I know I’ve been absent for quite some time, but I’m happy to say my first semester teaching went great! So great, in fact, that they offered me a full time position starting in the fall. Yippee! For the first time in my life, I’ll make a salary with- get this- benefits! Whoo-hoo!
Obviously, my financial goals are in need of a sprucing. Here’s a synopsis of my progress since last December:
2008 Roth IRA 3K- Met goal (although I had to steal from my other coffers)
15K New Car Fund- was: 24.5% Now: 23.65% (but hey, I made my ROTH IRA contribution for 2008)
14K Emergency Fund- was: 19% Now: 22.33%
100K DP Home Fund- was: 11.8% now: 23.83%
New: 2009 Roth IRA 3K: 10.04%
My paycheck working part-time was more like a stipend, but I feel with my new and improved paycheck that will start in the fall, that I’ll be able to make my ROTH IRA contribution (while contributing to a 403b) and hopefully increase my emergency fund substantially!
I’ve decided not to resume writing on this blog; however, I do hope to continue to update my PF progress. I feel it helps my be accountable to my goals, and keeps me focused.
But that’s enough about me- I want to thank all the full-time PF blogger for keeping up with their own blogs. I continue to enjoy reading them everyday, and I give everyone mad props for juggling full time work and continuing to publish quality content on their blog each and every day. Good job!
Showing posts with label Financial update. Show all posts
Showing posts with label Financial update. Show all posts
Thursday, June 11, 2009
Monday, December 8, 2008
December update
In all my excitement of getting my new job last week; I didn’t assess how my financial situation changed over this last month!
As a whole, my net worth is back into the negative three digits- whoo hoo! I haven’t been here since before the September crash! As expected my retirement savings dwindled, but at least it shrank due to external force- rather than through some error on my part.
My key savings accounts I’ve been tracking have once again inched ahead.
2008 Roth IRA 3K- was: 60.3% now: 61%
15K New Car Fund- was: 24.3% now: 24.5%
14K Emergency Fund- was: 18.8% now: 19%
100K DP Home Fund- was: 11.7% now: 11.8%
It’s pretty apparent I will not reach my financial goals for 2008, but then again, being unemployed for a year has a way of hampering personal financial goals. If anything, these small financial advancements are a testament that we, as a married couple, can stay solvent on one salary and even save a little. This year could have been a financial disaster for us, but instead, it focused us on doing what we really want to do and to not spend extravagantly.
That- that is something to be thankful for!
As a whole, my net worth is back into the negative three digits- whoo hoo! I haven’t been here since before the September crash! As expected my retirement savings dwindled, but at least it shrank due to external force- rather than through some error on my part.
My key savings accounts I’ve been tracking have once again inched ahead.
2008 Roth IRA 3K- was: 60.3% now: 61%
15K New Car Fund- was: 24.3% now: 24.5%
14K Emergency Fund- was: 18.8% now: 19%
100K DP Home Fund- was: 11.7% now: 11.8%
It’s pretty apparent I will not reach my financial goals for 2008, but then again, being unemployed for a year has a way of hampering personal financial goals. If anything, these small financial advancements are a testament that we, as a married couple, can stay solvent on one salary and even save a little. This year could have been a financial disaster for us, but instead, it focused us on doing what we really want to do and to not spend extravagantly.
That- that is something to be thankful for!
Friday, December 5, 2008
Gainfully employed!
Yes, it’s true! I’ve got a part-time teaching instructor position!!!!
Whoo-hooo!!!!
Tuesday, November 25, 2008
Gift Card Troubles
I still had almost $100 on a gift card to Macy’s leftover from wedding gifts, so back in October I bought a suitcase since my old one took one too many abuses from airline personnel and gave up the ghost. It wasn’t the cutest suitcase, but it was functional and with tax it came in just under the gift card amount. I was pleased and looked forward to getting it.
Then, two weeks later in early November, I got an email that they ran out of my suitcase.
Fabulous.
The problem was that when I made that purchase- I had cut up the gift card.
So, I called customer service and explained everything. After twenty minutes on the phone a representative said that they would send me a new card in the mail within two weeks.
Now, over two weeks later, I still don’t have the gift card.
So I called again. I got a new customer service person who said the last person didn’t properly put in the request for the new gift card. Another twenty minutes went by and she has assured me it will come in the next two weeks.
Anyone want to bet that I’ll actually get it in two weeks?
Then, two weeks later in early November, I got an email that they ran out of my suitcase.
Fabulous.
The problem was that when I made that purchase- I had cut up the gift card.
So, I called customer service and explained everything. After twenty minutes on the phone a representative said that they would send me a new card in the mail within two weeks.
Now, over two weeks later, I still don’t have the gift card.
So I called again. I got a new customer service person who said the last person didn’t properly put in the request for the new gift card. Another twenty minutes went by and she has assured me it will come in the next two weeks.
Anyone want to bet that I’ll actually get it in two weeks?
Friday, November 7, 2008
Financial update
The good news:
1) I reduced my student loan by $71 even after paying interest
2) I focused on my ROTH IRA this month and gained almost a 2% increase in it.
3) Since I made extra payments on my student loan and increased my cash holdings my NetWorth increased to only: -$1307!
The not-so-fabulous news:
1) ING rates have taken a dive with interest rates. It’s currently paying only 2.75%, but with the new rate cut that is also likely to decrease. So my accounts that I didn’t contribute to, didn’t have much interest. So my New Car, my Emergency, and my Home Down Payment funds didn’t budge.
Like many of you, I’ve found this past month both exciting and sickening. However, the things I could control (my spending, paying down debt, and where I’m putting my cash) have gone well. Being in control of those things- that’s satisfying in an uncontrollable world.
1) I reduced my student loan by $71 even after paying interest
2) I focused on my ROTH IRA this month and gained almost a 2% increase in it.
3) Since I made extra payments on my student loan and increased my cash holdings my NetWorth increased to only: -$1307!
The not-so-fabulous news:
1) ING rates have taken a dive with interest rates. It’s currently paying only 2.75%, but with the new rate cut that is also likely to decrease. So my accounts that I didn’t contribute to, didn’t have much interest. So my New Car, my Emergency, and my Home Down Payment funds didn’t budge.
Like many of you, I’ve found this past month both exciting and sickening. However, the things I could control (my spending, paying down debt, and where I’m putting my cash) have gone well. Being in control of those things- that’s satisfying in an uncontrollable world.
Monday, November 3, 2008
Freaky Friday
I’ve been waiting for a call about an application I put in, so whenever I see SoCal area codes I flip out!
So I was soo excited when a SoCal area code popped onto my phone on Friday!
The conversation went like this:
“Hello”
“Hello, is (asked for me by my maiden name) there?”
“This is she.” I grumbled- I was w-a-y let down. It was obviously not for an interview, all my applications are in my married name.
Then the phone called got weirder.
“I’m calling from (something) dental and I’m wondering what you’re going to do about this $85 charge.”
“What charge?” I said totally flabbergasted. I went to a dentist office months ago, but this wasn’t a dentist I had seen.
She goes on I tell me about the services I supposedly had in two cities which I’ve never been to before!
I tell her I’ve never been to those offices- let alone those cities. She says that if I don’t pay them she’ll send them to a collection agency. I tell her that I’m not going to pay for services I never sought.
She asks me if I’ve ever gone by two other last names- one of which is my new married name and the other was Ludbeck (or something like that). I told her just this and she said “fine” and hung up on me.
SO I’m freaking out! I’m thinking: Is some collection agency going to come after me for fraudulent charges? What would I do about that? Or was someone else just using names and happened to use mine? Was it someone phishing for my information and I gave too much??!?!?
I checked my credit score and it was still the same, and I had no unusual charges on my credit cards. I placed a fraud alert on my credit and I’ll request a copy of my credit report when I get the offer in the mail. But beyond that- what do I do?
Nothing? Do I just sit and wait for something to happen? GRrrrr…. What would you do?
So I was soo excited when a SoCal area code popped onto my phone on Friday!
The conversation went like this:
“Hello”
“Hello, is (asked for me by my maiden name) there?”
“This is she.” I grumbled- I was w-a-y let down. It was obviously not for an interview, all my applications are in my married name.
Then the phone called got weirder.
“I’m calling from (something) dental and I’m wondering what you’re going to do about this $85 charge.”
“What charge?” I said totally flabbergasted. I went to a dentist office months ago, but this wasn’t a dentist I had seen.
She goes on I tell me about the services I supposedly had in two cities which I’ve never been to before!
I tell her I’ve never been to those offices- let alone those cities. She says that if I don’t pay them she’ll send them to a collection agency. I tell her that I’m not going to pay for services I never sought.
She asks me if I’ve ever gone by two other last names- one of which is my new married name and the other was Ludbeck (or something like that). I told her just this and she said “fine” and hung up on me.
SO I’m freaking out! I’m thinking: Is some collection agency going to come after me for fraudulent charges? What would I do about that? Or was someone else just using names and happened to use mine? Was it someone phishing for my information and I gave too much??!?!?
I checked my credit score and it was still the same, and I had no unusual charges on my credit cards. I placed a fraud alert on my credit and I’ll request a copy of my credit report when I get the offer in the mail. But beyond that- what do I do?
Nothing? Do I just sit and wait for something to happen? GRrrrr…. What would you do?
Wednesday, October 8, 2008
An extra helping of credit
It’s been a rocky couple of weeks for the financial markets and I’ve seen tons of talking heads saying, “Credit Crunch” like hungry children demanding a breakfast cereal. Consequently, I’ve been watching my credit card limits to see if they would shrink like the pundits predicted.
So, I was fairly flabbergasted when both my husband and I got notices that our credit limits have been extended. Extended- as in they are giving us more credit.
These are on two separate individual credit cards by different companies. Now the cynical side of me thinks that these companies are hoping something bad is going to befall us and hope that we use their card.
However, on the brighter side, this is great for our credit scores since we pay off our balances every month.
Has this happened to anyone else? Has anyone else been offered more credit? Or happen to have a theory of why I have been?
So, I was fairly flabbergasted when both my husband and I got notices that our credit limits have been extended. Extended- as in they are giving us more credit.
These are on two separate individual credit cards by different companies. Now the cynical side of me thinks that these companies are hoping something bad is going to befall us and hope that we use their card.
However, on the brighter side, this is great for our credit scores since we pay off our balances every month.
Has this happened to anyone else? Has anyone else been offered more credit? Or happen to have a theory of why I have been?
Friday, October 3, 2008
It passed!
Yes, the house bailout plan just passed!
I know not everyone is excited about this bill passing, but to me it just seems like the best thing we can do to prevent a disaster in the near future. When the first version of the bill didn’t pass the House my immediate thoughts were, “Come on people- work together! Stop being so selfish!”
However, I know not everyone feels this way, so I created a poll on the top left of my blog asking people whether they are happy about the bailout plan or not. What are your thoughts on this newly passed financial plan? Add your comment below and make sure to vote in my poll on this issue!
I know not everyone is excited about this bill passing, but to me it just seems like the best thing we can do to prevent a disaster in the near future. When the first version of the bill didn’t pass the House my immediate thoughts were, “Come on people- work together! Stop being so selfish!”
However, I know not everyone feels this way, so I created a poll on the top left of my blog asking people whether they are happy about the bailout plan or not. What are your thoughts on this newly passed financial plan? Add your comment below and make sure to vote in my poll on this issue!
Thursday, October 2, 2008
Sad September Slump
Well…. I knew I’d be starting October back in the four digit red, but it wasn’t fun seeing my lowest net worth yet: -$1,730. Basically my ROTH IRA portfolio has a grand one year return of: -25.9%.
Oouch!
However, I can’t control that, so I’m moving on to other brighter aspects of my financial picture. It was nice to see where things did progress, and I increased my savings in the following accounts:
2008 Roth IRA 3K went from 58.4% to 58.7%
15K New Car Fund went from 24.1% to 24.3%
14 K Emergency Fund went from 18.7% to 18.8%
100K Home DP Fund went from 11.6% to 11.7%
I also reduced my student loan balance by $30 even after accounting for the interest I paid. We were also fairly smart with money this month, and were generally under budget as a couple.
So I made progress in the areas of finance I directly control, I just need to remember that this slump is just a slump. The larger economy will turn around, but until then I think I better be ready for a few more months in the four digit red.
Oouch!
However, I can’t control that, so I’m moving on to other brighter aspects of my financial picture. It was nice to see where things did progress, and I increased my savings in the following accounts:
2008 Roth IRA 3K went from 58.4% to 58.7%
15K New Car Fund went from 24.1% to 24.3%
14 K Emergency Fund went from 18.7% to 18.8%
100K Home DP Fund went from 11.6% to 11.7%
I also reduced my student loan balance by $30 even after accounting for the interest I paid. We were also fairly smart with money this month, and were generally under budget as a couple.
So I made progress in the areas of finance I directly control, I just need to remember that this slump is just a slump. The larger economy will turn around, but until then I think I better be ready for a few more months in the four digit red.
Tuesday, September 30, 2008
I am young, and I’m buying stocks on sale
A 777 point loss in Dow yesterday is enough to make anyone hyperventilate; especially since this is the first real financial downturn I’ve seen as an adult!
However, it’s times like these when the big picture- the ugly whole reality of the stock market crashing down- is so overwhelmingly scary that it is best not to fixate on the whole picture. Instead, focus on yourself and your own personal financial picture. This is how I’m coping.
So, here is a list of financial things I can control:
1. I can stop unnecessary spending.
2. I can shop around for purchases I need to make in order to get the best deal (like on car insurance).
3. I can rest knowing that all my cash is FDIC insured, because I have checked my accounts on the FDIC website (you can too, go here).
4. I can keep my short term dreams safely financed by having the money in extremely low risk accounts like CDs and high-yield savings accounts (Go ING!).
5. I can understand where my money has gone in the past, and where my cash needs to go in the future because I map my finances through Mint.
6. I can get a 7% return (without any risk!) by paying off my student loan.
7. I can curl up with a book about the history of Wall Street (currently reading: A Random Walk Down Wall Street) and have the intellectual reassurance that bear markets happen routinely and that they routinely bounce back.
Together these things keep me grounded and keep me from making rash decisions concerning my stock portfolio. It may do little to dampen the emotional distress of seeing my retirement portfolio dip 20%, but it can keep me muttering: I am young, and I’m buying stocks on sale (and I love a sale!). I am young, and I’m buying stocks on sale. I am young, and I’m buying stocks on sale. I am young…
However, it’s times like these when the big picture- the ugly whole reality of the stock market crashing down- is so overwhelmingly scary that it is best not to fixate on the whole picture. Instead, focus on yourself and your own personal financial picture. This is how I’m coping.
So, here is a list of financial things I can control:
1. I can stop unnecessary spending.
2. I can shop around for purchases I need to make in order to get the best deal (like on car insurance).
3. I can rest knowing that all my cash is FDIC insured, because I have checked my accounts on the FDIC website (you can too, go here).
4. I can keep my short term dreams safely financed by having the money in extremely low risk accounts like CDs and high-yield savings accounts (Go ING!).
5. I can understand where my money has gone in the past, and where my cash needs to go in the future because I map my finances through Mint.
6. I can get a 7% return (without any risk!) by paying off my student loan.
7. I can curl up with a book about the history of Wall Street (currently reading: A Random Walk Down Wall Street) and have the intellectual reassurance that bear markets happen routinely and that they routinely bounce back.
Together these things keep me grounded and keep me from making rash decisions concerning my stock portfolio. It may do little to dampen the emotional distress of seeing my retirement portfolio dip 20%, but it can keep me muttering: I am young, and I’m buying stocks on sale (and I love a sale!). I am young, and I’m buying stocks on sale. I am young, and I’m buying stocks on sale. I am young…
Monday, September 8, 2008
The Eeyore post
I have some to realize, that in some part, I started this blog to help get myself prepared financially for the day I would have my own salary coming in. Even though I have experience teaching psychology and good recommendations from students and colleagues, I’ve reached the disappointing point where I’ve realized I won’t be hired on to any local junior college for fall term.
Although I have prepared for the worst in terms of money, I’m now applying for my backup job- substitute teaching. It’s not something I relish, indeed I’ve put it off for months with my need to be spending time planning the wedding (which is true...) but now it’s time.
I knew it could take a while to break into the JC system, but somehow I had hoped it would be different for me. All the organizing in the world couldn’t stop the tidal wave of disappointment from washing over me.
Of course, all this organizing, planning, and researching is in part for the desperate times- to make them easier. However, it still is never easy when those times come.
Although I have prepared for the worst in terms of money, I’m now applying for my backup job- substitute teaching. It’s not something I relish, indeed I’ve put it off for months with my need to be spending time planning the wedding (which is true...) but now it’s time.
I knew it could take a while to break into the JC system, but somehow I had hoped it would be different for me. All the organizing in the world couldn’t stop the tidal wave of disappointment from washing over me.
Of course, all this organizing, planning, and researching is in part for the desperate times- to make them easier. However, it still is never easy when those times come.
Wednesday, September 3, 2008
September Update
Well, it’s been a lucky-number-seven month for me!
My retirement portfolio is up and my money market accounts are doing well. We had some extra cash, so I got to make an additional payment on my student loan. All of which brought me that much closer to a solvent NetWorth balance.
I’m now only three digits in the red- whoo-hoo! (Small victories people, small victories….)
Also, as the last few wedding presents trickled in, we put the checks in our down payment fund bringing it to a whopping 11% of our goal. As I stated above, my MM are earning 3%, so my new car fund inched up to 24.1%, my ROTH IRA 58.4%, and my emergency fund to 18.7%.
Overall, for still not having a job- I feel incredibly blessed!
My retirement portfolio is up and my money market accounts are doing well. We had some extra cash, so I got to make an additional payment on my student loan. All of which brought me that much closer to a solvent NetWorth balance.
I’m now only three digits in the red- whoo-hoo! (Small victories people, small victories….)
Also, as the last few wedding presents trickled in, we put the checks in our down payment fund bringing it to a whopping 11% of our goal. As I stated above, my MM are earning 3%, so my new car fund inched up to 24.1%, my ROTH IRA 58.4%, and my emergency fund to 18.7%.
Overall, for still not having a job- I feel incredibly blessed!
Wednesday, August 6, 2008
Flat-lining
I spent this morning reviewing my financial picture for this month. Here it is so far:
Month Assets Liabilities Net Worth
Aug 08 $15,658 $16,727 ($1,069)
Jul 08 $15,480 $16,754 ($1,274)
May 08 $15,632 $16,870 ($1,238)
So basically my NetWorth is essentially flat-lining.
Yes, while I realize that this would conceptually happen if one does not have a job. However, it still sucks seeing it (like not having a job doesn’t already suck enough).
However, with our recent wedding we received some cash wedding gifts that we are putting in a MMA for a down payment on a house some day. In July we had only .1% of our goal in there and now we have 1%- we moved two whole decimal places! That’s serious money!
My other accounts inched up also:
My emergency fund: 18.3% to 18.4%
My new car fund: 23.8% to 23.9%
New Roth IRA fund: 40% to 50.1% (can you tell where my stimulus package went?)
Note: To keep my spouse’s privacy, I’m not counting in his NetWorth. All I’ll say is that thankfully, it is much better than mine (but then again he doesn’t have a M.A. to pay off…and he has a real job…)! The only information I’m revealing about our financial picture is our down payment on a house account.
Note2: Haha, I just saw the graph on my blog, doesn't it exaggerate the $200 increase I made? Wow, the scale of that is way off... maybe it's a sign- only up and away from here on out!
Month Assets Liabilities Net Worth
Aug 08 $15,658 $16,727 ($1,069)
Jul 08 $15,480 $16,754 ($1,274)
May 08 $15,632 $16,870 ($1,238)
So basically my NetWorth is essentially flat-lining.
Yes, while I realize that this would conceptually happen if one does not have a job. However, it still sucks seeing it (like not having a job doesn’t already suck enough).
However, with our recent wedding we received some cash wedding gifts that we are putting in a MMA for a down payment on a house some day. In July we had only .1% of our goal in there and now we have 1%- we moved two whole decimal places! That’s serious money!
My other accounts inched up also:
My emergency fund: 18.3% to 18.4%
My new car fund: 23.8% to 23.9%
New Roth IRA fund: 40% to 50.1% (can you tell where my stimulus package went?)
Note: To keep my spouse’s privacy, I’m not counting in his NetWorth. All I’ll say is that thankfully, it is much better than mine (but then again he doesn’t have a M.A. to pay off…and he has a real job…)! The only information I’m revealing about our financial picture is our down payment on a house account.
Note2: Haha, I just saw the graph on my blog, doesn't it exaggerate the $200 increase I made? Wow, the scale of that is way off... maybe it's a sign- only up and away from here on out!
Monday, August 4, 2008
Stirred, not shaken
I’m back!
Well actually,
it’s more like (picture Eeyore gloomily saying) "I’m back."
Yup, I woke up this morning not to the sounds of waves crashing on a Jamaican beach, but to the sounds of the morning commuters catching their bus. No beach butler will hand me a martini today. No all-inclusive meal plan- I’m making spaghetti for dinner.
Honeymoon over. Back to reality.
Coming home meant more than just coming back to our apartment; see we were a tad apprehensive to see if our newly acquired wedding presents had been thrown on the floor by the earthquake.
We made a point not to get any news while we were on our honeymoon, but we wanted to see what the weather would be like when we came home. Instead all the papers read, “LA still experiencing aftershocks.”
Aftershocks of what, we thought? A small 5.4 earthquake out of out of Chino Hills it turns out.
However, given the news coverage that we were receiving about it two days later in a foreign country- you’d think half of LA fell into the ocean.
We consider ourselves lucky, as there is really little one can do to protect oneself from such an event. However, the way this trembling earth was shown on TV was blown way out of proportion! It turns out we weren’t the only ones to feel that way: check out Stein’s Los Angeles Times article. By the way, if you’d like to see how often we experience earthquakes go to the government site that tracks them.
Coming into our place (as my new husband carried me across the threshold) it was easy to see that we had experienced little damage. Some books had come off our non-tethered bookcases (note to self: need to put those on wall anchors…), but beyond that some doors had opened or closed themselves. So- really no damage to our place or our wallets.
Well actually,
it’s more like (picture Eeyore gloomily saying) "I’m back."
Yup, I woke up this morning not to the sounds of waves crashing on a Jamaican beach, but to the sounds of the morning commuters catching their bus. No beach butler will hand me a martini today. No all-inclusive meal plan- I’m making spaghetti for dinner.
Honeymoon over. Back to reality.
Coming home meant more than just coming back to our apartment; see we were a tad apprehensive to see if our newly acquired wedding presents had been thrown on the floor by the earthquake.
We made a point not to get any news while we were on our honeymoon, but we wanted to see what the weather would be like when we came home. Instead all the papers read, “LA still experiencing aftershocks.”
Aftershocks of what, we thought? A small 5.4 earthquake out of out of Chino Hills it turns out.
However, given the news coverage that we were receiving about it two days later in a foreign country- you’d think half of LA fell into the ocean.
We consider ourselves lucky, as there is really little one can do to protect oneself from such an event. However, the way this trembling earth was shown on TV was blown way out of proportion! It turns out we weren’t the only ones to feel that way: check out Stein’s Los Angeles Times article. By the way, if you’d like to see how often we experience earthquakes go to the government site that tracks them.
Coming into our place (as my new husband carried me across the threshold) it was easy to see that we had experienced little damage. Some books had come off our non-tethered bookcases (note to self: need to put those on wall anchors…), but beyond that some doors had opened or closed themselves. So- really no damage to our place or our wallets.
Thursday, July 17, 2008
Girls’ weekend!
I’m excited to announce that I got selected for my first Carnival! It was put on by ThisWritersWallet and you can view it at:
http://www.thiswriterswallet.com/2008/07/16/money-hackers-carnival-xx-chicago-style/
I’ve also realized that since I’ve never been involved in one of these things, that I’m not sure if it’s an honor, or if it’s like little league where everyone gets a participation trophy… oh well. Either way, I’m always excited that people actually read what I write!
Beyond that, I’m leaving for my long Girls Weekend. We’re heading to a beach shack on the central coast for lots of sun, fun, and wine. I’m excited about getting away from wedding planning and having an old fashion sleep-over with a handful of my favorite friends. I’ll probably do a couple posts early next week, but then I’ll be gone for my wedding and honeymoon!
http://www.thiswriterswallet.com/2008/07/16/money-hackers-carnival-xx-chicago-style/
I’ve also realized that since I’ve never been involved in one of these things, that I’m not sure if it’s an honor, or if it’s like little league where everyone gets a participation trophy… oh well. Either way, I’m always excited that people actually read what I write!
Beyond that, I’m leaving for my long Girls Weekend. We’re heading to a beach shack on the central coast for lots of sun, fun, and wine. I’m excited about getting away from wedding planning and having an old fashion sleep-over with a handful of my favorite friends. I’ll probably do a couple posts early next week, but then I’ll be gone for my wedding and honeymoon!
Tuesday, July 15, 2008
Finally Stimulated!
It finally arrived- yes, I am one of the last Americans ever to receive their stimulus check!
While I had contemplated what to do with it, and it had been hard, I decided to put it in my ROTH. I’m trying to reach $3K so that I can get into a new fund and further diversify my portfolio with some value funds. That seemed like a better idea than paying down my student loans because in the end, I can afford to keep paying $115 a month for the loan. However, it could cost my retirement portfolio much more over the next 40 years if the portfolio is not well balanced.
What do people think of this decision?
His and Her’s (and Our’s)
As you may recall my fiancé and I were having issues trying to reconcile plans for our financial future together. And, I’m happy to report, we have come to an initial plan!
Right now, without me working, we’re not able to meet these goals. However, after the wedding it’s either a job at a community college (all my applications are out right now!!!) or substitute teaching in the local school district. Consequently, once August comes, I’ll be gainfully employed once again.
So… once we’re both working here is the plan:
As a couple:
$100k for a down payment on a home
As individuals:
EACH $14k in individual money-market accounts for emergencies (together this is a 6 month cushion)
He:
Continue his own savings, investments, and fun money
I:
$3K for this year’s ROTH
$15K for a new car
The rest is fun money
I’ve got some of these goals posted in my sidebar to keep them- literally in my face- reminding me of them.
His salary will continue to pay our living expenses (it’s all automatically deducted from his accounts already- why change it?). Then we take my checks and divide them into three for our savings and investments: third money for him, a third for our joint accounts, and a third for my accounts.
It’s kind of complicated, but it was the best arrangement that we could think of. At the end of August, I’ll tell you how it has (or hasn’t) worked out.
Right now, without me working, we’re not able to meet these goals. However, after the wedding it’s either a job at a community college (all my applications are out right now!!!) or substitute teaching in the local school district. Consequently, once August comes, I’ll be gainfully employed once again.
So… once we’re both working here is the plan:
As a couple:
$100k for a down payment on a home
As individuals:
EACH $14k in individual money-market accounts for emergencies (together this is a 6 month cushion)
He:
Continue his own savings, investments, and fun money
I:
$3K for this year’s ROTH
$15K for a new car
The rest is fun money
I’ve got some of these goals posted in my sidebar to keep them- literally in my face- reminding me of them.
His salary will continue to pay our living expenses (it’s all automatically deducted from his accounts already- why change it?). Then we take my checks and divide them into three for our savings and investments: third money for him, a third for our joint accounts, and a third for my accounts.
It’s kind of complicated, but it was the best arrangement that we could think of. At the end of August, I’ll tell you how it has (or hasn’t) worked out.
Monday, July 14, 2008
Ill-begotten finances
While I have been diligent about chronicling my road to fiscal savvy, I was detoured by a double whammy last week: regularly scheduled wedding prep vs. family emergency.
After spending a lot of time worrying about this individual and creating the best seating plans for 150, I was left tired with a full blown sinus infection. The crisis part of the family emergency is over, but will continue to be an issue weeks and even months to come.
The one good part of all this stress is that it reminded me about the importance of being protected financially. The impact of the emergency alone was more stress than most families can bear, but coupled with the prospect of $100,000 of care required for the uninsured person was an unimaginable burden for the family.
After a week, the insurance decided to pony up, and one burden was lifted. However, medical emergencies still rank as a top reason for bankruptcy (www.uscourts.gov). According to a report put out by the government’s link to the courts the average person filing for bankruptcy is a 41-year-old mother with some college education WITH health insurance (not your average dead-beat, huh?) and almost half the debtors meet the requirement of having enough debt to qualify for major medical bankruptcy (www.uscourts.gov). Even though someone has accumulated the status markers of a respectable life (higher education, family-oriented, middle age, insured) all it took was one medical issue (normally a heart attack) to put them into financial ruin.
(For the whole article go to: http://www.uscourts.gov/rules/Bankruptcy%20Comments/04-BK-034.pdf OR search Market Watch and David U. Hirnmelstein, Elizabeth Warren, Deborah Thorne, and Steffle Woolhandler)
Incidentally, as this drama was unfolding, my soon-to-be-married insurance through my fiancé kicked in. I am no longer a slave to my high-deductible plan and I now have good coverage with a regular doctor. With my old plan when I got sick I always had to decide where to seek services, and before I was treated find out how much they would cost. No dental check-ups, no eye exams or new contacts. Now, I can actually use my health insurance (wow- what a thought!) giving me some peace of mind. I feel blessed to have my family safe and my own fiscal protection policies in place as best I can.
After spending a lot of time worrying about this individual and creating the best seating plans for 150, I was left tired with a full blown sinus infection. The crisis part of the family emergency is over, but will continue to be an issue weeks and even months to come.
The one good part of all this stress is that it reminded me about the importance of being protected financially. The impact of the emergency alone was more stress than most families can bear, but coupled with the prospect of $100,000 of care required for the uninsured person was an unimaginable burden for the family.
After a week, the insurance decided to pony up, and one burden was lifted. However, medical emergencies still rank as a top reason for bankruptcy (www.uscourts.gov). According to a report put out by the government’s link to the courts the average person filing for bankruptcy is a 41-year-old mother with some college education WITH health insurance (not your average dead-beat, huh?) and almost half the debtors meet the requirement of having enough debt to qualify for major medical bankruptcy (www.uscourts.gov). Even though someone has accumulated the status markers of a respectable life (higher education, family-oriented, middle age, insured) all it took was one medical issue (normally a heart attack) to put them into financial ruin.
(For the whole article go to: http://www.uscourts.gov/rules/Bankruptcy%20Comments/04-BK-034.pdf OR search Market Watch and David U. Hirnmelstein, Elizabeth Warren, Deborah Thorne, and Steffle Woolhandler)
Incidentally, as this drama was unfolding, my soon-to-be-married insurance through my fiancé kicked in. I am no longer a slave to my high-deductible plan and I now have good coverage with a regular doctor. With my old plan when I got sick I always had to decide where to seek services, and before I was treated find out how much they would cost. No dental check-ups, no eye exams or new contacts. Now, I can actually use my health insurance (wow- what a thought!) giving me some peace of mind. I feel blessed to have my family safe and my own fiscal protection policies in place as best I can.
Monday, July 7, 2008
My own Mastercard commercial
Two (cancelled) flights to fly into San Francisco and finally landing in Oakland $54.72
Pesto crepe at Crepe Vine $8.11
Enjoying lemon curd filed Kara’s Cupcakes $3.25
Whole Foods takeaway for three people $18.92
Bundled up watching fireworks disappear into the fog with family and friends-
Priceless.
Pesto crepe at Crepe Vine $8.11
Enjoying lemon curd filed Kara’s Cupcakes $3.25
Whole Foods takeaway for three people $18.92
Bundled up watching fireworks disappear into the fog with family and friends-
Priceless.
Tuesday, July 1, 2008
Just starting out
My mother-in-law-to-be called last night. She was wondering why we hadn’t deposited one of her friend’s checks.
We looked blankly at one another.
“What check?” we said.
It turned out that her friend sent us a small wedding gift and a nice $100 check in the envelope.
Gulp.
We had never seen an envelope, let alone a check.
Here is rare proof that sometimes being lazy can be to one’s advantage, because I hadn’t taken the big stack of boxes from early wedding gifts downstairs yet. I had just let them pile up where a dining room table should be.
After much digging and scrutinizing wads of gift wrap, we found it jammed between the cardboard folds on the end of a box.
Whew!
This discovery prompted a very exciting turn of events. Just last night we opened our first joint account! A joint savings/money market account at an online institution with a good rate of return (currently a guaranteed 3%). We seeded it with that (almost lost) check that was our first cash wedding gift.
There had been much discussion about registering for monetary gifts (we have a honeymoon registry in addition to traditional registries), but it was a bumpy ride with a variety of family member’s conflicting opinions. While views on this issue still rage, I know I’ll cherish the family silver as well as monetary gifts. I’m envisioning that day in the future when we turn the key to a place we own; we’ll feel the support of the families that gave us seed money to invest all those years ago.
We looked blankly at one another.
“What check?” we said.
It turned out that her friend sent us a small wedding gift and a nice $100 check in the envelope.
Gulp.
We had never seen an envelope, let alone a check.
Here is rare proof that sometimes being lazy can be to one’s advantage, because I hadn’t taken the big stack of boxes from early wedding gifts downstairs yet. I had just let them pile up where a dining room table should be.
After much digging and scrutinizing wads of gift wrap, we found it jammed between the cardboard folds on the end of a box.
Whew!
This discovery prompted a very exciting turn of events. Just last night we opened our first joint account! A joint savings/money market account at an online institution with a good rate of return (currently a guaranteed 3%). We seeded it with that (almost lost) check that was our first cash wedding gift.
There had been much discussion about registering for monetary gifts (we have a honeymoon registry in addition to traditional registries), but it was a bumpy ride with a variety of family member’s conflicting opinions. While views on this issue still rage, I know I’ll cherish the family silver as well as monetary gifts. I’m envisioning that day in the future when we turn the key to a place we own; we’ll feel the support of the families that gave us seed money to invest all those years ago.
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