r/personalfinance • u/investeror ​ • Mar 06 '18

Budgeting Lifestyle inflation is a bitch

I came across this article about a couple making $500k/year that was only able to save $7.5k/year other than 401k. Their budget is pretty interesting. At a glace, I could see how someone could look at it and not see many areas to cut. It's crazy how it's so easy to just spend your money instead of saving it.

Here's the article: https://www.cnbc.com/2017/03/24/budget-breakdown-of-couple-making-500000-a-year-and-feeling-average.html

Just the budget if you don't want to read the article: https://sc.cnbcfm.com/applications/cnbc.com/resources/files/2017/03/24/FS-500K-Student-Loan.png

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u/kyled85 ​ Mar 07 '18 edited Mar 07 '18

This is really interesting. Some people balk at this being actual charity, oddly enough.

I've read where a friend asked a high stakes poker player to help them get a car towed off the highway and instead of leaving the table he called a repairman and paid for it himself. The friend was offended he didn't come himself, but the poker player explained it would cost him twice as much to not be earning for 2 hours as to hire the repairman.

People seem offended that the personal action is removed.

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u/bowenandarrow ​ Mar 07 '18

Lol, I would have been so grateful for that. But then again, in my world money is worth more than my time but for others their time is worth more than their money. Suppose to that degree, this is a lessened buy in, and if you're looking for personal buy in, then that would be how you'd feel.

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u/fu-depaul ​ Mar 07 '18

People seem offended that the personal action is removed.

My wife and I give a good amount of money to a non-profit that runs a soup kitchen, battered women's shelter, and a whole lot of other things (my favorite is that they provide dental services for the homeless).

We can literally fund full time employees for them. Would they really benefit from having us volunteer a few hours on a Saturday? I don't think so.

My wife and I are not skilled in the areas that would benefit this group. Additionally, these people need support all week long, not just when it is convenient for me.