Comfortable Living

So, I hung out with one of my friends that I haven’t been able to spend much one-on-one time with in recent history. We, naturally with me, got onto the topic of money and how in my employee evaluation last Monday, my boss insinuated I may be promoted within a year. Feel free to extrapolate what you think she meant by, “Most people say you need two years in a job to truly understand the position, but I don’t think yours is that kind.” I think I’ll get promoted after she gets a few other big ticket items done and is able to hire someone into my slightly convoluted admin position (AKA after I’ve helped onboard some new people and we’ve completed a system update-when things are quieter).

Well, we got onto how my friend is moving back home once his lease is up so he can save up for a house and how much we both think we would need in order to truly live independently without roommates. I think I would need roughly $45,000 to live on my own, $60,000 to live comfortably.

I reached these numbers because my current gross income is $33,000 and, I feel, housing costs would be roughly $12,000 a year-hence $45,000 . Housing costs should not, and I would not feel comfortable if they were, be more than 28% of total gross income. Going by this logic, if $1,000 is 28% of my gross income, I would need to make roughly $3,600 a month, or $43,200 a year, round to $45,000 for easy numbers sake.

I enjoy playing with money. $45,000 would only allow me to cover my current cost of living and choosing to live on my own. It would not increase my standard of living outside of moving out on my own. That is not what I would call comfortable living.

What is comfortable living?

Comfortable living is being able to vacation.

Comfortable living is being able to go out to eat without feeling guilty.

Comfortable living is not giving to charity because I can claim it on my taxes.

Comfortable living allows me to breathe.

Comfortable living is a large margin of “just in case”. Just in case a car accident. Just in case cancer. Just in case I have to help raise my cousin. Just in case my emergency fund doesn’t and can’t cover it.

Comfortable living is a whopping 33% more than $45,000. Comfortable living is $60,000 for one young individual in Denver’s current market.

What is your standard of comfortable living?

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s