Maybe everyone is just bad with money? Or I'm not so hot with the maths?

Illustration for article titled Maybe everyone is just bad with money? Or Im not so hot with the maths?

You don’t have to click this, as it appears to have zero explanation for it’s findings, and is just a click-grab slideshow format. However, it was picked up by the local news.

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Premise is: if we plucked you from your life, stuck you to rent somewhere in Seattle, all alone, and paid you $100,000 a year to sit on the West Seattle Bridge, you’d be short of what you needed to make to live in Seattle by $24,062.60 (it’s the sixty cents that adds legitimacy).

First, I was sad to think to myself, “$2,238 for rent in Seattle alone? That’s kind of cheap!” I once worked in a high-rise in Madison (and not the nice part) where new studios started at $3,000 a month... in 2015.

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Secondly, I immediately thought that $100,000 as a renter is probably more than sufficient. Am I wrong? Probably. Let’s explore.

Income: $100,000

Disposable income: let’s say $70,000

Minus annual rent: $43,144

Minus food for one person: $100/week (learn to cook!) -> $37,944

Minus water/refuse/internet/power: like... $400/month? -> $33,144

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Two big wild cards are: transportation and student loans.

New high rises in downtown? Many of those people don’t even own a car. That removes a car payment, gas, parking, registration, insurance, repairs, etc. Though cycling/buses/cabs are not cheap but I don’t know how to quantify that. And who uses what will vary greatly.

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And student loans... I know people who owe zero dollars; I know people who own over $50,000. Whether someone footed the bill for their higher education or not is a mystery on a person-by-person basis.

So let’s say most people have at least one of either a car payment or a fat student loan payment (let’s be honest: there must be some with both). Let’s call it... $400 a month.

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I’m not even going to speculate on credit card debt.

Minus misc. debt mentioned above: $28,344

So... you have $28,344 of disposable income leftover annually, before you buy a $7 dollar mocha every morning, go out drinking or use recreational drugs. That’s $2,362.00 in hand, each month, after overhead (maybe) to do with what you will, with no dependents. That doesn’t sound... terrible? That’s some serious YOLO money.

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Am I crazy? Help me out here.