_bb_ Journal

Where are you and where are you going?
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_bb_
Posts: 3
Joined: Thu Nov 22, 2018 7:58 pm

_bb_ Journal

Post by _bb_ » Sat Dec 08, 2018 7:22 pm

Hello, friends!

This is the start of my journey towards FI - I still have a lot of thinking (and acting) to do regarding optimizing expenses and figuring out the numbers required to reach my own personal FIRE situation.

Background & Current Expenses:

My wife (27) and I (26) currently live in a very populous city in North America. At this point only I have read Jacob's book but after many exciting discussions my wife is fully onboard with a new financial journey! At this time I am choosing to only represent my portion of expenses - they are currently listed in USD at some point in the near future I will change reporting to CAD (moving). My half of the expenses break down into the following:

Fixed Monthly Expenses:
Student Loans: $826.88
Rent: $644.73
Parking: $114
Gym: $68.33
Internet/Cable: $49.36
Electricity: $19

Total Monthly Fixed Expense: $1,722.30

For the month of November and moving forward I have begun recording all purchases in a spreadsheet. It was enlightening and horrific experience at the same time. I was disgusted with the 'discretionary' spending; on the bright side by writing it all down and having a clear picture I feel in control.

November Variable Expense: $1,809.15

Immediate Course Correction:

After closely examining the cash flow of my personal finance my wife and I quickly made the easy adjustments.
- We cancelled our cable & landline, kept the internet
- My wife is getting rid of her car, we've decided to share mine and split the parking expense
- The examination really gave us the kick in the pants to re-evaluate our living situation. We have begun our search for a new geographic location to call home. Additionally, we would like to be the landlords rather than the renters. Updates in future posts.

_bb_
Posts: 3
Joined: Thu Nov 22, 2018 7:58 pm

Re: _bb_ Journal

Post by _bb_ » Sat Dec 08, 2018 7:52 pm

November Recap:

Fixed Monthly Expenses: $1,722.30
Variable Monthly Expenses: $1,809.15

Total November Expenditures: $ 3,531.45

Wage Income(*): $ 4,738.12
Investment Income: $ 0
Rental Property Income: $ 0

* I work a commissioned based job, so the monthly reported income will vary.

Cash Flow Analysis (at this point its only my Wage that is contributing to my Debt & Cost of Living):
Student Loans: 17.45 %
Cost of Living: 57.05 %
Savings Account: 25.50 %

Assessment & Analysis:

November is really my jumping off point, so the real changes will be reflected in the December Recap. That's not to say I am not very excited with the November recap. I have two major takeaways, first I am in control and can make conscious choices for the benefit of my strategy. And second, while I can (and will) minimize my expenses (consumption) I am not constrained by a salary - I can (and will) earn more to fund my strategy.

Mae
Posts: 49
Joined: Wed Dec 27, 2017 3:44 am
Location: Western Europe

Re: _bb_ Journal

Post by Mae » Sun Dec 09, 2018 2:53 am

Yay, monthly reports!

I recommend the book Your Money or Your Life (most recent version).

Good luck with your journey.

Jason
Posts: 1540
Joined: Mon Jan 30, 2017 8:37 am

Re: _bb_ Journal

Post by Jason » Sun Dec 09, 2018 3:01 pm

_bb_ wrote:
Sat Dec 08, 2018 7:22 pm
- My wife is getting rid of her car, we've decided to share mine and split the parking expense
Huge savings move. I wish we could get back to that.

fell-like-rain
Posts: 43
Joined: Fri Jun 15, 2018 12:19 pm

Re: _bb_ Journal

Post by fell-like-rain » Mon Dec 10, 2018 8:43 am

Sounds like you're making some good, concrete changes. Good luck! Keep us posted with how things go in the months to come.

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