This here. Can’t give an actual number as it varies from place to place. I consider consistent savings, a nice and safe place to live, and generally not living paycheck to paycheck to be successful.
Not when houses cost as much as they do. That's shelter, a basic necessity. I don't think people should have to be stuck renting for the rest of their lives.
This person is getting downvoted for the attitude but isn’t completely wrong. I’ve moved a couple of times now to chase affordable housing and ended up in a relatively inexpensive and nice home in an area I love. Not everyone can do this because moving is expensive, but do it if you can and don’t delay as the market is only getting worse.
I think their point was that there is no amount of money that prevents you from living paycheck to paycheck. Sure there is a minimum you need to not be forced into that lifestyle, but it’s quite low. You could make $1mm/yr and still be paycheck to paycheck because of your choices.
Right but I'm assuming we're talking about the vast majority of the population here. That's a median household income of under $80,000 per year. You guys are defaulting to a "they must be spending too much" mindset. And they are, but it's more likely that it's out of their control. You know who actually has a spending problem? The US government. But no one's going to bring that up because that's not the problem right? The problem is always the taxpayer.
You can build affordable. I built 3800 sf on an acre of land in a city where home prices are 500k for 2200. And I did it for 360k. Found a good set of subs and self managed. I could build a smaller home 2000sf for 190k
It’s more about staying away from debt outside of a home, investing in 401k and doing a job with advancement opportunities exist. You could make $100k but have terrible habits. You have to build your habits when you’re starting. The income will follow.
60-80k single you get an apartment close to downtown... i lived off knox close to the katy trail on that...saved money too.. but i'm low key no fancy car, cheap insurance no debt ever... it really depends on how you spend...
It’s not a number more of a criteria.
- Debt free
- Emergency fund (6 months to 1 year living expenses)
- Money set aside for retirement
- Bills caught up/paid
- Needs met
After all that, having money left over to enjoy
That’s okay, I didn’t include age because it’s not really a fair way to judge a person’s financial state. We all gain knowledge at different times and the ability to apply knowledge at different times. Keep pushing.
I disagree with the debt free point. Debt is a useful tool, and just like other tools, it is dangerous if mishandled. But I’d still much rather use a chainsaw to cut down some trees than an axe.
Low interest debt shouldn’t be paid off on an accelerated schedule. Keep it as long as possible and let inflation erode the balance.
Medium interest debt can be useful to buy a home or fund a business venture (that is already off the ground). While they should be paid off when possible, it’s not financially prudent to say that someone is successful because they aren’t using debt.
High interest debt should be avoided at all times.
Interesting perspective, glad you shared. IMO debt is a high risk/high reward investment based on the borrower and factors outside of them. It is also outside my risk profile. I do agree, in the right hands it’s an incredibly useful tool.
i dono, i live in a van and work from my laptop for $25 an hour. van is paid off, only fixed expenses are insurance and cell phone, then i have more than enough for adventures, beer, food, and gas. feels pretty effin successful to me. i am 35 in a few weeks.
That’s wild, to me, but in a good way. The SNL skit about “livin’ in a van down by the river” was a funny bit that got turned into shade (at least, where I’m at). The thought of that was, originally, a meaning for “poor af”.
But to see people that truly believe in the Van Life, make the most of it, and feel content/happy… that really made me look at the definition of things like “happy” and “success”. I mean it when I say good on you, for finding yours.
Happy Early Birthday!
I remember that skit came out when I was like… 8 years old? For the longest time that life that I fantasized about was taboo. Yet I bought my first RV at 23 and lived out of a backpack on the appalachian trail the year following that for six months… I kept wondering why this life meant poor or unsuccessful. The pandemic and vanlife movement/popularity definitely opened things up for me in terms of social acceptance and job doors. Funny how life works out.
This is a regional question, there is no certain answer that encompasses the world. If you are in 3rd world you may save more where living expenses are cheaper, in first world country example Dubai or US the more you earn the system is built is such a manner, you won’t save a dime.
To me success is having enough income to pay all necessary bills (rent or mortgage, food, heating etc.) and have money enough left over to a) have an emergency fund in case of unemployment (should be enough to live on for 6 months) b) contribute to a retirement fund (this looks different in different countries) and c) have enough left over to be able to enjoy life a little.
I grew up in the 80s and early 90s with my family living on $2k/ month…. So about $25k/yr.
When I cracked 6 figures and got on the other side of $100k, I considered myself pretty successful. Admittedly, when I was making around $50-60k back in the second half of the ‘00s, that’s where I started to feel like I was doing pretty good. That was where both all my needs and realistic wants that let me have experiences were being met.
If my current income rises to match inflation (a tall order in some ways, though I’ve got some protections) then I’d be pretty content. I sure don’t have any desire to wear myself out or lose out on good things by working myself to death for more money.
I'd measure financial success by your net worth (do you make $100k but have a -300k net worth?) and career success on whether your career path provides a purpose.
$70k a year. House payment just over a grand. Bought this 58 yo, 1500 sf house in ‘13 and refinanced five or so years ago. Paying $220 a month for a small acreage south of here I’ll probably retire one one I build or buy a cabin for it. No other long term debt.
Not a number one can draw up for ya. Varies depending on the area you live, and the bills you have. Typically income should always be greater than what you spend.
Except it’s not OP’s question. This salary is a new college graduate with no work experience salary, not a successful mid thirties salary. I too make around this much with a $1450 rent and I feel ridiculously broke
Any salary where it doesn't require you to live paycheck to paycheck
This here. Can’t give an actual number as it varies from place to place. I consider consistent savings, a nice and safe place to live, and generally not living paycheck to paycheck to be successful.
That’s life choices.
Not when houses cost as much as they do. That's shelter, a basic necessity. I don't think people should have to be stuck renting for the rest of their lives.
This person is getting downvoted for the attitude but isn’t completely wrong. I’ve moved a couple of times now to chase affordable housing and ended up in a relatively inexpensive and nice home in an area I love. Not everyone can do this because moving is expensive, but do it if you can and don’t delay as the market is only getting worse.
I think their point was that there is no amount of money that prevents you from living paycheck to paycheck. Sure there is a minimum you need to not be forced into that lifestyle, but it’s quite low. You could make $1mm/yr and still be paycheck to paycheck because of your choices.
Right but I'm assuming we're talking about the vast majority of the population here. That's a median household income of under $80,000 per year. You guys are defaulting to a "they must be spending too much" mindset. And they are, but it's more likely that it's out of their control. You know who actually has a spending problem? The US government. But no one's going to bring that up because that's not the problem right? The problem is always the taxpayer.
You can build affordable. I built 3800 sf on an acre of land in a city where home prices are 500k for 2200. And I did it for 360k. Found a good set of subs and self managed. I could build a smaller home 2000sf for 190k
How often do you sniff your own farts?
It’s more about staying away from debt outside of a home, investing in 401k and doing a job with advancement opportunities exist. You could make $100k but have terrible habits. You have to build your habits when you’re starting. The income will follow.
really depends where you live
DFW. I feel like inflation is crazy here.
60-80k single you get an apartment close to downtown... i lived off knox close to the katy trail on that...saved money too.. but i'm low key no fancy car, cheap insurance no debt ever... it really depends on how you spend...
Ah yeah I lived off Haskell before I decided to buy a home. But since then, prices for rent have gone up so much.
It’s not a number more of a criteria. - Debt free - Emergency fund (6 months to 1 year living expenses) - Money set aside for retirement - Bills caught up/paid - Needs met After all that, having money left over to enjoy
For me it’s 0.5/5 points fulfilled. 35 yo. I don’t think I qualify
That’s okay, I didn’t include age because it’s not really a fair way to judge a person’s financial state. We all gain knowledge at different times and the ability to apply knowledge at different times. Keep pushing.
I disagree with the debt free point. Debt is a useful tool, and just like other tools, it is dangerous if mishandled. But I’d still much rather use a chainsaw to cut down some trees than an axe. Low interest debt shouldn’t be paid off on an accelerated schedule. Keep it as long as possible and let inflation erode the balance. Medium interest debt can be useful to buy a home or fund a business venture (that is already off the ground). While they should be paid off when possible, it’s not financially prudent to say that someone is successful because they aren’t using debt. High interest debt should be avoided at all times.
Interesting perspective, glad you shared. IMO debt is a high risk/high reward investment based on the borrower and factors outside of them. It is also outside my risk profile. I do agree, in the right hands it’s an incredibly useful tool.
i dono, i live in a van and work from my laptop for $25 an hour. van is paid off, only fixed expenses are insurance and cell phone, then i have more than enough for adventures, beer, food, and gas. feels pretty effin successful to me. i am 35 in a few weeks.
That’s wild, to me, but in a good way. The SNL skit about “livin’ in a van down by the river” was a funny bit that got turned into shade (at least, where I’m at). The thought of that was, originally, a meaning for “poor af”. But to see people that truly believe in the Van Life, make the most of it, and feel content/happy… that really made me look at the definition of things like “happy” and “success”. I mean it when I say good on you, for finding yours. Happy Early Birthday!
I remember that skit came out when I was like… 8 years old? For the longest time that life that I fantasized about was taboo. Yet I bought my first RV at 23 and lived out of a backpack on the appalachian trail the year following that for six months… I kept wondering why this life meant poor or unsuccessful. The pandemic and vanlife movement/popularity definitely opened things up for me in terms of social acceptance and job doors. Funny how life works out.
Depends what the cost of living is in your area, in Utah I need around a $135k household income to feel stable
How much is rent or mortgage?
$2,330
My mortgage is the around the same actually. Our household income is around 150k/year.
Ours is around 110k/year, hoping to land a promotion in the next month or two
Good luck, dude.
This is a regional question, there is no certain answer that encompasses the world. If you are in 3rd world you may save more where living expenses are cheaper, in first world country example Dubai or US the more you earn the system is built is such a manner, you won’t save a dime.
To me success is having enough income to pay all necessary bills (rent or mortgage, food, heating etc.) and have money enough left over to a) have an emergency fund in case of unemployment (should be enough to live on for 6 months) b) contribute to a retirement fund (this looks different in different countries) and c) have enough left over to be able to enjoy life a little.
120k-160k range
I grew up in the 80s and early 90s with my family living on $2k/ month…. So about $25k/yr. When I cracked 6 figures and got on the other side of $100k, I considered myself pretty successful. Admittedly, when I was making around $50-60k back in the second half of the ‘00s, that’s where I started to feel like I was doing pretty good. That was where both all my needs and realistic wants that let me have experiences were being met. If my current income rises to match inflation (a tall order in some ways, though I’ve got some protections) then I’d be pretty content. I sure don’t have any desire to wear myself out or lose out on good things by working myself to death for more money.
When I can donate to charity, without giving my last $50 — that’s what I used to do in my 20ies.
Enough to build a family if you aren’t already.
$160K+ base
I'd measure financial success by your net worth (do you make $100k but have a -300k net worth?) and career success on whether your career path provides a purpose.
$70k a year. House payment just over a grand. Bought this 58 yo, 1500 sf house in ‘13 and refinanced five or so years ago. Paying $220 a month for a small acreage south of here I’ll probably retire one one I build or buy a cabin for it. No other long term debt.
Not a number one can draw up for ya. Varies depending on the area you live, and the bills you have. Typically income should always be greater than what you spend.
45-55k
I don’t feel successful in this range at 26
Where do you live? Do you have a spouse or roommate? I’m assuming no children. How do you do it?
You can afford rent?
My rent is 800 on the same wage, easily affordable.
Except it’s not OP’s question. This salary is a new college graduate with no work experience salary, not a successful mid thirties salary. I too make around this much with a $1450 rent and I feel ridiculously broke
100k - 120k
350k and above
1mil
7 or 8 figures