apartment for less than that.

[frump]

I have not read the other responses, but I wanted to share that YES...I believe you can save money. I know this because....

We just moved to NJ a few months ago. My husband makes a little bit more than 100k, we have 2 children, we own 2 cars, our rent is 2k, AND we are also paying our mortgage on our house back home (2k). I've found that living expenses are not out of the world in NJ. If you do a little searching, you can find some decent priced grocery stores. We have found gas prices to be cheaper than in other states.

Ok, now I'm going to read the responses...hope I'm not shocked.

[NJGOAT]

It all depends on where you live and what your lifestyle is. I support a family of 5 on less than that and am still investing money each month and have a substantial savings. It's real easy to spend all you bring in and it requires financial prudence to keep from going overboard. Just 3 years ago I was making a tad over 100k and my wife was making a bit over 30k. Somehow we managed to find a way to spend everything we brought in. Now that my wife is a SAHM and I had a job change do to the economy, we are now living just as well and saving more on a lot less.

[frump]

Wanted to add....we are paying way more in health insurance here and still able to live comfortably.

Also, I was encouraged by the other responses