We’re in our mid-to-late 30s and earn $375k a year – is it safe for my wife to quit her job and be a full-time mom?

A Reddit user with a household income of $375K is trying to determine if his wife can quit her job in the coming years to become a stay-at-home mom.

The couple is in their 30s with two young kids. The poster said he earned the vast majority of their combined income, he likes his job and he has no plans to retire. The couple has a combined $430K in retirement and brokerage accounts, they invested $60K for retirement last year, and they hope to save another $75K to $85K this year before his wife stops working. 

The poster isn’t sure if it’s the right financial move for her to stay home, and he’s concerned about the long-term effects of losing her salary on their ability to invest for the future. So, should his wife quit or stay in the workforce? 

Deciding to have a stay-at-a-home parent is a lifestyle choice

Since the Reddit user is in his mid-30s with a little over one times his annual salary saved, he’s fairly close to being on track with his retirement savings as it’s ideal to have around one to 1.5 times your salary invested by this age. 

Since the couple’s only debt is a mortgage, a car loan that will be paid off next year, and his wife’s student loans that should be forgiven soon by Public Service Loan Forgiveness, he’s in a pretty good place financially. In fact, many people opt to have one spouse stay home with the kids when they earn much less than this family does and are in way worse financial shape. 

The key question, though, is what kind of lifestyle they want. If they are both very eager to retire early or even just pursue financial independence at a young age, then his wife quitting her job could set them back in that goal (depending on how much she’s earning above and beyond the cost of daycare). However, if they value having a parent be there for their children during their formative years, that may be more important than early retirement. 

The couple will need to decide what their priorities are and make sure they are on the same page about them so they can make the decision that is right for the family. This time with kids can never be recovered once it is gone, and for many people, it’s worth making the necessary sacrifices to have a parent present in the household as the children grow. It’s up to this couple if that’s the case for them.

Working with a financial advisor can help them make a plan

Since the family does have a good start towards retirement savings already and the poster earns a lot of money, it’s entirely possible that this couple will be able to both have a stay-at-home parent and pursue early financial independence. A lot depends on how they allocate their money. 

A financial advisor can help them to make these decisions. An advisor can work with them to make a new budget once the wife has stopped working that meets the family’s current needs and that allows them to accomplish their future goals as well.

An advisor can also work with the to explore ways to ensure the wife is financially secure even if something should happen to the poster, since stay-at-home parents can be vulnerable. 

With some discussion about their family goals, and some professional help, the Redditor and his wife can make a fully informed choice and make a decision that makes financial and emotional sense both now and later.

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