Hello All,
So I am starting as an associate at a bank in midtown this summer. My dilemma is about commuting and rent expense.
Situation:
1. My wife will remain in my present city for about 15 months after I move out east. So, I have rent to pay in this city for that duration (~$2,000 per month). She works but her income won't cover all the expense in this city.
2. We are also having a baby right after I start working (read: flying back and forth as well as additional baby expenses).
3. I'll be working in a group that is known to be working pretty long hours (even by rest of banking and rest of the firm's standards).
Now I have two alternatives:
- Live in Manhattan (probably stay in Hell's Kitchen, MTW etc.) and pay at least $1,900-$2,100 per month for a studio in rent. This option's highlights include:
- Commute would be at most 20 minutes one way.
- Have some privacy so when the wife and the baby come visit in NYC, we'd have our own place.
- Total annual housing cost (including utilities, commute etc): ~$24k(NYC) + $24k (present) + $1200 (NYC annual Commute) = ~$49,200
- Live with family around Edgewater, NJ: With this alternative my one way commute in the morning will be about 50-55 minutes (NJ transit + NYC Metro + walking). On the way back, I understand I can take the black car home almost every day (25 minutes). This option's highlights include:
- Rent: $0 -$500: This is my close family and I don't pay rent. (just take it face value, $500 is max if they agree to accept).
- Now, I won't have much privacy when the wife and kid come visit (which is not terrible for us because I can always have that privacy when I fly back to our original city).
- Total annual housing cost: $6k (NJ rent) + ~3k (NJ Commute) + $24k (present rent) = ~$33,000
NJ saves me around $16k annually which would be very helpful given flying expense, student loan repayments, baby expenses etc. kicking in.
Now, I keep reading that NJ commutes are just terrible, but keep in mind - this is a temporary situation while the wife and kid are in our present city. After a year, when they move east with me, I can definitely get a place in NYC and reduce overall rent expense.
Questions:
1. I know hours are crazy, especially in the first year. How bad will they get for a "busy" group as a first year associate?
2. I can also sleep in the black car on the way to NJ everyday. Does this seem practical to have a 50 minute commute on the way in but a 30 min commute in return?
3. Is this worth the $16k savings in your mind?
Appreciate any serious comments.
Rick
In my opinion, living as close as humanly possible to a job that you work late at is invaluable. As a first year associate, I'm assuming you're making a base of at least 80K. Your bonus will be at least 50-100% depending upon your firm. In the grand scheme of things, 16K is not a whole lot of money in comparison. When I worked in NY, I stayed with family in Jersey. I took the train to Jersey City from Parlin, then from Jersey City I took the PATH train into NYC. I saved alot of money, but it damn near killed me. Looking back, I would have chosen to stay as close as possible.
If your finances can handle it, be close to work. A best case scenario would be to get a place for 3 months with an option to extend it longer. Try out the commute from Jersey as a basis for comparison while you have the place in NY for about a week, and then cement your decision. Good luck.
you're a f**king adult you should now your shit by now. Live within 20-30 minutes of your job.
Tenetur laudantium ullam aut voluptatem expedita modi. Voluptate doloribus et totam quia nam excepturi dolorum. Natus perspiciatis sint exercitationem ut animi quasi.
Soluta illo recusandae molestias atque nesciunt. Accusantium incidunt aliquam dignissimos sunt. Qui necessitatibus quas ullam facilis. Doloremque molestiae laudantium fuga quos sunt. Cumque adipisci quo explicabo perspiciatis quo quo. Delectus voluptas eos deleniti autem voluptatem consequatur voluptatem ullam.
Minus est et quo dolor quia odit qui et. Aspernatur cumque modi labore doloremque officiis ipsam. Voluptates rem voluptatibus maiores ducimus saepe.
Est esse sint et corrupti et facere vero. Qui quia repellendus laudantium sed saepe voluptatem iusto dolore.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...