I’ve been lurking around ERE and read the book over the past few months and finally decided to chime in. Everything here fits with my personal future goals. I’m 24 Male, Single, North Mississippi, work full time in the power plant industry (rotating swing shifts...blah).
A bit about my financial situation...
2011 Income: 128000 (pretax)
Retirement Contributions:
401k savings: Current: $9536 - Yearly Contribution - 7% Base Salary of 69040 (4832.8+ (company match 3106.8) = 7939.6 total
Lending Club: $450 Currently - Putting 2400 yearly in starting last month.
Annuity: Currently - $6924 - Yearly Contribution $10000 (this has 6% guaranteed interest rate)
Pension Plan: (one more year and I’m vested) with the company I work for, my base salary will go up 12000 beginning in October, and any future increases in salary will just make this better and better.
Cash Savings: $3000 currently (should be close to $30000 by the end of 2012)
I purchased a home last year (95000 total) paid down to 83000 currently. Interest rate 3.5% - 15 yr loan.
I cook 90% of my food from scratch. I do grow a small garden in the spring/summer. I don’t purchase things that I won’t use a bunch, which I say is a plus, no clutter.
I don’t live in an area where biking everywhere would be safe, so I do own a car. Currently a year ahead on my car payment, remaining total $18000.
So overall bills are:
Cellphone: $75/month
Mortgage: $725/month
Water: $30ish/month
Electricity: 80 to 120/month
Natural Gas: $30/month
Car: $453/month
Gasoline: $120 to 200/month
Food: 300 to 400/month
Hulu/Internet: 50/month
Security system: 39/month
My future goals are to be financially independent, if I continue working it would be in a job field of my choice because I want to help people, not because I need the money. I’m fairly frugal currently and don’t stray too far from the above bills, but would like to be better on track (stupid consumerism).
I’m currently shooting for leaving my current employer @ 30 years old. Based on the 4% rule I could ER at this point. Pension would be above 500 monthly at this point. If I do choose this, I will be selling the home I live in now and moving to an area with public transportation, bike lanes and can change the costs of some of the above living factors. Total savings of all the above @ 30 should be roughly $450000 (and assuming I find a job I enjoy in a different field, I may not touch these funds for years or ER per se...)
North Missippi ERE
Hi hunner. Sounds like you are on a great path with a huge income and a normal or modest house.
For a 24 year old working in manufacturing, you sure do make a lot of money. What type of job/role do you do? I see your base salary is $70k and you must be making a lot from bonuses, overtime, or commissions?
For a 24 year old working in manufacturing, you sure do make a lot of money. What type of job/role do you do? I see your base salary is $70k and you must be making a lot from bonuses, overtime, or commissions?
Im currently an Assistant Unit Operator at a Combined Cycle Power Plant, in October I go back into training to become a full Operating Technician (which pays roughly 8000 more salary wise). We work 14 days a month of our normal shift (which includes 16 hours of Built in overtime)...and after training time and coverage of shifts...thats where the rest of the money comes in. Bonus at the end of the year comes in at roughly 1700 take home (which is based on lots of factors and could be more or less). My job position entails: Operate plant equipment outside the control room to support plant startups, shutdowns and steady state operation; perform water chemistry tests; operate the demineralized water plant; preventative and corrective maintenance on plant equipment; perform daily rounds on plant equipment.
And the home I purchased is a 3 BR/2 Bath...2 car garage...figured this would be the easiest to rent/sell depending on where life takes me in the next few years. Based on my current job position and training. I will be in this town for at least 3 more years. The home is in the prime school district too so assuming a rental it will be a "piece of cake".
And the home I purchased is a 3 BR/2 Bath...2 car garage...figured this would be the easiest to rent/sell depending on where life takes me in the next few years. Based on my current job position and training. I will be in this town for at least 3 more years. The home is in the prime school district too so assuming a rental it will be a "piece of cake".
@ ExpatERE - As far as the following areas are concerned:
Cellphone: $75/month (Im thinking of getting rid of my smart phone capabilities...more to come on that)
Gasoline: $120 to 200/month (ive stopped visiting my family so often, now its once every month/or two...which might make this less)
Food: 300 to 400/month (Im fixing to re-evaluate my diet and try to achieve satiety on less approx: 200 to 250 monthly)
The following will be the staple of my new diet: Lentils (I've been eating them for 5 months now, quite enjoyable), Beans, Fresh veggies, Fresh/Frozen Fruit, Oats, some kind of meat subsitute, fish and nuts...I figure with eating the above items with regards to the new food budget...I can buy some in bulk and this gives me variety enough to not eat the same thing every meal. Although cooking for one you sometimes do...blah!
Hulu/Internet: 50/month (I could cut the Hulu and may soon, but 10 a month isn't too much. The internet is a must currently due to online school classes...I could do the whole coffee shop thing, but then im tempted or obligated to purchase items.
Security system: 39/month (After my 2 year contract is up...I will be getting rid of this...turns out the are I moved into isn't as bad as the neighbors made it out to be)
Overall though, I am happy with my current spending, assuming no mortgage and car payment (i'm only spending 12500 a year to live...which is about what I could hope for in retirement)
Cellphone: $75/month (Im thinking of getting rid of my smart phone capabilities...more to come on that)
Gasoline: $120 to 200/month (ive stopped visiting my family so often, now its once every month/or two...which might make this less)
Food: 300 to 400/month (Im fixing to re-evaluate my diet and try to achieve satiety on less approx: 200 to 250 monthly)
The following will be the staple of my new diet: Lentils (I've been eating them for 5 months now, quite enjoyable), Beans, Fresh veggies, Fresh/Frozen Fruit, Oats, some kind of meat subsitute, fish and nuts...I figure with eating the above items with regards to the new food budget...I can buy some in bulk and this gives me variety enough to not eat the same thing every meal. Although cooking for one you sometimes do...blah!
Hulu/Internet: 50/month (I could cut the Hulu and may soon, but 10 a month isn't too much. The internet is a must currently due to online school classes...I could do the whole coffee shop thing, but then im tempted or obligated to purchase items.
Security system: 39/month (After my 2 year contract is up...I will be getting rid of this...turns out the are I moved into isn't as bad as the neighbors made it out to be)
Overall though, I am happy with my current spending, assuming no mortgage and car payment (i'm only spending 12500 a year to live...which is about what I could hope for in retirement)