dcsimg The Get Rich Slowly Forums • View topic - Need ideas for goals

  GRS Home  Forum Home
Bank Rates Center
   Savings Account Rates
   Money Market Rates
   Highest CD Rates
Insurance Rates Center
  Auto           Health
   Life              Home
Mortgage Rates Center
  Mortgage Rates
  Mortgage Quotes

Last visit was:
A place for Get Rich Slowly readers to ask questions
and exchange ideas
It is currently Sat Nov 22, 2014 8:37 pm




Post new topic Reply to topic  [ 4 posts ] 
Author Message
 Post subject: Need ideas for goals
PostPosted: Thu Jun 28, 2012 12:01 pm 

Joined: Thu Jun 28, 2012 11:44 am
Posts: 1
I'm 24, make about 42,000/yr and my expenses/savings are as follows:

savings:6000
roth:6000
401k: 6000
other investments: 2000

big monthly expenses/income :
rental income: 550
mortgage: 1200 - 65/month additional payment

I'm currently putting away 18% of my salary a month- 12% pretax 6% roth. Goal is to put an additional $5k a year into an additional roth fund. An additional 20% comes out of aftertax income for personal investing.
I'm looking at other investment options- seriously considering an investment property. I'm also looking at cutting spending and expenses wherever possible. Any ideas or suggestions? Am I on the right track towards financial independence?


Top
Offline Profile E-mail   
 Post subject: Re: Need ideas for goals
PostPosted: Thu Jun 28, 2012 12:23 pm 

Joined: Wed May 30, 2012 11:56 am
Posts: 134
You're 24, saving for retirement and other purposes - that right there is a huge step to financial independence. To me you're mortgage does look high compared to your income, especially given how much you're trying to save and invest, but it also looks like you're renting out part of the house to make up for some of that?

One thing that stands out is you list savings but nothing about an emergency fund. I know you're eager to get your money working for you but if an emergency does come up having cash on hand to deal with it is a great way to deal with the emergency, both financially and emotionally. How much you keep is up to you and your comfort level and also depends on your monthly expenses, what potential liabilities you have, etc.

One more thing - Taking control of your finances and financial future is great, but don't forget to enjoy yourself. Make sure you do have some fun money set aside, set some goals that don't involve saving or investing, and recognize that you're doing well.


Top
Offline Profile E-mail   
 Post subject: Re: Need ideas for goals
PostPosted: Thu Jun 28, 2012 3:30 pm 

Joined: Mon Feb 04, 2008 7:35 am
Posts: 1148
Location: Maryland
Do you have a car? Will you need a new one soon? A car fund or a maintenance fund may be a good idea, but I'm with catchingup, you should probably boost your emergency fund while you can, and then start putting money towards whatever goals/wants you have.

I'm guessing the 6k in your Roth is from previous years, and this year you want to put 5k in for your 2012 contribution. The limit is 5k per year.

While you're young, save, save save but definitely have fun. Hobbies? Lifelong dreams?


Top
Offline Profile   
 Post subject: Re: Need ideas for goals
PostPosted: Thu Jun 28, 2012 7:45 pm 
User avatar

Joined: Thu May 17, 2012 10:05 am
Posts: 1134
pennypincher wrote:
I'm 24, make about 42,000/yr and my expenses/savings are as follows:

savings:6000
roth:6000
401k: 6000
other investments: 2000

big monthly expenses/income :
rental income: 550
mortgage: 1200 - 65/month additional payment

I'm currently putting away 18% of my salary a month- 12% pretax 6% roth. Goal is to put an additional $5k a year into an additional roth fund. An additional 20% comes out of aftertax income for personal investing.
I'm looking at other investment options- seriously considering an investment property. I'm also looking at cutting spending and expenses wherever possible. Any ideas or suggestions? Am I on the right track towards financial independence?


At 24 you're doing great man! You're on the way to being really successful! In this market rental/investment properties might be a good idea. Especially if you can get foreclosures.

Check out this thread for ways to save money.

I. Suggestions for Savings Accounts:

I have Emergency Funds Accounts for my E-Fund.

Savings - Emergency raise to $10,000? (3-9 months of expenses?)
Savings - Purchases? $2000 (New laptop? Golf Clubs? Furniture? Big Screen TV? What's your hobby?)
Savings - New Car $5,000? $10,000? (Used?)
Savings - New Roof/Central AC Unit $20,000? (Needs to be repaired/replaced every 10-20 years or so I hear?)
Savings - Car Repairs/Mantenance $1000?
Savings - Medical? $2,000? (Our goal is to have enough to meet our deductables for each year)

II. A few questions:

1. When was the last time you got a quote for car and home insurance?

2. Any way to cut costs on your cable/satellite bill? Have you tried Netflix or Redbox? Or the local library for movies?

3. Have you considered brown bagging it (taking food from home) to work a few times a week?

4. What kind of rewards do you have on your debit/credit cards?

5. When was the last time you called your cell phone/internet provider and asked for a promotion/discount?

Hope this helps ;)

_________________
~ Eagle


Top
Offline Profile E-mail   
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 4 posts ]  Moderators: kombat, bpgui, JerichoHill, Fiscal Fitness Moderator


Who is online

Users browsing this forum: Google Adsense [Bot] and 6 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to:  
Powered by phpBB © 2000, 2002, 2005, 2007 phpBB Group
Theme created StylerBB.net & kodeki