Industry: Research and development
Age: 26
Location: Southern California
Salary: $135,000
Net value: $71,737 (Savings: $11,000, HYSA: $20,000, Foreign Account: $5,477, Roth IRA: $22,000, 401(k): $31,000, Car Value: $28,000, Less Debt)
Debt: $45,740 (car loan: $11,500, family loan: $20,000, student loan: $14,240. My family told me to pay back the bank and government loans first. That said, I’m going to pay off the car loan in a few months and I plan to to pay $10,000 of the family loan by December of this year and the other $10,000 by August of next year, both in one lump sum.)
Payroll amount (bi-weekly): $2,900 (after taxes, 401(k) and medical and dental insurance)
Pronouns: She/her
Monthly expenses
Rent: $2,650 (one bedroom apartment)
Internet & Technology Fee: $75 (mandatory with apartment)
Water, sewer and garbage: $95
Gas & Electricity: $65
Car loan: $350
Phone: ~$99 (That’s me and my mom, plus I pay my phone in installments. Actual monthly bill is ~$150, but my job gives me 66% back at the end of the year.)
Medical insurance: $98 (deducted from my paycheck)
Dental insurance: $9 (deducted from my paycheck)
401(k): ~$1,912 (17% of salary before taxes)
Savings: $1,500
Gym: $70
Annual Expenses
Renter’s Insurance: $88
Insurance: $2,050
Was there an expectation to attend higher education? Did you participate in any form of higher education? If so, how did you pay for it?
I’ve always had an interest in science and engineering, so I was supposed to go to college, and I’m eternally grateful to my parents for fully paying for my undergraduate education. I got a part-time job on campus for expenses and room and board. I also took out a loan when I chose to return for graduate school.
Growing up, what kind of money conversations did you have? Did your parents/guardians educate you about finances?
Both of my parents grew up in households where money was very tight, so they emphasized saving and were clear about what everyday things cost (they had me calculate the grocery bill before we got to the register, for example, and explained the cost of the new after-school activities). I often go to them for advice on financial matters (how to fix the 401(k) calculations I messed up when I changed jobs, for example, or how and when to pay off my loans).
What was your first job and why did you get it?
In college, I started tutoring so I could have spending money. I also took a job on campus because I wanted to help offset the tuition, even though my parents said they would take care of the tuition.
Were you worried about money growing up?
Only when we first moved to California. Things were suddenly much more expensive and this was the first time I heard my parents stress about the increased cost of housing, rather than just noting it.
Are you worried about money now?
While working full-time overseas, my salary was almost a quarter of what it is now ($37,000), and I was only able to save $200 a month for grad school, despite my best efforts at frugality. I was very aware of what I could and could not afford. I was quite worried when I first came back to the US because I was starting from scratch and had to eat a lot of big expenses in a short period of time (new car, moving, buying furniture, new business shoes and clothes). A month ago, I projected my expenses for the coming year and realized I could put away about $750 per paycheck. That mostly calmed me down.
At what age did you become financially responsible for yourself and have a financial safety net?
When I was 21. I finished college, got a job and moved to a foreign country. I knew I could always ask my parents for help if I needed it, but I wanted to prove to myself and them that I could do it on my own.
Do you have or have you ever received passive or inherited income? If so, please explain.
My parents fully paid for my undergraduate education. When I first moved abroad, my parents made sure I was settled and could start living there without stress, paying for furniture, a deposit and the first month’s rent, plus extra money to cover expenses before the my first salary a month later.
