MedSaver's Journal
Re: MedSaver's Journal
Hi Fish,
Sorry my reply is tardy. I haven't checked back in for a long time. Thanks for your encouragement. I'm surprised you think our expenses are reasonable. Compared to most people on here my numbers seem reckless. My colleagues vary from very spendy to very frugal so I fit in ok. Most of them do seem surprised that we haven't bought a house, but then again, they don't really know we are planning on FIRE within a decade... We plan to purchase a house within 5 years in the location we want to eventually end up. We plan on keeping that home for a long time.
Sorry my reply is tardy. I haven't checked back in for a long time. Thanks for your encouragement. I'm surprised you think our expenses are reasonable. Compared to most people on here my numbers seem reckless. My colleagues vary from very spendy to very frugal so I fit in ok. Most of them do seem surprised that we haven't bought a house, but then again, they don't really know we are planning on FIRE within a decade... We plan to purchase a house within 5 years in the location we want to eventually end up. We plan on keeping that home for a long time.
Re: MedSaver's Journal
January 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $37,037
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $122,977
Assets:
IRA/Brokerage/403b/457/cash: $715,653
Net:+$555,639
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $37,037
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $122,977
Assets:
IRA/Brokerage/403b/457/cash: $715,653
Net:+$555,639
Re: MedSaver's Journal
I think it's important to take things in context. If you count debt repayment as savings and subtract out the 20k for the wedding, your 2017 expenses add up to 117k. Compared to your household net income of 300k (which doesn't even include pretax retirement savings?), that's a savings rate of 61% which I find respectable even if the denominator is high. The core expenses (everything except student loans, travel, and the ominous "other") add up to 51k. While this isn't going to win you any frugal awards, it shows that you haven't overextended yourself in your lifestyle relative to income. There are lots of ways to earn 51k besides doctoring. For 300k you only have one option. Assuming you can cut the travel and "other" completely in a hardship situation, you even have 10+ years saved up if you were both to lose your jobs. And still have money in the budget to pay someone else to do the cleaning.
If reducing expenses is a goal, you can try what Scott 2 is doing in his journal and track the categories you're trying to cut. Quantifying what is going into "other" would be a start.
Re: MedSaver's Journal
I appreciate your insights Fish. We can certainly cut expenses if required in a hardship situation. As far as the "other" category, it is fully quantified but would be tedious to report (and read) e.g. Spotify $10, newspaper $15,etc.
Re: MedSaver's Journal
February 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $35,893
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $119,441
Assets:
IRA/Brokerage/403b/457/cash: $698,752
Net:+$543,418
Took a little hit from the stock market correction.
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $35,893
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $119,441
Assets:
IRA/Brokerage/403b/457/cash: $698,752
Net:+$543,418
Took a little hit from the stock market correction.
Re: MedSaver's Journal
You're doing great. Nice progress on paying down the student loans.
And yes, unfortunately as far as the stock market is concerned, stock values are roughly back where they were at the beginning of January. Oh well... At some point, that will recover.
And yes, unfortunately as far as the stock market is concerned, stock values are roughly back where they were at the beginning of January. Oh well... At some point, that will recover.
Re: MedSaver's Journal
March 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $34,655
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $115,883
Assets:
IRA/Brokerage/403b/457/cash: $678,871
Net:+$528,333
Losses in the stock market continue to mount. Additionally, our tax bill was almost an additional $20k (the marriage penalty is real)...
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $34,655
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $115,883
Assets:
IRA/Brokerage/403b/457/cash: $678,871
Net:+$528,333
Losses in the stock market continue to mount. Additionally, our tax bill was almost an additional $20k (the marriage penalty is real)...
Re: MedSaver's Journal
I hope you're okay with the turbulent market? I know I am, but I do have a bit less skin in the game than you do.
Re: MedSaver's Journal
I'm ok with turbulence or even a recession. If anything, it's time to buy more. It's a weird feeling having swings of tens of thousands of dollars every day though.
Re: MedSaver's Journal
April 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $33,465
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $112,308
Assets:
IRA/Brokerage/403b/457/cash: $706,942
Net:+$561,169
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $33,465
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $112,308
Assets:
IRA/Brokerage/403b/457/cash: $706,942
Net:+$561,169
Re: MedSaver's Journal
May 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $32,263
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $108,707
Assets:
IRA/Brokerage/403b/457/cash: $777,170
Net:+$636,200
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $32,263
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $108,707
Assets:
IRA/Brokerage/403b/457/cash: $777,170
Net:+$636,200
Re: MedSaver's Journal
The majority (>$50k) was through my retirement plan for work (funded once per year). The balance is regular monthly savings, paying off student loans and market returns.
Re: MedSaver's Journal
June 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $32,072
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $105,120
Assets:
IRA/Brokerage/403b/457/cash: $787,262
Net:+$650,070
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $32,072
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $105,120
Assets:
IRA/Brokerage/403b/457/cash: $787,262
Net:+$650,070
Re: MedSaver's Journal
Making progress... Nice!
I hope life's okay, too?
I hope life's okay, too?
Re: MedSaver's Journal
Life is ok. I have my health.
Re: MedSaver's Journal
July 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $31,136
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $102,241
Assets:
IRA/Brokerage/403b/457/cash: $816,749
Net:+$683,372
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $31,136
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $102,241
Assets:
IRA/Brokerage/403b/457/cash: $816,749
Net:+$683,372
Re: MedSaver's Journal
Jan 2016 you had $256796 of assets and $279k of debt. So in those 2.5 years you have reduced debt by $146k and you have grown your net worth by $560k-ish. Total growth of $700k+, partially from income, partially from the stock market. Well done.
Your aim is to have $3 million to $4 million. Seems like that should be doable within the next decade. In the beginning you said that both your wife and you plan to continue to work once you reach this number, so for me that would mean that you can call yourself FI when you reach $3 million, because the growth to $4 million (and beyond) will happen anyway.
Good luck!
Your aim is to have $3 million to $4 million. Seems like that should be doable within the next decade. In the beginning you said that both your wife and you plan to continue to work once you reach this number, so for me that would mean that you can call yourself FI when you reach $3 million, because the growth to $4 million (and beyond) will happen anyway.
Good luck!
Re: MedSaver's Journal
Hi DutchGirl,
Yes, we are doing pretty well so far. Digging out of this giant debt hole hasn't been a fun experience though.
Yes, we are doing pretty well so far. Digging out of this giant debt hole hasn't been a fun experience though.
Re: MedSaver's Journal
August 2018 Update
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $29,963
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $93,743
(I will be making a couple of higher payments on this debt, which is why it has fallen faster than usual.)
Assets:
IRA/Brokerage/403b/457/cash: $845,027
Net:+$721,321
Liabilities:
Credit cards = $0
Mrs. MedSaver loans
Total student loans (5 year fixed 3.5%) = $29,963
MedSaver loans
Student loans blended (5 year ~3.5% fixed) = $93,743
(I will be making a couple of higher payments on this debt, which is why it has fallen faster than usual.)
Assets:
IRA/Brokerage/403b/457/cash: $845,027
Net:+$721,321