<< Back to all Blogs

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.

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

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.

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

**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.

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

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."}

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

My Pages

A Debt Debate...

June 25th, 2010 at 06:27 pm

I just thought this was interesting.

I saw this discussion a while ago:

http://gracefulretirement.blogspot.com/2010/02/are-we-failin...

It was in reference to the "Blogging Away Debt" blog which was featured here in the past. (Maybe still is, but haven't seen it in a while).

She wanted to delay her debt repayments to go on a very pricey trip to Europe with her family.

So, today I saw this post:

http://www.bloggingawaydebt.com/2010/06/financial-waffling/

I just wanted to gag reading all the comments on the post.

The jist of it being: "You only live once - do it do it do it!"

Having been debt free (except mortgage) my entire life, I just can't take the side of said blogger. Being debt free buys you tremendous freedom and opportunity. I don't buy that putting off that freedom for a trip that "can't wait one year," makes any financial sense. A little patience means you can have your cake and eat it too. I am pretty much agreement with most of the commenters on the first blog post I linked. (& as they allude to - there is MUCH more to the story, like unsteady employment).

That said, I don't think one trip will necessarily make or break them. I don't think it's 100% black and white. These comments run extreme both ways, but not much middle ground.

IT doesn't really matter what I think. I didn't share this debate last time, because she seemed to have been beat up enough by the blogosphere. I just had to gag when I saw 20 comments cheering her on today, with no dissent.

I suppose I find it interesting how different of a mindset people can have on the same subject.

I just don't think it is so black and white. I have personally given up many expensive travel opportunities, with little regrets. I don't think any were "once in a lifetime," in nature. & it doesn't mean I have never made my passions a priority. In fact, traveling is not much of a passion of mine.

If traveling is her passion, or this is truly, "once in a lifetime," so be it. I just find myself a little skeptical. You do only live once, but it doesn't mean you should live recklessly and give in to every whim.

Posted in Just Thinking | 2 Comments »

2 Responses to “A Debt Debate...”

ceejay74 Says:
June 25th, 2010 at 08:40 pm 1277498455
1277498455

There actually was one comment on the second post that wasn't black or white. The woman simply said it was about priorities. For her, the main priority was not to work one more minute than she had to before being able to stay at home with her kids, so an expensive trip wouldn't be as important. But for someone who really gets uplifted by travel, it could be a worthwhile expense. I was at least encouraged that she mentioned the money was already saved up for the trip.

That's kind of my philosophy; if something is going to make us really happy, and we can pay cash for it and still put at least a little extra toward debt and into savings, I will go ahead and do it, even though I do know it's slowing my financial progress. However, I won't do something that sets us back; if we would actually lose ground or stagnate, then it's not worth it to me. Slowing my progress without stalling completely--maybe it's OK, depending on the individual situation.
MonkeyMama Says:
June 25th, 2010 at 08:46 pm 1277498811
1277498811

Oooh - interesting. I totally missed that one (I thought I had read them all). So, I found her comment. Which I identify with 100%.

I think it's part of the reason I am having trouble relating to the rest of the comments. Having kids, nothing else is really more important, to me.

(Note: If you were logged in, we could automatically fill in these fields for you.)

Name:	*
Email:	Will not be published.
	Subscribe: Notify me of additional comments to this entry.
URL:
Verification:	* Please spell out the number 4. [ Why? ]

vB Code: You can use these tags: [b] [i] [u] [url] [email]

Monkey Mama*s Monkey Money Blog

Over Prepare, Then Go With The Flow

A Debt Debate...

2 Responses to “A Debt Debate...”

Leave a Reply