Alright I just accepted a position with a $105,000 salary, with health insurance, 401K, and end-year bonuses.
How should I save/invest/spend this money?
My monthly expenses will be ~$1,500 rent, $2,000 loan payments, and food/living expenses.
How do I turn this into richness?
>>1012818
Read Milionnaire Fastline.
>>1012820
That seems like a book on starting and scaling your own business. Is that what it is?
>>1012818
So what kind of position do you have.
>>1012834
Associate at a law firm.
>>1012818
Save $40k per year
In 10 years have half a mil or more dependent on where you put it.
Be kinda content
>>1012844
Save $40k outside of 401k?
>>1012818
Oh god OP please tell me those loan payments aren't monthly.
>105k
>28% fed tax
>6% social security
>5% into 401K
>5% state tax
>$4,700/month left
>3,500 debt/rent per month
>500 life expenses (utilities, food, gas, car insurance, misc)
I hope your state doesn't tax income and that bonus is damn good because otherwise you're making about $8k/year net gains and can still fall pretty heavily in case of unemployment or emergencies.
>>1012858
Fucking this.
>literally spending almost half your income on fucking rent and LOAN PAYMENTS
Christ nigger what are you doing
>>1012858
Actually just recalculated and loan payments will be $1,100. Or I can change plans and bring it down to $500, but I want to pay it off as quickly as possible. Sucks, but it is what it is.
As for rent, it will probably end up being ~$1,000. $1,500 was my highest, conservative estimate.
I make about 80k/year, which comes out to 3700/month after taxes, 401k and insurance, etc. On top of the 401k I'm also putting 300/month into wealthfront.
For the amount I take home, it feels like 80k isn't enough at all because of taxes. I have paid off all debt and just pay rent plus bills. How else can I gain wealth?
>>1012876
Alright, you're good then anon. Turns out you're 25% tax bracket anyways, so there's an extra $260.
Land at $1,240 rent and you're looking at 25k/year, which is the same as me if I can find a tolerable roommate. Welcome to the game, anon. Pay off your debts, get a stable car, save up 15k for emergencies/unemployment, save 20% of a sturdy house down payment, and then look into investing.
The next 2-3 years will feel like trash as you don't seem to make progress due to so many goals seem like basic living, but trust me, you're crushing the competition.
>>1012883
Alright thanks. Yeah, that's the plan. I'm a long term thinker too.
Anything else you recommend besides the standard advice?
Cook breakfast at home -- three eggs plus oatmeal & orange juice will cost you only a couple of bucks a day.
Go to the local soup kitchen for lunch -- eating with homeless like this will save you money (free meal) and give you perspective (your life will seem blessed compared to those of the homeless).
Get a nice girl to cook you dinner every night -- this will also be relatively cheap, and good for you.
Get a cheaper place to live, such as a girlfriend's home; juggle a couple of girlfriends in case one kicks you out, and keep extra clothing etc in your car.
Speaking of your car, why are you making payments on something expensive? You've already got the job! There's no need to impress anyone with an expensive automobile. Get rid of your car and buy a beater for a couple grand, like maybe a fourth-generation Corvette (the money you save on not paying to finance/lease it will more than make up for gas & maintenance costs).
Declare bankruptcy.
>>1012899
>>1012844
>>1012846
Yes, save everything. I did this for 9 years, (but had no debt) and now I am retired. It is quite possible. You currently have to live poor because of all your loan payments. Once you are clear of that, just keep living poor. You'll be used to it and you don't need all that other crap people waste their money on.
It is my family's tradition. My grandfather, father and I all did it. Your job starts pissing you off too much. Wants to transfer you to Tennessee in the middle of the Great Recession, thinking they have you by the balls. Instead, you have the money to retire and tell them to fuck off.
>>1012882
Don't worry about gaining wealth. You're already there and anything more would either be numbers on a screen or a bigger house that would be exciting for < 2 weeks.
>>1012943
Not entirely, anon. 80k is nice but after taxes, cost of living expenses, ~20k in student debt, 15k emergency fund, and 20% down payment on a sturdy house. you really don't have an unallocated dollar until 30 assuming you skip marriage and kids.
>>1012818
>$2,000 loan payments
what did you take out a loan for and how much was it that it came out to be that high breh?
also,
>save more than you spend
>if you're investing long term, go for stability over percentage return
>spend on necessities first then go from there
>take more risk with your bonuses
>max out 401k
>prepare an emergency fund to get you through at least 1 year of shit going FUBAR
>lie on your tax returns
>learn to cook
>when in doubt, pump money into physical gold bullion and bury it in the back yard so the gubmint can't touch it
>>1013161
Thanks, read the thread.
>>1013185
Law school.
>>1012858
That "bonus" will be taken out from sales tax, property tax, etc. Just because a state has no income tax doesn't mean that is extra money. I found out the hard way moving from VA to TX because of no state income tax and the cheap housing market. I would have been better off staying in VA. These property taxes and sales taxes are costing me more than the state income tax I would be paying in VA.
>>1013197
But bro, no income tax means more money for the working man who is just renting!
>says the socialist who doesn't realize that the landlord eats the property tax and passes it on via rent
Not accusing you actually, just saying. There is no free lunch, which idiots don't realize. But yeah I'm doing the reverse, Texas to Virginia. Any advice?
>>1012818
10% into a savings account.
10% at least in the 401k.
Figure out the rest that works for you.
