Comment by swimfar | Hacker News Reader

Comment by swimfar | Hacker News Reader

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It's not common at all, but it's very achievable for most engineers in the US if they're willing to live below their means. Engineers in the US make 2-3x the median income. The difference in disposable income is even greater when you subtract off the costs of necessities. And yet, those other people aren't working 2-3x as many years.

It may mean not going out to eat all the time, not buying a fancy new car all the time, not having a fancy house in the most prestigious neighborhood, etc. I'm not saying it's bad to buy or want these things, but they are luxuries you pay for with hours in the office.

Early retirement is even easier if retire doesn't mean, "never work for money again", and instead means, "I don't have to take salary into consideration when deciding when/where to work". I'm an engineer living in the SF Bay area who doesn't make tech money and I'll still be able to retire after 15-20 years, easily, while still having waaaay more than my parents did when I was growing up.

"it's very achievable for most engineers in the US"

I feel like this isn't true at all for retiring prior to age 50.

You have to adjust for cost of living and the area's median income. The median income in my state is $60k-65k and my salary is about $85k. I'm a midlevel dev in the industry for 9 years (no way could I retire at 15-20 years, even for a lower paying job). I also have a family to support. I do live within my means, but that doesn't mean much with the moderately high cost of living in this area.

Where do you live that has a moderately high cost of living and a 9-years of experience dev can only demand $85k? I feel like that is an uncommon combination in the US.

Philadelphia region, which seems to me like the worst US market for IT pay vs cost of living.

There are some bonuses and profit sharing that might bump it $5k-15k. The housing market here has been hot for years now. Even with a long commute a builder grade house in the 1500-1800 sf range on less than an acre is over $250k with about $4-5k in taxes. It's about double that price if the commute is half as long. As an idea of cost of living, labor charge for stuff like a mechanic or plumber is about $100/hr.

Yeah, that does seem especially bad.

In Seattle with a short commute you'd pay $900k-1M on a 1500-1800 sf house on 1600-3000 sf of land depending on if it's a townhouse or 1930s construction. $100k is a starting salary for new grads here. And plumbers/mechanics still charge about $100/hr, I think. (I have never had need of a professional plumber -- I do it myself -- and haven't had to do any auto work beyond oil in a few years.)

I think it’s less likely as housing trends towards unaffordable.

I agree and think there's a somewhat hidden piece to that. Property taxes are increasing commensurate with the property value and generally increasing as a percentage. You might be able to pay off a mortgage, but the property tax can remain a burden. Like in my area, you can end up spending thousands per year in perpetuity on a reasonably modest property, with that amount constantly going up.

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