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About Me:

Monkey Mama

Just a 46-year-old mom of 2 in Northern California. My kids are Monkey Monkey(MM) and Drama Llama (DL). I am married to Monkey Hubby (MH).

We were a one-income family for 13 years. In late 2015 my spouse returned to work (minimum wage/part-time/seasonal). Something recent on his resume just buys us more options for the long run. The main benefit of this job is that he just works while the kids are in school. As always, we are saving 100% of his income.

{2023 Update: I expect that MH will retire from this job when kids are done with college and/or home is paid off. I think he likes the idea of finding more interesting or full-time work, with kids both adults now. But practically, might just stick out the *good* and very flexible job as long as possible. The very part-time job is allowing him to pursue his film passions. We are only about 5-ish years away from financial independence. Would be very different if we "needed" the money or he thought he might have decades of working years ahead of him.}

We saved a lot while we were very young and also moved to a lower cost-of-living area, to make life much simpler. We still live in California though (in one of the most expensive regions of the U.S.). *Simple* and *inexpensive* is relative.

Likewise, we have never had debt aside from our mortgage.** My blog is a testament to how much simpler life is without debt; how we have that much more money to both save and enjoy!

**Caveat: I have no problem whatsoever with credit cards paid off monthly, or low-risk credit arbitrage (for example, 0%-interest debt while earning 5% on FDIC-insured cash). These are the kinds of debt we have had. Just not interested in high-interest debt, using debt to buy beyond means, and not interested in the hassle that comes with loans and payments. With age and means, the latter (hassle) is our biggest debt avoidance motivation.

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2024 Goals

[ ]Small monthly Charitable Contribution
...($35 @ 1/31/24)
...Trying to be more mindful about how the little amounts add up and are helpful.
...This is not an all inclusive list of charitable giving but it is a new habit I want to add in addition to other donations of time, goods and money

[ ]Pay cash for college
...This is so much a given, to me. But I realize not everyone can read my mind, and so will memorialize in my goal list.
...#1 We don't do Debt
...#2 The student loan system is a scammy and corrupt mess.
...Seriously, wouldn't touch these student loan servicers with a ten foot pole.
MM YEAR 1 ✔
MM YEAR 2 ✔
MM YEAR 3 ✔
MM YEAR 4

DL YEAR 1 ✔
DL YEAR 2

[ ]$10,000 to savings
...($4,529 @ 3/31/24)
...$1,000/month, plus interest
...Topping off with snowballs

[ ]$7,500 to investments
...($1,750 @ 4/30/24)
...$350/month, plus snowflakes
(Snowflakes: credit card rewards and dividends)
...Topping off with snowballs

[ ]$2,025 to mortgage
...($0 @ 4/30/24)
...Topping off with snowballs and/or excess cash
...Keeps us on track with $10K principal paydown per year

[/]9% of household income to work retirement plans
...(9% @ 3/31/24)
...This is the minimum for the match; I'd otherwise rather fund IRAs.
...Note: Total retirement savings rate is 20% (with IRAs)

Goal savings rate = 25% of gross salary, plus funding IRAs from other sources.

[ ]$14,000 to IRAs 2024 (MAX)
...($0 @ 4/30/24)
...Will fund with MH's income
...Will not fund until the year is over. This is for tax and planning reasons. I won't know what mix of Traditional/ROTH IRA we literally can contribute until we do our 2024 taxes. In addition to that, can make a more informed decision based on our financial and tax situation for the entire year.

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**Long-Term Goals**

[X]$500,000 in retirement accounts by age 45.

Current big picture goal:

[ ]$1 Mil in retirement accounts by age 52.

Stretch Goal: Achieve by age 50

Have decided to pretty much stay the course. Keep saving 20%+ to retirement. This means taking 401K match & maxing out IRAs.

NOTE: WE HAVE NEVER CONTRIBUTED LESS THAN 10% TO RETIREMENT. NO EXCEPTIONS.

If we can't achieve at least 10%, then something else has to give. I share because it's infinitely easier to save for retirement if you start early. Let the investments do the hard work for you.

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Debt: $85,000 mortgage
{Home Purchase Price $290,000}

Ongoing goal is to *never borrow money again.*

Took on a $230k mortgage in 2001 and have not added to that.

-------------------------

Net Worth: Increase net worth by $600,000 in the next 10 years. This is my "financial independence" goal.

2017: +$ 70,000 (partial year)
2018: +$ 51,000
2019: +$105,000
2020: +$104,000
2021: +$215,000
2022: <$ 65,000>
2022: +$ 85,000
TOTAL: +$565,000

This is in line with prior goal, saving 100% of our expenses every year.

{Our expenses are far more consistent than our income. Also, helps to prevent "living up to income."}

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My Pages

I don't Agree with Suze...

February 15th, 2009 at 03:50 pm

Not that I have to agree with everything.

But I got around to watching an older episode last night where she said it was terrible to use plastic around your kids and they will never learn how to manage their money if you do.

Whatevah!

I tried to think back how my parents paid for things. I thought they always used checks or ATM cards. Credit cards as times changed. I don't particularly remember them paying things with cash. I honestly don't remember how they paid for things though, because it simply does not matter!!!!

It doesn't matter how they paid for anything because that is not how I learned about money...

I learned from having an allowance and from having to manage it. I learned from getting a checking account when I was a teen and a credit card when I got my first "real" job and paycheck. I learned firsthand to spend less than I Earned and to pay my card off every month. Of course I learned these because that is what my parents did and that is what they told me to do.

So, no, I don't plan to stop paying all my bills online, mostly while the kids are asleep, and carrying pretty much just plastic in my purse.

I admit it is important for kids to deal with cash. As much as I hate carrying any cash, the kids do carry their cash when we go out. When they shop they have to figure what they can afford and pay with their own money. That is most certainly important. But they are only 3 & 5. They have to learn at a basic level. But I can assure you just because we pull out the plastic, does not mean they will not understand money.

Now, if we only used plastic and we NEVER talked to them about money or taught them anything. Okay, yeah, that is asking for TROUBLE, obviously.

As they get older I am sure they will ask more questions about how we pay our bills and we will most certainly share. For now they use cash, we don't, and it works...

I mean most of their money is sitting in a piggy bank where they can physically see it. They have some money in the bank but they are too young to appreciate how that works at this point. Kids do need to physically see and handle their own money to grasp how it works. I think Suze and I both agree there.

Posted in Just Thinking | 5 Comments »

5 Responses to “I don't Agree with Suze...”

swimgirl Says:
February 15th, 2009 at 03:56 pm 1234713362
1234713362

We're the opposite. I pay bills online (everything I can) and write checks for the rest. But as far as day to day spending, it's cash all the way. I really like NOT spending it and then ending up with extra at the end. Of course, we have exceptions, which we verbalize to the kids. "Let's see, we need to get the car fixed, and I don't have enough cash. I have some money in savings. Should I get it done now and take the money from savings? Or should I wait a week until I get more cash, get it done then, and then spend carefully next month?" and "That is a really neat item. It costs only $10, but do I need it? Will I still like it in a month or a year? What else could I buy with $10? Or maybe I should save several $10s for something big?"

We just do the thinking out loud around the kids. I think it's the thought processes that they actually need to learn.
monkeymama Says:
February 15th, 2009 at 04:24 pm 1234715093
1234715093

True, Just because we use credit doesn't mean we don't have cash left at the end of the month (I mean we have the same reward if we spend less: more cash in the bank at the end of the month).

But yeah, the thought process is important. The kids are expert grocery shoppers already - that is for sure. They know they only get treats when they are on sale, for one. They know to buy generic, etc. I mean, it is important to involve them and start young. It really is a lifelong process. Starting to talk to your kids about money at 16 is too late if you ask me.
swimgirl Says:
February 15th, 2009 at 05:56 pm 1234720578
1234720578

Absolutely... I'm SURE you have money left at the end of the month. We are thinking alike on the big picture. For me, the little part of the picture... I can say to the kids (and physically SHOW them my wallet), "We have $100 for the rest of the month for clothes. And there's $25 for entertainment. If I give you $25 for those jeans and another $10 for a movie (teens, remember), then there will be less for everyone else. Are you willing to go without next month?"

My kids totally get it, too. But for me, physically showing them the money has helped them learn.

Yes, they need to be thinking about money YOUNG!
Broken Arrow Says:
February 16th, 2009 at 01:10 pm 1234789830
1234789830

MMmmkay, you're right. I don't agree with Suze there either. I use plastic all the time, but when the situation arises, I do tell my kids about the dangers of it, and what to be careful of. Even with my littlest one, I've said, "You have to be careful!"
Debtfreeme Says:
February 17th, 2009 at 11:27 pm 1234913227
1234913227

My mom alwasy used cash or checks, never writing one unless she knew the money was in the account to pay for it.

What is funny thought is that i taught her how to use her credit card at the gas pumps while on vacation in Arizona/New Mexico in 2001. IT was right before i was leaving for peace corps and we went on a trip together for one last thing to do before i left.

She was worried about keeping enough cash in her purse after i left to come home (she was staying a week longer to see more.) So i taught her how to use her card and she always just kept a few extra dollars in case a smaller station only took cash. I taught her to use the large chains to make sure they would always take the cc.

Now 8 years later she almost always uses the CC for gas and pays it off every couple weeks or so online which is something else i taught her when i returned from peace corps. so much has changed...sniff...i am so proud of my mom!!

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I don't Agree with Suze...

5 Responses to “I don't Agree with Suze...”

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