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About Me:

Monkey Mama

Just a 47-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.

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
...($156 @ 6/30/24)
...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
MM YEAR 5

DL YEAR 1 ✔
DL YEAR 2
DL YEAR 3

[ ]$10,000 to savings
...($7,121 @ 8/31/24)
...$1,000/month, plus interest
...Topping off with snowballs

[ ]$7,500 to investments
...($3,691 @ 8/31/24)
...~~$350~~ $400/month, plus snowflakes
(Snowflakes: credit card rewards and dividends)
...Topping off with snowballs
...Note: Bumped up to $400 9/1, re: reduced food expenses

[ ]$2,025 to mortgage
...($0 @ 8/31/24)
...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% @ 8/31/24)
...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 @ 8/31/24)
...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.

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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>
2023: +$ 90,000
TOTAL: +$570,000

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

2022 Goals Met

January 2nd, 2023 at 02:16 pm

I am memorializing goals in my sidebar. I kind of like the format I used last year, so will stick with that.

Pay cash for college ✔

$10K to Savings ✔

Final tally was $11,412. The plan was to use this money to pay cash for college. At the end of 2022 we had roughly -$0- cash plus emergency funds. So that's about how it sorted out. That we had just enough to cash flow college.

$2K to Investments ✔

Funded with snowflakes.

I topped off with $100 from MH's income, to make the full $2K.

9% Income to Work Retirement Plans ✔

MH and I both contribute the minimum for 401k match. The 9% includes employer contributions.

$12,000 to IRAs 2022 ✔

Done. We won't fund until we do our taxes and the year is over. But we did end the year with an extra $12K set aside for IRAs. This is mostly thanks to annual cash gift from in-laws.

Bonus Goal that wasn't in my sidebar:

Extra to Mortgage ✔

We threw my bonus and gift money ($8,000) to the mortgage to pay down the balance to $99,999. Woohoo!

The $8,000 extra payment shaved off 1 year of payments and $4,600 interest.

Why $8,000? I did want to hit the psychological milestone of being done with six figure debt. But this also puts us down to a total of 32 years of mortgage on our current home. While my bare minimum goal is to knock that down to 30 years, the recent big chunks will allow me to put the mortgage on the back burner during these college years. I can whittle down the last two years with much smaller snowballs. I guess my bigger goal is to not (feel the need to) throw bigger chunks to the mortgage for a while. This goal was satisfying on many fronts.

This was just more of a hope or a wish, versus anything that we would have been able to achieve with our income. It wasn't on my sidebar, accordingly.

Edited to add: We ended up funding only one IRA in 2022 ($6,000). I used the other $6,000 for Invisalign for myself. It was a rather last minute decision in early 2023. I would have done this instead of the mortgage, if I had known sooner. I wanted to reflect in goals, but as I type it out, the money was saved. It was just redirected at the last minute.

Posted in Saving, Just Thinking, Budgeting & Goals, Investing, Home Ownership, Financial Independence by 50, College | 1 Comments »

1 Responses to “2022 Goals Met”

VS_ozgirl Says:
January 2nd, 2023 at 09:22 pm 1672694533
1672694533

Congratulations on getting the mortgage down to $99,999! That would be a great feeling (it was for us in our last house!).

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2022 Goals Met

1 Responses to “2022 Goals Met”

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