I guess this post is more to talk myself into taking a huge paycut sometime soon. I feel I will be in a position where I need to ask myself these questions a few years from now.

Do you really need to live in a $1200/month house?
Do you really nedd ALL the premium cable channels?
Do you really need to eat out everyday for lunch?
Do you really need a car payment or just something to get you around?
Do you really need all the latest and greatest cool gadgets?
Do you really need to live in a high cost of living area?
Besides friends and family, what keeps you in the area you are in?
Do I really need to stay married? (oh, wait.. I am single)

People making less money that you do, do just fine in certain places. I would never make it in places like D.C or SFO where the cost of living are high. But, I would be king in a small town in the middle of nowhere.

aviatorman2008, it sounds like your wife would have issues with taking a paycut. I don't envy you and your decision. But, good luck and keep us posted.