Jiimmy's Journal

Where are you and where are you going?
Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Richardse wrote:
Tue Apr 06, 2021 7:16 am
I think this is great that you track your personal finances and encourage others to do the same. I even noticed that you donate some money to charity too. I know that some people think that tracking their finances is pointless, and that you can see anything on your bank statement. I learned about this when I was searching for some info on how to read forex charts. From the information I found, I learned how crucial it is to track your income and expenses. I tried to use this advice for my personal finances too. I realized that I spend too much money on some pointless stuff. It made me reconsider my attitude towards spending.
Hi Richardse! I'm glad you're getting something out of my journal, that's awesome.

I think tracking spending is vital to achieving FI. If you don't know where your money is going, or don't even know how much you spend, then it's going to be tough to change your behaviors, and to make sure your spending aligns with your priorities and goals.

Also, cutting spending is incredibly powerful in speeding you towards FI. It's an instant win, your savings rate goes up and your net worth target drops too. I often think to myself "If I could figure out how to cut my spending in half, I'd be FI now".

Charity is important to me. I feel fortunate to have a huge income (from a global perspective) and I feel like it's a small sacrafice to give some money away that can reduce suffering in others. The majority of my charity dollars go to Givewell, which funnels funds to causes that save the most lives per dollar.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

April was an outlier both on the income and expense side. It was a rare three paycheck month, and I also un-did some prior consumption (i.e. sold something). Unfortunately I don't think I can repeat this as I can't think of anything else that I own that is valuable, unnecessary, and unused. I guess a case could be made for one of my two kidneys.

After tax income: $6.4k
Spending: $0.8k

The market was extra friendly, so the NW increased by nearly $12k, from $182,975 to $194,917. That's pretty crazy when you think about it. The gain from this one month could cover a year of my expenses after I quit and find other, less expensive, living quarters.

Image

Image

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Life is going well. Hiking adventures, hanging out with friends, vaccinated, and still am allowed to work from home full time. I'm beginning to wonder when/if they'll recall me back to the cube farm.

May
After Tax Income: $4,333
Spending: $1,475
Savings Rate: 66%
Net Worth Change: $194,917 to $199,915 (+$4,998)

Year to date
After Tax Income: $25,129
Spending: $6,456
Savings Rate: 74%
Net Worth Change: $165,589 to $199,915 (+$34,326)

Image

Image

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Life is good. Making daily progress towards my goals, financial and otherwise (health, fitness, relationships, language, etc).

June
After Tax Income: $4,333
Spending: $1,393
Savings Rate: 68%
Net Worth Change: $199,915 to $204,761 (+$4,846)

Year to date
After Tax Income: $29,463
Spending: $7,850
Savings Rate: 73%
Net Worth Change: $165,589 to $204,761 (+$39,172)

Image

Image

A bonus screenshot this month, a breakdown of year to date spending:

Image

On pace for a sub 16k spend, which would make me happy.

Rent will be going up to $775 soon, from $750. That's the first increase since I moved in almost 4 years ago. Not bad!

I'm one of the odd people who count a car's depreciation as an expense, instead of all at once when it's purchased. I've been depreciating it at $40/month for several years. It will be fully depreciated down to its salvage value of a few hundred bucks in about 10 months. It's really worth ~$2k, but who's counting.

I continuously remind myself that one JAFI spending is (a) totally possible for me and (b) would mean I'm inches away from FI if I'd achieve it.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

I liquidated a few accounts that didn't really have a purpose, which was fun.

Here's what they looked like at the beginning of the year:

Image

And today:

Image

Looking forward, once I leave the job the pension will be liquidated and rolled into the taxable account, HSA1 will be liquidated and rolled into HSA2, and I'm not totally sure on this, but think I'll begin spending down the 457b. So at some point I may just have a Roth, Taxable, and HSA.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

I've been enjoying the summer, can't believe it's already August. I recently donated all but one work outfit, as they've just been hanging in the closet for 16 months. That felt good. If they mandate a return to the office I'm going to begin a semi-fire phase, with some part-time/seasonal/low-key employment here and there.

July
After Tax Income: $4,934
Spending: $1,381
Savings Rate: 72%
Net Worth Change: $204,761 to $208,983 (+$4,222)

Year to date
After Tax Income: $34,396
Spending: $9,231
Savings Rate: 73%
Net Worth Change: $165,589 to $208,983 (+$43,394)

Image

Image

Western Red Cedar
Posts: 1205
Joined: Tue Sep 01, 2020 2:15 pm

Re: Jiimmy's Journal

Post by Western Red Cedar »

Jiimmy wrote:
Sun Aug 01, 2021 8:22 pm
I've been enjoying the summer, can't believe it's already August. I recently donated all but one work outfit, as they've just been hanging in the closet for 16 months. That felt good. If they mandate a return to the office I'm going to begin a semi-fire phase, with some part-time/seasonal/low-key employment here and there.
Good on you for donating your work clothes. I still have a good portion of my wardrobe dedicated to office attire. I should really start downsizing some of that as I'm working in board shorts and a t-shirt almost every day.

Are you going to try to negotiate WFH if they mandate a return, or just walk away? Either way, it looks like you are in a position of strength, which is a great place to be.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

I'd been fantasizing about donating the work clothing for a while, and had been waiting until I was unemployed, but decided to pull the trigger early.

I ended up keeping the one outfit I liked the best, which seems multifunctional, in that I wouldn't look out of place at weddings, funerals, job interviews, or even a rare fancy date.

Another factor at play here, is that if I change my mind I could re-trift a professional wardrobe for $50-$100 any day of the week. I've done it before.
Western Red Cedar wrote:
Tue Aug 03, 2021 11:07 am
Are you going to try to negotiate WFH if they mandate a return, or just walk away?
That's a good question. I've been considering this lately, and have talked it over with some friends. I'm thinking I'll just submit the termination form with "WFH policy" listed in the reason field.

This feels better than giving them an ultimatum or trying to negotiate. If they value me highly they can bend the rules and let me continue full time WFH, otherwise we'll go our separate ways.

There's a several day window where I'm allowed to retract my termination papers, and they know that, so they have an opportunity to negotiate, which I'll let them initiate.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Another month in the history books. Life is good. I'm leaving the 9-5 in the spring at the latest. Of course I could change my mind, but I'd put a 95% chance on this.

August
After Tax Income: $4,545
Spending: $1,460
Savings Rate: 68%
Net Worth Change: $208,983 to $216,171 (+$7,188)

Year to date
After Tax Income: $38,941
Spending: $10,691
Savings Rate: 73%
Net Worth Change: $165,589 to $216,171 (+$50,582)

Image

Image

theanimal
Posts: 2627
Joined: Fri Jan 25, 2013 10:05 pm
Location: AK
Contact:

Re: Jiimmy's Journal

Post by theanimal »

95% chance on changing your mind or 95% chance of leaving?

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

95% chance of leaving. Most likely a semi-fire stage, plus working the equation from the other end (reducing expenses).

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

The seasons are-a-changin, and this cooler weather is quite enjoyable, especially for hiking.

September
After Tax Income: $4,445
Spending: $1,456
Savings Rate: 67%
Net Worth Change: $216,171 to $211,793 (-$4,378)

Year to date
After Tax Income: $43,386
Spending: $12,147
Savings Rate: 72%
Net Worth Change: $165,589 to $211,793 (+$46,204)

Image

Image

Quite a nice drop to the red line, as a very spendy month fell off of the rolling 12 month sum.

YTD Spending:
Image

The sub $16k dream seems to be slipping away, as there have been some small medical bills, and a few more coming. I'm grateful I have a clean bill of health and don't have any serious health problems.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

I'm nearly done with the 9-5. Plans are in place to leave in January!

The first thing I want to do is attempt a long distance through hike. PCT permits open up next month, so we'll see if I can snag one of those. If not, I may attempt an Arizona Trail hike in March, or possibly the Continental Divide Trail in the summer. I say "attempt" because the majority of hikers don't complete the longer trails. I might get an injury or just not enjoy it (though I think I will enjoy it a lot).

For the last two months I've been hiking a nearby trail barefoot once each weekend. It's only a few miles, but it's very rocky and gains ~400 feet in elevation. I've been getting some thicker hobbit-like skin on the balls of my feet. It's fun, also challenging, also meditative.

I might be jumping the gun, but I can't help myself -- I've been getting rid of things at a fairly rapid pace. Half the furniture is gone, including the bed. The other half is spoken for (sibling wants some things, etc.). I also re-homed some family heirlooms to a cousin who was very appreciative.

The car will be disposed of in the spring. I'll either donate it or sell it to my brother at a steeply discounted family price.

I plan to have a few duffle bags worth of stuff and a bicycle that I'll need to store someplace. I also need to figure out my mail situation. My parents have happily offered both storage space and mail handling, but I'm not sure I want to burden them. We'll see. I have some difficulty accepting help.

Future plans, after a through hike, are fuzzy, and probably not worth thinking much about at this point. But, there are several ideas bouncing around, like a few years in Latin America, living in some type of vehicle, living at my brother's cabin, or buying some land of my own. May do them all over the next decade, or maybe I'll do none of those things.

I expect 2022's spending to be well under 10k, as I probably won't be paying rent outside of the first few months. Also the car expenses will evaporate in the spring. The red line in my FI Progress graph should take a satisfyingly steep nosedive, hopefully even below the 4% WD line.

For healthcare, I plan to strategically withdrawal from my 457b (no early withdrawal penalty for governmental 457bs) to get my AGI right around $19k. I'll max out the Roth IRA so I can take advantage of the Saver's Credit and pay no federal tax. At ~$19k I'll also qualify for a zero premium ACA silver plan with cost sharing subsidies (I never heard of cost sharing subsidies until recently, they're pretty incredible: https://www.healthinsurance.org/obamaca ... subsidies/). This strategy of 457b withdrawals, mixed in with some fun/random work, to make the AGI between 138% and 150% of the federal povery line, could last for several years. After that there are lots of other options, Medicaid being one.

And finally here are the October numbers:

October
After Tax Income: $6,808
Spending: $1,433
Savings Rate: 79%
Net Worth Change: $211,793 to $225,854 (+$14,061)

Year to date
After Tax Income: $50,195
Spending: $13,580
Savings Rate: 73%
Net Worth Change: $165,589 to $225,854 (+$60,265)

Image

Image

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Jiimmy wrote:
Sat Oct 30, 2021 11:44 am
I plan to have a few duffle bags worth of stuff and a bicycle that I'll need to store someplace. I also need to figure out my mail situation. My parents have happily offered both storage space and mail handling, but I'm not sure I want to burden them. We'll see. I have some difficulty accepting help.
We’ve just worked out a mutually beneficial deal. Free tax prep (they had been paying me) in exchange for storage and mail handling.

Western Red Cedar
Posts: 1205
Joined: Tue Sep 01, 2020 2:15 pm

Re: Jiimmy's Journal

Post by Western Red Cedar »

Much respect on your future plans and pulling the trigger! Stories like this are motivational.

What is the longest backpacking trip you've done? Have you considered section hikes on the PCT? It might be a good option if you aren't tied to the idea of doing the full, Mexico to Canada route.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Thanks WRC! I’m looking forward to the change of pace and I’ll try to check in here with updates along the way.

Longest trip previously is four days. I’ve recently hiked several 20+ mile days with a pack and significant elevation gain, so I’m not starting too far behind physically.

Section hikes are a great idea. I plan to attempt the whole thing, but if I’m not feeling it, or something happens, it would be fun to do one section at a time over a few seasons.

Western Red Cedar
Posts: 1205
Joined: Tue Sep 01, 2020 2:15 pm

Re: Jiimmy's Journal

Post by Western Red Cedar »

I did a 200 mile section in Oregon in 2008. My friend and I planned on doing the entire state but cut the trip short due to wildfires and a decision after a couple long days to just slow down and enjoy the trip.

It seems like the permit process is really competitive. I definitely see the allure of doing the entire trail in one season, but I personally would opt for long section hikes to optimize your hiking conditions. A "section" could be something like the California one season, and WA/OR the next. The weather has been really variable over the last decade. Snowpacks, snowmelt, and wildfires can really change the trip and it is difficult to plan for those if you start from the border and take whatever permit slot you can get.

My main recommendation, whatever trail you decide to do, is to try out a week long hike - maybe 60-100 miles. A trial run like that can inform your decisions on how light you want to go, and what gear you can potentially leave out, or where to make adjustments to your system.

I think @HanaSolo mentioned completing a PCT thru hike with her husband, so she might have some good advice.

Jiimmy
Posts: 137
Joined: Sun Jan 03, 2021 12:28 pm
Location: Nevada

Re: Jiimmy's Journal

Post by Jiimmy »

Northbound PCT permit has been attained, with a late April start. Planning to take @WRC’s advice and hike a few weeks on the AZT beforehand. This will give me a chance to make some gear changes if needed, and will also help get my legs in shape a bit prior to the PCT.

Feeling good about my situation. I won’t be in a time rush to scurry back to a job in the fall. The only time rush will be seasonal, as northern Washington can see a lot of snow in early fall.
Last edited by Jiimmy on Mon Nov 29, 2021 3:10 pm, edited 1 time in total.

User avatar
mountainFrugal
Posts: 1125
Joined: Fri May 07, 2021 2:26 pm

Re: Jiimmy's Journal

Post by mountainFrugal »

Jiimmy wrote:
Mon Nov 29, 2021 10:30 am
Northbound PCT permit has been attained, with a late April start.
Fun! I look forward to following along.

AxelHeyst
Posts: 2117
Joined: Thu Jan 09, 2020 4:55 pm
Contact:

Re: Jiimmy's Journal

Post by AxelHeyst »

Oo, awesome. The family land is within actual sight of the PCT, probably mid-May for you, a traditional get off and resupply spot (or chill longer if the high country has snow). If I'm still in-country then, hit me up and I can hook you and companions up with a shower/rides/place to concentrate on eating all the food for a few days. :)

Post Reply