I didn't "wake up" until December of 2013. At that point, I started making some fairly radical changes. But I am very far behind ...
I am 54 years old.
I am a contrarian investor. I have two investment accounts. They are invested in undervalued hard assets. I've lived through three stock market collapses and won't be caught in the next one. Real estate does not interest me at this time.
Bucket "A" (Retirement): $86,400 USD
Bucket "B" (Emergency): $4480 USD
I have $3719.62 USD worth of credit card debt.
I lease a car and pay $146.70 USD, monthly, for it.
I pay $615.00 USD, monthly, for rent.
My goals for 2016 are:
1. Pay off the lone credit card while simultaneously increasing both investment accounts on a monthly basis.
2. Start a third account, perhaps in a different asset class.
3. Reduce food expenses. This has been a pretty major leak in my budget. "Beware of little expenses. A small leak will sink a great ship." ―Benjamin Franklin
4. Live on a fixed amount of cash each week, instead of swiping the debit card, and try to save a few dollars each day. Whatever I save during the week goes toward paying off the debt.
5. Develop a taste for lentil soup.
![Smile :)](./images/smilies/icon_e_smile.gif)
6. Wait at least a week after my 30-day smartphone plan expires, before renewing it. This will save me some decent money over time. I am single and can live without a phone for a week or so.
7. Reduce electricity costs in my apartment. Turn on my air conditioner's power saver mode during the summer.
8. Reduce unnecessary travel; conserve fuel.
I lived on roughly 60% of my income in 2014 and 2015. I saved/invested 30% and gave 10% away. Once the credit card is paid off, I plan to increase my savings rate to 35-40%.
Well, that's it in a nutshell. I am trying to remain positive and not wallow in regret. I can't change my past mistakes ― my wasteful, hyper-consumption lifestyle choices ― but I can focus on my progress, maintain some self-discipline, and (perhaps) achieve some form of retirement that does not involve a camper van and Ramen noodles.
I hope to post monthly updates.
Regards,
Earp