OINKette's FI Journal

[Oinkette]

Hello!

I have been going back and forth about starting my own blog but realized I should probably just go ahead and create a “journal” here so as to get some actual feedback and interact with others who are on the same path. This journal is mostly to keep me on track towards my goal.

About Me:

36 year old, single, childfree female living in Houston. Hence the name: One Income No Kids (OINK)ette.

My FI goal is to have $600,000 in 11 years. Based on proposed expenses and a 4% withdrawal rate that should make me FI. Of course inflation will affect both my expenses but also my (increasing) salary in the meantime, so I’ll adjust accordingly.

I’m not sure if I’ll actually “retire” by then but I do like the idea of being able to.

Currently I have ~$80,000 in retirement accounts which I realize makes me a pretty sad UAW (Under Accumulator of Wealth) but this will be changing!

My plans this year are to:

• ~Pay off the remainder of my car loan (estimated time: 2-3 months)
  ~Max out my 403b (to begin once car is paid off. Currently contributing $13,000/yr)
  ~Begin building up $10,000 emergency fund (estimated time: 13 months)
  ~Work on building a vegetable/fruit garden in my backyard, which is currently a waste of very nicely manicured grass. Fortunately I have an industrious next door neighbor who has already grown one and has promised to show me the ropes…I have a horrid brown thumb.

So as not to be too obnoxious I plan on updating only once a month here to document my progress. But I'll check in regularly to respond to comments/questions.

APRIL 2014:

FI Assets (monetary accounts only): $83,847

Debt: $121,724

• -Car: $5540
  -Student Loan: $12,040
  -Mortgage: $104,273

[C40]

So as not to be too obnoxious I plan on updating only once a month here to document my progress.

Hi!

Don't worry. We like to read. Feel free to post as often as you feel like.

[Gilberto de Piento]

Welcome! Have you considered paying off the student loan before saving a large emergency fund?

Full disclosure: I also had a $10,000 emergency fund while paying off student loans. In my case it turned out to be unnecessary but I had a stable job and few obligations.

[Oinkette]

Welcome! Have you considered paying off the student loan before saving a large emergency fund?

Full disclosure: I also had a $10,000 emergency fund while paying off student loans. In my case it turned out to be unnecessary but I had a stable job and few obligations.

Right now the interest on my Student Loan is 2.85% and my monthly payments only $182. My income is low enough to qualify for tax breaks on the interest. My job is pretty secure but I do like the idea of having that fund there just in case. Having done it before, I REALLY don't want to end up relying on credit card/loans to cover surprises.

[leeholsen]

Welcome! Have you considered paying off the student loan before saving a large emergency fund?

Full disclosure: I also had a $10,000 emergency fund while paying off student loans. In my case it turned out to be unnecessary but I had a stable job and few obligations.

Right now the interest on my Student Loan is 2.85% and my monthly payments only $182. My income is low enough to qualify for tax breaks on the interest. My job is pretty secure but I do like the idea of having that fund there just in case. Having done it before, I REALLY don't want to end up relying on credit card/loans to cover surprises.

i agree with that logic.

some people debate emergency funds, but i like to keep one rather than have a possibility of putting something on a credit card and i like an emergency fund and keep a mental barrier from hitting a retirement fund for anything other than a catastrophic emergency.

[Oinkette]

April 2014 Review:

Work: I recently found out about some rather HUGE differences in pay in my department. Of course now that the economy sucks my bosses can (and have) use the old “no money in the budget” to respond to requests to equalize things. Since I generally like where I’m working (as compared to other positions in my field) I’ve decided to use it as further motivation to become FI, so I can follow through on any requests—or else!

Car: I paid a huge chunk of the $5,540 loan, specifically $3,770. This leaves about $1770 left to pay off which should be done by the end of May. Yay!

I love, love, love my little Prius. My original plan was to fill up the tank once a month and it would still come out less than the bus I used to take. Due to my friends’ constant party throwing there has been a hitch in that plan. I also have to start being more disciplined about my car-tripping when running errands.

Garden: I’ve been reading up on all I can about gardening in Houston and what will/won’t grow here. I’ve also joined a “survivalist” group which teaches things like preserving, canning, growing, etc. My plan is to begin once my professional exam is over in late July. But before that I plan on setting up composting and rain water collection systems. You Tube has been awesome for that.

Random:

• I got a flat tire which ran me $132 to replace. I’m sure I could have got used far cheaper but it (naturally) happened on a Sunday and the only place open was Costco.
• I finished paying for the major expenses involved with taking a professional exam (which in retrospect was probably a stupid idea). That was ~$1200.

Financials May 2014:

FI Assets (monetary accounts only): $85,056.22 +1.4% from last post

Debt:$117,912 -3.1% from last post

• Car: $1770
• Student Loan: $11,869.24
• Mortgage: $104,273.64

[Oinkette]

Work: I suppose the most interesting thing that happened in the last week was a retirement package offered where I work. I of course didn’t qualify (not that I’m in any position to take it) but it does mean certain changes coming down the line mostly in the form of fewer people and more work for those of us left behind.

So I asked for a raise. A fairly substantial one to put me in line with my (less qualified) coworkers.

I was told I’d have an answer in two weeks. To cover my bases I’m also applying to various positions in town that offer more money. I don’t think my employer is aware of how many people they think will be left behind are actually plotting their escape. This could put me in an even better position for my raise. We’ll see.

It’s going to be an interesting summer.

Car: I paid a substantial chunk off the car. I know in my last post I said I was going to have it paid off by the end of this month but that was a mistake on my part. The good news is, because of a new system my employer is incorporating we are getting June’s bi-weekly paycheck as one check next Friday. Thus my car will be paid off a week later than stated.

Books: This month was a great month for reading. A friend introduced me to The Long Emergency which discusses the peak oil crisis. I personally am a wee bit excited to see what becomes of that. I hate the fact that Houston roads are congested with cars making it impossible to ride bikes and public transportation is a joke…much as I enjoy using it (free reading time!). I didn’t get to finish since I’m studying for my professional exam but I look forward to getting back to it.

I also skimmed through How I Found Freedom in and Unfree World. I skipped over the government parts straight to the interpersonal relationships and lifestyle portions. What a breath of fresh air! It’s already made me more comfortable with where I stand with my friends being the “cheap one.” Great read. I got the PDF here:

http://eiiiforum.com/picsfromusers/howifoundfreedom.pdf

Financials for May 2014

FI Assets (monetary accounts only): $88,260.58 +$3204.36 from last post

Debt:$116,714.22 down $1197 from last post
Car: $875.53
Student Loan: $11,713.76
Mortgage: $104,124.93

[Oinkette]

August Update:

Well I've been off for a while. Crazy times at work with "retirement packages" (read: we need to get rid of all the expensive old people). I suppose this means I have a moderate degree of job security since I'm being royally screwed compared to my coworkers and I'm relatively healthy. Also I'm currently taking on the jobs of 3 people. I asked for a raise 3 months ago and have not even received an answer, yes or no. I think that speaks volumes.

So it should come to no surprise to my employer that I'm actively looking for a new gig. I applied to 2 jobs last week, both paying almost double to triple what I'm making now. Something else my employer should take note of. Both are in higher cost of living areas but even with the adjustment it works out better for me. Especially if I take the tips from ERE into account.

It means renting out my house, because it's under water. I'm trying to look at that as a positive...it's now an asset! Because while I'd lose money selling, I'd actually earn about $10 a month renting. That doesn't even factor in the tax benefits. Go figure.

It also means downsizing like crazy. I told myself if I got an interview I would finally move to get rid of all the stuff that I don't use. I need to do this anyway.

In money news, I am halfway to saving my emergency fund. This month is a three pay day month so yippee!

Tis all for now.