Nearly the end of January and since I have the time now but may not tomorrow, thought it would be good to have a quick check-in.
"How am I doing?" is the key question.
OK is the response. See below
2018 Financial Goals (Cash is Queen!)
1) Start tracking spending again. I've started and I'm keeping up with tracking despite the occasional tedious nature of it.
2) 183 No Spend Days. On average I would need about 15 a month and to date in January I have had 19 No Spend Days. Definitely on track and I'm enjoying them once again.
3) Earn $$$ in a side hustle. Been thinking but no action yet.
4) Rewire savings - $75/month (unchanged) Done!
5) G2H-FU savings - $75/month (unchanged) Done!
6) 2nd Home savings - $250/month (unchanged) Done! Plus I had a little extra and so sent a little extra :-)
7) Send $10K to Vanguard (may or may not purchase shares) Early days yet. But I did purchase several BND shares (over $500 worth) and I had a few extra dollars so I sent $25 more to Vanguard at the end of the month.
Not bad thus far. Still need to think a bit more about the side hustle and then take action.
Pru
Tuesday, January 30, 2018
Sunday, January 28, 2018
Links for the week
These are some good ones coming to us from Fidelity. I suggest reading one a day and taking the time to ponder on it.
(The last link has me particularly worried. Tighten the belt, squeeze each penny until it squeaks - I'll be putting money aside to pay down the mortgage later this year or in early 2019 after I get an idea of how the new tax bill really affects me.)
Investors have been favoring bonds over stocks for years
How to survive a stock market bubble
Tax overhaul will have a limited effect on U.S. economy
*This one has lots of links to other articles which could be interesting...but I haven't had a chance to look at them...
As economy strengthens, Fed ponders new approach
It has been a new perfect investing environment. But it may end soon.
The economy is doing great. Here is what could derail it.
One sure-fire prediction for 2018: Americans will take on even more debt
Happy reading!
Pru
(The last link has me particularly worried. Tighten the belt, squeeze each penny until it squeaks - I'll be putting money aside to pay down the mortgage later this year or in early 2019 after I get an idea of how the new tax bill really affects me.)
Investors have been favoring bonds over stocks for years
How to survive a stock market bubble
Tax overhaul will have a limited effect on U.S. economy
*This one has lots of links to other articles which could be interesting...but I haven't had a chance to look at them...
As economy strengthens, Fed ponders new approach
It has been a new perfect investing environment. But it may end soon.
The economy is doing great. Here is what could derail it.
One sure-fire prediction for 2018: Americans will take on even more debt
Happy reading!
Pru
Thursday, January 25, 2018
What if you didn't have it?
Like many people, I carry with me a credit card or two, a bank/ATM card, and some cash. Right now I am giving myself an allowance of $20 each week. This can be used for a coffee, a lotto ticket, a snack, or anything else that comes to mind :-)
Entering 2018 I still had a bit of cash left over so I didn't take out any more money for my allowance. I spent most of the cash on a planned post-holiday dinner with friends leaving me with $7. Last week Tuesday I went to the bank to take out some allowance money. It was after it had closed but I entered to use the ATM. I put my bag down to get my wallet and had the following thought:
What if you didn't have any money?
Most of us have far more than we need. A few do not - but the majority are doing OK. Perhaps not great but okay nonetheless. And while I do have the typical old lady-bag lady fears/nightmares some times, generally I know that I am okay. I have money to pay my bills for several months and I don't really think too hard about my day-to-day spending. Part of the reason is that I am not interested in buying many things (and thus don't) and my income fully covers my needs and wants.
Still, if I want a pack of gum or a coffee, I buy it. It's only a couple dollars, right? Not major, right? I have the money so I spend it.
But what if I didn't have the money? The answer is I wouldn't spend it.
Right now I'm bringing lunch from home which means my grocery money is covering my lunches. I'm not buying snacks (trying hard!) because I really want to take a nice trip this year. And aside from that dinner with friends, I haven't needed to spend money besides my weekend errands (e.g. grocery store) and paying bills.
You wouldn't spend it. With that thought I closed my wallet, put it back in my bag and I left the bank without taking out any money.
It's a thought that has stuck with me for over a week. And I hope it will stay much longer. Realistically, I will take more money out of the bank (did so yesterday). I have specific things that are planned - some needs and some wants and some I'm-not-sure-what-yet. But if it is not a need, and it is not a major want, then I simply don't want to waste cash. Perhaps going to the bank less often, carrying around a tiny amount of money is what I need to do to be more successful.
Pru
Entering 2018 I still had a bit of cash left over so I didn't take out any more money for my allowance. I spent most of the cash on a planned post-holiday dinner with friends leaving me with $7. Last week Tuesday I went to the bank to take out some allowance money. It was after it had closed but I entered to use the ATM. I put my bag down to get my wallet and had the following thought:
What if you didn't have any money?
Most of us have far more than we need. A few do not - but the majority are doing OK. Perhaps not great but okay nonetheless. And while I do have the typical old lady-bag lady fears/nightmares some times, generally I know that I am okay. I have money to pay my bills for several months and I don't really think too hard about my day-to-day spending. Part of the reason is that I am not interested in buying many things (and thus don't) and my income fully covers my needs and wants.
Still, if I want a pack of gum or a coffee, I buy it. It's only a couple dollars, right? Not major, right? I have the money so I spend it.
But what if I didn't have the money? The answer is I wouldn't spend it.
Right now I'm bringing lunch from home which means my grocery money is covering my lunches. I'm not buying snacks (trying hard!) because I really want to take a nice trip this year. And aside from that dinner with friends, I haven't needed to spend money besides my weekend errands (e.g. grocery store) and paying bills.
You wouldn't spend it. With that thought I closed my wallet, put it back in my bag and I left the bank without taking out any money.
It's a thought that has stuck with me for over a week. And I hope it will stay much longer. Realistically, I will take more money out of the bank (did so yesterday). I have specific things that are planned - some needs and some wants and some I'm-not-sure-what-yet. But if it is not a need, and it is not a major want, then I simply don't want to waste cash. Perhaps going to the bank less often, carrying around a tiny amount of money is what I need to do to be more successful.
Pru
Wednesday, January 24, 2018
Another share purchased
Last weekend I found another $100 in the budget that wasn't going to be used and off it went to Vanguard. Then I placed a purchase order for 1 BND ETF share. The cost was $80.73.
Now I am up to 11 BND ETF shares. It's not a lot of shares but each month it is about $1.65 in pre-tax dividends. That's nearly a bag of rice! It seems silly but equating the dividends into something practical like food keeps it real for me. Also, one day they are likely going to be used for something like food. So....if I can hit a number that pays for my entire groceries, utilities, maintenance costs then that would be fabulous. Suppose it's more of a when and not an if since I need to hit that number.
Pru
Now I am up to 11 BND ETF shares. It's not a lot of shares but each month it is about $1.65 in pre-tax dividends. That's nearly a bag of rice! It seems silly but equating the dividends into something practical like food keeps it real for me. Also, one day they are likely going to be used for something like food. So....if I can hit a number that pays for my entire groceries, utilities, maintenance costs then that would be fabulous. Suppose it's more of a when and not an if since I need to hit that number.
Pru
Monday, January 15, 2018
Links for the week and a thought
Below are a few links to read this week from USA Today. These are a few reminders (always good to keep reading the basics) and the last link is a good plan to follow.
One thought that has been rattling about the ole brain is that now is the time to plan for Christmas/end of the year/any other holiday you celebrate :-) I know it is 12 months away but now is the time set a budget and make sure that you are tucking money away with each paycheck. On my end Christmas is usually low key so not too much to plan but I do spend a good amount of money on "thank you" gift cards for various people. In addition to figuring out how much that is going to cost, this year will likely involve a bigger end of year/holiday splash so I need to really focus on setting aside money (a lot more than usual).
I don't track my yearly savings categories on this blog but it is money related so a mention is worth it. I cannot say how wonderful it is to put the money aside throughout the year and then *poof* suddenly December arrives and you can shop (if you so choose) and enjoy yourself without worrying about debt that cannot be paid.
If you do one thing this year, starting to set aside small amounts of money every single time you get paid will make your life so much better. Whether it's for summer camp for the kids, a nice family vacation, Christmas, back-to-school shopping, these are all things that come up every year and have their greedy little hands out trying to grab money from you. Plan ahead when you can and stash the cash!
I'm also thinking about a nice trip this year. Not sure when or where or any of the details but it would be nice to get away. I don't have a lot of extra money to put towards it. All this means is the thinking cap got put on tight and I decided to save money on lunches, coffee, teas etc. For every work day that I bring my lunch, I am putting that money towards a fabulous trip. OK it's not a ton of cash daily which means this trip is probably not happening before June. But it will happen. (If I save between $5-$10/work day, I will save anywhere from $1,000-$2,000 for a nice trip involving a plane ride.)
Think about where money needs to go this year (needs plus a want or two) and then stash what cash you can.
Now on to the links!
3 months resolutions worth getting right
How to start taming your budget busting bills
12 months of smart money moves to end 2018 richer
Happy reading!
Pru
One thought that has been rattling about the ole brain is that now is the time to plan for Christmas/end of the year/any other holiday you celebrate :-) I know it is 12 months away but now is the time set a budget and make sure that you are tucking money away with each paycheck. On my end Christmas is usually low key so not too much to plan but I do spend a good amount of money on "thank you" gift cards for various people. In addition to figuring out how much that is going to cost, this year will likely involve a bigger end of year/holiday splash so I need to really focus on setting aside money (a lot more than usual).
I don't track my yearly savings categories on this blog but it is money related so a mention is worth it. I cannot say how wonderful it is to put the money aside throughout the year and then *poof* suddenly December arrives and you can shop (if you so choose) and enjoy yourself without worrying about debt that cannot be paid.
If you do one thing this year, starting to set aside small amounts of money every single time you get paid will make your life so much better. Whether it's for summer camp for the kids, a nice family vacation, Christmas, back-to-school shopping, these are all things that come up every year and have their greedy little hands out trying to grab money from you. Plan ahead when you can and stash the cash!
I'm also thinking about a nice trip this year. Not sure when or where or any of the details but it would be nice to get away. I don't have a lot of extra money to put towards it. All this means is the thinking cap got put on tight and I decided to save money on lunches, coffee, teas etc. For every work day that I bring my lunch, I am putting that money towards a fabulous trip. OK it's not a ton of cash daily which means this trip is probably not happening before June. But it will happen. (If I save between $5-$10/work day, I will save anywhere from $1,000-$2,000 for a nice trip involving a plane ride.)
Think about where money needs to go this year (needs plus a want or two) and then stash what cash you can.
Now on to the links!
3 months resolutions worth getting right
How to start taming your budget busting bills
12 months of smart money moves to end 2018 richer
Happy reading!
Pru
Saturday, January 13, 2018
Investing Update
The 6 shares of the new bond (BND) ETF are in my account. I paid $487.98 for them.
Also, I have calculated my investments for 2017 and it came to a grand total of $11,456.74. This means that I am on track to reach my 10-year investing goal! For the first two years of my rewire plan, I have invested a total of $23,353.05. Not bad!
For 2017, most of that investment came in the form of one day's trade into a brand new mutual fund for $10,000...all good of course!
I have updated my Actuals page to report all the investments made to date. Also, I removed the actual savings since I hadn't updated that section since 2016 and frankly that is too tedious to keep up with. The savings totals on the Ultimate Goals page will have to suffice.
Next up is the Dividends page and I'm really not looking forward to that :-(
Hope everyone is doing well!
Pru
Also, I have calculated my investments for 2017 and it came to a grand total of $11,456.74. This means that I am on track to reach my 10-year investing goal! For the first two years of my rewire plan, I have invested a total of $23,353.05. Not bad!
For 2017, most of that investment came in the form of one day's trade into a brand new mutual fund for $10,000...all good of course!
I have updated my Actuals page to report all the investments made to date. Also, I removed the actual savings since I hadn't updated that section since 2016 and frankly that is too tedious to keep up with. The savings totals on the Ultimate Goals page will have to suffice.
Next up is the Dividends page and I'm really not looking forward to that :-(
Hope everyone is doing well!
Pru
Thursday, January 11, 2018
Links for the weekend
Just a few articles that I've read this week (from Kiplingers):
Shore Up Your Financial House
Find a Match to Share Your Home
The Impossible Reality of Long Term Care Planning
5 Bargain Vacation Destinations Off the Beaten Track
Happy reading!
Pru
Shore Up Your Financial House
Find a Match to Share Your Home
The Impossible Reality of Long Term Care Planning
5 Bargain Vacation Destinations Off the Beaten Track
Happy reading!
Pru
Sunday, January 7, 2018
First share purchase of 2018
2018 is off to a conservative start! I mentioned in a previous post how I was going to focus more on bonds. After moving about $705 to my brokerage account earlier this week, I just placed an order for 6 shares of the BND ETF. That will bring me up to 10 shares. Will update the brokerage account page next weekend with exact share amounts etc.
I also went ahead and reallocated some of the shares in my retirement account so that I have more bond exposure. While I do not expect to touch these monies for some time (well until the nanosecond that I officially retire), I think I would probably not feel very well (i.e. I would probably vomit) if the market went south and I saw a significant reduction in value.
Bonds are not sexy but they are supposed to help you sleep a little better at night. Only time will tell.
I should also note that I do have other funds in my brokerage account that I do not track here. Technically the monies I transfer can be used to purchase shares in those funds. Since I am tracking my money market fund (where the initial money transfers go) thought it good to mention. Guess I'll go add another comment to that page...
Have a good week!
Pru
I also went ahead and reallocated some of the shares in my retirement account so that I have more bond exposure. While I do not expect to touch these monies for some time (well until the nanosecond that I officially retire), I think I would probably not feel very well (i.e. I would probably vomit) if the market went south and I saw a significant reduction in value.
Bonds are not sexy but they are supposed to help you sleep a little better at night. Only time will tell.
I should also note that I do have other funds in my brokerage account that I do not track here. Technically the monies I transfer can be used to purchase shares in those funds. Since I am tracking my money market fund (where the initial money transfers go) thought it good to mention. Guess I'll go add another comment to that page...
Have a good week!
Pru
Links for the week
Just a few articles that I've been reading from Kiplingers:
Job Growth Becoming More Sustainable
3 Financial Moves to Make as a New Year Gets Underway
12 Smart Financial Moves For the New Year
Right Now Is The Right Time To Prepare for the Next Bear Market
26 Ways the New Tax Law Will Affect Your Wallet
Review Your Portfolio in 3 Easy Steps
Happy Reading!
Pru
Job Growth Becoming More Sustainable
3 Financial Moves to Make as a New Year Gets Underway
12 Smart Financial Moves For the New Year
Right Now Is The Right Time To Prepare for the Next Bear Market
26 Ways the New Tax Law Will Affect Your Wallet
Review Your Portfolio in 3 Easy Steps
Happy Reading!
Pru
Monday, January 1, 2018
Happy New Year!!!
May 2018 bring us all health, wealth and joy!
Slowly getting back on this wagon...and realizing there is a lot that I need to update on the site. Bear with me if you are following along this journey. I may try to simplify some of the information that I am providing just to make it easier on myself :-) because I am already expecting 2018 to be a very busy year. Also, I've decided to turn off reader comments while I am updating the site since I really do not have much time to respond to them. They will be turned back on though because I did so much enjoy commenting with the readers.
Now getting down to some business (I can be so wordy at times!)... While I stopped blogging last year, I continued to make my deposits to savings and investments and overpay my mortgage.
My Brokerage Acct Portfolio page is updated and you will notice that I added a new mutual fund and a new ETF.
Ultimate Goals and KILL My Mortgage!!! are updated as best I can. I will eventually go back and fill in the mortgage payments and overpayments plus I need to calculate how much cash I invested this year. (It is over $10K since that was the minimum purchase price for the new mutual fund I selected.) But it involves going through some paperwork (online but still...) so that will not be happening today.
On to goals for 2018! Not all of them will be tracked on this blog but this will give you an idea of where my head is. Firstly, I want to say that I am still somewhat uncomfortable about where the stock market is and where it is going. It simply cannot keep going up up and up. While I have continued to send money to Vanguard, I am not buying much with that money. Instead it is sitting in the money market fund (I have now added that line item to the brokerage accounts page). I would like to have a good amount of cash sitting there for when the inevitable happens and I can purchase some shares on sale! However, I am going to be buying more of the bond ETF this year.
2018 Financial Goals (Cash is Queen!)
1) Start tracking spending again. It got a bit tiresome in 2017 with everything else going on. Haven't been spending crazily but I'd like to know where the pennies are going.
2) 183 No Spend Days. Yup these are back and definitely needed for a bit of mental calm.
3) Earn $$$ in a side hustle. Time to start one!
4) Rewire savings - $75/month (unchanged)
5) G2H-FU savings - $75/month (unchanged)
6) 2nd Home savings - $250/month (unchanged)
7) Send $10K to Vanguard (may or may not purchase shares)
What is not on this list is to overpay the mortgage. With the new tax bill I'm not sure if I should be overpaying. Instead a lot of my money will just be sitting in savings for most of the year. (I expect to be significantly impacted by the tax bill and not in a good way. I am basically in a wait and see period and will just be holding on to cash until the dust settles.)
I am also hoping to switch jobs so hanging on to some cash due to the uncertainty of my job situation is important.
That's it! It's more of the same but with a focus on saving as much cash as possible and tracking expenses more closely. Not fun but it is my reality. No use in not facing it.
Hope everyone is looking forward to this year and making their own financial goals!
Pru
Slowly getting back on this wagon...and realizing there is a lot that I need to update on the site. Bear with me if you are following along this journey. I may try to simplify some of the information that I am providing just to make it easier on myself :-) because I am already expecting 2018 to be a very busy year. Also, I've decided to turn off reader comments while I am updating the site since I really do not have much time to respond to them. They will be turned back on though because I did so much enjoy commenting with the readers.
Now getting down to some business (I can be so wordy at times!)... While I stopped blogging last year, I continued to make my deposits to savings and investments and overpay my mortgage.
My Brokerage Acct Portfolio page is updated and you will notice that I added a new mutual fund and a new ETF.
Ultimate Goals and KILL My Mortgage!!! are updated as best I can. I will eventually go back and fill in the mortgage payments and overpayments plus I need to calculate how much cash I invested this year. (It is over $10K since that was the minimum purchase price for the new mutual fund I selected.) But it involves going through some paperwork (online but still...) so that will not be happening today.
On to goals for 2018! Not all of them will be tracked on this blog but this will give you an idea of where my head is. Firstly, I want to say that I am still somewhat uncomfortable about where the stock market is and where it is going. It simply cannot keep going up up and up. While I have continued to send money to Vanguard, I am not buying much with that money. Instead it is sitting in the money market fund (I have now added that line item to the brokerage accounts page). I would like to have a good amount of cash sitting there for when the inevitable happens and I can purchase some shares on sale! However, I am going to be buying more of the bond ETF this year.
2018 Financial Goals (Cash is Queen!)
1) Start tracking spending again. It got a bit tiresome in 2017 with everything else going on. Haven't been spending crazily but I'd like to know where the pennies are going.
2) 183 No Spend Days. Yup these are back and definitely needed for a bit of mental calm.
3) Earn $$$ in a side hustle. Time to start one!
4) Rewire savings - $75/month (unchanged)
5) G2H-FU savings - $75/month (unchanged)
6) 2nd Home savings - $250/month (unchanged)
7) Send $10K to Vanguard (may or may not purchase shares)
What is not on this list is to overpay the mortgage. With the new tax bill I'm not sure if I should be overpaying. Instead a lot of my money will just be sitting in savings for most of the year. (I expect to be significantly impacted by the tax bill and not in a good way. I am basically in a wait and see period and will just be holding on to cash until the dust settles.)
I am also hoping to switch jobs so hanging on to some cash due to the uncertainty of my job situation is important.
That's it! It's more of the same but with a focus on saving as much cash as possible and tracking expenses more closely. Not fun but it is my reality. No use in not facing it.
Hope everyone is looking forward to this year and making their own financial goals!
Pru
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