You Make Six Figures but Feel Broke -- You Might Be a HENRY

Core Insights - The article discusses the financial challenges faced by high earners, specifically those categorized as HENRYs (High Earners, Not Rich Yet), who earn between $100,000 to $500,000 annually but struggle to build meaningful wealth [3][4]. Group 1: Definition and Characteristics of HENRYs - HENRYs are typically professionals in their 30s or 40s with solid careers and advanced skills, yet they feel financially exposed despite their high incomes [3][4]. - Many HENRYs experience a disconnect between their income and net worth, often finding their net worth flat or negative after accounting for debts like student loans and mortgages [5]. Group 2: Financial Pressures and Lifestyle - High living costs, including housing, childcare, and taxes, contribute to a situation where HENRYs feel financially strained despite earning six-figure salaries [4][6]. - The emotional tension arises from the perception of doing well financially while feeling behind compared to peers who appear more established [6]. Group 3: Cash Flow Issues - The HENRY problem is primarily about cash flow and financial structure rather than income levels, as high earners often reside in high-cost areas with significant fixed expenses [7].