‘Where is my money going?’ 26-year-old earning ₹82 lakh a year struggles to budget for life's little luxuries

A young professional with an annual income of ₹82 lakh revealed that concerts, theatre tickets and quality clothing often strain their budget.

Earning a high salary is often seen as a sign that financial worries are a thing of the past. However, a 26-year-old professional has shown that even those with impressive incomes can feel constrained by their budgets.

The Reddit user had been budgeting seriously for a year since starting work. (Unsplash)

In a Reddit post that caught the attention of many users, the young worker shared how they earn around ₹82 lakh annually but still find it difficult to afford occasional treats such as concert tickets, theatre outings and premium clothing.

'I don't know how to afford the big little things'

The Reddit user explained that they had been budgeting seriously for about a year after entering the workforce. While the first few months in a new city involved a lot of spending, they eventually adopted a more structured approach to managing money.

Despite feeling financially secure overall, the user said there was one area where they continued to struggle.

"While I know that I'm in a good spot financially, I feel like I'm on an uncomfortably tight budget in one respect. I feel like I don't know how to afford the 'big little things' such as concert or theatre tickets, an extra special night out, or a nice piece of clothing," the post read.

The 26-year-old earns $95,000 a year and takes home around $3,900 a month after retirement contributions, healthcare deductions and insurance costs. They shared a detailed monthly budget that included rent, student loan repayments, utilities, groceries, travel, clothing, restaurant spending, charitable donations and pet expenses.

The user also revealed that they have built up substantial savings, including $40,000 in a retirement account, $6,000 in a health savings account and an emergency fund that could cover four months of expenses.

Even so, they admitted that many discretionary spending categories were routinely used up each month.

"I'd like to see these categories building up so I can buy something like a very nice pair of dress shoes, but I find myself spending 90 to 110 per cent of the allocated amount each month," they wrote.

Take a look:

Struggling to budget for the big little things
by u/Azertygod in personalfinance

What did Reddit users say?

Several commenters felt that the issue was not a budgeting problem but a planning problem.

One user advised, "You just need to save for these bigger events and purchases. If a concert costs $300, then you should be saving for a few months beforehand. You could try setting aside a fixed amount from every pay cheque."

Another commenter suggested adopting a more mindful approach to spending. "Budgeting is useful for giving you a rough idea, but being frugal is where it really helps. Question every purchase and make sure the value is worth the cost."

Others believed the user's expectations may not align with the amounts allocated in certain categories.

"I mean, some of these categories are really low, so it's no surprise you're overspending. You have to decide on the balance between savings and life. We can't tell you what that balance is because everyone is different," one person commented.

Another user wrote, “This doesn't sound like you're struggling to budget for these things. It sounds like you want to spend more than what you're budgeting for them.”