Blog Posts
We took out a mortgage in August of 2015 and our first payment was due on October 1, 2015. Although, we have payed all of our mortgage payments around the 15th of the previous month, because that was when we would put money in our savings accounts prior to purchasing the house. This means in 2015, we payed 4 minimum mortgage payments and we also payed 4 extra principal payments.
How much you spend on recurring basis will continue to affect how fast you can invest and the more you invest, then the faster you will reach financial independence. Our 2015 goal was a 50% savings rate and we were on track to hit that goal until we purchased a house. Therefore, we did not meet our goal, but we are happy at where our finances are heading with a plan of paying off the mortgage early and investing a minimum in 15% in retirement accounts each year.
Christmas is one of the most expensive holidays. Traveling to see family, buying gifts, decorations and christmas dinner. All of these items can run up the expense of Christmas. There is nothing wrong with spending money for this holiday, but the danger zone is when you spend money that you don't have. Lot's of people around the country buy gifts on a credit card or on store credit and they are paying for it months after the holiday season.
My wife and I have no consumer debt, but we do have a mortgage, so I am always looking at ways to keep expenses down. For example, I will hang dry my clothes as opposed to drying them in a dryer, because the dryer accrues electricity costs. My little drying rack is free! Another example would be dropping cable to avoid the high monthly cost.
Every holiday season, specifically Thanksgiving, we reflect back on the things that we are thankful for in our life. I sometimes wonder why we as a culture only take one day to reflect and be thankful. This is something that we should change. Being thankful year round is a great way to humble yourself. Instead of thinking of everything you don't have, you begin to be grateful for what you do have.
