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Comment by neogodless | Hacker News Reader

Discussion on a frugality forum: http://forum.mrmoneymustache.com/antimustachian-wall-of-sham...

In my friend group, our incomes vary by about a factor of 5. We all spend about the same, though. Which means those that are making more are much more comfortable, putting money away for a rainy day.

In contrast, a college friend that keeps in touch makes more than any of us, but she likes to lease new cars every three years, and she must spend money on the poshest pre-school in the area, and she is shocked to hear about people saving $2/3/5k a month. That's money that could be spent!

I don't think I have a point here. I just can't wrap my mind around people making $150k and not being able to "raise $2000" in a month's time.

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> I just can't wrap my mind around people making $150k and not being able to "raise $2000" in a month's time.

A person making $150k who has no savings/retirement/etc is a someone with very serious money management problems. In every state in the US, a $150k household income places you above the "middle class."

Source: http://www.businessinsider.com/middle-class-in-every-us-stat...

We make much less than that and we saved nearly that much a month saving for our own wedding last year. I don't understand where the money goes with some people.

It's really easy if you purchase lots of little things using a non-cash form of payment. It's even easier if what you're buying is non-physical, like streaming movies or video games for a tablet/phone. The key is to remove the physicality on one or both ends of the transaction and keep the single transaction cost in 2-digit range or the low 3-digits. And of course, never budget, ever, and try not to mentally track how many purchases you've made over the past few weeks. Do that as a pattern, give it some time, and money will evaporate Brewster's Millions style.

Only the rare whale can make a huge debt in savings buy spending on digital goods. The real money goes out on car payments, rent payments, vacations, and eating out every day.

You could rent an HD movie every night for $20 and it'd still only swing your expenses by $600 each month. If you're making $35,000, that is absolutely huge.

If you're making $150,000 - it really should not be huge.

typical night out for many of my twenty something friends:

>uber to the first bar - 15-20$

>drinks at the first bar - 15$

>several drinks and food at a brewpub or the like - 50$

>nightcap at a bar - 10$

>uber home - 20-25$ (surge pricing, bars closing)

Youve just spent 110$ in a single night out, essentially on a single meal.

rinse and repeat each weekend day, maybe up to 12 times in a month - youre out almost 1500$

That or i know a ton of people paying more than 200$ per month for their car payment. plus insurance thats a good chunk of money!

Theres two grand right there that could have otherwise gone into a retirement account.

It's fairly easy to go through that kind of money depending on where you live. If you're living in SF or NY you could well be spending $4k-$5k on rent or a mortgage. Supporting a spouse and children is very expensive even before you consider college. Forget the $400 emergency in the article, kids, not uncommonly, need $10k of orthodontic work. I also find that busy professionals tend to eat out a lot more because they don't have time to shop and cook, which is another significant cost.

Key quote from one of the comments:

"The secret shame of the American Middle Class is that they listen to people telling them 'it's not your fault' too much."

Why wouldn't they?

Human tendency is to always find somebody else to fix the blame on.

I know a lot of friends from school who would blame teachers for failing in tests and exams. They didn't get too far in life.

Like school, adults can always blame bankers or some secret cabal in the cellar for their problem instead of having to look inwards.

There's a large number of people that believe it's not their fault, e.g. comments here http://www.metafilter.com/158762/The-Secret-Shame-of-Middle-...

Wow... "My wife just lost her job, and I'm not sure how/if I can pay the rent this month. So yeah, I'm right in that category. Only I'm not ashamed, I'm angry."

That's not middle class, that's called living paycheque to paycheque, or hand to mouth.

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