Gross pay $1250/wk. After ins, 401k ($100/wk), taxes, pay is $841/wk. Automatic $100 to savings to build emergency fund and $100 to investment account. Have 50k NW, 20k in mutual fund, 10k in day-trading account, 10k in bitcoin, 3k in fidelity and 7k in 401k account. Netting 641/wk. Rent is 1250 in HCOL area. I feel like I'm living paycheck to paycheck and I know I could lessen 401k contrib and $ going to savings and investment but don't want to. Is this sustainable or what else can I do. 27M

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If you have enough to stash away for all these aftertax savings you are, by definition, not living paycheck to paycheck.

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$65k on HCOL is a stretch. How will your salary progression look like?

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Should progress by 5-10% a year for probably the next 5-10 years. I also can make a good amount on commissions (no ceiling) but have nothing in the pipeline that will likely come to fruition in the next year

How much longer do you need to build your emergency fund? Maybe there’s light at the end of that tunnel. And even $100/week in discretionary income will give you noticeably more breathing room.

PwC1, my sense is he’s not saying he isn’t making ends meet, but that he feels stretched so thin as a result of so little discretionary income that it feels like it may not be sustainable.

If it helps, I felt the same way for a long time (which is why I recognized where you were coming from). It felt miserable to see other people in my peer group seeming to do a little better. It was also embarrassing to be a professional but to feel like I couldn’t do basic maintenance on my house because I was stretched to thin and thought I could get away with deferring that maintenance so I could remain ready for the inevitable emergency repair like a new AC unit.

But my car payments eventually went away. My student loans went away. My comp slowly but steadily grew. And that slow and steady growth coupled with that reduction in debt eventually yielded a fair amount of disposable income even when taking care of my long term responsibilities.

Stick with it through 2021 and then try to enjoy that extra bit of disposable income. Re-evaluate things after then.

It will be worth it some day.

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Do you have any debt?

Awesome, congrats!

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