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Year of Becoming an Adult: October Update

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Just last month I told you guys that we’d completed 2 out of our 4 2015 goals on our Year of Becoming an Adult list. Here’s where we stand now:

  1. Wills: Completed a couple months ago.
  2. Life insurance for hubs: I’d mentioned in my last update about hubs losing a bunch of weight (50 lbs, to be exact!!!) He still wants to lose about another 20, but decided to go ahead an initiate the life insurance process now. I remember it taking two or three months last time around (not a quick process), so hopefully by getting the ball rolling now he’ll be able to be insured before the end of the calendar year. And, just to show you how far he’s come, check out this incredible before/after photo comparison (note: I forced him to do this –he’d be embarrassed to do a mirror selfie himself; I also forced him to wear the same shirt for comparison purposes. The difference is incredible, right?!?! So proud of him!!!).

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  1. Open retirement accounts: We opened a Roth IRA back in April, and I also started funding an additional account through my work (a 401a) in July. I’m investing 10% of my paycheck into the 401(a) + my 7% employer match, plus still doing the $100/month toward the Roth (I know its not much, but better than nothing!)
  2. Open college savings accounts for the kids: I finally did it! I opened two 529s (one for each child) and have set up an auto-deposit of $25/month for each of them (a total of $50/month). Once we’re further along in the debt-payoff process we may increase contributions a bit, but I’m happy with where they’re at for now. It’s not much, but every little bit helps.

It’s been a crazy whirlwind of a year! Some serious happy times and some serious lows have been had. And in the last few months as I’ve transitioned back into full-time work I feel like I’ve let a lot of these “household” type tasks fall to the wayside as I’ve been trying to balance my work obligations and father caretaker tasks.  I’ve alluded to this without outright saying it, but I’ve taken over 100% of my father’s financial matters. Since he owns two separate properties, it feels like I’m essentially running THREE households myself. Hubs and I still have our budget meetings so its not like he doesn’t contribute to our household, but I’m still the person who balances the YNAB budget and physically pays the bills. It’s been a lot to take on, but I’m of course happy to help my Dad and just trying to stay on top of everything. I’m eternally grateful for the accountability I’ve received here!!! I’ve always done Excel budget spreadsheets, but I don’t think I was as uber-careful about where every single penny was being spent until I started blogging here (and, really, YNAB has been a life-changer in that regard. Check out my review if you’re interested.) Without the organization I’ve gained since I started blogging here, managing 3 separate household budgets would be really tricky. I mean, its tricky either way, but it’s certainly much easier being organized.

At any rate, in spite of the haze that this year has been (can’t believe its already mid-October! Where is 2015 going!?), I’m really glad to have now solidly accomplished 3 of our 4 “Year of Becoming an Adult” goals and that we’re well on the way to completing the fourth as well.

Now….if we can just squeeze in some debt payoff milestones we’ll be set! ; )

Have you ever tried YNAB? What did you think?

Do you do goals or resolutions for the year? How are you doing on your 2015 goals?


The Year of Becoming an Adult: September Update

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In October of last year I wrote about some of the financial goals we have for the year 2015. I called it “The Year of Becoming an Adult” as a way to acknowledge that, at the ages of 31 and 32, we really should have had these tasks taken care of long ago! It was long past time and 2015 was our year to tackle these important adult milestones.

There were four things, specifically, that I had mentioned. Time for a little status update on each of them:

  1. First, we’re going to make a will. This is finally done! I actually made the wills on my birthday (December 31st), but it took us MONTHS to get them notarized! In our state we had to have two witnesses and we had a hard time getting people to be our witness. We asked bank employees (nope), we asked friends (yes, but had a hard time finding a time that worked for 2 separate friends at the same time), and finally we got it done when hubs’ mom and grandma came to visit a couple months ago. Kind of ridiculous that it required two people coming to visit us who could serve as our witnesses, but the bottom line is this task is finally completed and behind us.
  2. Second, husband will get life insurance. Quick recap for newer readers – hubs had a mystery illness at the end of 2013. In summer of 2014 I got life insurance and tried to get him some, but he was rejected due to the mystery illness (doctors never found out exactly what was wrong with him). He was advised to wait a year and try again. So initially we were going to reapply at the beginning of this summer. But hubs has been on a hard-core mission to lose weight and wanted to wait until his weight-loss is complete so he can try to get better prices on life insurance. He started his weight-loss mission on June 1st and in the 3 ½ months since then he’s lost a total of FIFTY POUNDS!!! Yes! It’s incredible! Like watching an episode of extreme weight loss in front of my eyes! He wants to lose another 20 lbs. but I think we’ll probably initiate the life insurance process early next month (October). I remember from last time around that it was a couple-month process – not a quick overnight thing like I had expected. So this should still be done by the end of the year, but hasn’t been handled yet.
  3. Third, we’re going to open retirement accounts. Success! In April (before tax day), we opened up our first Roth IRA for 2014. It was a meager contribution ($1,000), but it was a start. For most months this year we’ve been setting aside $100 to be added to the Roth. But then when I started my full-time job in mid-July things really kicked it up a gear. I’m now contributing 10% of my full-time job income to a retirement account, which is being matched up to 7% from my employer. In addition to that, I’ve opened up a FSA (flexible spending account) for dependent care. I contribute $500/paycheck of pre-tax money so I can pay for the girls’ care with pre-tax dollars. I actually haven’t made a withdrawal from the account yet (and I need to!), so I need to figure out how to do that. But the point is that we’re now contributing to various retirement accounts (mostly through my employer’s 401a but still a little in a Roth), as well as taking advantage of a tax-advantaged FSA.
  4. Finally, we’re going to open college savings accounts for our girls. This one still hasn’t happened yet. Starting in June (the month of their birth), we’ve been setting aside $25/month with the intention of opening up a college savings account. Honestly, I’ve been so overwhelmed with work and stuff happening with my Dad that I haven’t been able to investigate into this further. Matt made it sound like it was super easy-peasy when he opened up an account for his niece, so I just need to bite the bullet and do it. In the meantime, the money has been earmarked for this purpose (I categorize it using YNAB’s budgeting system), so it’s available when I finally do get around to actually opening an account. I’ll go ahead and put this on my To Do List for the beginning of October, too. So I’ll call this a half-success since we’ve actively started saving the money but haven’t actually funneled it into an appropriate account yet. The intention is there, so now it’s just a matter of the follow-through!

Those were the main things I had discussed in my original Year of Becoming an Adult post, but I’m also happy to announce that hubs is finally getting a handle on his dental issues, too (never mind that it took an all out emergency to make that happen). Actually, TODAY is the day he’s getting his first quadrant of work done! He’d gone to the dentist right after the emergency but had to be put on antibiotics before any actual work could be done so today is the D-Day (D as in Dental work). We’re hoping to knock out one other quadrant before the new year (to max out our dental insurance benefits), but that probably won’t be scheduled until late November or December sometime to allow us a couple months to try to save up some more money. Remember – this round of dental work cost $665. I’m not sure what the next quadrant will cost but I’m assuming it will be pretty comparable. Allowing for a couple months’ buffer to restock our dental savings account is really helpful for us.

So there you have it!

#1 = check!

#2 = in progress

#3 = check!

#4 = in progress

BONUS (dental work) = in progress

 

I’d love to report more successes/check-marks but with the cards life has dealt us this year I’m pleased with our progress. When life gets crazy, baby steps is all we can ask for. As long as we’re moving forward we’re moving in the right direction! : )

I’ll be sure to update in a few months when I can hopefully report that ALL of these items have been checked off the “Year of Becoming an Adult” list!