It feels like December (and really, 2015) just flew by. I can't believe the holidays are pretty much over. I had a very small, very quiet Christmas and that's just fine by me. We still cooked a big dinner, drank lots of champagne and opened gifts - can't really complain about that! I got some new pajama pants (just what I need more of...though, I love them and specifically asked for them...but I need another pair of lounge pants like I need a kangaroo living in my condo) a few cool handmade gifts and some new shirts/tank tops.
Honestly, I had a lot of trouble even coming up with a list of things I wanted this year. I have EVERYTHING I need and while I have a few fun/useful wants, they are quite expensive and not something I could ever ask someone to buy for me (namely kitchen equipment and running gadgets, all of which are over $100 and fall into 'frivolous' wants.) I may save up my coins (I have over $100 as of right now) and pick up a few items during the year...or I may invest the spare change in my new taxable investment account (leaning towards investing.)
That's right, people! I finally broke down and opened an individual investment account. I already have DCP, 457 and 403b retirements through work and I also have a traditional IRA, but I wanted something that I could use pre-retirement or for early retirement. Obviously, I have a lot more research to do (I know there are some 'loopholes' that may allow you to roll things over to different accounts and get the money from traditional retirement plans if you're planning on retiring before the standard age) but I wanted to get started...I don't want to wait until I'm 48 to start one (though, saving and investing at any age is a good thing.) I'm starting very small until I get the hang of everything (and fully fund my emergency fund.)
I know many personal finance people would totally disagree with what I'm doing since I'm not maxing out my retirement accounts at the moment (there's no employer match with the 457 or 403b, so I'm not missing out on 'free' money) and I still need to beef up my 6-12 month emergency fund, but I'm excited to see how this goes. I know I could lose money...but I'm ok with that. That's how investments work. I've seen a lot of positive and negative fluctuations in the 10 years I've had retirement accounts, but overall it's been way more positive and worth the risk. I won't hit my goal if I'm stuffing money under my mattress.
Anyway, so much money talk. I'm sure it's soooo boring to read, but I'm pretty excited about it. Having a 2 week break from the office (though, I am working from home) reaffirmed that I don't want to be stuck in a 9-5 until I'm 65. No, no thank you. Don't get me wrong, I like my job just fine and I don't mind being 'stuck behind a computer' (I prefer it to customer service) but I want to do it on my terms. I'm also starting to realize that when I'm alone in the nursing home (because, let's face it, that's probably where I'll end up) I won't care if I owned 'this season's must have shoes' every year...but I will care if I never got out to experience the world and made memories with the people I love (not to mention the fact that if I am in a home, I want it to be as nice as possible.)
Enough about me getting old. I need to get back to work so that I can have at least 5 or 6 days of freedom before I have to go back to work. I'm not allowed to take any days off between January and the end of April, so I better enjoy what little time I have right now (yet another reason for financial freedom!)
Monday, December 28, 2015
Sunday, December 27, 2015
Club Elastic
Just checking in to say that it's been 10 since I've worn pants with a button and 7 days since I've worn any makeup (unless you consider lip balm makeup) and it's WONDERFUL.
Working from home is challenging, but it's also freeing. It reaffirms why I want to reach total financial independence. Money can't buy you happiness, but it can buy choices and freedom.
I can only hope I remember this way of thinking when I'm in the checkout line at Target/Costco/Old Navy buying more crap I don't need instead of a future full of freedom.
Tuesday, December 15, 2015
Off-topic Tuesday
Two days in a row...I'm ready for my medal now! Just popping in - not really sure why since I don't have anything of value to say...I guess I just felt like writing...as always, you're welcome!
And, on that note, it's time to get ready for bed. Peace out, bros!
- If you know me well at all, you know I'm a bit of a klutz (in fact, I believe I detailed a bad fall while running a few months back.) I feel like I'm always tripping over something or bumping some body part on something sharp. I mean, I was once asked by my doctor if I "felt safe in my relationship" because I had so many bruises on me during a 'well woman' exam (side note: I'm glad my doctor was compassionate and direct.) I had to explain that I was just accident prone (also? it turns out I'm anemic and should be taking an iron supplement, but they tend to upset my stomach, so I stay away.) Anyway, I got a wicked craving for a midnight snack the other night and tripped going back down stairs. I'm not even sure how it happened. I was just casually walking down one minute and the next thing I knew I was flat on my ass/back (as flat as you can be on a staircase.) It hurt. Like a bitch. Consequently, my left ass check is black, blue and purple and it hurts to sit...or stand.
- Thanks to my fun incident on Saturday, I can't really run or work out. I mean, I'm sure I could probably do some weights or hop on the elliptical, but I don't start training for the half marathon for another month and marathon training for my full won't start until June. I'm probably going to take the next week off just to heal and recover so that I can dive back in this weekend (is it weird that I feel my bruises jiggle when I walk?)
- I bought lunch today for the first time in two weeks. I don't have any excuses. I packed a lunch...I just didn't feel like eating it. I've been tired, sore and crabby since my fall and I just really wanted a Roast Beef Hotte 88 from South Coast Deli. Now that it's winter break, it's the perfect time to frequent eateries in Isla Vista that are normally too crowded to hit up at lunch....so I figured why not? I feel guilty for spending money (I mean, money wasn't an issue, but since I'm tracking everything and trying to behave) but it was SO GOOD and exactly what I wanted. I ended up eating half for lunch and half for dinner...so nothing went to waste (though, it probably did go to my waist.)
- The most shameful part of the sandwich ordeal? The fact that I drove the 3/4 of a mile each way to get it. SHAMEFUL!!! I have no excuses other than the fact that I was already sore and had another five hours of work left. I'm normally a huge fan of parking far away/walking when possible, etc, but I decided to pick my battles today.
- I have yet to start Christmas shopping. I'll probably complete 95% of it on Amazon tomorrow. Thank goodness I only have a few people to shop for and thank God for Amazon Prime. Also? I didn't order my gifts until 12/21 last year, so I'm like a whole week ahead. Good times. There's only one person on my short list that I'm struggling with. I know that they would be happy with just about anything, but I'd like for it to be something other than "here's a piece of plastic to show you how much I care."
- Despite being sore/injured, I was able to do a bit of baking the other day. I'm especially proud of my s'mores bars. They are sweet as heck and there's nothing healthy about them, but they are so good. I regret nothing!
- Can't believe we are halfway through December. This month, and really, the whole year flew by. I'm kind of sad it's over...and I'm not looking forward to the big 3-4 in February, but I am excited to see what 2016 holds...I'm especially excited to attempt another marathon. I almost can't wait for next October. Almost.
- I'm also really excited to spend the next few weeks relaxing, organizing and clearing out my pantry/freezer. Weird stuff to be excited about, I know. I even have a special trip planned to 'the mothership' (The Container Store) to get a few supplies to round out what I already have. Only three more days of work until I'm sort-of free (I'll be working from home, so it's not a complete vacation.)
And, on that note, it's time to get ready for bed. Peace out, bros!
Monday, December 14, 2015
Yep, more financial stuff. You're welcome.
Finances are still at the forefront in my life right now. In fact, it still takes up the bulk of what I think about. I've been tracking every penny since December 1st, and there haven't been any big surprises about where my money is going (not my first tracking rodeo this year, so that's probably part of it) it's easy to see that my priorities have shifted and that's a good thing.
While 2015 wasn't like, the best year EVER!!, it certainly wasn't the worst and for the first time in a long time, I feel like I'm ending the year on a much better note than how it started...and doing something as simple as tracking my finances made that really clear to me.
For most of the year I spent a lot of money buying coffee and eating out (because I didn't really have time to cook in between working two jobs and commuting 2 hours a day,) getting massages (because I was so stressed out from working two jobs and commuting two hours a day) buying clothes (because I was miserable trying to work two jobs and thought it would make me feel better...it didn't.) I'm making $600 a less a month, and yet I'm coming out ahead. Of course, part of this is because I shifted high interest debt into a low-interest personal loan, but part of it because I no longer feel the need to spend money I don't have to make myself feel better and keep my head above water.
Sometimes I get discouraged because I'm so far away from the financial freedom that I crave. There's no way I'll hit FIRE (financial independence, retire early) in my 30s. I'm nowhere where I want to be or should be in terms of earning income and saving. However, when I look at where I was four years ago, what I went through in the last few years and where I am now, it's easy to see that I've come a long way in a short amount of time.
A few years ago a $500 car repair would have destroyed me. I know I'd desperately be trying to cobble together my credit cards to cover the repairs. Now? It would be annoying and upsetting...but it wouldn't destroy my finances at all and there would be no need to put the repairs on credit (thankfully my car repairs have been fairly low this year, but still.) My savings account, while not large, is big enough to cover me for at least a month...possibly two if I cut all spending back to the barest of bare bones. I'm not out of the woods by any means, but there is so, SO much peace of mind knowing that I have something to fall back on. I wish I could slap my 20-something year old self for being so reckless with my spending and living on the edge for so long.
I'm still not 100% ready to commit to 2016 goals yet (mostly because I dislike setting goals that I usually get too lazy to reach) but I really want to save six months worth of living expenses by this time next year (I currently save about 10% for retirement and I'll probably keep saving at that rate until I feel comfortable with my 'short term/emergency' savings account) and I also really want to look into opening some kind of non-retirement investment account.
Anyway, I feel like this blog is super-boring (but really, has it ever been exciting?) but just writing some of this out helps me focus on my goals and think about what I want out of life, at least in the short term. Anyway, it's time to hobble upstairs (maybe I can blog about the fall I took going downstairs the other night...it hurts like hell...also? falling in my 30s??!! WTF!!??) and pack my lunch for tomorrow...because I'll be damned if I go back to my old habit of purchasing junk food every day because I was too tired/lazy/bored to be bothered to do it myself.
While 2015 wasn't like, the best year EVER!!, it certainly wasn't the worst and for the first time in a long time, I feel like I'm ending the year on a much better note than how it started...and doing something as simple as tracking my finances made that really clear to me.
For most of the year I spent a lot of money buying coffee and eating out (because I didn't really have time to cook in between working two jobs and commuting 2 hours a day,) getting massages (because I was so stressed out from working two jobs and commuting two hours a day) buying clothes (because I was miserable trying to work two jobs and thought it would make me feel better...it didn't.) I'm making $600 a less a month, and yet I'm coming out ahead. Of course, part of this is because I shifted high interest debt into a low-interest personal loan, but part of it because I no longer feel the need to spend money I don't have to make myself feel better and keep my head above water.
Sometimes I get discouraged because I'm so far away from the financial freedom that I crave. There's no way I'll hit FIRE (financial independence, retire early) in my 30s. I'm nowhere where I want to be or should be in terms of earning income and saving. However, when I look at where I was four years ago, what I went through in the last few years and where I am now, it's easy to see that I've come a long way in a short amount of time.
A few years ago a $500 car repair would have destroyed me. I know I'd desperately be trying to cobble together my credit cards to cover the repairs. Now? It would be annoying and upsetting...but it wouldn't destroy my finances at all and there would be no need to put the repairs on credit (thankfully my car repairs have been fairly low this year, but still.) My savings account, while not large, is big enough to cover me for at least a month...possibly two if I cut all spending back to the barest of bare bones. I'm not out of the woods by any means, but there is so, SO much peace of mind knowing that I have something to fall back on. I wish I could slap my 20-something year old self for being so reckless with my spending and living on the edge for so long.
I'm still not 100% ready to commit to 2016 goals yet (mostly because I dislike setting goals that I usually get too lazy to reach) but I really want to save six months worth of living expenses by this time next year (I currently save about 10% for retirement and I'll probably keep saving at that rate until I feel comfortable with my 'short term/emergency' savings account) and I also really want to look into opening some kind of non-retirement investment account.
Anyway, I feel like this blog is super-boring (but really, has it ever been exciting?) but just writing some of this out helps me focus on my goals and think about what I want out of life, at least in the short term. Anyway, it's time to hobble upstairs (maybe I can blog about the fall I took going downstairs the other night...it hurts like hell...also? falling in my 30s??!! WTF!!??) and pack my lunch for tomorrow...because I'll be damned if I go back to my old habit of purchasing junk food every day because I was too tired/lazy/bored to be bothered to do it myself.
Tuesday, December 1, 2015
Finances and stuff
I have so many drafts of posts I start writing, but never get around to finishing - mostly because when I go back to finish I realize how whiny/venty/boring they are. Not to mention the whole "do I really want to make this public?" thing (because the internets NEVER forget. EVER.)
Most of what I want to post about these days is finances. It's something that's always on my mind and I spend a good portion of my time reading personal finance blogs and reading as many books as I can get my hands on - I can't get enough right now and I'm trying to piece everything together as much as possible so that I can formulate a reasonable plan for myself to pay off my debt and save as much as possible, with the ultimate goal of 'early' retirement (or at least the ability to work part time/live the life I want to.) I can't wait for the day when I truly have financial freedom.
I've started telling a few people my 'goal' and I think most people think I'm off my rocker. They don't seem to understand that my ultimate goal isn't to sit in my mortgaged home with kids and fancy toys. My ultimate goal is the freedom to pursue anything I darn well please - whether that's becoming a certified unicorn tamer or spending a few years living in a tropical location without a care in the world.
I'm sure part of the concern stems from the fact that the concept of 'early retirement' is nearly unheard of in a society where working past your AARP membership qualification age is the norm. Forgoing home ownership and being a renter isn't a popular decision either...but I would rather be time and freedom rich than house poor. I think some people also assume that I may be giving up an awful lot of 'fun' things to live a life of drudgery and boredom.
However, having been broke and living from paycheck to paycheck most of my adult life has been stressful and it's not an experience I care to repeat. I don't want to be 50 and worrying about how I'm going keep a roof over my head. I don't want to look at my cell phone with dread each time I hear it ring (because student loan/auto loan/credit card companies don't like it when your late or skip all together.) Of course, I know money can't technically buy you happiness, but it can buy you freedom. Freedom from worrying about finances all the time and ultimately the freedom to do what you want when you want it.
So, all of that being said, I'm still trying to figure out what my shorter term goals are and how I'm going to achieve everything I want to. My first step is to build a 6-month emergency fund. I also currently have student loans and a personal loan to pay off, but my interest rates are low and my lack of emergency fund is partly why I have the debt in the first place. I'm single and have nobody to fall back on. I currently have 1 month saved (I had 2 months, but I got careless and lazy...so I'm back at 1.) and while it's a relief to have it, it's not enough to make me feel comfortable.
Once I have that done, I plan on paying back my personal loan as quickly as possible, then putting serious cash away (I hope) in both retirement funds and taxable investment funds while also repaying my student loan.
It all feels a bit daunting right now, but also good. I've never been a huge planner (despite my love of lists and label makers) but this feels pretty loose and mostly realistic at the moment. I just have to remind myself that there will be some bumps along the way and it's not going to happen in the next few years. I'm in this for at least 10 more years...maybe longer.
I may start posting my weekly spending logs in order to keep myself accountable...I may keep details under wraps (I really don't need to post my rent/paycheck for all to see) but use percentages instead. It will be really embarrassing to say '67% of my spending this week was on stuffed otters.' Hopefully I can figure out some way to track my progress. Until then, I'll just keep making the best choices I can make and look for ways to cut back.
Most of what I want to post about these days is finances. It's something that's always on my mind and I spend a good portion of my time reading personal finance blogs and reading as many books as I can get my hands on - I can't get enough right now and I'm trying to piece everything together as much as possible so that I can formulate a reasonable plan for myself to pay off my debt and save as much as possible, with the ultimate goal of 'early' retirement (or at least the ability to work part time/live the life I want to.) I can't wait for the day when I truly have financial freedom.
I've started telling a few people my 'goal' and I think most people think I'm off my rocker. They don't seem to understand that my ultimate goal isn't to sit in my mortgaged home with kids and fancy toys. My ultimate goal is the freedom to pursue anything I darn well please - whether that's becoming a certified unicorn tamer or spending a few years living in a tropical location without a care in the world.
I'm sure part of the concern stems from the fact that the concept of 'early retirement' is nearly unheard of in a society where working past your AARP membership qualification age is the norm. Forgoing home ownership and being a renter isn't a popular decision either...but I would rather be time and freedom rich than house poor. I think some people also assume that I may be giving up an awful lot of 'fun' things to live a life of drudgery and boredom.
However, having been broke and living from paycheck to paycheck most of my adult life has been stressful and it's not an experience I care to repeat. I don't want to be 50 and worrying about how I'm going keep a roof over my head. I don't want to look at my cell phone with dread each time I hear it ring (because student loan/auto loan/credit card companies don't like it when your late or skip all together.) Of course, I know money can't technically buy you happiness, but it can buy you freedom. Freedom from worrying about finances all the time and ultimately the freedom to do what you want when you want it.
So, all of that being said, I'm still trying to figure out what my shorter term goals are and how I'm going to achieve everything I want to. My first step is to build a 6-month emergency fund. I also currently have student loans and a personal loan to pay off, but my interest rates are low and my lack of emergency fund is partly why I have the debt in the first place. I'm single and have nobody to fall back on. I currently have 1 month saved (I had 2 months, but I got careless and lazy...so I'm back at 1.) and while it's a relief to have it, it's not enough to make me feel comfortable.
Once I have that done, I plan on paying back my personal loan as quickly as possible, then putting serious cash away (I hope) in both retirement funds and taxable investment funds while also repaying my student loan.
It all feels a bit daunting right now, but also good. I've never been a huge planner (despite my love of lists and label makers) but this feels pretty loose and mostly realistic at the moment. I just have to remind myself that there will be some bumps along the way and it's not going to happen in the next few years. I'm in this for at least 10 more years...maybe longer.
I may start posting my weekly spending logs in order to keep myself accountable...I may keep details under wraps (I really don't need to post my rent/paycheck for all to see) but use percentages instead. It will be really embarrassing to say '67% of my spending this week was on stuffed otters.' Hopefully I can figure out some way to track my progress. Until then, I'll just keep making the best choices I can make and look for ways to cut back.
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