> People in California.

The only way you'll end up with a tax bill that large is if you contribute $0 to tax-advantaged retirement accounts. And that's taking into account state taxes, SSI/Medicare. You don't have to believe me, try it out yourself. https://smartasset.com/taxes/california-tax-calculator. Putting in $300k of income for a single person, it gave me $175k take-home pay + $19k in a 401k, which is an effective rate of 35%. Keep in mind, I'm not including the 401k match, which is pretty darned generous at the BigCos. If we assume the max allowed IRS match ($9.5k or thereabouts) the effective rate falls to 32% and this hypothetical person is banking $145k/year after living expenses.

Lots of people (especially young, healthy people) also opt for health plans with HSAs, which give you more deductions.

> a person who somehow has 0 expenses

Where did you get 0 expenses from? GP stated pretty clearly expenses of $45k/year - on the modest side (probably assumes living with a housemate, or not eating out too much). I was going with $60k/year expenses on $195k/year after taxes.

$45k/year is an absurd estimate of expenses especially in silicon valley.

$45k/yr is a little bit more than the mortgage principal and interest on a million dollar house, at today's interest rates assuming a normal 20% down payment. If you rent you a normal apartment you would spend less. If you rent a luxury apartment you'll spend more but you don't need to.

I've lived in Silicon Valley my entire life, except for when I was in college, and I don't think my living expenses ever got close to $45k/yr until I bought a house, which was an entirely optional decision on my part.

I think my overall expenses are less than that and I spend an exorbitant sum on food (almost as much as I spend on rent). I just don't have crazy expensive hobbies.

There are people I know who live in the bay area on less than 45K/yr in wages, so no its not at all absurd.

I pretty clearly stated $60k/year. $45k/year was someone else's suggestion. But $45k/year isn't "absurd" at all if you live with a housemate.

Heck assume spending $70k/year on $205k/year after taxes and 401k + match. It's still $135k/year. I don't know why you're arguing against arithmetic.

You've read both of these things incorrectly. First off, 40% all in is too high for california (but not by a huge amount, it's like 38% but that matters). Secondly, they allowed for living expenses, the 135 was what was left after (from the 180 take home). Can argue about the amount, but they allowed for it.

Realistically you're going to do 401(k) and match so you're probably taking home a bit over 200k. Allow 50k/yr living expenses and you'll have another 150/yr or so. Quite plausible to bank 1 million in 5 or 6 years with these numbers.