Originally Posted by cendrillon:
I mention this because our budget in Silicon Valley for non-housing related expenses was not far from theirs, about 80%, and we were probably slightly more frugal than the average person. As you can imagine, unlike lawyers and bankers, the engineers that inhabit the valley tend to be a pretty frugal by nature alreasy. So I can easily see how money can seem to dissapear even on this income.
On the flip side we cut our spending in half and noticed very little impact on our happiness, if anything it increased. So you're right they're not careful with their money, but I'd say the vast majority, probably 95%, are in the same situation.