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More than 1 in 4 workers making $200K or more now say they live paycheck to paycheck. So even rich people are struggling to save, and pros offer 3 solutions
https://www.marketwatch.com/ ^ | Nov. 5, 2022 | By Andrew Shilling

Posted on 11/07/2022 10:04:07 AM PST by RomanSoldier19

Making bank doesn’t mean you have loot saved in the bank. Roughly 45% of those making more than $100,000 say they live paycheck to paycheck; 47% of those making between $150,000 and $200,000-a-year; and 28% of those making over $200,000, a new report from PYMNTS.com found. What’s more, a 2022 survey from LendingClub revealed that 30% of those earning $250,000 or more live paycheck to paycheck. And that’s too bad, as many savings accounts are now paying more than they have in a decade — see the highest rates you may get on a savings account now here.

“The combination of taxes and inflation leave little purchasing power,” says MaxMyInterest CEO Gary Zimmerman, who notes that a $100K salary isn’t what it used to be. So how do these high earners start spending less and saving more? We asked the pros.

(Excerpt) Read more at marketwatch.com ...


TOPICS: News/Current Events
KEYWORDS: armagedon; depression; inflation; stagflation
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1 posted on 11/07/2022 10:04:07 AM PST by RomanSoldier19
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To: RomanSoldier19

If you’re making 200K and you’re living paycheck to paycheck, you’re doing it wrong.


2 posted on 11/07/2022 10:06:29 AM PST by kiryandil (China Joe and Paycheck Hunter - the Chink in America's defenses)
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To: RomanSoldier19

That’s what I call stupid rich people.

They should listen to Dave Ramsey.


3 posted on 11/07/2022 10:06:38 AM PST by aquila48 (Do not let them make you "care" ! Guilting you is how thery control you. )
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To: RomanSoldier19
It's a amazing to hear people speak of their losses in the stock market just as much as those who are living from pay check to pay check. Same level of concern and disappointment but on entirely different levels of experience.
4 posted on 11/07/2022 10:06:52 AM PST by caww (O death, when you seized my Lord, you lost your grip on me......Augustine)
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To: kiryandil

THIS. Looks like a whole new audience of ‘stupid’ for Dave Ramsey to educate.


5 posted on 11/07/2022 10:07:24 AM PST by Magnum44 (...against all enemies, foreign and domestic... )
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To: RomanSoldier19

Unless you’ve got 8 kids of have spent very foolishly (a Ferrari,a house on Martha’s Vineyard,etc) that sounds like BS.


6 posted on 11/07/2022 10:07:56 AM PST by Gay State Conservative (I Miss Jimmy Carter)
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To: aquila48

GMTA. post #5


7 posted on 11/07/2022 10:08:27 AM PST by Magnum44 (...against all enemies, foreign and domestic... )
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To: RomanSoldier19

“Rich” is a relative term.

$200,000 is not rich in states like California or NY or other high-cost of living areas.

$200,000 could be rich in areas like Florida or Georgia or Texas or any other low-cost of living areas.

Someone making $200,000 in high-cost of living areas might be just middle-class or lower, depending on where that salary is earned.


8 posted on 11/07/2022 10:09:02 AM PST by adorno
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To: kiryandil
If you’re making 200K and you’re living paycheck to paycheck, you’re doing it wrong.

Or you're living in a high-cost of living blue state or city.
9 posted on 11/07/2022 10:10:24 AM PST by adorno
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To: RomanSoldier19

Many people live paycheck to paycheck no matter how much they make. It’s dumb, but they do it.


10 posted on 11/07/2022 10:10:39 AM PST by SaxxonWoods (The only way to secure your own future is to create it yourself.)
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To: kiryandil

If you’re making 200K and you’re living paycheck to paycheck, you’re doing it wrong.

~~~

Nope. It’s the american way to live up to and beyond your means.

Even if you don’t live in a high cost-of-living city where 200k wouldn’t seem like much, you still buy up to your income level. Where someone making 55k/year would finance and 175k house, someone making 200k would want that 600k house.
Why? Because they can. Of course.

I say it’s the american way, but really it’s just human nature.


11 posted on 11/07/2022 10:11:43 AM PST by z3n (Kakistocracy)
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To: RomanSoldier19

“.....A recent study from professors at Harvard, Yale, Brigham Young and William & Mary found that individuals who auto enrolled in a company retirement plan still carried similar levels of debt as those who opted to save on their own. “We found there’s no difference between the two groups in how much credit card borrowing they’re doing,” said Yale finance professor James Choi, who assisted in conducting the report. “There was no difference in credit scores and their measures of financial distress.”.....

______________________________

It all comes down to having lots O’ debt and not living below your means.


12 posted on 11/07/2022 10:12:01 AM PST by fatboy (')
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To: adorno

There was some documentary about the NYC sanitation department. In Manhattan the garbage men make around $100k. But they can’t afford to live in Manhattan.


13 posted on 11/07/2022 10:12:53 AM PST by packagingguy
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To: SaxxonWoods

14 posted on 11/07/2022 10:13:35 AM PST by RomanSoldier19 (Res ad Triarios venit;“We are your ghosts, in this game played by monkeys, organized by lunatics” )
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To: kiryandil

😂🙌. Location may be a factor. We were fairly comfy two years ago. Now, not so much. On WAY less than that number. Thank goodness branDUHn got the SS raise passed eh?😴😴😴


15 posted on 11/07/2022 10:14:00 AM PST by rktman (Destroy America from within? Check! WTH? Enlisted USN 1967 to end up with this? 😕)
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To: adorno; kiryandil

“Or you’re living in a high-cost of living blue state or city.”

That maybe what you’re doing wrong.


16 posted on 11/07/2022 10:14:21 AM PST by aquila48 (Do not let them make you "care" ! Guilting you is how thery control you. )
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To: fatboy
It all comes down to having lots O’ debt and not living below your means.

Debt can be a good thing, but not credit card debt. Debt provides leverage and if used properly can enhance returns.

17 posted on 11/07/2022 10:15:40 AM PST by 1Old Pro
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To: rktman
Location may be a factor.

I'm trying to explain that to my brother.

How are things looking for the Nevada "elections"? ANy good news that you're seeing?

Is Clark County going to fail The Regime?

18 posted on 11/07/2022 10:17:17 AM PST by kiryandil (China Joe and Paycheck Hunter - the Chink in America's defenses)
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To: kiryandil

Exactly.. probably that $4500 mortgage payment, $2500 car payment etc, etc,...


19 posted on 11/07/2022 10:21:50 AM PST by maddog55 (The only thing systemic in America is the left's hatred of it!)
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To: fatboy
There is a whole category of books dedicated to personal finance and wealth building. But all the good advice can be distilled into three simple rules:

Live below your means
Save 20% of your income
Stay out of debt

That's it. You do those three things and you will never have to worry about your retirement years.

I argue that a home mortgage is okay to have as debt as you are essentially building equity (wealth) for yourself as you pay it off. Just don't be the person who is constantly doing a re-fi or taking out equity loans. Just stick to the original mortgage and over time more and more of your payment will go towards the principal. People who re-fi put themselves right back to having their payment go mostly to interest. Also, your mortgage should not be more than about 25% of your income. So get a smaller house if you need to.

20 posted on 11/07/2022 10:22:26 AM PST by SamAdams76 (4,479,054 active users on Truth Social)
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