Join Early Retirement Today
View Poll Results: Have you ever lived paycheck to paycheck ?
Never 96 37.07%
.1 - 2 years 51 19.69%
2.1 - 5 years 41 15.83%
5.1 years - 10 years 37 14.29%
More than 10 years 34 13.13%
Voters: 259. You may not vote on this poll

Reply
 
Thread Tools Search this Thread Display Modes
Old 06-29-2017, 03:47 PM   #81
Recycles dryer sheets
ikubak's Avatar
 
Join Date: Dec 2007
Posts: 482
Almost always had savings but there probably was some time in college or right after college when I either lived paycheck to paycheck or didn't even get a paycheck.
__________________
Retire date Jan. 10, 2018
ikubak is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 06-29-2017, 03:55 PM   #82
Thinks s/he gets paid by the post
 
Join Date: Feb 2014
Location: South central PA
Posts: 2,718
The best thing I did was get engaged to a musician, someone I loved for years, early in med school years. I knew my income potential was our rock. For medical school I took out a loan from a wealthy relative rather than a bank, with a lower interest rate, and as it turned out, a good will gift in my future. Fiancé, now DH of 33 years, agreed to work however he could and try to make it in music until we started a family then would stay at home if needed. So while at school, living far apart, I borrowed what I thought I would need each year for everything, and calculated carefully. My parents helped by giving me a credit card for gas (dad worked for Chevron) and a Mastercard on their account. I honored their trust in me and only used it for clothing at the student store--mostly Speedo swimsuits for my workouts, LOL. I was LBYM to save up for our wedding. I saved 10% of my loan money, and paid for 90% of our wedding. My parents helped a little. 30:20 hindsight, they should have offered more.

We lived paycheck to paycheck for the first couple of years during residency. My rich aunt was so proud of my accomplishments that as a wedding present, she gifted us all of the accrued interest, lowering my loan payment, which did not start until so had enough to survive:

We never asked our parents for money but needed extra so we wouldn't be eating ramen 3x/day that first year, and had a rent check problem the first two months due to me not being paid until 5 weeks after I started residency. We borrowed from our best man in June. We paid him off in November. I also had the benefit of access to free food at work until finishing residency. We did not make "minimum" payments" because AmEx did not allow this and that's all we had. We didn't use credit cards much but early on saw the wisdom of paying in full each month.

My last year in college my sister and I had to get out of our parents' house. Our parents' drinking and arguing hit a peak and interfered with our studies. We both had lived at home up to that point. (My sister was 1 year ahead of me but I fast tracked out of high school in 3 years so we graduated from college the same day--UC Berkeley). Despite the difficulties, the folks understood their imperfections and gave us access to a car and food money and paid our college expenses in full. We assisted a 91 year old woman at night in exchange for a back room in her home, 3 miles from campus. Personally, I kept my food budget under $15-20 per week with copious tuna casserole, PB sandwiches and frozen spinach.

Heck, my parents started stock funds to pay for our college but then never gave us access to them. I never could figure that out. They could have cashed them out for me for medical school but never did. It would have cut my loan by 30%. Eventually they signed them over to us. By the time I had access mine was worth about $15K. I went through 3 years of underemployment in 2004-2007 and cashed the thing out later, which was useful.

BTW my parents partially funded my ER, so I am grateful for all the experience.

I still like tuna and frozen spinach.
EastWest Gal is offline   Reply With Quote
Old 06-29-2017, 07:21 PM   #83
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Koolau's Avatar
 
Join Date: Jul 2008
Location: Leeward Oahu
Posts: 6,755
Quote:
Originally Posted by CRLLS View Post

I'm not sure what the definition of "paycheck to paycheck" is. Is it income barely meets expenses?
I think the technical definition means that missing one paycheck (aka losing your paycheck through lay-off or j*b loss.) means you can no longer pay bills. You have no emergency fund to tide you over to a new j*b or return to w*rk following a lay off. Or, more to the point, spending virtually all of every pay check every month and not saving anything against that day when the pay check may stop for a while. YMMV
__________________
Ko'olau's Law -

Anything which can be used can be misused. Anything which can be misused will be.
Koolau is offline   Reply With Quote
Old 06-29-2017, 08:19 PM   #84
gone traveling
 
Join Date: Dec 2016
Posts: 733
Quote:
Originally Posted by calmloki View Post
- I'm more comfortable being "broke" than having cash stacked up doing nothing.
Tell me about it. I've lived my entire life on a self inflicted sense of scarcity. It is finally paying off, since I now have stacks of cash doing nothing. Just can't find a good place to invest it.
Luck_Club is offline   Reply With Quote
Old 06-29-2017, 09:49 PM   #85
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: May 2005
Location: Lawn chair in Texas
Posts: 14,183
For a while in the late 70s-early 80s, I was too poor to pay attention...

While I was rebelling against the man (i.e. partying) instead of finishing my degree, we had a second oil shock, the rust belt started rusting, inflation took off, and the decent wage industrial jobs dried up. To add insult to injury, I made a suboptimal choice for a spouse. Endured evictions, utility "interruptions", broke down vehicles, collection agencies, etc. Finally finished a degree, and got a real j*b, though, unfortunately, the financial woes continued for several more years. The marriage finally/mercifully ended, though it took me two or three years to clean up the rubble...
__________________
Have Funds, Will Retire

...not doing anything of true substance...
HFWR is offline   Reply With Quote
Old 06-29-2017, 09:57 PM   #86
Recycles dryer sheets
Rosie's Avatar
 
Join Date: Jun 2010
Location: neither here nor there
Posts: 419
Probably when I was in grad school and while I was a postdoc, but after that, no.
Rosie is offline   Reply With Quote
Old 06-29-2017, 10:39 PM   #87
Full time employment: Posting here.
cooch96's Avatar
 
Join Date: May 2014
Location: Lakewood
Posts: 902
I voted never, but I reckon I did for most of my childhood. it wasn't until well into my teens when I realized how relatively poor we were. I had always just assumed DM was a puritanical cheapskate. Well, I suppose I wasn't wrong: Puritanical by breeding; cheapskate by necessity.
__________________
Why be normal when you can be yourself?
cooch96 is offline   Reply With Quote
Old 06-30-2017, 04:29 AM   #88
Thinks s/he gets paid by the post
 
Join Date: May 2014
Posts: 1,867
In my youth, we lived on the edge of disaster always waiting for the next shoe to drop. The cars had bad tires, the heat down low to stretch the oil and the franks and beans for dinner all too often. The stress on my Mom wore her down and affected her health. I always felt at the mercy of the next problem to be paid for with money we didn't have.

A graduate degree, a desire to be the master of my own destiny and picking the right frugal partner changed all that. Paid off all but the mortgage in a couple years. Religiously saved first and LBYM ....

Funny when I hear about bad financial choices or frivolous spending I can't help but wonder. Why haven't they figured it out? Live simple, live debt free, live stress free.
rayinpenn is offline   Reply With Quote
Old 06-30-2017, 05:41 AM   #89
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Mar 2011
Posts: 6,477
Now that I think of it, in my very first job there were a bunch of (Bowtied) Boston Brahmins working there who would never cash their paychecks!

It was some sort of badge of honor to get called in by accounting and be told that they had to go into their desk draw, clean out and cash 18 months worth of paychecks because they were messing up the balance sheet.
__________________
Living well is the best revenge!
Retired @ 52 in 2005
marko is offline   Reply With Quote
Old 06-30-2017, 07:24 AM   #90
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Koolau's Avatar
 
Join Date: Jul 2008
Location: Leeward Oahu
Posts: 6,755
Quote:
Originally Posted by rayinpenn View Post

<SNIP>

Funny when I hear about bad financial choices or frivolous spending I can't help but wonder. Why haven't they figured it out? Live simple, live debt free, live stress free.
Yeah, I've known folks who made as much or more than I did whose worry was NOT how to pay for the toys they already owed on but how could they finagle the CC to get the next new thing. A close friend, now 73 revealed recently he is in debt $400K. He has virtually zero assets (house number 1 is remortgaged to the max and being sold as "rent to own" - not quite covering his payments to the bank). New house has no equity at all. 3 new cars are leased. He's already gone through CC write-down (saved him from actually filing bankruptcy). During his life time he has owned (well, that's debatable. "Had" would be more accurate) over 100 street cars. Additionally, he's had several boats, wave runners, motorcycles, 3-wheelers, 4-wheelers, mini-monster trucks, race cars (mud racers, drag cars, hot rods, etc.) Technically he's been bankrupt for years. But, he and his wife receive good SS plus his pension. He's lived like this his entire adult life. He said recently he's in better shape than he's been in years. Go figure!
__________________
Ko'olau's Law -

Anything which can be used can be misused. Anything which can be misused will be.
Koolau is offline   Reply With Quote
Old 06-30-2017, 09:33 AM   #91
Full time employment: Posting here.
ESRwannabe's Avatar
 
Join Date: Mar 2010
Posts: 867
I have never had to live paycheck to paycheck because I simply adjust my standard of living so that it is significantly lower than my income. In college I worked three part-time jobs, had no car, no health insurance, I shared a 2-bedroom apt, and went without AC and heat. No cable tv or other luxuries. Life consisted of go to school, work, eat, sleep, sh*t. I graduated in 5 years with a comp sci degree, no debts, and around $50k in cash.

Now, I am 41, rent, no kids, not married. I have worked in IT for about 20 years.

I spend around $2k per month on living expenses (overall around $30k per year). Close to half of that is rent. W2 income around $65k. Take home is around $4k, and municipal bond CEF interest is around $1.5k per month (around $330k principal).

Max out 401k and Roth IRA most of the time. Extra money goes into a brokerage account and is primarily in municipal bond CEFs. I have a great state gov pension, 16+ years and counting vested so far (3% per year COLA). Also usually keep around one year of living expenses in cash (not a big deal when it is only $24k).

Most likely I will retire at 55 when I can start collecting on the pension. Less likely I will ESR at 45+ instead and work part-time.
ESRwannabe is offline   Reply With Quote
Old 07-01-2017, 09:53 AM   #92
Recycles dryer sheets
 
Join Date: Dec 2016
Posts: 499
I found my early paychecks a few weeks ago as I was cleaning out the garage. For the first five years of w**k ('78-"83) I made between $4 and $6 an hour - $140ish after taxes for a 40 hour week [working a union job!] - while going to school. I remember being down to my last $5 many times.

It's hard to imagine not having to live paycheck to paycheck as a young adult.
Starsky is offline   Reply With Quote
Old 07-01-2017, 10:00 AM   #93
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Feb 2013
Posts: 7,677
DH and I both came from blue collar households and spending habits but had two white collar, tech job incomes as adults, so we have always lived below our means and been good savers.
__________________
Even clouds seem bright and breezy, 'Cause the livin' is free and easy, See the rat race in a new way, Like you're wakin' up to a new day (Dr. Tarr and Professor Fether lyrics, Alan Parsons Project, based on an EA Poe story)
daylatedollarshort is offline   Reply With Quote
Old 07-11-2017, 04:06 PM   #94
Recycles dryer sheets
Lawrence of Suburbia's Avatar
 
Join Date: Mar 2009
Location: Newcastle, WA
Posts: 190
I have lived p-2-p all my life. Plus, at my advanced age, I'm working a minimum-wage job. I am not a skilled person, apart from guitar playing (not an income generator at the moment.)

Oh, and most of that time I've been putting 10% or more (it's 20% now) into 401ks, IRAs, Roth, 403b, etc. Enforced poverty, so as to eventually stop. 14 months and 6 days, not that I'm counting.
__________________
Don't just do something; stand there!

- Jack Bogle
Lawrence of Suburbia is offline   Reply With Quote
Old 07-11-2017, 04:28 PM   #95
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 30,011
I am living withdrawal-to-withdrawal right now, from after-tax as well as deferred accounts.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   Reply With Quote
Old 07-11-2017, 04:33 PM   #96
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2006
Posts: 11,401
Quote:
Originally Posted by NW-Bound View Post
I am living withdrawal-to-withdrawal right now, from after-tax as well as deferred accounts.
I know what you mean. Me too. But at least we get to decide the amount of the withdrawal, within SWR of course.
Meadbh is offline   Reply With Quote
Old 07-11-2017, 04:40 PM   #97
Thinks s/he gets paid by the post
RetireAge50's Avatar
 
Join Date: Aug 2013
Posts: 1,552
Quote:
Originally Posted by NW-Bound View Post
I am living withdrawal-to-withdrawal right now, from after-tax as well as deferred accounts.


Perfect plan.
RetireAge50 is offline   Reply With Quote
Old 07-11-2017, 05:23 PM   #98
Full time employment: Posting here.
FIREmenow's Avatar
 
Join Date: May 2013
Posts: 756
Quote:
Originally Posted by Red Badger View Post
She can squeeze and nickle so hard it turns into a dime.
LOL!
__________________
Believe me, my young friend, there is nothing - absolutely nothing - half so much worth doing as simply messing about in boats.” ― Kenneth Grahame, The Wind in the Willows
FIREmenow is offline   Reply With Quote
Old 07-11-2017, 05:48 PM   #99
Recycles dryer sheets
 
Join Date: Apr 2008
Posts: 430
I had two kids and a STAHW. I new when every CC cleared. Some months we were running short and had to use our gas card to buy bread and milk at the gas station. The low point was going to the store and buying a $3 six-pack only to have my CC declined. Eventually with a relocation to a tax-free state and a raise, things got better.
Idnar7 is offline   Reply With Quote
Old 07-11-2017, 07:10 PM   #100
Thinks s/he gets paid by the post
GalaxyBoy's Avatar
 
Join Date: Jul 2009
Location: The Beautiful Blue Ridge Mountains
Posts: 2,265
Only the first few months out of school. Didn't have a dime in my checking account. The company gave me an allowance for lodging and I could get cash advances for expenses. I recall the Holiday Inn was $41.80 per night and the allowance was $42.00 (this was suburban Maryland outside D.C. so you can see how long ago that was). I ate the free tacos from the happy hour buffet so much I spent my days in the john.

I got a rented house with three others. But being an engineer I quickly saved enough to get the necessities (bed one month, vacuum cleaner the next, etc.) until I quickly started saving in an IRA and the rest is history.
GalaxyBoy is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Living from Paycheck to Paycheck in America Wags Other topics 21 10-24-2007 04:13 PM
TSP - delay in deposts from paycheck? WM FIRE and Money 12 04-10-2007 12:00 PM
Just heard a statistic that 70% of America is living Paycheck to Paycheck.... Cut-Throat FIRE and Money 85 07-13-2006 08:38 PM
One Paycheck To Go... REWahoo Other topics 47 05-21-2005 04:27 PM
Real estate investment without a paycheck vic FIRE and Money 27 05-12-2005 10:52 AM

» Quick Links

 
All times are GMT -6. The time now is 03:39 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.