Originally Posted by 2mama
We make around $65K a year and are comfortable. I think that it's absurd that there so many people stating "that a $100,000 doesn't go as far as it used to" and such. I know that once you make more you tend to by more expensive things without thinking. I also realize that going natural tends to cost more but I think pleople really need to examine thier spending habits if it is "tight" and they are making 6 figures..
I'm just going to assume by your last sentance that you don't live in an area with a high COL. It's not just housing that's more expensive here, it's everything. My family freaks when they visit, and go to the grocery store.
We do our best to make from scratch and in bulk (for freezing), I have a decent organic garden from which I grew from seeds in the basement that helps supplement us for summer produce and freezing/canning. We own our cars (3 & 8yo), and we don't carry credit card debt. But we do budget, we have to. We put a little away in savings most months, and we put the max 401K away throughout the year.
But what I hate about these polls, is that those that are in the 100+ category - and we are solidly in that, are put down for spending habits (should we need to budget) or viewed as some holy grail of wage earners.
If we lived where I grew up, and DH had this income level - we would be beyond well off. My dad makes 1/2 what my DH does, and they live like there is no tomorrow with two teenagers at home (late in life spoiled kids I might add).
Oh yes, and we can't forget taxes in higher COL areas... House tax is a killer here. I'm surprised anyone making under $80K can even afford a house period, especially after you factor in taxes. The lowest taxes on our street this year was an assessment of $7900 on a 2450sqft basic house.
We also have a special needs son, whom we've paid a minimum of $7500 out of pocket, each year since he was born (not including insurance premiums). We make too much to write it off on taxes, but since that's after tax - yeah, it hurts. Unlike programs in some states, in our particular state we don't qualify for fully funded programs for special needs due to income limits.
But that's neither here nor there. There's just an assumption that we need to examine our spending habits. Well, we took $1500 out of savings last month in order to cover medical bills. Thank god we have savings, but we can't replace that in a single month - it will take quite a bit more to replace that. In the meantime, who knows what other bills will pop up unexpectedly - because you know, rich or poor or somewhere in between, we all have them.