I pay $2,500 a month in rent. I also get paid more by my employer to cover exactly that. I have plenty of money to live the way I want to live and still save money. If everyone is claiming just 2k in rent, how are they not making a living on 120k+ a year?
In Bay Area, six-figure salaries are “low income”
211–220 of 428 posts
Re: In Bay Area, six-figure salaries are “low income”
#212Earlier quoted context omitted.
Did the exact same thing this year. Moved to Oviedo, FL from SF: 1) no state income tax, 2) public schools in my neighborhood are equivalent to a private school in sf [i] 4) weather is great 8 months out of year, 5) beaches you can swim in, 6) rent is ~1/4 of what it was in SF, 7) cuban food, 8) as a resident, kids have year round disney passes [i] http://school-ratings.com/Florida/schools/Carillon_Elementar... WARNI…
That sounds great, but one of the common rebuttals is that the job market (remote or otherwise) may be more challenging outside of the Bay Area.
>> That sounds great, but one of the common rebuttals is that the job market (remote or otherwise) may be more challenging outside of the Bay Area.
It amazes me how many people in tech can't do simple math.
Hint: The Detroit area job market is on fire, but you will pass it over if your idea of compensation doesn't take into account cost of living. I'm sure there are several other cities that can say the same.
Re: In Bay Area, six-figure salaries are “low income”
#213Earlier quoted context omitted.
Well lets reverse out the numbers. The median cost of a room in a flatshare in Zone 1/2 is just under £700 month, that's £8.4k/year. Let's assume other costs of living to be £10k/year that gives us a total of £18.4k/year. Let's say you want to save £40k over 4 years, so 10k/year, that would require a take-home salary of £28.4k/year which implies a pre-tax salary of 37k. 37k should be comfortably achievable for a soft…
How many people realistically go from a "flatshare" to a "3 br home" in one step like that?
It's a fairly common move for people getting married with a plan to have children.
But if you rent in the suburbs you can get a similar discount on rental as you get on purchases.
(Although the 3-bed was just an example obviously you can get a 1-bed for a cheaper price as well)
Re: In Bay Area, six-figure salaries are “low income”
#214Earlier quoted context omitted.
Just remember that you'll want to select a city that has a decent economy and tech scene in the event that you lose your job and need to take a location dictated position. So long as you and your partner are both making 6 figures you should be able to afford any of the following cities: - Seattle - Portland - Austin - Denver
> Portland Rents in Portland are skyrocketing (I had friends whose landlords were pulling out 30% rent increases). I went from Portland to Oakland and my rent isn't that much more.
My brother is moving in from Portland with me in Pittsburgh. He eventually wants to own a house, but that's not possible out there, since he works in a bookstore. He sometimes would complain about Californians moving north, and driving up real estate. Pittsburgh is vastly more affordable.
Re: In Bay Area, six-figure salaries are “low income”
#215I have been in bay area for the last 4 years. I moved to bay area for better opportunity. As an Indian, I find bay area more conducive. I moved from deep south (Alabama). Our combined family income is around 350K and with that we were able to afford a very good home in east bay in good school district. I think, the perspective needs to change. If you come to bay area, you are coming here for opportunity in the tech w…
Congrats on winning.
Re: In Bay Area, six-figure salaries are “low income”
#216I pay $2,500 a month in rent. I also get paid more by my employer to cover exactly that. I have plenty of money to live the way I want to live and still save money. If everyone is claiming just 2k in rent, how are they not making a living on 120k+ a year?
The simplest explanation is that the expenses for a family of four aren't 4x the expenses of a single man.
Re: In Bay Area, six-figure salaries are “low income”
#217Earlier quoted context omitted.
Did the exact same thing this year. Moved to Oviedo, FL from SF: 1) no state income tax, 2) public schools in my neighborhood are equivalent to a private school in sf [i] 4) weather is great 8 months out of year, 5) beaches you can swim in, 6) rent is ~1/4 of what it was in SF, 7) cuban food, 8) as a resident, kids have year round disney passes [i] http://school-ratings.com/Florida/schools/Carillon_Elementar... WARNI…
8) as a resident, kids have year round disney passes What? Surely you pay for those? Also what about the humidity? Every time I've been there it's like a sauna.
You pay for them, but it's not much more expensive than a single park admission. So you basically pay to go once, then can continue going as often as you'd like for the whole year at no cost.
Re: In Bay Area, six-figure salaries are “low income”
#218Earlier quoted context omitted.
Yes, but any spare income earned by multiple working adults in a family will eventually be siphoned up by either landlords, or banks.
Um what!? My family has two incomes. We save the entire second income (before taxes) and then some. Not to mention interest rates are at historic lows. (PS, people's spending tends to match their income no matter how high the income, it's called lifestyle inflation)
In hot markets, landlords will charge as much rent as their tenants can bear. If enough people have an entire income available to them, rents will rise.
Re: In Bay Area, six-figure salaries are “low income”
#219Wow, this resonates with me. In 2013 my wife and I were living in the Bay Area and had just welcomed our third child into the family. I was making 105k/yr at Apple (which seemed like a ton at the time!) but I felt like I was saving very little of that. I was approached on LinkedIn to take a job with matching pay but that was fully remote. I could live anywhere I wanted in the entire country. I jumped at the chance an…
Did the exact same thing this year. Moved to Oviedo, FL from SF: 1) no state income tax, 2) public schools in my neighborhood are equivalent to a private school in sf [i] 4) weather is great 8 months out of year, 5) beaches you can swim in, 6) rent is ~1/4 of what it was in SF, 7) cuban food, 8) as a resident, kids have year round disney passes [i] http://school-ratings.com/Florida/schools/Carillon_Elementar... WARNI…
Never thought I would see Oviedo on HN!
I spend my high-school years in Oviedo but I had trouble finding jobs around the area.
I had my first job in downtown Orlando which was 40-50 min commute, and I recently moved to Tampa Bay area.
Oviedo is a decent area -- good air quality, close to nature but at the same time close to urban areas.
Re: In Bay Area, six-figure salaries are “low income”
#220Earlier quoted context omitted.
Honest question. I just looked at Redfin and the average house costs around $1.2mm. How would anyone making $130k with 4 dependents buy a house? You seem to fit that criteria so I'll ask you. How on earth did you afford that? Because based on my simple math there just isn't enough money for it to be possible.
My wife and I work full time, combined income is just below $400k. With a mortgage on a 3 bedroom in Oakland, daycare and after-school care costs, student loans, et al, we have never been more broke in our lives. I was living large when I was making $75k and not living in the Bay Area... now, it's beans and rice most nights, and hoping the early 2000's honda doesn't break down on the way to school.
Coming from a state where even $50K/hh is quite comfortable (maybe slightly less so with a family of 4, but still beyond "rice and beans" level), I have to ask: how is this even possible? It strains credulity.
OK, sure, rents/real estate are higher. A LOT higher. But other than that, you're not going to pay substantially more for a car, computer, or any other consumer good in CA than anywhere else. Gas and food are somewhat higher, although some of that, based on my visits to and relatives in CA, seems to be based on more picky eating preferences than inherent logistical problems (but you say you don't do that).
It seems outlandish on its face: you know that a $400K household has to be way above the median, even in Oakland. So how is everyone else surviving?