Hard to live well and save on $1mm in NYC Metro

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FIRE_in_CT
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Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:04 am

Dual income couple working in Manhattan and commuting from suburbs:

Total Gross Income: $1mm
Federal Income Taxes: $260-$340k (depending on deductions from $200k to $0)
State Income Taxes: $50-$80k (depending on state of residence and deductions)
NYC Income Taxes: $30-40k
Social Security: $15k
Medicare: $15k
Mortgage (15yr, 3.25%, $1.2-1.6mm loan) P&I: $100-135k
Property Taxes: $12-30k
Insurance: $3-5k
Day Care: $15-30k
Auto Payments: $8-20k (2 cars)
Auto Insurance: $1.5-3k
Auto Maintenance: $1-3k
Gasoline: $2k
Public Transportation: $8k
Utilities: $7-10k
Groceries: $7-15k
Eating Out: $8-15k (including breakfast/lunch/coffee at work)
Vacations: $5-20k
Home Maintenance: $15k
Home Services: $3-10k
401k Contributions: $36k
Kids Activities: $5-20k
Family Personal Care: $2-12k
Entertainment: $2-8k
Miscellaneous: $2-20k

If you took the high end of the range, it gets you to over $900k, before any consideration of charitable gifts, family support (it is often expected when you are a dual high-income couple), etc.

This is not a particularly luxurious lifestyle - just sayin'.
Last edited by FIRE_in_CT on Mon Oct 12, 2015 10:14 am, edited 1 time in total.

livesoft
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Re: Hard to live well and save on $1mm in NYC Metro

Post by livesoft » Mon Oct 12, 2015 9:08 am

You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
Last edited by livesoft on Mon Oct 12, 2015 9:12 am, edited 1 time in total.
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Re: Hard to live well and save on $1mm in NYC Metro

Post by Userdc » Mon Oct 12, 2015 9:08 am

Why are you paying NYC income taxes?

A $1.5-2M home is quite nice in the NYC suburbs and on your 15Y mortgage you are "saving" quite a bit every month in principal payments.

I won't go line by line on the rest, but this is a very comfortable upper middle class lifestyle and you are still saving well into the 6 figures every year.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by nukewerker » Mon Oct 12, 2015 9:13 am

you live just fine, better than 95-99% of all people in the US. Your leftover is more than 80% of Americans make. Live like normal people and retire to somewhere warm and sunny in 5-10 years. You've lost perspective.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by tim1999 » Mon Oct 12, 2015 9:16 am

There are plenty of nice homes within an hour's commuting distance of Manhattan that can be had for less than $1 million. At those car payment rates I doubt you are driving Corollas. I bet if you really broke it down further, you could find a lot of fluff and waste in this budget that could be eliminated easily if desired.

If you really wanted to save money, move to Northampton county, PA, buy a brand new luxurious house for $500,000 and $8k/yr. taxes, ride the bus to Manhattan as many do every day. You have no life during the week outside of work though.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by BruDude » Mon Oct 12, 2015 9:26 am

So many first-world problems. Wish I could say the same!

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FIRE_in_CT
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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:26 am

livesoft wrote:You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
Hardly any luxuries - arguably all necessities

Yes cut away!

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Re: Hard to live well and save on $1mm in NYC Metro

Post by flyingbison » Mon Oct 12, 2015 9:27 am

Oh, good grief. I really hope this post is satire.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:27 am

nukewerker wrote:you live just fine, better than 95-99% of all people in the US. Your leftover is more than 80% of Americans make. Live like normal people and retire to somewhere warm and sunny in 5-10 years. You've lost perspective.
Well that assumes that the income can be maintained, which it usually cannot for most people.

My only point was the listed items weren't that luxurious, and yet there's not a lot leftover to save.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:29 am

Cherokee8215 wrote:There are plenty of nice homes within an hour's commuting distance of Manhattan that can be had for less than $1 million. At those car payment rates I doubt you are driving Corollas. I bet if you really broke it down further, you could find a lot of fluff and waste in this budget that could be eliminated easily if desired.

If you really wanted to save money, move to Northampton county, PA, buy a brand new luxurious house for $500,000 and $8k/yr. taxes, ride the bus to Manhattan as many do every day. You have no life during the week outside of work though.
Well of course anyone making $1mm would want to live in the best school district possible for their kids, as well as live in a house that has a minimal amount of curb appeal. And we are not talking mansions, maybe 2500-3000 sqft.

I would guess that eliminates a lot of options!

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Re: Hard to live well and save on $1mm in NYC Metro

Post by grabiner » Mon Oct 12, 2015 9:32 am

The numbers are not independent. If this couple pays a lot in state income tax, property tax, mortgage interest, and 401(k) contributions, they pay less in federal income tax. If they pay a lot in public transportation cost (say, two monthly train passes), they don't need two cars, and whether they have one car or two, they won't drive as much and thus the cars will last longer, leading to lower car payments. If they eat out a lot, they won't buy as much in groceries.

They also don't need a 15-year mortgage. While a 15-year mortgage may be a good financial move (lower rate and building up equity faster), they could take a 30-year mortgage to improve cash flow. A 3.25% 15-year mortgage of $1.6M does have annual payments of $135K, but a 4.25% 30-year mortgage has annual payments of $94K, and more deductible interest leads to an even larger tax savings.

And if they do take a 15-year mortgage, they won't have as much to save for retirement in the first 15 years (although they will have more to save, or otherwise use, as their salaries increase but the mortgage doesn't), but then the $135M mortgage payment will disappear and they will have plenty to save.

The usual guideline is that your home should cost no more than 2.5-3x your income. However, that assumes typical income-tax rates; this couple can afford a $2M home, but would have difficulty affording a $3M home because of the large amount of salary lost to tax. (The interest deduction wouldn't help, because interest over $1.1M is not deductible.)
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Re: Hard to live well and save on $1mm in NYC Metro

Post by stemikger » Mon Oct 12, 2015 9:36 am

livesoft wrote:You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
+1000

I guess I'm a magician. I live in one of the boroughs of New York with a combined income of $100K to $125K year and live just fine. I still mange to put $24K in my 401K, paid for my daughter's undergrad and I'm half way through paying for her Masters. Go on a really nice vacation once a year, paid off my house a couple of years ago and carry no debt. I also know quite a few people that do this on a lot less than what I make.

What is my secret? I guess it's living within my means.

I'm not being judgment towards you because I know several friends like you and they just get caught up in a lifestyle similar to yours and have a hard time making it. But honestly man, once you get stuck on that merry-go-round it will be hard to ever make enough. :beer
Last edited by stemikger on Mon Oct 12, 2015 9:41 am, edited 3 times in total.
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Re: Hard to live well and save on $1mm in NYC Metro

Post by Tanelorn » Mon Oct 12, 2015 9:36 am

Seems weird to both have two cars in the city and be paying a ton for public transit - most people in NYC would be happy to have no cars, or at most one for occasional weekend trips. Monthly subway passes are around $100 each, so with two of you that's $2.5k or so per year. You list $8k for public transit, so that's a whole lot of taxis and not using the two cars you're paying for. If it was me and I wanted to save more, I'd ditch 1-2 cars, which probably saves another $5-10k in parking and some on insurance too.

Edit: I see you're communing to the suburbs. Ok, probably you need at least one car then, unless you pick your home location very close to one of the rail hubs.
Last edited by Tanelorn on Mon Oct 12, 2015 9:40 am, edited 3 times in total.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by stoptothink » Mon Oct 12, 2015 9:37 am

FIRE_in_CT wrote:
livesoft wrote:You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
Hardly any luxuries - arguably all necessities

Yes cut away!
$5k-$20k/yr in vacations is a necessity? The low end is more than my family of 4 has spent on vacations in our entire lifetime. Miscellaneous, $20k/yr on children's activities, $8k-$15k on eating out...? Safe to say that your definition of "necessity" is different than 95% of the rest of the population. I should forward this to my sister who works as an archivist at NYU and makes less <$50k/yr; she'd get some laughs.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:41 am

Tanelorn wrote:Seems weird to both have two cars in the city and be paying a ton for public transit - most people in NYC would be happy to have no cars, or at most one for occasional weekend trips. Monthly subway passes are around $100 each, so with two of you that's $2.5k or so per year. You list $8k for public transit, so that's a whole lot of taxis and not using the two cars you're paying for. If it was me and I wanted to save more, I'd ditch 1-2 cars, which probably saves another $5-10k in parking and some on insurance too.
It's not uncommon at all to have two cars for dual income commuting into Manhattan - lots of couples don't have the exact same schedule to leave home and work at the same time, and, remember, 2 kids - you can't just leave them home alone to drop or pick someone up at the train station.

Monthly train passes can be $200-300/month/person easily.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by grabiner » Mon Oct 12, 2015 9:43 am

(Edit: this was based on an incorrect assumption, that they lived in Manhattan, but I have left it intact to keep the continuity of the discussion.)

And the main reason this lifestyle doesn't look luxurious is that they have spent a lot on one very expensive luxury: a home in Manhattan. If they bought a $1M home in the suburbs instead of a $2M home in Manhattan, they would have $200K in cash in the bank from the smaller down payment, halve their mortgage payment (and not lose too much of the tax deduction), reduce their property tax, and avoid NYC income tax. They can afford the Manhattan home, and it's probably worth a lot to them, but they may not both be able to afford a Manhattan home and leasing a Lexus and a Mercedes.
Last edited by grabiner on Mon Oct 12, 2015 10:04 am, edited 1 time in total.
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Re: Hard to live well and save on $1mm in NYC Metro

Post by Crow Hunter » Mon Oct 12, 2015 9:46 am

stoptothink wrote:
FIRE_in_CT wrote:
livesoft wrote:You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
Hardly any luxuries - arguably all necessities

Yes cut away!
$5k-$20k/yr in vacations is a necessity? The low end is more than my family of 4 has spent on vacations in our entire lifetime. Miscellaneous, $20k/yr on children's activities, $8k-$15k on eating out...? Safe to say that your definition of "necessity" is different than 95% of the rest of the population. I should forward this to my sister who works as an archivist at NYU and makes less <$50k/yr; she'd get some laughs.
I second that.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by sheneron » Mon Oct 12, 2015 9:47 am

flyingbison wrote:Oh, good grief. I really hope this post is satire.
My thought exactly. INB4 lock.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by grabiner » Mon Oct 12, 2015 9:48 am

Post deleted because it was based on a misreading of an assumption in the original post.
Last edited by grabiner on Mon Oct 12, 2015 10:06 am, edited 1 time in total.
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Re: Hard to live well and save on $1mm in NYC Metro

Post by market timer » Mon Oct 12, 2015 9:49 am

FIRE_in_CT has a good point: A typical $1mn HH income couple with kids in NYC metro is not living much better than other professionals. Everything they have might be a little bit nicer, but they don't really have the time to enjoy any of it, and it costs a fortune. The key is to get away from the taxes and high cost of living of NYC. A passive income of $100K/year in some ways affords a much higher standard of living than someone making $1mn/year in NYC.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:54 am

grabiner wrote:And the main reason this lifestyle doesn't look luxurious is that they have spent a lot on one very expensive luxury: a home in Manhattan. If they bought a $1M home in the suburbs instead of a $2M home in Manhattan, they would have $200K in cash in the bank from the smaller down payment, halve their mortgage payment (and not lose too much of the tax deduction), reduce their property tax, and avoid NYC income tax. They can afford the Manhattan home, and it's probably worth a lot to them, but they may not both be able to afford a Manhattan home and leasing a Lexus and a Mercedes.
Oh I assumed home in suburbs.

I don't think a family of 4 can live in Manhattan in a decent school district for $1.5-2mm home value?

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:55 am

market timer wrote:FIRE_in_CT has a good point: A typical $1mn HH income couple with kids in NYC metro is not living much better than other professionals. Everything they have might be a little bit nicer, but they don't really have the time to enjoy any of it, and it costs a fortune. The key is to get away from the taxes and high cost of living of NYC. A passive income of $100K/year in some ways affords a much higher standard of living than someone making $1mn/year in NYC.
Yes that was kind of my point.

I didn't even talk about private schools or country clubs or luxury cars or landscaping/pool maintenance - those are obvious luxury items. $1mm income in a HCOL area doesn't go as far as one might think!

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 9:56 am

stoptothink wrote:
FIRE_in_CT wrote:
livesoft wrote:You know that this post is reminiscent of that Chicago lawyer complaining that they could not survive on $X00,000 per year.

I used to live near NYC on substantially less like many many people do. Do you want me to cut your budget to something realistic?

You have listed quite a number of very luxurious line items.

Oh, in before the lock, too.
Hardly any luxuries - arguably all necessities

Yes cut away!
$5k-$20k/yr in vacations is a necessity? The low end is more than my family of 4 has spent on vacations in our entire lifetime. Miscellaneous, $20k/yr on children's activities, $8k-$15k on eating out...? Safe to say that your definition of "necessity" is different than 95% of the rest of the population. I should forward this to my sister who works as an archivist at NYU and makes less <$50k/yr; she'd get some laughs.
I would argue some form of vacation for a hard-working, professional couple is a necessity.

Hard to do that with a family of 4 for 2-3 weeks a year for less than $5k.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by keith6014 » Mon Oct 12, 2015 9:57 am

what do you do to have such a high income?

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Re: Hard to live well and save on $1mm in NYC Metro

Post by grabiner » Mon Oct 12, 2015 9:58 am

FIRE_in_CT wrote:
grabiner wrote:And the main reason this lifestyle doesn't look luxurious is that they have spent a lot on one very expensive luxury: a home in Manhattan. If they bought a $1M home in the suburbs instead of a $2M home in Manhattan, they would have $200K in cash in the bank from the smaller down payment, halve their mortgage payment (and not lose too much of the tax deduction), reduce their property tax, and avoid NYC income tax. They can afford the Manhattan home, and it's probably worth a lot to them, but they may not both be able to afford a Manhattan home and leasing a Lexus and a Mercedes.
Oh I assumed home in suburbs.

I don't think a family of 4 can live in Manhattan in a decent school district for $1.5-2mm home value?
I missed this also; you said, "Commuting to suburbs", so I assumed they lived in NYC. Did you mean "commuting from suburbs"? If so, scratch the NYC tax from your expense list; NYC doesn't tax commuters, and tax paid to New York State can be taken as a credit against tax paid to NJ or CT. If they live in Queens, they pay NYC tax but the commuting costs will be much lower.
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Re: Hard to live well and save on $1mm in NYC Metro

Post by Kosmo » Mon Oct 12, 2015 10:02 am

Sounds to me like you're attempting to justify all of this spending and then want to complain about your high spending.

Also, if this is a reasonable estimate of your particular situation, why is there such a large range on some of the items? Property taxes won't vary by $18k per year. Day care won't vary by $15k unless you're consistently generating more than 1 child per year. And what are your kids doing that costs $20k per year when they are still in day care? How varied are your eating habits that you spend anywhere from $15k-$30k on food? And as mentioned, you certainly don't need $20k in car payments when you take the train.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by RobInCT » Mon Oct 12, 2015 10:04 am

How on earth are you paying $8k-$20k/year for 2 cars? You can buy 2 whole cars every year for that amount of money.
Why do groceries cost $7k-$15k/year when the adults (and possibly the children, assuming food is included in that astronomical yearly tuition) seem to eat out at least 2 meals a day?
Last I checked, vacations to presumably not-NY didn't cost more when living in NY than vacations to not-NY cost in other parts of the country. $5k-$20k for vacations?
How are "kids activities" costing $5k-$20k, particularly when they're apparently only day care (and an expensive day care at that!!!) age?

I also hope this is a troll, but assuming it's not, yes, I suppose it's true that it's very difficult to live an extremely high-end lifestyle in a 2 million dollar home while making only $1 million/year in an extremely HCOL area. Your point is...?

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Re: Hard to live well and save on $1mm in NYC Metro

Post by HomerJ » Mon Oct 12, 2015 10:06 am

FIRE_in_CT wrote:I would argue some form of vacation for a hard-working, professional couple is a necessity.
You would be wrong. Spending $8k-$15k a year on eating out is also not a necessity, nor is $12k a year on "Family Personal Care". Maybe you need to splurge on a $5 dictionary?

I mean your MISCELLANEOUS category is $2k-$20k. What activities are your kids doing that cost up $20k a year? Do they really need private tennis lessons from Serena Williams?

Good luck reaching Financial Independence and Retiring Early saving only $36k a year with a $500k lifestyle, every cent of which you deem a necessity.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by RobInCT » Mon Oct 12, 2015 10:07 am

FIRE_in_CT wrote:Oh I assumed home in suburbs.

I don't think a family of 4 can live in Manhattan in a decent school district for $1.5-2mm home value?
Huh? You "assumed"? You mean this isn't an actual post about anyone's actual situation but rather a made-up scenario to illustrate.... the high cost of luxury living in NYC?

Counting down to lock...

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Re: Hard to live well and save on $1mm in NYC Metro

Post by HomerJ » Mon Oct 12, 2015 10:09 am

RobInCT wrote:
FIRE_in_CT wrote:Oh I assumed home in suburbs.

I don't think a family of 4 can live in Manhattan in a decent school district for $1.5-2mm home value?
Huh? You "assumed"? You mean this isn't an actual post about anyone's actual situation but rather a made-up scenario to illustrate.... the high cost of luxury living in NYC?

Counting down to lock...
Yeah, I think you're right... The wide range of costs seem to indicate that all the numbers are just made up.

I could make up numbers too that would show the opposite point... Neither method is particularly useful.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by ubermax » Mon Oct 12, 2015 10:10 am

You need to move to Litchfield secure quality daycare locally and commute by helicopter into the Apple , you'll have it all , quality of life and the big bucks for those luxury items , problem solved :sharebeer

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Re: Hard to live well and save on $1mm in NYC Metro

Post by adamthesmythe » Mon Oct 12, 2015 10:11 am

> Hard to live well and save on $1mm in NYC Metro

Then I guess they will have to live on social security in retirement. Cut back a little, close off some of the rooms I guess.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by YttriumNitrate » Mon Oct 12, 2015 10:14 am

I notice there wasn't any student loan debt on that list.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by goingup » Mon Oct 12, 2015 10:15 am

FIRE_in_CT:
Even at your rarified income level, the same principle applies: Pay yourself first. You're probably going to have to find a way to lop off 15% of gross income to tuck into 401Ks, backdoor Roths, and taxable savings if you want to have a robust or early retirement.

I think it has to be pretty stressful to fund that lifestyle. Time to step back and rejigger priorities.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by 2Birds1Stone » Mon Oct 12, 2015 10:18 am

I hope you continue to work and consume without any changes, my retirement is dependant on people such as you.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by YttriumNitrate » Mon Oct 12, 2015 10:21 am

Today
FIRE_in_CT wrote:Home Maintenance: $15k
Home Services: $3-10k
From August:
FIRE_in_CT wrote:We pay $16k per year to maintain 2 landscaped acres
It is full service including treatment to keep the lawn perfectly manicured and green
Location is lower Fairfield Co, CT
It looks like you are underestimating how much you are spending on home services.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by FIRE_in_CT » Mon Oct 12, 2015 10:26 am

RobInCT wrote:How on earth are you paying $8k-$20k/year for 2 cars? You can buy 2 whole cars every year for that amount of money.
Why do groceries cost $7k-$15k/year when the adults (and possibly the children, assuming food is included in that astronomical yearly tuition) seem to eat out at least 2 meals a day?
Last I checked, vacations to presumably not-NY didn't cost more when living in NY than vacations to not-NY cost in other parts of the country. $5k-$20k for vacations?
How are "kids activities" costing $5k-$20k, particularly when they're apparently only day care (and an expensive day care at that!!!) age?

I also hope this is a troll, but assuming it's not, yes, I suppose it's true that it's very difficult to live an extremely high-end lifestyle in a 2 million dollar home while making only $1 million/year in an extremely HCOL area. Your point is...?
While I appreciate your incredulity, a lot of the items you list really are reasonable in range.

The point of the post isn't to see how little one can spend on them, but that the 'typical' costs of items in a HCOL area like NYC Metro make even a very high income like $1mm not enough to live well on in addition to saving quite a bit.

$20k for 2 cars is a bit on the higher end, $8k certainly is not (arguably Corolla-esque) - the middle of the range I would guess is what an upper middle class household making 1/10th the income would pay.

Again, using the middle of the range for groceries, $11k/year or $917/month doesn't seem that crazy to me. And if you assume $15/day for breakfast/coffee/lunch at work for each worker that's $7500/year already for eating now. While it's not particularly frugal, it's not even close to gourmet dining.

$5k is by no means luxurious for 3 weeks of vacation for a famlily of 4.

$2mm doesn't get you much house in a lot of neighborhoods.

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Re: Hard to live well and save on $1mm in NYC Metro

Post by LadyGeek » Mon Oct 12, 2015 10:27 am

FIRE_in_CT wrote:
RobInCT wrote:How on earth are you paying $8k-$20k/year for 2 cars? You can buy 2 whole cars every year for that amount of money.
Why do groceries cost $7k-$15k/year when the adults (and possibly the children, assuming food is included in that astronomical yearly tuition) seem to eat out at least 2 meals a day?
Last I checked, vacations to presumably not-NY didn't cost more when living in NY than vacations to not-NY cost in other parts of the country. $5k-$20k for vacations?
How are "kids activities" costing $5k-$20k, particularly when they're apparently only day care (and an expensive day care at that!!!) age?

I also hope this is a troll, but assuming it's not, yes, I suppose it's true that it's very difficult to live an extremely high-end lifestyle in a 2 million dollar home while making only $1 million/year in an extremely HCOL area. Your point is...?
While I appreciate your incredulity, a lot of the items you list really are reasonable in range.

The point of the post isn't to see how little one can spend on them, but that the 'typical' costs of items in a HCOL area like NYC Metro make even a very high income like $1mm not enough to live well on in addition to saving quite a bit....
This thread has run its course and is locked (hypothetical situation, getting argumentative). See: Personal Finance
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