Let me preface by warning you against overestimating your after college salary. It's much smaller than your employer may lead you to believe and below, we show, with a real and simplified example, that it's extremely possible to live paycheck to paycheck on a $100K salary! But first, how about some supporting statistics: According to an April 16th 2015 article in the Washington Post, 33% of U.S families earning over $75K and 25% of U.S families earning over $100K salaries live paycheck to paycheck...which literally means that they are unable to pay their bills or meet all monthly financial obligations if just one paycheck was skipped! Exactly! No savings either!

This scenario is very real for a lot of people in corporate America today, myself included. While in college, you are led to believe that once you graduate and start your promising career, you will 'live happily ever after, the end!' Wrong to the highest degree! The situation is even worse for those of us who grew up in poor families and/or with families abroad depending heavily on us! Let's examine one such scenario:

It's decision time and you accept your first offer for $100k/year and you're bewildered and filled with tears of job because you 'started from the bottom and now, you're here' indeed...You're thinking: This is 10% of a million dollars! In 10 years, that's a million dollars! As reality sets in, your math quickly falls apart!

Annual Salary $100,000

You are forced to get a new car now since the one you've been pushing around for 4 or more years in college has told you: NO MORE!

Car Total Cost: $25,000

Since you are completely penniless after college and there's no advance on your first paycheck, you decide to go for the $0 down payment deal. After all, your salary will soon be 10% of a million dollars and you should have no problem making monthly payments. The loan is offered to you at 6% for 5 years, meaning you'll have a monthly payment of $483. Let's use $500 for the sake of simplicity.

Monthly Payment: $500
Running Monthly Total: $500

You are feeling great about your brand new car as you've certainly earned it after 4 years or so of intense work in college. But this new car requires full coverage insurance...unluckily for you, you are not 25 years old and you happen to reside in a 'no-fault state' so your monthly insurance is on the premium side.

Monthly Insurance: $200
Running Monthly Total: $700

Your new job also happens to be in a much bigger and more expensive city than your college town so of course you'll have to find a new place to live...a place fit for a young career-minded professional worth $100K. Since you do not know anyone in this new city and you're not really too eager to share your kingdom with anyone, you decide against a roommate which means that rent, utilities, cable and internet bills will all come at a premium.

Monthly Rent: $800
Cable and Internet: $50
Utilities: $100
Running Monthly Total: $1650

And yes, there's your smartphone with 60GB and unlimited calling and texting! I say 60GB because you've been on your family's plan throughout your college education and your parents have faithfully paid for the entire $300 plan...So now, you decide that it's your turn to repay their generosity and handle the family's cellphone bills onward because you are making big bucks now!

Monthly Cell Phone Bill: $300
Running Monthly Total: $1950

At this point, you're starting to sweat quite a bit because your monthly bills are creeping up to $2000 and you are yet to factor in food, fun and other miscellaneous expenses. But you are still feeling great because, well, you're worth $100K!

The first week of your new career swings by and you are feeling on top of the galaxy! You are happy with your new team and extremely certain that you've more than enough money to help your family and live the life you've always dreamed of....but then you open your mailbox and BAM, Fedloan (Fred) and his sister, Sallie Mae (Sallie), come knocking. You owe $10k to Sallie and $40k to Fred and they'd love for you to start paying up the following month...In fact, they insist or else, they'll start garnishing your wages. They both have every confidence in your financial ability so Sallie requires a minimum of $150/month while Fred demands $350/month.

Monthly Loan Payment: $500
Running Monthly Total: $2,450

Your bills are now at $2450/month already even before food and entertainment have been added. You are starting to freak quite a bit, again...A few simple calculations later and your confidence level is restored because, after all, $100k divided by 12 months is $8,300/month so you have more than enough money to cover your bills, loans and still live like royalty.

Oh wait! You're single with no dependents making $100k. Did you seriously think that Federal, State and local taxes forgot about you? Never! Please say goodbye to at least 30% of that $100k. You are now left with $70k in after-taxes which amounts to $5800/month. Once you subtract your $2450 monthly expenditures, you've got $3350 to spend as you wish...Not bad huh?

But of course there's still more deductions. You work for a Fortune 500 company that's offering you some of the best coverage and retirement plans on the planet. Top notch health insurance, a solid dental and vision plan along with desirable retirement savings...that's gonna run you another $600/month...or more if you choose to save more.

Running Monthly Total: $3,050

Finally, it's time to add food, entertainment, and miscellaneous allowances to the budget:

Food: $400/month
Entertainment: $300/month
Miscellaneous allowance: $500/month
Running Monthly Total: $4,250

And now you are left with $1,550/month

For those of us from poor families, we love nothing more than to support our parents and families with at least $600 every month to help with bills and other financial difficulties.

Family TLC: $600/month

Now you are left with $950

If you happen to be in a worthwhile relationship, that will cost another $500/month for dates, gifts and activities...leeches will cost you a lot more! If you want to avoid this cost, stay single! I kid. There are other creative ways to avoid this cost but I'll refrain from elaboration.

Cost of Relationship: $500/month

And now you're left with $450 for your savings account if you're lucky.

So from a salary of $100K, you are only able to save about $450 each month...And if you're earning less than $100k or with a lot more loans than $50K coupled with other financial difficulties, you can already see how depressing your salary quickly become! In some cases, your life can even be as financially miserable and crippling as it were in college! This can last for years for a lot of people. That is the truth that a lot people will not understand until they're living it. Those going through these struggles usually masks it with a smile because no one would ever believe that they're struggling with a salary of $100k. In the words of the immortal, Notorious B.I.G., "Mo money, mo problems!"

*Disclaimer: If my math is wrong, please don't call me out...and this really makes me extremely sad for those families who barely earning anything. They really suffer! For more short stories like this one, please check out our blog, [url]Humoredin.com[/url].