But you have a potential opportunity back in your home country. Your parents are aging and looking to hand off the family business to somebody — and you're their first choice. However, taking them up on this offer would mean uprooting your own family.
So, should you leave your high-paying job in the U.S. to return to your home country, or is it too big a risk?
Can you make life work in the U.S.?
The first thing to consider is whether you can make the math work to stay in the U.S. and escape your paycheck-to-paycheck lifestyle.
Many high earners struggle because they live in an expensive area or have given into lifestyle creep and increased their expenses as their earnings increased. Look closely at why you are having difficulty saving despite earning a lot.
If you track your spending for 30 days, you may notice areas where you spend too much, such as entertainment or eating out. Once you know where your money is going, create a budget and set spending limits for yourself on categories that you have control over so you can find money to save.
As for your debt, traditionally, experts have advised keeping essential expenses to 50% of your income (30% toward housing). This should include the mortgage and auto loan. If the essentials far exceed these figures, it might be time to consider downsizing your lifestyle. But if you find extra space in your non-essential spending, which should be about 30% of income, this money could be put toward paying down debt, starting with credit card debt. The last 20% of household income ideally goes toward savings and investments. It can also pay to set up an emergency fund in case of unexpected expenses.
If you can tighten up your budget and cut expenses, you can start paying down debt more aggressively and even start saving for your future. It can also help you escape the cycle of living paycheck to paycheck, and you'll be better positioned to withstand any potential adverse effects the Trump administration might have on the U.S. economy, including increased inflation, rising prices or a potential stock market crash.
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Should you leave for your home country?
Of course, your other option is to move to your home country and take over the family business. Whether that's a good idea or not is going to depend on factors such as:
