Hitting the 70% Target Without Misery

Shanta Lee

Hey, it’s Shanta Lee, and welcome back to Twogether Money. If you’ve been following along, you know we’ve been building up to this moment, where the rubber meets the road with your 70/30 system. Today, we’re talking about the 70% Living Expense target, and why it’s not just some random number I pulled out of a hat. It’s actually your financial safety net, and I want to show you why it matters so much, especially for high-income couples like Mike and Jenna, who, by the way, are staring at their numbers right now and feeling a little queasy.

Shanta Lee

Let's peek in.... Mike’s got their 70% target—$15,000 a month—on one side, and their actual spending, which is $16,200, on the other. He’s groaning, Jenna’s already bracing for a life without good coffee, and both of them are wondering if this means they have to start living like monks. And honestly, I get it. I’ve seen this play out so many times, and it’s never about the lattes or the Netflix. It’s about feeling like you’re either ignoring the problem or you’re about to nickel-and-dime yourself into misery.

Shanta Lee

But let’s back up for a second. Why 70%? Why not 60, or 80, or some other number? Here’s the strategic logic: for most high earners, your ability to earn is your biggest asset. If something happens—illness, injury, whatever—most long-term disability insurance only covers about 60 to 70% of your income. So, if you’re already living comfortably within that 70% boundary, you’ve basically built a self-sustaining safety net. If life throws you a curveball, you’re not scrambling to keep your home or cover the basics. It’s peace of mind, built right into your lifestyle.

Shanta Lee

I’ll never forget the first time I saw this in action. Years ago, I worked with a couple who, out of sheer habit, lived well below their means. When one of them lost a job unexpectedly, it was stressful, sure, but it wasn’t catastrophic. They didn’t have to panic-sell their house or pull the kids out of activities. That was my wake-up call—real resilience isn’t about how much you make, it’s about how much you need to keep your life running smoothly. And that’s what the 70% rule is all about.

Shanta Lee

Now, let’s talk about the part everyone dreads: what if you’re over the 70% target? Like Mike and Jenna, you might be staring at that gap and thinking, “Do we have to give up everything that makes life fun?” The answer is no. This isn’t about deprivation—it’s about alignment. The first step is to get really clear on what’s non-negotiable for you. What actually brings you joy, ease, or meaning? For some, it’s the kids’ activities. For others, it’s that Saturday morning coffee ritual or a gym membership that keeps you sane.

Shanta Lee

Let’s look at Mike and Jenna again. They love their fancy coffee, and honestly, that’s not the hill to die on. But when they combed through their expenses, they found a bunch of mindless spending—subscriptions they forgot about, random delivery fees, and, I kid you not, a magazine they hadn’t read in two years. By trimming those, they got a lot closer to their target without touching the stuff that actually mattered.

Shanta Lee

Or take Sarah and Tom. Their 70% target was $14,000, but they were spending $15,500. Instead of blaming each other, they sat down and asked, “What do we really care about?” Turns out, their kids’ extracurriculars and family takeout night were sacred. But $800 a month on food delivery, $200 in bank fees, and $300 in convenience lunches? Not so much. They cut the low-value stuff and kept the joy.

Shanta Lee

So here’s your prompt: What’s one expense you could swap or drop that wouldn’t actually impact your happiness? And what’s something you want to protect, no matter what? Start there. It’s not about slashing and burning—it’s about making conscious, value-aligned choices. That’s how you close the gap without feeling like you’re living on crumbs.

Shanta Lee

Okay, so you’ve trimmed the fat and protected your joy. Now, let’s make it stick—without having to think about it every single day. This is where automation comes in, and honestly, it’s one of my favorite parts. Automation is like setting your financial cruise control. It takes the pressure off, reduces decision fatigue, and keeps you on track even when life gets busy or you just don’t wanna deal.

Shanta Lee

Here’s how you do it: Start by automating your fixed bills—mortgage, rent, car payments, insurance, all that predictable stuff. Most companies make it easy to set up autopay. For variable bills, such as utilities, check if your provider offers equal payment plans or bill smoothing. That way, you’re not getting hit with a surprise $400 heating bill in February.

Shanta Lee

Now, here’s a pro move: set up a dedicated checking account just for your 70% Living Expenses. Every pay cycle, have your 70% target amount automatically transferred into that account. Pay all your bills from there. When the money’s gone, it’s gone—no more mental math or accidental overspending. Any surplus? That goes straight to savings or investments, which we’ll talk about more in future episodes.

Shanta Lee

And, confession time: I used to collect paper bills in a shoebox, thinking I’d use them for a bonfire someday. Not exactly efficient—or safe, now that I think about it. Once I switched to autopay and bill smoothing, my stress level dropped, and my clients have said the same. Automation isn’t just about convenience; it’s about creating boundaries and peace of mind.

Shanta Lee

So, what happens when life throws you a curveball? Maybe your income changes, or you have a big, unexpected expense. The beauty of the 70% system is that it’s flexible—if you build in a buffer. I always recommend creating a little wiggle room, like a flexible spending buffer or a ‘rainy day’ fund, right inside your 70% bucket. That way, you’re not scrambling when something pops up.

Shanta Lee

And don’t forget those regular financial check-ins. I know, I know, it sounds tedious, but it’s actually the secret sauce. Set a monthly or quarterly date to review your expenses and savings goals. Are you still on track? Has your income changed? Are your priorities shifting? This is how you keep your plan aligned with your real life, not just the numbers on a spreadsheet.

Shanta Lee

There are some great tools and apps out there—think real-time spending trackers, alerts, and dashboards—that can help you see where your money’s going and make quick adjustments. I’m not gonna name-drop any brands here, but if you want recommendations, just reach out. The point is, instant feedback helps you course-correct before things get out of hand.

Shanta Lee

Last thing before we wrap up: you don’t have to do this alone. In fact, it’s way easier—and a lot more fun—when you have support. Join a financial planning group or an online community where people are also working toward disciplined living and the 70% target. Share your wins, your struggles, your “oops, I forgot about that subscription” moments. Accountability is magic.

Shanta Lee

And if you want to go deeper, consider scheduling regular check-ins with a financial advisor who understands the 70% rule. They can help you tweak your plan as your life evolves. Plus, keep an eye out for workshops or webinars on financial literacy and automation tools—there’s always something new to learn, and staying updated keeps you ahead of the curve.

Shanta Lee

Alright, that’s a wrap for today. Remember, the 70% target isn’t about restriction—it’s about building a life that’s resilient, joyful, and free. Next time, we’ll dive into what to do with your surplus and how to supercharge your savings. Until then, keep making those value-aligned choices, and I’ll see you two together next week.

Shanta Lee

If this resonates with you, and you'd like to learn more, visit my website at TwogetherMoney.com. That's T-W-O gether money, like the number 2. And here's a fun fact: it's the only place where you can purchase my books, so get those fingers moving and I'll see you over there!