Teachers don't get paid a lot of money.
I know that comes as a shock to most of you but it's the honest truth. American society doesn't value its teachers as much as it should, and because of that they aren't financially rewarded as they should be. Yet, the salary isn't so terrible that teachers are forced to eat raman noodles six days a week. For the most part, if you manage your budget you can not only survive on a teaching salary but you can also put some money away for retirement. I was fortunate that over seven years I was able to do this. Of course the master's degree helped increase the salary and I was also fortunate to have a top-notch financial adviser. All and all, I felt that the teaching profession offered me a good enough salary that I never felt pressured to take a second job. I ended up working the past three summers not out of financial necessity but rather to alleviate the boredom that takes hold of me if I'm out of work for too long.
With my new job, I'm making roughly half of what I was making while teaching.
Now comes the hard choices.
I knew full well coming into this line of work that it was nowhere near as lucrative as teaching. In fact, I joked that I took the job because I was too overpaid and had too much vacation time as a teacher. What makes that funny now is not only the new salary but the fact that I now have ten days off. Total. Although I am in a management position, it is my first-year with the organization so although I have a decent amount of responsibility, my pay reflects that of an entry-level employee. I knew this coming in and it's just like any professional where you start at the bottom and have to work your way up. However, unlike a new employee that is just starting and doesn't know what it's like to actually have money, I'm going to have to start making some choices based on my new financial situation.
Fortunately, I had a decent amount of money saved for this upcoming transition. I knew that moving would cost a pretty penny and it definitely has. In addition to the moving cost, I've also had to buy basic furniture (like the couch pictured above) and household necessities, a cable/internet package, a security deposit for my apartment, buy plane tickets and a rent-a-car for my friend's wedding in September and a used bike bought on craigslist as my old one was "beyond repair" as the local bike repair shop so graciously told me. Now that the big stuff is out of the way I'm going to now figure out just how to adjust my budget to become half of what it had been.
For the most part, this hasn't been too terrifying. I've been able to adapt based on my new lifestyle. For example, because I work long hours I really don't have a consistent time to go to the gym. Solution? I currently use the apartment complex gym in the morning before work. It's nothing too spectacular but it gets the job done and that combined with my bike should keep me in good shape throughout the week. I've also adjusted my food budget as well. I used to go food shopping every week on Sunday and would buy food for the week. Now, I buy whatever is on sale and keep it in my fridge until I eat it. Since I get home so late, I make sure to have a few food options to just toss in the microwave and eat at 10 P.M. Fortunately, I've found a Trader Joe's with good deals so that helps keep my food budget low.
What will take some adjustment will be my work with my financial planner. While teaching, I was fortunate that not only could I make monthly contributions to my account but I could also contribute larger amounts every couple of months as well. This helped me max fund my IRA account and also contribute to my portfolio. However, now with a depleted monthly salary, these contributions are going to have to either be reduced or lumped together at the end of the year. This isn't going to cripple me financially by any means, but it will slow the growth in my portfolio which had been growing steadily for the last seven years. Of course, there's always the chance the salary increases after a couple years but as of now I realize that these next two years won't see the kind of portfolio growth I had been accustomed to the previous seven years.
In addition, I'm also going to have to be careful when it comes to travel. I will hopefully have some money budgeted in case some of my friends decide to get married within the next year, but it won't be as easy as it had been while teaching. I just don't think I'll be able to do three or four weddings in a single year due to both my finances as well as my lack of vacation time. I already had to bail on a good friend next month, whose wedding just happened to be on the same day as the wedding I'm attending. Fortunately, I don't think I have any weddings in the next six months, but I've learned they tend to come in waves. If that ends up happening, it seems unfortunate but I realize that I will have to pick and choose which wedding to attend and which weddings I simply can't afford to go to.
Lastly, I can't help but note that this salary adjustment has given me even more of a reason to do what I'm doing. All of the above are adjustments I'm making as a single White man. I will get by, barely, but I'll get by. I honestly am amazed that families get by on the kind of salary I'm receiving. It boggles my mind that people are against raising the minimum wage because there is so much that can be done with an extra two or three dollars an hour. The kind of campaigns my office is working on is helping to address that very problem and I can see how difficult life can be for families making the kind of salary I am. Instead of worrying about making plans to their financial planner, these families are worrying about paying the bills and providing food for their children. It's extremely humbling to think about the kind of hard choices these families make each and every day; choices that are so much more difficult than "well I guess I won't pay for a monthly gym membership."
For that alone, I am thankful I'm in the position I'm in, regardless of the lowered salary I'm now receiving.
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