So, you live paycheck to paycheck?
Also, $150 on apps a month? You might have a serious problem.
Your monthly entertainment/shopping budget is like my annual budget. Holy shit.
So, you live paycheck to paycheck?
Excluding bonuses and equity, yes, for now. Well, only if you count optional "fun" expenses.
“Apps” includes tons of streaming services, a bit of web hosting and a VPS, and more. It sounds crazy until you consider that part of it replaces a traditional cable bill.
$7k/year vacation budget
Yea no biggie, just spending 420$ on entertainment, 300$ on clothes and 600$ on vacation every month lol
You spend 300/month on clothes? How?
You pay less taxes than i do, and i make half as much. Granted, I pay Railroad Retirement instead of Social Security, but still.
No financial advice here, just some random thoughts and observations.
Over 15% goes into your ‘fun’ section.
This snapshot can make an interesting contrast to what you actually use when you’re married and have children.
Or, this snapshot can be made into a frequent reminder to never marry and always use protection.
I wasn't expecting to see so many people judging me, but I guess I just wasn't thinking there :)
I just made the chart because I liked the other guy's chart, and I wanted so see what it looks like for me.
Yeah, I’m 22 with no spouse, kids or other obligations, and no intention of retiring early. I think $1200 + employee match / month into my 401k is more than enough retirement saving at my age. Unfortunately everyone here wants to go all /sub/personalfinance on me :)
I was gonna make a comment somewhat like the one you replied to, but then you did post this chart with a hell of a lot of detail that just yells "judge me, mothafuckas!" and I admire the balls of that.
I totally agree.
I would totally vote for a WA state level income tax, even though it would affect me negatively. There's no good reason for lower income people in my state to take a higher tax burden (by percent), but that's what happens with our sales tax based system.
I can see it. Vacation might be spread over 2-3 trips a year, Annual budget of $7200 is not unreasonable if one is travelling to high end ski or sand destinations peak season.
$100 a week on going out, ya $50-70 is a normal meal+bar tab Saturday night depending on alcohol and tips.
God our system is so fucked up
Definitely can't call this paycheck to paycheck, especially if you are putting 15k into a 401k per year. (More than billions of the people make per year). Your spending is exceptionally high on luxury goods, as well. Money spent on luxuries is your money above and beyond paycheck to paycheck, my friend.
Curious, why is Entertainment separate from Games, Going out, and Apps? I would figure those would be all under Entertainment. Also, other than 401k you don't put anything in to savings?
I don't think it was a literal 'how'. More of a 'why'.
3600 a year.
One or two suits will get you up there pretty fast.
inb4 software engineer
Apps includes everything from streaming services to YNAB to web hosting and any other software.
"Entertainment" could probably be named better. It's usually used for event or movie tickets. The money allocated to those three categories (+ Shopping, Clothing) is pretty interchangeable.
I wanted to focus on monthly income/expenses, so I didn't include additional income like bonuses, equity, etc. That income (roughly $45k/year before tax) gets saved for a future down payment on a house or condo someday.
My company rightfully doesn't care how I live, only how I work.
my question as well, although thinking about it now it seems strange to organize it monthly but it could end up looking lik that. especially in a climate like seattle
The hell do you do??????
I can see it too I just can't afford it while still saving money :(
I wonder what it feels like to earn bonuses and equity...
You make more in those than I do at my job gross :(
Can't afford it without saving money...
Inspired by u/Critical_Thinking_ and others.
I also used http://sankeymatic.com/
The income is from my paycheck, spending/budget from Mint and YNAB, and tax spending from Pew Research Center.
I've simplified the numbers a bit to make it easier:What I consider "monthly income" in the chart is actually four weeks of income used for a full month of expenses. The gross income represented in the chart accounts for 48 (4*12) weeks of income; the 4 extra weeks' income is saved/spent however I like. This also doesn't include income from bonuses, equity, etc. This doesn't show how much goes to state / local taxes since that's all sales tax. It's probably roughly $200/month pulled from various expenses.
It's reddit, judging people is kinda our thing
And I'll judge you for no student loan interest, given you said you're young 20s in another comment. I'm jealous.
Nonsense, unless your 401(k) offerings are exceedingly crappy. A 401(k) is a bag, into which you can put any investment you like; put it in a low-cost index fund and you'll get what the stock market gives you. Of course some particular company might only allow money-market accounts or something stupid like that, in which case, get a new job.
Seems like an issue of over spending on frivilous things
I don't recall OP asking for help, so there really isn't an issue. He can spend his money however the fuck he wants, IMHO.
Health/dental/vision/disability insurance is all provided by my employer. I wanted to include those numbers that my employer spends in the chart, but I don't know how to obtain those numbers.
Part of that $42 in benefits is the fee to upgrade the plans my employer provides.
I don't have/want/need a car. It would cost me nearly $1000/month to have one. ($350 lease, $250 parking spot at my apartment, $250 insurance, plus gas and maintenance and parking around the city. Not worth it over the $115 I spend on Lyft/Uber instead. I walk to work.
$8,240 a month, pay check to pay check... what the fuck.
I make hourly and my budget is better.
You're significantly overpaying then, and will get a much larger refund when you file taxes..
SS + Medicare are flat % based.
Income tax he pays the identical burden to you up through your income level, then Pays a higher marginal rate beyond that.
I figure someone clever enough to make $100k by 22 is also clever enough to keep an eye on their career and future proof it.
Half of Reddit beats their dick about automation and AI rendering work obsolete, but neither are set to replaced skilled professionals. As someone in a field (biopharma) actively incorporating AI and (where it makes sense) high tech automation, our roles are continually changing over time to incorporate that new tech, but neither are problematic.
Fundamentally both are productivity factors, which aren't threats in a growth economy.
Is anyone going to talk about that $50 per month on haircuts? I've spent less than that on haircuts my whole life
u/Critical_Thinking_ managed to save ~25% of his total income. It looks like you don't have any savings?
That's fair. It's not the term I would use to describe it
I would totally vote for a WA state level income tax
Pretty unlikely to happen. A state income tax is prohibited by the Washington State constitution.
Thanks for posting this, this is really interesting to look at. Sorry so many people are using this as an opportunity to criticize your budgeting.
100,000 dollars a year
Won't have to save very long if you just live a reasonable lifestyle.
Maybe he already has nest egg. 401k is solid amount.
But yeah. 150 on apps? That's Captain Insano
Fair enough, guess I should've expected it :)
It's interesting the other guy with similar income is (understandably) getting the opposite advice.
No I live in Seattle and I spend that much on clothes in a year.
This person only has wage income. They do not pay less federal taxes than you. The only reason they might pay less is because they don’t have state income tax.
People who earn a wage for a living don’t get to take advantage of loopholes or live off of investment income. Living in an income free state is not unfair, that’s just what it is.
I think how the term "paycheck to paycheck" should work is that it means do you end up with about $0 just before you get your new monthly, bi-weekly, or whateverly money. In this case I would call it that - but not because of low wage, but of own volition