StartingLate's journal

[StartingLate]

Hi everybody,

I know this blog for ages, read the book when it came out and always had FI on my mind. Just I did never really start. I want to change that now and take action.

I am a male European at almost 40 years.

I have about 10K in assets. Very little but everybody needs to start somewhere.



Retiring with 55 would be great. That's not early but it would be fantastic. I can't imagine getting there earlier with just 10K to start with. Today it looks hard to get there by 55.

2 things need to happen: I need to reduce my expenses and I need to increase my income. I won't get there just by reducing my expenses. But it's easier to start there so last month I started tracking them again.



The good thing is after looking at the chart it's pretty obvious what to do. My apartment is way too expensive. I live in an area with high prices but if I search I could get a flat for 500-600€. But with a dog it's hard to get a flat at all so an easier fix might be to rent out a room. Not sure yet. Another idea would be to buy a flat but I am not sure as I have almost no capital for that and would need to finance it by 100%.

Food of 255€ can be reduced but the ridiculous position in my expenses is leisure money which is mostly dining out and bars. I didn't expect it so high which is kind of good news as it offers a way to save.

Special expenses was a visit to a doctor.

That's it for my introduction.

StartingLate

[I(E)reland]

Welcome! Where are you in Europe? Are they typical monthly expenses?

[StartingLate]

Thanks. I am from Germany. I think the expenses are typical but I just started tracking them in August.

[StartingLate]

It's been a month of consuming information! I read a lot about personal finance and listened to even more information on personal finance podcasts.

It has also been a month of calculating. And it's been a month of insights. I now believe that I can achieve financial independence in 15 years at 55. I know it's not ERE but ER at least. And it's important to believe that it's achievable. Three weeks ago when writing my first journal entry I wasn't sure about it. But now I am and that feels good.

After the 30th I'll post data about my progress.

[DutchGirl]

Nice to know that you can do this. Good luck! I'm curious to see your progress.

[StartingLate]

Hi everyone,

September was a good month. I almost cut my leisure expenses in half. And I didn't really miss anything. I was just more conscious about my spending

My living expenses went up a little bit but it was just a yearly expense for a discount card for train travelling.

I am searching for a new apartment. This is really hard. I am living in the second most expensive city in regards to that, just Munich is more expensive (Hey DutchGirl!).

I am also talking with my health insurance if we can do anything regarding my fees.

I switched my bank account which will save my 3€ per month. Not very much but why not tackle every single penny? Saving 3€ is 900€ less in assets, right?



So here's my wall chart:



It will be more interesting to look at after a few months...

That's it for this update.

[Noedig]

Hey startingLate

I liked your matter-of-fact posts - straight to the heart of the matter. You are now in control.

This approach to life, it is not all about living like a church mouse, it is about maximising what you get from your labour: not to waste it when there is better value to be had.

The beginning is hard oh so hard.
- You don't get much income yet from your investments because they are so small
-But saving is slow and you worry about your investment choices - the markets go up and down.

That is true: but when you have some momentum it becomes very very much more easy.

It sounds like you have several practical issues to solve: one of which is how to earn more money, the other of which is getting a cheaper apartment. Both real big problems that require effort to fix. Tell us your thoughts there.

Remember - you have begun, you have no debt, you are in control.

When I was your age I was only a few years past being in a similar position. It can change.

[StartingLate]

For years I threw change coins into jars. Now I cashed in. My backpack almost couldn't hold the weight... I got almost 400 € in notes. Happy day.