house price $500,000 down payment 20% $100,000 1st mortgage 80% 6.25% $400,000 2nd mortgage 0% 7.00% $0 total mortgage $400,000 mortgage interest (weighted) 6.25% $25,000 1st mortgage monthly pmt 30 years $2,463 2nd mortgage monthly pmt 30 years $0 total monthly mortgage pmt $2,463 1 income 2 incomes 2 incomes gross annual income (a) $100,000 $150,000 $200,000 401k contribution (max for both@$14k) (b) (14,000) (28,000) (28,000) property tax deduction (5,500) (5,500) (5,500) mortgage interest deduction (25,000) (25,000) (25,000) other tax deductions (10,000) (10,000) (10,000) taxable income 45,500 81,500 131,500 income tax (c) 50% (22,750) (40,750) (65,750) net usable annual income [(a) minus (b) & (c)] $63,250 $81,250 $106,250 Monthly cash flow Net income (excludes 401k contributions) mortgage/rent payment utilities (garbage,elec,water,phone,gas) cable tv property taxes 1.1% insurance maintenance association fees gardener total monthly housing cash outflow car payments auto insurance gasoline*** (see gas cost calculator below) total monthly auto cash outflow child care cell phone groceries professional subscriptions and dues student loan Total fixed cash outflow (incl housing & car) Remaining monthly discretionary cash
$5,271 (2,463) (300) (80) (458) (200) (200) 0 (80) ($3,781) ($1,000) (200) (135) ($1,335) $0 (80) (1,000) (100) 0 ($6,296) ($1,025)
$6,771 (2,463) (300) (80) (458) (200) (200) 0 (80) ($3,781) ($1,000) (200) (255) ($1,455) $0 (80) (1,000) (100) 0 ($6,416) $355
$8,854 (2,463) (300) (80) (458) (200) (200) 0 (80) ($3,781) ($1,000) (200) (255) ($1,455) $0 (80) (1,000) (100) 0 ($6,416) $2,438
*** Gas cost calculation - 1 income 1st driver Miles to work (1 way) Days in office/week Total miles (RT) / month 2nd driver Miles to work (1 way)
20 5 800 0
Days in office/week Total miles (RT) / month Addl miles/month (wknd, etc) Total miles driven/month Average mpg Price of gas / gallon Total monthly gas cost
0 0 100 900 20 $3.00 $135
house price $750,000 down payment 20% $150,000 1st mortgage 80% 6.25% $600,000 2nd mortgage 0% 7.00% $0 total mortgage $600,000 mortgage interest (weighted) 6.25% $37,500 1st mortgage monthly pmt 30 years $3,694 2nd mortgage monthly pmt 30 years $0 total monthly mortgage pmt $3,694 1 income 2 incomes 2 incomes $100,000 $150,000 $200,000 (14,000) (28,000) (28,000) (8,250) (8,250) (8,250) (37,500) (37,500) (37,500) (10,000) (10,000) (10,000) 30,250 66,250 116,250 (15,125) (33,125) (58,125) $70,875 $88,875 $113,875
RENT $3,000/month assumes you rent a house instead of buying
RENT $1,500/month snapshot of current setup
2 incomes $150,000 (28,000) 0 0 (10,000) 122,000 (61,000) 35% $61,000
1 income $80,000 0 0 0 (10,000) 80,000 (28,000) $52,000
$5,906 (3,694) (300) (80) (688) (200) (200) 0 (80) ($5,242) ($1,000) (200) (135) ($1,335) $0 (80) (1,000) (100) 0 ($7,757) ($1,851)
$7,406 (3,694) (300) (80) (688) (200) (200) 0 (80) ($5,242) ($1,000) (200) (255) ($1,455) $0 (80) (1,000) (100) 0 ($7,877) ($471)
$9,490 (3,694) (300) (80) (688) (200) (200) 0 (80) ($5,242) ($1,000) (200) (255) ($1,455) $0 (80) (1,000) (100) 0 ($7,877) $1,613
$5,083 (3,000) (300) (80) 0 0 0 0 0 ($3,380) ($1,000) (200) (255) ($1,455) $0 (80) (1,000) (100) 0 ($6,015) ($932)
$4,333 (1,500) (150) (80) 0 0 0 0 0 ($1,730) ($1,000) (200) (135) ($1,335) $0 (80) (1,000) (100) 0 ($4,245) $88
*** Gas cost calculation - 2 incomes 1st driver Miles to work (1 way) Days in office/week Total miles (RT) / month 2nd driver Miles to work (1 way)
20 5 800 20
Days in office/week Total miles (RT) / month Addl miles/month (wknd, etc) Total miles driven/month Average mpg Price of gas / gallon Total monthly gas cost
5 800 100 1,700 20 $3.00 $255