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Economy Whoas & Paying Self First

March 19th, 2009 at 01:18 pm

Most of my clients have been doing amazingly well. A lot of retired clients with pensions, little affected. The younger working ones seemed to have banner years in 2008 - go figure. Most of them seem to be pretty fiscally conservative in the first place though. Which certainly pays off.

In fact, I have my LAST tax appointment today. Woohoo! No more dressing up extra - hehe. & usually it's impossible to get my regular work done this time of year - but I have more help this year. So I don't feel too slammed or behind (knock on wood). I usually do not enjoy my tax clients so much because I am the type who prefers to work alone behind the scenes - and I get to do that MOST of the time. But this year was pretty easy. I am getting to know my clients well, and even the new ones weren't too critical of my youngness. The social interaction is growing on me.

But yeah, what I wanted to say, was one of my favorite client couples came in the other day and they seemed rather stressed. This surprised me considering the tone of the year thus far, and as I told you all my married clients seemed just fine.

Turns out they own a commercial property that brings in about $75k income annually, which is mostly what they live off of. Their tenant moved out and they are not sure if they can find a new one (considering the millions of square feet of empty retail/business space as I mentioned in a recent blog). Talk about an example of people doing "everything right" and getting screwed over by all this mess. They have owned the property for a very long time (decades) and decided to keep it to live off of in retirement. As they told me this I glanced at their income tax info. Their IRA only had $100k and besides a small amount of investment income, all they had was social security. Thank goodness for that.

I am sure they will be fine. But that was my one really "down and out" client for the year.

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On the financial front, this month is turning out quite spendy. Just lots of little things coming up. It's so crazed with work and all that we have been paying more for convenience - eating out more and such, etc., etc. Since LM is going to preschool 6 hours a week as opposed to the old 18 hours a week, dh is going a little crazy. (& he usually goed crazy regardless). I told him just to send him to the drop-in place a little more. I don't mind putting some of my overtime $$$ towards that. It's easier for me to work more when everyone else is less stressed. But I have the feeling this month will be a bit pricey.

Anyway, usually I think I get more stressed by the home front than anything this time of year. This year has been good. Considering LM was home full-time for about 2 months of it, and it is only NOW that dh is going crazy, I Will consider it a success. Just about one more month - I know we can make it!

Reminds me, I deposited $100 into my checking account from ebay the other day. I haven't updated on it much because I do not know what the NET profit is right now. BUT I know we have been averaging $100/month profit, as planned.

I am also now officially a "pay myself first" gal. I would like to say all that money is going into dh's ROTH, or something spectacular like that. It isn't. But my aggressive savings goals are very doable because of the extra cash. So I will just have to be happy with that.

It's still very different for me. I used to be a "leftover saver" and being quite motivated we could have a lot leftover. But with kids and squeezing more out of less, the "pay self first" thing is the way to go. It's working out far better in our current situation.

I could beat myself up more for not saving more of dh's side income. Then again, I haven't touched our savings for a thing this year. Not for the car repair, for license renewal, or for anything we have purchased. & it would be quite reasonable to (we save up for these kinds of things). So I think in the end we are saving. Will see. I am worried come summer we will splurge more of it. But I guess there are worse things...

I think we will try out the year and see where we are at. If dh really and truly makes $1200 this year, I may consider putting away another $1200 into our ROTHs next year. It's hard, in the meantime, to pay ourselves first with money that is not guaranteed. I was wary how the economy would change things, but business is good. If nothing else, lots of desparate sellers. Dh picks up a lot of stuff at a bargain, and turns around it sells it for a premium. HE simply has the time. With the kids and everything $100/month is reasonable. I am wondering if he can turn this into a $400/month business when the kids are in school. IF so, I don't care if he gets a "Real" job for a long time. If we can fund his ROTH? I'm happy... & well, with more than 6 hours a week, I think he can do more...

1 Responses to “Economy Whoas & Paying Self First”

  1. Caoineag Says:

    Yeah it does seem like the more stressful things are, the easier it is to spend a little money to free up some time. Glad to hear most of your clients are doing well though.

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