The average salary in the New York Metropolitan area is around $84,500 a year, but to live comfortably, you should make $136,500, if you follow the 50/30/20 budget rule, where 50% is spent on needs, 30% on wants, and 20% for savings.
If you’re someone between these salaries, you likely live with roommates and spend most of your income on daily expenses. You may be struggling to pay down debt, save money, or spend money on non-necessities. You certainly are not able to do all three.
I almost became another one of these struggling New Yorkers, desperately dreaming of the day when I could start saving for a house or a bucket-list trip.
When I graduated from grad school, I considered living on my own, but I decided to move back in with my parents at 25. This choice saves me $3,000 a month.
I’ve always understood the value of money
When I was 8, I wanted an American Girl doll. I came from a working-class family in a semi-rural town outside New York City, where money did not grow on trees.
My parents cut me a deal: if I could save up $50, my dad would match it. I could have her. However, he explained to me that if I spent $50 on an American Girl doll, I wouldn’t have that money to spend on something else I might want more.
This lesson stuck with me — if I could save and spend my money wisely, I could afford my needs and wants.
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At age 15, I started working
By 18, I had successfully saved up $12,000 before starting college. When I graduated at 22, I had saved up $35,000 to get me through grad school in London.
In 2024, with a master’s degree and $18,000 of debt, I was back in my childhood room and couldn’t wait to bring my apartment vision board to life.
Reality quickly hit after I landed my first full-time job and realized that if I stayed at home, I could pay off my school debt in one year. Moving out was put on hold, and I achieved my goal of paying off my student loans.
At the start of 2025, I had rejuvenated hopes of moving out
I quickly cut my apartment hunt short after I balked at a $2,100 one-bedroom apartment in Jersey City with a space heater piped into the wall next to the stove.
I concluded that my total cost of living, including rent, utilities, bills, and food, would be $3,000 a month. Whatever was left would go toward activities with friends, workout classes, and an occasional weekend trip, with maybe $500 toward savings.
Having also graduated from Dad’s School of Money, I knew my $500 a month in savings would only be an infant’s crawl toward that dream home I wanted to buy one day. I would be better off if I put my $3,000 a month into a high-yield savings account. Once again, I packed up my hopes of moving out.
Moving back in with my parents was the better choice
For a minimal monthly fee to mom and dad for my phone and food — plus helping with chores — I enjoy the luxuries of a three-bedroom, two-bathroom house with access to a backyard and a big, slobbery St. Bernard. On sunny days, I take my laptop outside to work, I enjoy meals in a separate space from the living room, and at night, I either cuddle with my dog or head upstairs to my childhood bedroom to read.
By living with my parents, I’m able to save 65% of my paycheck every month. I’m comforted knowing that one day I will be able to buy a house, support myself if I undertake a Ph.D., or marvel at the beauty of Victoria Falls, Zimbabwe.
Living at home comes with its challenges, like sharing a bathroom or being cooped up in the winter, but these challenges are worth it when I can afford a trip to Madrid, enjoy a nice dinner out, or buy the latest Kristin Hannah novel and still save $3,000 a month.
Throughout my savings journey, I’ve found out I am not alone
During my three-hour round-trip commute to work four times a week, I’ve encountered more adults my age who are staying in their hometowns and prioritizing savings over moving out.
Almost every day, I hear another story about someone who was living on their own before it got too expensive, and moved back home, or others like me who took a hard look at the cost of living and realized it is better to stay put a little while longer.
Staying at home is not always an option, but if you’re fortunate enough to have a welcoming, safe space to live with family, it’s a smart move.
My plan is to save $100,000 before I leave. I know my choice to delay moving out will pay off for decades to come.
