2019 Savings Goals

Since 2018 was the year of decimating my car loan, I've fallen a bit behind on putting money into my Roth IRA.  According to my mint.com account, I am nearly on track to retire at the age of 70.  Sure, that's great, but also, I'm pretty sure I can do better than that.  I do love my job, and thankfully it's not physically demanding in a way where I won't be able to do it at age 70, but I also would like to have options.  Having money means having options.

Despite the fact that I didn't put any money into my Roth IRA in 2018, I was still saving for retirement.  I have a TIAA Cref plan through my work, and my monthly contribution is pretty aggressive, since until literally this month, I've been behind on saving for retirement.  My employer also has a very, very good match (10%), so that helps significantly.

So, the plan for 2019 is as  follows:

1. Contribute as much as I comfortably can to my Roth IRA for tax year 2018, which I can do until April 15.  I'm not getting much of a tax refund, but what I do get will go into my Roth for 2018.
2. Contribute as much as I comfortably can to my Roth for tax year 2019. I don't think I'll be able to max it out, but I'll certainly do my best. It helps that I can contribute for tax year 2019 until April 2020.
3. I will pay off the credit card that has the balance of my car loan on it in July, but I should still have $10,000 in my emergency fund at that time.  $10,000 is my low threshold for my emergency fund, since I need to have at least that much to get the interest rate of 2%.  I'd like to have at least $12,000 in my emergency fund, so I will still be putting some money in there each month, but the Roth is the priority.
4. Look into micro-finance loans.  This is something I'll write an entire post about, but in a nutshell, micro-finance loans are loans that you give to people in developing countries to help them grow their small businesses.  It's not something that will make me money, but it's a very low cost way to give people a hand up.  I'm still investigating this, so I will report back in the future!
5. Get our household emergency fund over the $10,000 threshold.  My husband and I have a shared emergency fund, and I really want to get that over the $10k mark so we can move it to a Money Market and double our interest rate.  We're close, but that goal is a few months away.

That's it for now!  I have a couple other things percolating in my mind, but I think five goals is a very reasonable batch to write down.  

What are your annual financial goals?

2018 Savings Goals

Every year I set a new savings/ financial goal, but since I wasn't blogging in 2018, I didn't write that one down even though I'm particularly proud of it.  So, better late than never.

2018, I bought a new-to-me car for the first time in years.  I started commuting about 90 miles a day to work, and after buying gas for my 2005 Malibu three times in one week, I snapped and went to get a more fuel efficient car.  Because this decision was somewhat impulsive, I did not do my homework beforehand and ended up financing through the dealership.  Despite my exemplary credit rating, they got me a loan at 5% interest, which seriously filled me with rage.  I tapped into savings and threw a few thousand dollars at it, but interest was accruing on my eight thousand dollar balance much faster than I liked, so I came up with a different plan.

This was around November, which is apparently when credit card companies start aggressively sending out 0% balance transfer letters.  I got one from my Capital One card that offered me 0% interest for 18 months, with a one-time 2% fee.  I decided to take an $8500 cash advance ($190 fee)  and pay off that stupid loan right away.  Then, since the interest rate on that card was 0%, I made the minimum payment on the card, and redirected the rest of my payment into a Money Market savings account that earned me 2% interest.  I'll pay off the card in full in July, before the 18 month period runs out, and for the year 2018, I made $150 in interest.

A few things I had to consider before doing this:

1. I had to do a bit of math to determine if I would have the money to pay that card off in full before the 18 month period runs out.  If I don't pay it off, anything on that card will be assessed something like 25% interest, which I do not want to pay.
2. I had to take that card out of my payment rotation completely.  I disconnected it from any automatic payments, and physically took the card out of my wallet and stashed it in my office at home.
3. My credit score took a bit of a pummelling.  My credit limit on that card is $10,000, and I put $8500 on it and paid it down by only about $100 per month.  That looks really bad on a credit report, but since my score was already excellent, it didn't matter too much.  I got a bit of a bump when I paid off the car loan, but not enough to compensate for carrying such a high balance for so long.

Despite those few drawbacks and minor inconveniences, I am 100% glad I did this.  I saved myself hundreds of dollars in interest on that stupid bank loan, and the balance transfer fee is a non-issue since I'll more than make that back in accrued interest on my Money Market savings account.  I had almost enough money in my emergency fund to pay the bank loan in full without involving my credit card, but that would have obliterated my savings, which makes me deeply uncomfortable.  This way, I was able to keep some liquid cash on hand for emergencies (which I did end up needing).

Best of 2012

Maybe my year wasn't quite as great as Adele's,
but close.

We have to end the year on a high note, so after completely Debbie Downering this blog yesterday, let's take a look at the stuff that happened this year that is awesome (it's a much longer list).

1. Paid Vacation!
This year, I went on vacation to Sweden, Denmark and Minneapolis and still got paid even though I wasn't working! One positive about working in the non-profits is that you may not get paid much per hour, but they give you a lot of vacation.  I started out with 21 days vacation + personal time that accrues.  It's just silly, but I am not complaining--at all.

2. Free Yoga!
This year I started getting into yoga for the first time in my life, which has made me stronger overall, and possibly slightly more flexible (though I really don't think so).  If I was paying for this yoga, I would not be able to afford it, but the studio allows me (and a few other people) to exchange light cleaning duties for unlimited free yoga!  Being in the hot room makes winter much easier to bear, and I think I'm getting some ab definition...  maybe.

3. Free Bike!
After my bike was stolen, I had the sads big time.  I still wander back behind our house where it used to be hoping that the person who took it just needed it for an emergency and would return it when finished.  Of course, that is not the case.  BUT, I put an ad on Freecycle saying that my bike was stolen and asking if anyone had one they weren't using that I could have, and someone responded!  I got a new-to-me bike that's in really good shape completely for free.  I need to take it to a mechanic for a once-over, buy a basket and some lights, but then I'll be back on the road in time for spring puddle season!

4. Walking to Work!
Not really much else to say about this one, but the walk to work clears my head, wakes me up and lets me smile at the quirky world I live in.

Walking home from work in the snow, I stopped
to make this tiny snowman and put him on a Stumpchair.

5. Bonus Money!
Though I do make less money working at only one job, I still fill in at two other libraries.  It's a bit of a grind to work those extra hours, but it's also fairly awesome because they don't expect as much of me.  Yes, that sounds really lazy, but I'm basically just a warm body who can do that job, but who doesn't have real responsibilities.  Double bonus, one of the libraries I fill in at still pays time-and-a-half on Sundays.  Bonus money gets split between my Roth IRA and my travel fund, so I know I'm not squandering it.

6. Crock Pot!
At first I was a bit intimidated by the crock pot, but now I absolutely love it and would never want to be without it.  Everything made in the crock pot tastes better--fact!  I can use it to soak beans and barley, which are frequent work staples and doing them in the crock pot is nearly effortless.  I can simmer away delicious healthy soups that not only taste amazing but also make my house smell good.

7. Home Gym!
I have broken up with my gym (though that's still a work in progress--more on that in a later post) but I have also created a highly functional home gym that has everything I need.  For the days when I don't have time to run or go to yoga, I can still get in a good workout without leaving my house.  2013 shall be the year of abs!

8. Friends!
Two of my besties came out to visit me this year for my birthday, and I'm currently making plans to go on a mini-break with two other besties in the spring.  I'm so lucky to not only have so many wonderful friends, but  also to have friends who I don't see that often, but can catch up with instantly, years later, and it feels like no time has passed at all.

9. Learning How to Live Within My Means!
It's my one-year anniversary of my job, and I now know what to expect at work, but also exactly how much I'll make and how to budget accordingly.  Setting up my budget last year was all guesswork, and I was still on a high from the excitement of even getting this job, so I wasn't making great choices.  Now, I have an entire budget from 2012 to refer back to, and nothing should really be changing for 2013 except for the fact that I should buy fewer clothes.

10. Clean(er) Closet
I'm ushering in the new year with a cleaner and better organized closet.  Yes, my closet will never be perfect, mostly because it's a narrow/ deep hidey hole under a staircase, but I think I finally have it sorted out in a way where everything has a place and I can actually find things.  Plus, I only had to spend $16.99 on a six-shelf organizer and I used furniture we already had to organize the rest.

11. Free Holiday Party + Holiday Bonus!
At my library, we have an awesome Friends of the Library group.  Many of them are there on a daily basis sorting donated books, cleaning DVDs and CD, and twice a year they have books sales that make some serious cash.  Apparently, they also give the staff a holiday bonus!  Also, the regular library patrons were coming in every day before xmas and giving us homemade cookies, truffles, donations and cards.  As if that wasn't overwhelming enough, The Progressive Democrats of Rhode Island, which is a group that regularly uses our meeting spaces, collected money from their members and gave us $100 for a staff holiday party!  This is the first time in my working life that my holiday party wasn't a potluck, and it was so nice not to have to stress about what to bring.  This is the stuff that makes it easy to love my job.  Like I always say, it doesn't pay in money, but it does pay in warm fuzzies.

What awesome things happened to you guys in 2012?

Worst of 2012

These last two days of 2012 are all about reflection.  Which celebrities had a great year (Channing Tatum)?  Which celebrities had a bad year (Lindsey Lohan)?  Etc. ad infinitum.  But, people love lists, so you have to give them what they want.  I present you with my worst financial moments of 2012.

1. Bartered Away 401k
After the library where I work received news that we were suffering a major budget cut, we did what any other library would do to avoid closing three weeks--we took it out of the employees' already meager pay. Yes, I'm still pissed about this and will remain so.  Silver lining--I got an extra week off-paid, but I didn't really accomplish anything that week.  As I've said before, I love my job, but I don't want to drop dead at the reference desk!  Save for retirement, people!

2. Less Income
I don't know why it didn't occur to me before, but by having only one, full-time job, I'm making significantly less money than I was before.  A friend asked me recently how that could be, and it all comes down to: 1. working fewer hours than before a.k.a. a normal workweek instead of 40 hours one week and 45 the next 2. Making less per hour  3. Paying for health insurance.  Being a grownup is kind of bullshit, but at least I can walk to work!

3. Wanting to go out
Now that I have a reasonable work schedule, I had/have to really remind myself that neither my waistline nor my wallet can afford to go out all the time.  Going out is fun!  Eating out is exotic!  But it all costs money, and I don't have much to spare.

4. Stolen Bike
My beautiful, tricked-out (blinking lights and basket mean tricked-out) bike was stolen by nefarious jackanapes, which left me not only bikeless, but also feeling violated and paranoid.

5. Car Repair
My stupid car keeps breaking!  The windshield wipers keep freaking out on me by not working in sync and getting stuck together.  Presently, only the left one works, but as that's the one I need most, I've been lazy about bringing it in to get fixed (again).  Also, according to the city of Providence, my 2007 Chevrolet Malibu has increased in value from 2011-2012 and will be taxed more because of it.  You stay classy, Providence.

Not my car, but this is basically what happens

6. Parents
My parents and I don't have the greatest relationship in the world, but usually they send me birthday and xmas cards.  Now that I have a full-time job, it seems that I am completely cut off.  When I saw then in September, they didn't pay for anything (usually I get a meal, maybe a little something for airfare, etc.) and this year they didn't even send me an xmas card.  Yes, I am 33 and shouldn't need money from my parents, but see point #1 and #2 above. I actually could use their help more than ever, but I'm also certainly not going to ask for it.

7. Student Loans
My student loans were outsourced to a new company this year, and getting back on Income Based Repayment was a godawful nightmare of a gong show.  All of the progress I had made in reducing my amount owed--years of progress, was basically wiped out in a matter of months.

How about you?  What totally sucked for you this year?

Top 10 for 2011

I wasn't planning on doing a list of the top ten posts for the year, but when I looked at what they were, I found it so bizarre that I had to share.

1. Blogathon Haiku-- This was a post that I did as part of last years' May Blogathon.  There were a few theme days, and I ignored most of them, but haiku is so short I couldn't pass this one up! Apparently, people really like it?  I feel like something is off here, but it has double the hits of the next-highest post, so go figure.
2. The Awkward Side of Frugality-- This makes more sense to me as this is one of my favorite posts as well.  This one was suggested to me by a friend who had just been 'invited' to take a $3000 European vacation.  Umm, no.
3. Could I Live on Minimum Wage-- My first-ever Blogher Featured Post!!  I wrote this less than two months ago, and it's number three for the year.  Not too shabby.
4. I Hate Gas-- I do still hate buying gas, and it seems that I'm not alone.
5. Tips for Frugal Gift Giving-- Solid advice penned by my friend Melissa, who is a much better gift-giver than me.  Thanks!!
6.  Food Waste Friday: A Forest of Dill-- It seems I'm not the only one who struggles to use up dill.
7. What to do With Quinoa-- I'm glad I've unpuzzled the mystery that is quinoa.  I think I might eat some more today.
8. Food Waste Friday: Rotten Tomatoes-- It's hard to store tomatoes in a way that keeps them fresh and tasting good.  This is a constant struggle.
9. Top Ten Reasons Not to Menu Plan--  This is another of my favorites and one of my most controversial posts.  I continue to not menu plan in the traditional way, and somehow life is still frugal and worth living.
10. Food Waste Friday: Nothing-- Huzzah!

I guess for 2012, I'd better write more haiku--gotta give the people what they want.

2011: The Good, The Bad, The Ugly

It's time to start my new budget for 2012, which is surreal, to say the least.  I'm still not sure how much I'm actually going to be making at my new job though, so I can't really set up my monthly goals, and (nerdy confession time) it's bothering me more than I thought it would.  Since new job comes with health and dental plans as well as union dues, I'm not sure how much I'm going to actually be taking home.  Plus, my expenses will be changing based on re-upping my social life and driving less.  CHANGES!!!  ACK!

Couldn't resist

It's all good.

Rather than get hung up on the future, let's take a look back at the financial year that was--2011.

The Good:
--I saved a lot this year.  My savings account was very depleted from three months of unemployment in 2009 and from one year of only working 19 hours a week.  Once I got the second job, I became a mad saver.  *pat on back for that*

--I started my Roth IRA and contributed $2750.00, which is pretty alright for having it for only like seven months.  Naturally, the market took a dump as soon as I opened this account, so I'm actually down right now, but I have faith in capitalism!!  My retirement is going to be so sexy.

--We didn't turn the heat on until mid-December!  I have no idea how much that saves, but it's still awesome.

--I managed to still have a few mini-vacations this year, despite my ridiculous schedule--New Orleans, New Brunswick, Philadelphia. Plus, that conference I went to in New Orleans included tons of free food and drink, which I like very much.

--As far as personal, non-financial goals this year, I made goals to run 750 miles and read 150 books.  As of today, I've read 154 books (and I still have two days left!), and run 918 miles.  Not to bad for a girl with only two days off a month.

The Bad:
--I went over in most budget categories.  I was going over when I was doing most of the grocery shopping, and now that we've got the shared household card, we're still over.  Obviously, I need to reassess where the money is going, and hopefully, do more cooking for both of us in the new year, which should be easier since we'll both be home at the same time.

--I spent a LOT of money on running gear and races.  The good news about that is that now I have all this running gear, I should be set.  The bad news is that I ran 10 races this past year, and that is not cheap.  I have a plan for the coming year, and I'm sticking to it.

The Ugly:
--I spent so much money on clothes this past year.  I've been like a crazy person and even though I keep saying I'll stop, I do not stop!

--This past year, I have spent $1477 on gas.  That figure makes me physically ill, but it's actually less than I had budgeted for since gas prices have gone down.

Now I need to make a plan for 2012, or at least as much of a plan as I can.  Stay tuned!!

How did you do this past year, financewise?

2010--not too shabby

I began 2010 with a diminished savings account and one 19-hour-a-week job plus freelance work, and end it with an almost replenished savings account in a better bank (I actually earn interest now!) and a second 15-to-19-hour-per-week job allowing me that savings replenishment.

Looking back over my budget, I underspent for the year in the food column by $43, but overspent on both alcohol and clothes. I don't set spending limits in my other columns, but my misc column was higher than I would have liked. I spent $1110 on gas for my car or about $93 per month. That figure makes me feel physically ill, but there's not much I can really do about it as I now have two commutes.

Despite spending an obscene amount of money on gas, I have saved quite a bit and also put some toward my student loans, though that money is just going toward interest at this point, but interest is tax-deductible!

Goals for 2011 are as follows:

1. Replenish savings account completely. I want to have a minimum balance of $10,000 in my savings. This the amount of money that it would take to keep me financially afloat for a year if something should happen to both of my jobs. Once I hit $10,000, I will continue to save, but less aggressively, turning my focus instead to...
2. Those blasted student loans. I'm in deferment right now, but will come into repayment in May or June (I should really figure that out). I intend to keep making the small payments I have been while focusing on savings until I'm in repayment, then I will most likely be putting every spare cent toward that large, scary number. Should be a superfun.
3. Keep looking for tweaks to save money and keep socking money into the old travel fund. Just because I owe direct loans a limb doesn't mean I can't have some (responsible) fun (within reason).
4. And my perennial goal--remember that I have pretty much everything I need and don't get caught up in the yearning for stuff. I have stuff--I'm running out of places for it.

How about you, what are your goals?