Introduction Of Our 2021 Financial Goals Money Goals To Achieve This Year
Our 2021 Financial Goals Money Goals To Achieve This Year. Which we will get into now okay number one we want a second car we have been a one-car family for a long time it has worked out well for us saving money on not having a second car has been huge like the average monthly car expense is four to six hundred dollars that’s including depreciating value car maintenance gas fuel insurance all of those things so we’ve avoided having a second car we have another parking spot in our building.
We rented out for an extra 150 a month
That we rented out for an extra 150 a month so that’s been extra income so we would lose that at the same time but we have a baby on the way so if Justine needs to go take the little boy or girl we don’t know yet uh to a doctor’s appointment it’s going to be very helpful for us to just the convenience factor there for her to just jump in the car and go so we have how much do we have right now in our 25 000 and what is our goal amount five thousand dollars and that includes like taxes and expenses and fees and licensing and inspections and all that stuff.
When should we have this fully funded by the end of the year at least the baby’s due in six weeks so i’m hoping that in eight weeks we’ll have this funded okay so let’s call it in two months we’re talking about five grand per month whoa but we just if you watch some of our beers and budgeting episodes you’ll see i had some automatic contributions and manual contributions that did not get added uh for january so i feel like we’re like 28 000. yeah, I feel like we’ll be super close.
I think we could hit this by April for sure okay so let’s give us a little fudge factor and let’s say by June so halfway through this year yeah I like that we’ll be at 35k I like that, okay okay that’s the goal number one goal number two increasing the down payment fund again so if you watched my video on how to negotiate your rent even during the pandemic that’s exactly what we did and knowing how our lease agreement ended and aligned with when the baby’s due date is we had no desire to try to move to find.
We want to take our time especially
A house and hurry and rush that process we want to take our time especially because this is the very first home that we will be purchasing so what we did is we ended up renewing our lease at the same rent amount which is awesome and that buys us the rest of the year to look for that house if that ends up playing out so we have way more run runway to increase down payment fund and we are talking about making this a regular contribution of two thousand dollars per month so.
We are talking about adding twenty-four thousand dollars towards the down payment this year yep now are we pausing any retirement funds to do that no that’s right we are contributing your retirement and then adding to the down payment that’s not to say that we can’t max out and keep going with the retirement accounts because that is still something we need to do but because the down payment and the second car fund are more short-term goals that are why.
We’re focusing more money on those goals once the car is funded we can snowball that savings into more towards the down payment or more towards retirement or both awesome so I like to stair-step the financial goals I think this is a good approach for us so at the end of the year if we made if we got to like 150 k in our down payment I would be yeah and right now we are sitting at just shy of 125 000. so if the markets continue to go the way they did last year, which is like a total gamble, we should easily be able to accomplish that.
That money set aside in some bond index funds
If we have another bubble might be a different story, yes and you should on how we saved the first 100 000 in our down payment I will link to that video up here so that you can check that out because we do have some of that money set aside in some bond index funds and that video explains how we do that um I think that sounds like a really good goal okay number three go for it maxing out my Roth ira so right now I contribute just 200 per month and to max that out.
We’ll need to contribute 500 a month and that’s because the max contribution limits in a year towards a Roth ira is 6 000 divide that out by 12 500 a month so I think once we get the second car fund done then we can go and look at maxing out the Roth that’s one of our snowballs maxing out the Roth is part of that trickle-down or just redistribution of contributions yeah I say that we meet again in June and like halfway through the year June July and see what where we’re other investing goal all right number four.
We are going to increase our contributions to a 5 29 plan five two nine if you haven’t heard of this it is an investment area that’s designed for education that’s kind of the easiest way to sum it up I would say now there are a couple of different things 529 is not your only path but the idea is that it works like a Roth once you put money in and you can use it for educational expenses like tuition or housing books some different things and that can start when they’re young like for private schools like in third grade kind of thing.
We just started one because we knew eventually someday
Now you can use the money for k-12 expenses where you used to just be for higher education yep so right well we contributed three grand almost three years ago to it and where we trying for a kid back then no we just started one because we knew eventually someday we did want to have kids and I’m the supertype a yeah imagine that so now it’s at forty-four hundred dollars and we haven’t contributed anything since then so we’ve gained fourteen hundred dollars by just starting it that feels pretty good at the end of the day to be like hey there’s an extra fourteen hundred bucks.
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the hat you didn’t have before I’d take that any day oh if you have that much money laying around you can call me I’ll take it right now so we’re going to increase that contribution and say let’s do a hundred dollars a month, yeah wow I don’t know I don’t love the kids that much yeah do you hear this all right I think you said earlier let’s meet in June after the jeep fund is fully funded let’s come back to June, yes and we’ll talk about this being part of that redistribution including your Roth now the 529 plan is added yeah my initial thought was at minimum 50 a month. Like It Our 2021 Financial Goals Money Goals To Achieve This Year.
So that’s kind of what I was thinking but yeah I said I’d say that can be back burner while we focus on the first two goals I’d also like to say that I have no idea what education is going to look like like like by the time our kid gets there I mean that’s 18 19 years from now it could be completely revamped it’s extremely expensive now even in the short term like in the past five years it’s gotten dramatically more expensive in 10 years it’s gotten unbelievably more expensive yeah so it could look completely different.
A whole bunch of different tech schools
It could be a bubble that we’re in right now there could be a whole bunch of different tech schools I don’t know what they want to do they might just want to be a programmer in that case it’s a six-month trade school to be a programmer if they want to be an entrepreneur and maybe they start their own yeah it’s hard to predict yeah but I know that whatever they want to do after high school it’s probably going to take some form of education and the 529 plan can help them take a class.
A training or whatever that they need to to try to get closer to their goals so I like it all right can I take this one yes number five we are going to increase my robin hood experiments yeah all right so last the past two years I’ve done very well in robin hood I’ve averaged 44 return on my robin hood investments through a method that I’ve developed specifically for myself for a few specific investments that I pay attention to and I’m saying it like that on purpose because I’m not going to tell you because.
You did mention those two strategies t
We’re not investors we’re not some kind of financial firm I found something that works for me and has only worked for the past two years and however, you did mention those two strategies that you have used to build up your Robinhood account in a different video which we will link to up here and in the description box below for you to check out two strategies that helped you boost your investments like over a hundred percent return 132 return yeah yeah so.
I want to stick with those same strategies but we have doubled the amount my goal for 2021 was actually to get to 10 000 and we’re in february and i already accomplished that so we’re going to put more money we’re going to put another 10 grand into that and see where i’m at by the end of the year so we had extra money in our savings account that was just kind of sitting there and i was like is this money working the best for us in this account i think we could do better so this was something that we sat down and seriously discussed because ten thousand dollars is a lot of money i mean to us this is a lot of money and so we both agreed that it is a risk. Comment It Our 2021 Financial Goals Money Goals To Achieve This Year.