A single man living in Minnesota says he’s been maxing out his 401(k), Roth IRA and Health Savings Account for years, all on a $100,000 salary. And he didn’t start at six figures either.
“I have been doing so for 4 years, and I have been maxing it out even when making $80k,” the original poster wrote on Reddit’s r/MiddleClassFinance recently. He estimated his take-home pay is about $3,800 per month after taxes and deductions. With careful budgeting, he spends around $3,650 and saves the rest.
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Here are the seven frugal habits that helped him save aggressively:
Buy used cars: “Don’t buy a new car,” he advised. Instead, he bought a 5-year-old Nissan six years ago and still drives it today.
Cook at home: He skips pricey food delivery apps. “You can still go out with friends and enjoy your life, just don’t use DoorDash because you don’t want to cook,” he said.
Split rent: Sharing housing with roommates or family helped him keep living costs low. At one point, he paid just $700 a month for rent.
Use your benefits: He takes advantage of employer health perks, including gym reimbursements and annual checkups.
Cut subscriptions: He avoids subscribing to multiple streaming services.
Fill up at Costco: With gas prices still unpredictable, he uses a membership or tags along with a friend to get cheaper fuel.
Entertainment: He uses the library for books, movies and a quiet place to focus.
“I still travel a lot and have allowed myself to buy some nice things. Cars just aren’t my thing,” he said.
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While people generally praised his discipline, many comments poured in with a more complicated reality: it’s much harder when you have kids, debt or live in a high-cost-of-living area.
“Yeah, not having kids is financial easy mode,” one person wrote. “I’d be retired at 40 if I didn’t have kids in my mid 20s.” Another added, “Child support alone for my daughter was more than a maxed-out Roth for 17.5 years.”
Others pointed to daycare costs of $1,500 to $2,500 a month, student loans, or high insurance premiums. One commenter said, “We’d have a lake house if we didn’t help four kids go to college.”
