[quote=ltsdd]flu,
wouldn’t you agree, though, that the bigger salary help facilitate your getting out of the rat race at a much younger age than a typical 9-5 salaryman?[/quote]
It depends. It depends on how big a difference and how many hours extra you need to put in to get there. $21k gross pay difference is really like $13-15k after taxes, depending on what bracket you are in. The question is, how many hours/time are you going to have to dedicate to accomplish that. Will you have to be on the road all the time, away from family, stay late from work?
$13-15k difference over 10 years is $130-$150k extra person X would have over person Y. I hardly consider that a huge “advantage”. In fact, if I was making $21k less than my peer, I would be trying my darnest to squeeze every penny out of my $21k less salary to make it work for me, while the guy that makes $21k is probably spending most of his extra salary on useless crap. In the end, I wouldn’t be surprised if I come out ahead because I had more financial discipline than the guy that made $21k more. I think reality is that in many cases, people who make more end up feeling they are richer and end up spending more than they actually bring in. Oh sure, I make more salary now, I don’t need to worry about saving as much….I can afford switching cars every year or two… I can afford going on that nice vacation every year…. Either that, or I would have taken life’s pleasures in stages based on what is obtainable at this time. You don’t see me living in a $1.3+million home “starter home”, do you?
