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No, just about $2800 per month total. It's not bad, but it's not great. I stopped working when my third child was born, and that has set our savings way back.
It is all perspective. I'm lucky to scrounge up $100 where we both work right now. These aren't career jobs of course, but it is better than a $10 an hour crap job.
Hell we bring home $2800ish combined and you save that much!
Dh is a senior level IT exec for a conglomerate, I am SAHM (I get paid in hugs and kisses!).
Income 300K plus (depending on bonus).
Just hit our 40's, three kids.
Would say we save about 8k -9k per month (not including dh's contributions out of his paychecks)...give or take...seems like there is always something coming up with the kids...
Its quite easy to save..you just have to discipline yourself to do it. Set a plan while you are young and do it. It the younger generation is already saving now..good for you and keep it up! Even 500 dollars is something....it will add up.
Some things that did was.
1. Not rent, we went straight to buying a starter home back in the late 90's (we were 26/28) at the time...even now the home is still about 2.5 times its value.
2. We chose to base our incomes on one person. If it was me earning more, dh's was mostly banked and when his careers skyrocketed, it was my income that we used to save or it was just "icing on the top".
3. While others were building there toll brothers houses (with creative financing no doub) back in the 2000's, we stayed put in our newer, but modest starter home, we picked the best school district in our county and didnt upgrade.
4. We chose our vices and ours are cars and traveling. We always looked for the late model recent year cars to save on depreciation.
5. We refinanced our home to 15 years back in 2004(?) for 15 years.
6. We took an aborad assignment to bank whatever we could..and managed to save over 250k. Instead of using that money for a down payment...we took the money and paid off our first home, and a two family we have in the city (both are rented for a couple of years)..and now we have a revenue stream from that which is a nice size.
7.Our retirments and 401k are taken out automatically, what we dont see, we dont miss.
8. We have no car debt, no CC debt.
Our plan to move to the south has been in the making for 5 years ..and now its coming to fruition.
Even when we move and someone says..hey you can get a 900k loan, we are refusing..we dont want to spend more than 400-500k...even less really. We still plan on putting 50% down and have a payment that is peanuts.
We have paid our dues and have laid down the groundwork for our future path, so I am pleased with the way things are turning out...but it has taken time..and I am okay with that.
Bottom line is that it can be done....you have to just be discplined, focused, and content with your life and direction its going.....a lesson that I would like to give to the kids.
This seems very unbelievable. How much do you spend per year?
I earn half that 150K am single and spend about 40K per year. I end up saving about 4500 per month (that includes maxing out 401K at 17,000$) or about half of what you say you are saving. Given the fact that you have 3 more people in your household it seems rather difficult to manage to save 9K per year not including retirement.
You would need to spend about 60K to save 9K per month and the max out your 401K at 22K per year?
401k - $2K (including employer match, i maxing out this year to $17500)
regular savings - $1500
Currently saving to pay off car loan by end of year. Then will start contributing to one ROTH IRA beginning in 2014. I think that's enough for now for retirement accounts.
This seems very unbelievable. How much do you spend per year?
I earn half that 150K am single and spend about 40K per year. I end up saving about 4500 per month (that includes maxing out 401K at 17,000$) or about half of what you say you are saving. Given the fact that you have 3 more people in your household it seems rather difficult to manage to save 9K per year not including retirement.
You would need to spend about 60K to save 9K per month and the max out your 401K at 22K per year?
I think I know what my finances are and our income is (unless our tax returns are lying to us)--I also know what our net deposits are from our rentals are, unless the tenants are making a mistake. Its interesting to see judgement on "how" people save more or less.
We have been blessed with chances in the past couple of years which has allowed us to fastrack our savings. Our mindset set has also changed thru the years from "I want, I want---the latest xbox, tv, purse, car)...to...."Do I really need this...is all this "stuff" adding to my life or just cluttering it"..there are many things have done over the past couple of years to not only save, but free ourselves of the lifestyle "keeping up with the joneses". Our biggest expense is our traveling expense and when we purchase, we purchase quality...not quantity.
Every household has a different scenario or gameplan on their financial goals (different lifestyle, house, cars, salary, job, stage of life)
I find it refreshing to see people talking about saving instead of spending. Especially the younger generation. Keep it up!
BTW, Ironically I just finished Dave Ramseys "Total money makeover"....we were already following alot of his advice years before I read the book...but some may find some parts interesting anyway....check it out!
Last edited by mom2gurls; 02-18-2013 at 07:17 PM..
Reason: Forgot to take out stuff.
I think I know what my finances are and our income is (unless our tax returns are lying to us)--I also know what our net deposits are from our rentals are, unless the tenants are making a mistake. Its interesting to see judgement on "how" people save more or less.
We have been blessed with chances in the past couple of years which has allowed us to fastrack our savings. Our mindset set has also changed thru the years from "I want, I want---the latest xbox, tv, purse, car)...to...."Do I really need this...is all this "stuff" adding to my life or just cluttering it"..there are many things have done over the past couple of years to not only save, but free ourselves of the lifestyle "keeping up with the joneses". Our biggest expense is our traveling expense and when we purchase, we purchase quality...not quantity.
Every household has a different scenario or gameplan on their financial goals (different lifestyle, house, cars, salary, job, stage of life)
I find it refreshing to see people talking about saving instead of spending. Especially the younger generation. Keep it up!
BTW, Ironically I just finished Dave Ramseys "Total money makeover"....we were already following alot of his advice years before I read the book...but some may find some parts interesting anyway....check it out!
We have fully paid off rentals that generate a nice income (even with property taxes taken out). Plus we took an aborad assignment for work, bank it all, pay it all off, and we have fastracked ourselves to aggressive savings.
Mind you we are also older (and wiser) on our spending choices as well. (40s) Bottom line, live below your means and you can save and start early!!
I am so sorry if my innocent comment has been taken as "judgement" here. I didn't mean anything by asian family but there was recently a topic about how asian families save more than others. I also know how disciplined they are, hence my comments. Anyway thanks for sharing your story with us.
[quote=shadowyman;28296638] But you seem to have an asian family's discipline, are you? People in your rank would already be filling in their garages with unpaid cars and wallets with due debt credit cards. I always reject credit card offers at department stores.
[quote]
Interesting comment on the asian thing. Who knew that only asians saved...Any other race or ethnicity want to chime in on this one..LOL..anyway brushing off the strange asian comment.
Sorry to blow your bubble, all cars are paid off, and the only CC debt that we (or shall I say "I") have is on automatic debit with a balance of no more than 800 bucks a month...Its one that I have had before marriage..so I like to keep "a little something" of my own.
1. Good for you on rejecting department store CC. They are waste...at the end of the day..you still are going to have to pay out of your account..so why not just do that from the beginning.
2. same with 90 days same as cash deals. I worked right out of college for a finance company that did these types of credit...and I can tell you...it was very rare to see someone pay it off before the time was up.
3. Pay yourself first....get with a financial advisor if you feel the need to and lay out a plan now...once the money is debited from your account, you dont see it, you dont miss it.
4. Live below your means, so you can allow yourself to live..
Remember my sitution is very different than yours....first off we are about 18-20 years into the game (married for 15) ..we learned from our mistakes early on, dug ourselves out...and only in the past couple of years have we really been ahead.
*had we been more displined with some of our spending choices early on, perhaps we we would have saved more...maybe that is why we are so aggressive with it now. Choices and balance, choices and balance.
I think I know what my finances are and our income is (unless our tax returns are lying to us)--I also know what our net deposits are from our rentals are, unless the tenants are making a mistake. Its interesting to see judgement on "how" people save more or less.
We have been blessed with chances in the past couple of years which has allowed us to fastrack our savings. Our mindset set has also changed thru the years from "I want, I want---the latest xbox, tv, purse, car)...to...."Do I really need this...is all this "stuff" adding to my life or just cluttering it"..there are many things have done over the past couple of years to not only save, but free ourselves of the lifestyle "keeping up with the joneses". Our biggest expense is our traveling expense and when we purchase, we purchase quality...not quantity.
Every household has a different scenario or gameplan on their financial goals (different lifestyle, house, cars, salary, job, stage of life)
I find it refreshing to see people talking about saving instead of spending. Especially the younger generation. Keep it up!
BTW, Ironically I just finished Dave Ramseys "Total money makeover"....we were already following alot of his advice years before I read the book...but some may find some parts interesting anyway....check it out!
How much do you spend per month? If you know your finances you should have this down pat. Also does the 9K include retirement savings?
How much do you spend per month? If you know your finances you should have this down pat. Also does the 9K include retirement savings?
Your right, I do have it down "pat"..but this is still a public message board forum and I wouldnt recc anyone divulge anything more drilled down than they feel comfortable with. The conversation is high level and I will keep it that way. It was interesting to hear all the success stories, but it appears as though there are handful that are skeptics..which is fine, you have right to your opinion, given the limited amount of personal knowledge you have of everyones family situation. Its certainly not my place to judge or ask anyone to "prove themselves"...this thread is about personal finance and how each unique situtation is work towards individual/family goals.
We dont have much spending each month, because we have been living abroad (where the expenses are minimum--and covered by corporate)--which has allowed us to save most of our salaries and plan for the future.--so when we do come back we are financially prepared. However, when we were domestic and much younger, we were not as smart with our money as we have been in recent years. One gains alot of perspective as you get older when it comes to finances, Enough said on my part. Good Luck and keep on saving!
Your right, I do have it down "pat"..but this is still a public message board forum and I wouldnt recc anyone divulge anything more drilled down than they feel comfortable with. The conversation is high level and I will keep it that way. It was interesting to hear all the success stories, but it appears as though there are handful that are skeptics..which is fine, you have right to your opinion, given the limited amount of personal knowledge you have of everyones family situation. Its certainly not my place to judge or ask anyone to "prove themselves"...this thread is about personal finance and how each unique situtation is work towards individual/family goals.
We dont have much spending each month, because we have been living abroad (where the expenses are minimum--and covered by corporate)--which has allowed us to save most of our salaries and plan for the future.--so when we do come back we are financially prepared. However, when we were domestic and much younger, we were not as smart with our money as we have been in recent years. One gains alot of perspective as you get older when it comes to finances, Enough said on my part. Good Luck and keep on saving!
OK now I totally don't believe you!
If you post savings and income but don't divulge the spending, the only reason is because you probably aren't being honest.
Someone making 300K would get taxed and then be down to about 200K. If you save 9K per month or 118K then you have the 401K contribution of 22K and you are up to 200K - 140K = 60K
So you spend 60K on 4 people? Sorry I don't think your numbers add up
Just turned 26. I'm averaging about 2K/month when I feel like working more OT. Average month I save about $1700. Another month or two and I can enroll in the 401K through my employer, which is matched at 4%. I also have some investments which bring in some extra dividends and such. Didn't do the math, but I figure it's around $200-$300 extra a month. I never touch the investment accounts other than to sell or buy positions.
I'm just a typical blue collar worker. I'm happy with my job, but I'm not raking in the dough. I have always been primarily focused on saving money though. I'm still living in a studio apartment, but I'm trading up to a one bedroom in a couple months. Still drive the same car I bought new in 2003. Average grocery bill is $30/week. As my income has grown, most went into added saving, while a relatively small portion has gone towards updating my standard of living. I must admit... I just bought a new laptop (found dirt cheap for $212 brand new, after weeks of passive looking) and I felt a little guilty...
Some folks wouldn't like the lifestyle I have. I'm quite content though, being that I started out with very little. It's quite a joy to have a warm place to sleep at night, a decent running vehicle, food in the fridge, even if I don't have cable TV or anything. Savings just help ensure that I can maintain this lifestyle, which is a huge motivation.
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and keep on saving!
