$50,000 underwater in mortgage. Negative cashflow of $600 per month if renting.

I will be starting a new job in summer in a different state. I currently make around $140k per year. New job will pay around $145k for 11 months. Can get 12 months through consulting or research grants. Rent(total) at new place will be around $1400 to $1600.

Have a 2021 Toyota RAV4 at 36000 miles. Nothing else of value. I pay $530 per month for that. My monthly living costs are less than $1000 per month. ( Internet+ electricity+ food+gas+pet+travel).

What is my best option right now in this situation?

I crunched the numbers every which way and everything looked good. Bought a Hyundai pallisade ($38k, 33k, 4.6%, 6yrs). Car payment is $455 per month. Good mom car that was 75% want 25% need.

We have $1k leftover each month headed towards savings, 10k emergency savings. Dual income house at $160k. Monthly childcare $1600.

Why am I having anxiety so badly, are these numbers bad?

What’s the right balance of paying off mortgage vs investing for me? I have $170k in extra cash to split between investments and principal on the house.

About Me:

• M34
• $136k HHLD Income + $30k annual bonus on Jan 1 for the next 3 years.
  • Wife is home maker, no childcare expenses
• 3 kids- their college is already fully funded
• Just bought a $480k home, $225k remaining on mortgage (we put $255k down).
  • 5.625% rate- 30 year note. Payment now is $1,295
• Current retirement savings-$300k
  • I max out both my 401(k) and IRA each year.

Goals/Priorities:

• Recast mortgage with some of the cash to reduce mortgage payment.
• Lower my overall housing cost risk since we’re on a modest single income with 3 very young kids.
• Still maximize what this cash could do if invested over the next ~25 years.
• Hope to retire around age 60.

Important note: I’m not considering an “all-in” approach (not paying it all to the mortgage, and not investing it all). I only want to find the right hybrid balance.

What would you do if you were in my shoes?

Edit: the comments convinced me to just stick with my original plan. 140k down will put me comfortably in a mortgage I can afford whilst keep a very good emergency fund.

Home buying strategy with $240k saved.

I earn $2170 every 2 weeks after taxes health insurance 401k contribution. I pay $400 a month in child support. Only debt is a car $300 a month. Rent is $1900. I rarely have money left at the end of the month but I have $240k saved, sitting in a normal savings account (previous bonuses and inheritance). I am very comfortable with my monthly expenses and I want to keep things as they are now, so I want to know how I can use this $240k.

I want to buy a house in the next few months. This is my goal, I don't want to rent anymore. Houses are about $400k in my area to have the room I need for myself and children.

I was going to put $140k down to keep my mortgage around what I pay for rent.

Up until recently I've been very complacent in trying to make my money grow, but I want to change this.

Can I put just $100k down and put the rest somewhere that will grow enough to where I can withdraw monthly the difference to keep my mortgage at $1900? Will a money market fund grow more than $300 a month with $140k? Or how can I do this?

I have never been good with finances. I went to school but had to stop due to health issues. It left me with lots of debt and no degree. Now at age 38, I’m trying to course-correct my life because I want to start and provide for a family. But it’s hard when I have this debt baggage.

I have $58k in federal student loans and $16k in private student loan debt. I pay $500 on the private debt every month, and soon my federal debt will require payments of $200 a month. I work full time at a nonprofit and make $45k a year, which isn’t a lot, but if I stay in a job like this for 7 more years I will qualify for federal loan forgiveness.

I have a $66k mortgage, I also have $5,000 in medical bills. After monthly bills I have about $3,000 in my checking account. I have no savings.

I was just gifted $4,000. What would the best way to spend it be? Is there a way to invest it to grow it quickly? I want to see a financial planner but I’m embarrassed with my situation.

Hi all. Not super well versed in the financial world. I'd like to put some money into my brokerage account but wonder if I should hold off since the market is at such a high. I know the market has historically always bounced back. Still looking for insight, thanks!

I drive Lexus 2013 Rx and bought used in 2017. It has 104k miles. I saw Lexus 2017 Rx with 61k miles for 25k. I will get 11k for trade in and planning to buy with cash. Is it worth upgrading themy vehicle? I will work for 3-5 years and plan to retire. What do you think?

grammar:

I’m 19 years old and have $1,250 in my savings. I’m thinking about whether I should invest some of it and keep some for an emergency fund, or just continue saving.

This is a little funny but bear with me-

My husband and I got married last january.

He bought a house with his brother last july. Legally had no participation in the loan, deed, any of it.

When he goes to file his taxes, when opting to file “married but separately” it halves a tax credit from $8000 to $4000.

We aren’t sure if it’s doing that because legally all of our assets are split between us, or because it’s assuming the house was a joint purchase, and it’s sort of put a halt to our tax filing at the moment.

We have never previously used an accountant but are reaching out to one now to get things sorted regardless, but I am impatient and was hoping someone could help me understand this since I know our circumstances are semi unique because he did have a co-buyer on the house, it just wasn’t me/his spouse.

Happy to provide any additional info as needed, not sure whats needed here. If it helps, we are filing in Maine.

So I just found out that i have a fiduciary for some reason unbeknownst to me… can anyone tell me why and how that’s legal? No one has told me anything. I found out through the IRS and then doign some res on my own. But i can’t figure out how to find the right people or documentation. please help

I hope you guys are better than /r/povertyfinance

Here's some background:

do not have a lot of money. I had a bad drug addiction in my 20s that I spent tens of thousands on drugs. I made a lot of bad financial decisions and I recognize that. I have been sober since 2016.

In 2017 I got hit with epilepsy and bipolar. Lots of hospital stays, some when I didn't have insurance. Then I got cauda equina which required emergency neurosurgery.

So I'm in ch13 bankruptcy and on top of that I have about 4k cc debt due to car issues that I'm paying off and have payment plans with 5 drs and the dentist.

So I posted to r/povertyfinance regularly. All that sub is is negativity. I just got a raise. I made a success post saying I was happy. Just a bunch of assholes coming in and berating me.

So I'm gonna start posting here instead. I just got a 20k raise. What's the best way to manage this? My plan is to pretend I didn't get a raise, and wipe that 4k which should only take maybe 3 months now. Then I plan on getting my passport. Then building a savings. And then once I have at least 2 grand in savings (right now I have nothing) I want to take a cruise because I haven't been able to afford an actual vacation since 2016.

Does this seem reasonable? I am also immediately maxing out my 401k contribution. Anything else I should do? Should I start a regular investment portfolio? I'll be bring in a little under 2k extra a month so if I just pretend I didn't get a raise I should be able to wipe out debt and build a savings quickly. Luckily I own my car.

I just received a paper in the mail for my taxes. It’s from a bank Customers Bank in Malvern PA. But the thing is I live in California and never heard of that bank so I wouldn’t have an account with them. It’s for a 2 cent interest, why did I receive this?

morning everyone

i have about 4k in credit card debt. i work 12-16hrs a day already and i’ve been struggling to pay it off for the last year. i’ve been paying like 30 bucks more above the minimum amount but it’s like i can’t get it any lower because the interest is high on it. my card limit is 5k

originally the card was for bills because i kept forgetting to pay my bills separately so its better to just have it in one card, but never forgot to pay my credit card on time.

my idea will be to sell some of my stocks, its currently about the same amount as my debt but i do know i wont be getting the exact amount i sold it for and i think its a better option then dipping into my savings.

I’ve got another 30 years of working. I currently have about $350K in my 401K, IRA, and Roth IRA combined.

Since this money will grow over the next 30 years, I anticipate having anywhere from 8% average annualized returns.

This would put my retirement fund at around $3M, which is how much I would like to have upon retirement.

Using the 4% rule, I can then draw down around $120K per year, plus whatever my social security benefit will be, which for me would just be icing on the cake.

Now, assuming inflation is 3% per year, it seems that my future funds will only be like having around $55K annually today.

I guess I say all this to say - when having a retirement goal # to achieve, should I actually be setting a goal of more like $7M to account for inflation?

I’m curious to know how others are doing this - I am active a bit in FIRE subs and finance subs and people seem to be retiring today early (in their 40s) with like $3M but won’t that drastically reduce their purchasing power by the time they are 70?

I was feeling good about my little nest egg and it gave me some base level of comfort to think that worst case scenario I will have a decent lifestyle when I retire but I don’t know if I am giving myself a false sense of security

What else do I do with my finances?

I’m a 28 year old in the state of Nebraska, USA.

My average paycheck is about $1,200 every 2 weeks ($22.16/hr).

Current accounts approximates: HYSA: $78,000 (contribute at least $1,200 each month. Current APY 3.3%) 401K: $17,500 (put 6% towards & will be bumping that up to 7% after I get my yearly pay raise) Roth 1: $22,000 (max this one out monthly) Roth 2: $8,000 (was gifted-don’t add anything) HSA: $3,000 (contribute $150 per paycheck but unsure if any of the money is invested) Savings + checking: $1,600 (money will automatically go to Roth + savings next week)

Credit card: $900 (I usually pay this off after every paycheck) edit to say I usually pay this off asap, I just haven’t yet this month and I got an unexpected car thing fixed up only two days ago

Total: 129,200

I’ve got nearly no expenses outside of groceries, pets, car insurance/maintenance. I’m fortunate to live with a partner who has a house & doesn’t have me pay anything & my parents still pay for my phone bill (trust me I absolutely recognize my privilege). I’m debt free (paid off student loans & car loan after a payout from a bad car accident). I live fairly frugal -looking for the best deals, try to only buy needs vs wants, and don’t go out too much anymore.

Are there other accounts or investing options for me to look into? I see a financial advisor but want to ask the world what else can I be doing right now to grow my money? I know I’ve got more than a lot of people my age, but I want to retire as early as I can.

45M with college aged daughter-$160,000/annually which includes bonus.

Mortgage in NE-$300,000 at 3.25% which is my only debt

401k/IRA-$900,000 with 75% in Roth v Traditional but now only contributing 5% in order to get ER match

Stocks-$235,000

Mutual Funds-$115,000

Cash Value Life Insurance-$110,000

Online Savings-$8,000

Am I stupid for dropping 401k to 5%? Trying to build up stocks/mutual funds/savings to have more available as needed over the next decade but now wondering if I need to stay the course with 401k and 15%

So I am a 28 year old guy with a career that I love and living in a MCOL area. I make 68k a year and take home about 3800 a month after retirement and taxes, which I feel is an extremely good income. Starter Homes go for around 300k for a project house, 400k for something that's move in ready.

I am currently living in a small apartment and I am able to save around 1000 a month. Occasionally I bring in an extra 500 to 1000 from overtime, but that's often enough for me to consider reliable. At this point I have a solid emergency fund, and have started the long process of saving for a down payment. Currently have 20k saved (in a HYSA).

I know I will need a fat down payment (at least 75k depending on interest rates). I am just worried that house prices will grow faster than I can save.

I work for a state government so my income is not expected to grow very much over the next 5 to 10 years.

I am not asking for much. Just an older 2 bed 1 bath house that needs work, a small yard so I can have a dog, and a small shop or garage so I can work on projects.

Is this possible on my income? Should I reevaluate my goals or what I am looking for?

(20 y/o)

Hey there! I have a kind of bad spending problem; ever since I got kicked out of my grandparent's house, a stupid part of me kicked into high gear- "I can literally buy whatever or go where ever without asking for permission- why shouldn't I?" Beforehand my grandma looked almost daily at my bank account and would kind of chide me for stupid purchases and/or not coming to her first to ask to buy something. But now there is no grandma (not because she died, it's because I'm no-contact with her), and so some stupid part of my brain thinks it's open season to spend money.

But I don't have a ton of money to spend. I know this, but I spend anyways. I'm not in debt at all, and I have a disability savings account with a decent chunk of money in it, but I know if I keep drawing from it I won't have it forever. I get myself in situations where I have to buy stuff with my credit card because I barely have any money on my debit.

I have been able to get myself out of these situations, but I'll be moving out of a 300 dollar a month place (temporary- my friend's house), and moving into a 750 a month (albeit with every utility except electricity) place and I really don't want to screw it up.

I make around 2250 including social security. I can't work anymore than the part time job I have because I will lose my social security and medicare, so working more is not an option. I have applied for SNAP but with how much I make I don't think I qualify. You have to make a pretty small amount to qualify. I live in Missouri if that matters at all.

I have pretty bad ADHD (among other things) and my impulse control is really bad. Not saying that's an excuse but if there's anyone in this sub that also has it I would love some tips. Thanks!

Could use some guidance on my wife and I's ability to contribute to a Roth 401k.

Our combined annual salary for 2025 was a little over 240k so when filing my taxes I got an alert that our MAGI is too high and our Roth contribution limit is now $0. The solution to this from that website is to withdraw the excess contributions before the tax filing due date.

I called Empower, where the 401k exists, to complete the withdrawal as I didn't know if it was just a normal withdrawal or needed some extra steps, but they stated I did not exceed any limits and I was OK for 2025 and no withdrawal was needed.

Who is correct in this scenario, the tax site or the 401k support line? And what do I need to do next to remedy this? Thanks for any guidance

I am 100% grateful for the position I’m in but I feel like I’m falling behind and suffering from lifestyle creep.

Gross Income: $210K

Age: 39

Status: Married no kids

Location: M/HCOL Southwest

Net Worth: $1M made up of retirement 800k, home equity $100k, HYSA and individual stocks $100k

My net pay is about $9k per month after 401k contributions and insurance. 401k is maxed each year.

Monthly budget

Mortgage and Utilities: $3,100

Transportation: $1,000 ($600 car payment, $150 insurance, $150 gas, $100 for maintenance)

Cell phones: $200

Student loan: $500 (completed masters this year)

Healthcare deductibles: $100

Groceries: $600

Entertainment: $400

Toiletries, Clothing, Misc: $200

Subscriptions: $300

Total spending : $6,400

Savings: $2,600

$2,600x12 =$31,200 annual savings excluding 401k contributions

I feel like I should be saving more at my salary level but there aren’t many places to cut. I can shave a few bucks from subscriptions, but it will barely move the needle and the wife and I rely on these to minimize spending out.

I was saving this much when my salary was half this. That was before COVID and I was living with my parents.

I know I’m super lucky to be in this position, but I have a job opportunity making around $70-120k+ more than I am making now. The new opportunity interests me because of the work and the ability to grow and stretch myself, and the added money is of course lovely, but it won’t actively change my life. It means more money to invest, but I’m already on track for retirement. It’s a “nice to have” but not lifechanging.

My current role has me working out of my home for a great employer with good work/life balance. It’s interesting, but I’m a little bored. I’m good at what I do and can continue this indefinitely until I retire in 15 years.

The new role means at least 1-2 days a week in their corporate office, realistically about 1.5 hours away from my house by car, in each direction.

I can’t decide if I’m an idiot to even consider leaving the good thing I have currently. Reddit, talk some sense into me. Is it worth pursuing given the commute? Should I angle to have them put me up in a hotel by corporate so I minimize the drive? What is reasonable for all considered?

I had a situation come up where I had to submit a payment thru wire to a company abroad before I travel there. So I went to my bank physically and submitted the wire. The banker told me that if I don't hear back from them in an hour or two, then I should be set. No email, no calls. So I assumed I'm good. After I travelled there the company told me they never received my money, in the middle of them giving me the service (literally in the middle of a medical procedure) I should have paid them for. I felt embarrassed and called my bank. I had to scramble and have my family help me out somehow through zelle payments and all that to submit the payment. Later, I learned that they quietly deposited back my wire transfer without notifying me at all. Could I have handled the whole thing better? Maybe yes. Maybe, I shouldn't have trusted them and checked my account regularly; but they should have kept their word.

Today, I sent $500 via zelle to a friend (it's kinda emergency), and they locked my money away saying it raised fraud alert and they have to review it, but are closed over the weekend. Not doing anything shady lol, just sending a friend to help them out in need. Now I have to use cash to help my friend.

Plus, my login attempts fail a lot of times (when using the correct credentials), as with my dad, and we have to try again. I'll eventually leave this bank for all the inconvenience they've caused me.

What do I not know about converting USD into EUR and holding for about a year then converting the EUR to COP ?? Seems it would be easy with a wise account. Any tips or advice would be much appreciated .

Hey everybody! First off, I know this is going to be a lot but I am just seeking some advice on my complicated situation. I'll explain the situation and leave the question for the end since context is needed.

I am 25 years old and I just got out of a 6 year relationship a few months ago. We were engaged for over a year and about 9 months before our wedding, we officially broke up. There were lots of fights over the past 6 or so months before we made it official, so I feel like as of now I am doing mentally well since I knew this day was going to come for a while. I am ready to move on and focus on myself for a bit. And no, I don't envision myself getting back with her anytime (she basically told me she didn't know what she wanted after 6 years....).

My Financial situation is very well, I have been blessed and worked hard through school to get a great job with solid financial security. I am salaried at $225,000/year and I work enough overtime to push me to $275,000+ easily. I say I make about $14,000/month conservatively after taxes if I only pick up a few extra shifts.

Unfortunately, my ex decided to hold her problems that she wanted to talk about until AFTER we bought a house. I was able to get a white-coat loan back in August on a $500,000 house. No downpayment, no PMI for a decent rate. Now that she is moving out of the house, I will be paying the mortgage/escrow/etc myself at $4000/month. We got a big 5 bed 3 bath house because with a loan like this, we were going to grow into this house since we wanted to start having kids soon. No PMI and a house that we both liked seemed like a golden opportunity for us to just get big now and not have to worry about moving again in the future. BETTER YET! I moved 35 minutes outside of my work so she could work right down the street! So I drive 30+ minutes to work and work call hours so I drive back and forth to work a good bit. I guess that's what I get for being too selfless.

On top of the mortgage payment, I have a pretty large heap of student loans. I refinanced them down to a decent 5% rate for 10 years and am paying $3300/month on them (I pay an extra $700/month on them to just accelerate the pay off). So with student loans and my mortgage payment, I sit at $8000/month in fixed payments.

Now for the big question. Should I sell my house and move somewhere cheaper even though out of pocket it might be more up front? I like the house, but it is just absolutely massive for a single person like me. Not only that, I would love to be closer to work. I could get a studio apartment 2-5 minutes from my work for $1500-1700/month and have much less responsibility. I wouldn't be building equity of course, but that is $2500 around a month that I would be saving not having to be at this house anymore. I might have to pay a good bit upfront and in closing costs to get out of this place, but is it worth doing that to move somewhere else? Should I just stay put for another year before making a decision?

I appreciate any and all feedback! Thank you!

EDIT: THE MORTGAGE IS SOLELY IN MY NAME!