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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.

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

**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

Monday Monday

February 7th, 2011 at 08:47 pm

Lunch In: 4
Lunch Out: 1

Breakfast - granola bar
Lunch - Leftover pasta casserole (from last week)
Snacks - TBD

Dinner - TBD

I know everyone thinks I am super organized and I plan plan plan. Well, organized, sure, I guess. But I think my life philsophy is more *keep it simple* than *plan plan plan*.

Anyway, as usual, I just grabbed something to eat on my way out the door. This works just fine for me. All that I really saw in the fridge was leftovers from last week. So that was my lunch.

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

TV was interesting over the weekend.

**SUZE - What a great episode Suze did. Did anyone watch? Did you love that letter that realtor wrote to Suze? Berating Suze for telling viewers they can't afford mortgages. The realtor said that you don't need a good FICO or more than 3.5% down for a mortgage - and so many people profit from these mortgages - brokers, appraiser, realtors, etc., etc. People need to take on these mortgages to keep the economy afloat! The letter was so self serving, and Suze said to consider the motives of those who encourage you to buy things.

Seems like basic common sense, doesn't it? Consider the motives of others when they give you financial advice.

Likewise, I have commented many times on this blog how absolutely insane the real estate market here is (Sacramento). While just about everyone I know has foreclosed or is on the verge of foreclosure, people all over the world are swooping in to snatch up real estate at *rock bottom lows.* Let's back the truck up here. Real estate may have feel 50% overnight, but it went up 100% overnight, immediately beforehand. The thing is, Sacramento real estate has never been particularly valuable, except when people were taking on mortgages worth 10 times their income. The people who are buying don't understand the market at all. They think prices are super low, when they are actually on the high side, really.

All I see is a new bubble reforming before the old one had even finished deflating.

Likewise, the VERY FEW people I know who did not foreclose, are all running out to buy their first homes, or real estate investments with little money down. EVERYONE. So I have said quite a few times, "Has anyone learned a thing?!?"

Anyway, Suze touched on this. She is the first person I have seen vocalize those concerns. She specifically used the word *bubble* in regards to the prevalence of 3.5%-down FHA loans and the real estate market.

Again, seems like basic common sense, doesn't it?

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

**'Til Debt Do Us Part

I watched the episode with the guy with the $700/month truck payment.

Boy, I thought Gail was awfully nice to that guy!

When she told him to settle for a *gasp* $400/month payment (very generous, don't you think?) he literally cried and had a little hissy fit about that. He blurted out that truck was the ONLY thing he had bought for himself since having a family (resentful, much?).

Gail told him to live in his truck for a weekend (hey - you love your truck so much...). That was probably genius. BUT, she caved a bit and told him to rework the budget while he was in the truck, if it meant that much to him.

I think that was an important move to get him on board. The point of frugality is not being deprived. BUT, I think her caving in a bit glossed over the point she initially was trying to make that his truck seemed more important to him than his family.

Of course, the very end was warm and fuzzy, he kept his truck, and they did well enough to get the full $5k from Gail.

I can't help but wonder if a large percentage of these families don't learn anything and start back at square one. I'd find it more interesting if they actually followed up on some of these families.

I think it is possible for some people out there to prioritize, and even lease a $700/month truck while being fiscally sound. But, I just didn't see it with this family. The truck was a very big emotional symbol for some deep seated issues between the husband and wife. I just don't think he really *got it*.

Posted in Just Thinking, What We Eat | 6 Comments »

6 Responses to “Monday Monday”

PNW Mom Says:
February 7th, 2011 at 08:56 pm 1297112186
1297112186

I love Til Debt Do Us Part.....I was pretty horrified with guy who had the $700/mo lease on his truck. Yikes! Our mortgage is $961/mo! I also wish they would do some kind of follow up on these folks....would love to know how many of them are on their way to being debt free or who went right back to their bad habits and are now in the same boat they were before.
MonkeyMama Says:
February 7th, 2011 at 11:19 pm 1297120764
1297120764

PNW - I think that was part of it that I just couldn't get past. $700/MONTH on a TRUCK??? I'd spend that much on a house. We spend that much on health insurance? But I just couldn't fathom spending that kind of money on anything else!
ThriftoRama Says:
February 7th, 2011 at 11:57 pm 1297123061
1297123061

Just hearing someone talk about a car note that high makes me feel nauseous.
SavingBucks Says:
February 8th, 2011 at 06:17 am 1297145834
1297145834

I love that show, but missed the last one. I do feel that is one is responsible and can afford the amount, so be it. DH had to have a particular truck a few years back so I can personally relate - but with a responsible twist. We purchased a new 2005 Chevy truck with zero down and 0% interest for 2 years. For us that was both a no-brainer and $700 monthly. But we had no debt otherwise.
Freckles Says:
February 8th, 2011 at 11:09 pm 1297206551
1297206551

Actually, there have been a few "Where Are They Now" webisodes filmed; you can find them on www.slice.ca

Take note - this is a Canadian website so you may or may not be able to view the videos (as we Canadians cannot sometimes view videos on US websites).

So ....

www.slice.ca, then click on "videos" on the top right of the page, then along the left are shows, click on Til Debt Do Us Part. It has 8 seasons worth of full episode videos, plus the "WATN?" webisodes I mentioned.

If you aren't able to access the videos, here's an update on Eryk & Selena, the couple you spoke of. In the 3-4 years since they filmed their show, they cut their debt from 40k to 10k, moved a few more times, Selena had another baby, Eryk lost his job and was driving a taxi to pay the bills. BUT, after the update webisode was filmed, Eryk lost that job and he and Selena separated.
Looking Forward Says:
February 9th, 2011 at 05:57 am 1297231075
1297231075

Darn I missed all my regular Saturday night shows due to being at the in-laws, and it sounds like they were especially good.

DH and I have wondered many times about what has happened to the Debt Do You Part people. I will have to check out the above website when I get time.

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6 Responses to “Monday Monday”

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