Why does high income still leave me buried in debt payments?
Massive monthly debt payments and interest can consume high earnings entirely, leaving no wiggle room for savings or retirement despite a strong income. This financial pressure traps high earners with no financial safety net, forcing difficult decisions like selling major assets just to stay afloat.
What people tried
Every workaround mentioned in the threads below. We haven’t tested any of them — and nobody here is claiming they worked.
Found another way around this?
Share your steps and trade-offs so fellow engineers don't have to reinvent the wheel. No account required.
- 1Considering selling the only real estate asset to clear debt and start overDid this help you?
- 2Trying to restructure or analyze monthly cash flow and business net incomeDid this help you?
- 3Cutting bills down as low as possibleDid this help you?
- 4Using a strict meal plan and spending around $150/week on groceriesDid this help you?
- 5Attempting a side incomeDid this help you?
- 6Applying for the creditor's hardship program to lower the APR or set up a payment planDid this help you?
- 7Consolidating or paying off debt using small personal loansDid this help you?
- 8Filing for personal bankruptcyDid this help you?
- 9Transferring balances to 0% interest credit cardsDid this help you?
- 10Cutting expenses drastically (eating exclusively at the galley, living without a car)Did this help you?
- 11Picking up odd jobs or side work for extra incomeDid this help you?
- 12working a seasonal side jobDid this help you?
- 13listing out a detailed household budgetDid this help you?
In their words
Unedited, grouped by where they were said, most upvoted first within each place, each linked to the thread it came from.
“I was paycheck to paycheck when I joined. I had to use Navy Federals lowest $500 personal loan to make it a couple times.”source ↗
“I bring home $3,600 a month in a healthcare job.”source ↗
“I have no savings, 401k, and awful credit so I can’t get it fixed.”source ↗
“I have no wiggle room to even save money.”source ↗
“I’m currently a cadet making around $1,000 a month. I made some dumb financial decisions and ended up with about $7,600 in credit card debt with Navy Federal at 18% APR.”source ↗
“With my current income, I’m not sure what the best way to tackle it is.”source ↗
“After all bills are paid, I’m sitting at around $250 (excluding variable side job because it is seasonal) for groceries and typical expenses like toiletries etc.”source ↗
“Realistically, your income is just too low to be supporting four people”source ↗
“I owe 1 million in debt.”source ↗
“I have a property that I can net about 1.4 million but I have no retirement or any other savings at this point.”source ↗
“Right now I’m buried in these monthly payment and am paying over 15k a month in interest not including mortgage.”source ↗
“I feel like due to the level of my income and such, I have no one to vent to or get help from.”source ↗
Where this came up
People with this problem also raised
- 3How to handle sudden unexpected debt and a drained emergency fund
- 2Medical debt too high for low-income help
- 4How to plan for retirement when you're living in the red and have debt
- 6Should I use my savings to pay off my partner's student loans?
- 6How to pay off massive business EIDL and credit card debt
- 7How to pay credit card debt with no job and leaving the country