My Story
Hi there…I’ve always been a personal finance junkie and was recommended to come here from another message board (not finance related). I’m a 33-year-old father of 14 month twin boys. My wife works full time.
I work for a very large global company that has an office here in New Orleans. Both my wife and I are from here and never want to move…so our primary personal goal is to be able to tell my work “no” if they ever want me to move…which will likely happen at some point in time. This is very important for both of us…so we figure the best way to do this is to pay down the mortgage ASAP. We just built a new house that we can live in forever if we need to. Very conservatively, we can get the house paid off by March of 2017.
In addition to wanting to stay in New Orleans forever, I have another goal of either starting my own company or going to work for a small company where I have some ownership. My wife an I started a business on the side in 2008 that has far exceeded our expectations, and I absolutely love being an entrepreneur. Unfortunately, the side biz can't turn into a full time biz. Overall, leaving my cushy job is a big risk that can be mitigated by having no debt. I have no timeframe for this, but would like to be as flexible as possible in case something comes up.
I’m a big believer of emulating and asking for advice from people who are where you want to be at some point…so here I am.
So basically, I'm looking for feedback on how you think I'm doing...I like to be challenged wrt personal finance...I'm here to learn!
Here’s some pertinent info about my situation:
Income/Expenses
• ~175-200k/year (wife’s income is variable)
• We budget very conservatively due to wife’s job, leaving us with about $12k - $35k extra/year
• Additionally, we own a small business on the side that provides us with $10k - $20k additional/year
Debt
• Primary Mtg: owe $150k @ 4% (in year 1 of a 30 year) – house is worth ~ $400k
• Student Loans: $40k @ 1.5%
Assets
• ~$250k in equity in primary house
• $150k estimated value in vacant land that I am holding for sale or potentially build upon
• $30k cash on hand (emergency and future bills)
• $135k b/w ROTH IRA, Rollover IRA and 401k (me and wife combined) - all tied to blue chip stocks and S&P 500 index funds
• Own 2 cars in full (’06 Grand Cherokee & ’04 Accord)
How we use our extra money
• Allocate $10k/year into my 401k (no match)
• Use the rest to pay down my mortgage
Potential Exposure
• I wrestle with not putting any money into my kids 529 plans
Hi there…I’ve always been a personal finance junkie and was recommended to come here from another message board (not finance related). I’m a 33-year-old father of 14 month twin boys. My wife works full time.
I work for a very large global company that has an office here in New Orleans. Both my wife and I are from here and never want to move…so our primary personal goal is to be able to tell my work “no” if they ever want me to move…which will likely happen at some point in time. This is very important for both of us…so we figure the best way to do this is to pay down the mortgage ASAP. We just built a new house that we can live in forever if we need to. Very conservatively, we can get the house paid off by March of 2017.
In addition to wanting to stay in New Orleans forever, I have another goal of either starting my own company or going to work for a small company where I have some ownership. My wife an I started a business on the side in 2008 that has far exceeded our expectations, and I absolutely love being an entrepreneur. Unfortunately, the side biz can't turn into a full time biz. Overall, leaving my cushy job is a big risk that can be mitigated by having no debt. I have no timeframe for this, but would like to be as flexible as possible in case something comes up.
I’m a big believer of emulating and asking for advice from people who are where you want to be at some point…so here I am.
So basically, I'm looking for feedback on how you think I'm doing...I like to be challenged wrt personal finance...I'm here to learn!
Here’s some pertinent info about my situation:
Income/Expenses
• ~175-200k/year (wife’s income is variable)
• We budget very conservatively due to wife’s job, leaving us with about $12k - $35k extra/year
• Additionally, we own a small business on the side that provides us with $10k - $20k additional/year
Debt
• Primary Mtg: owe $150k @ 4% (in year 1 of a 30 year) – house is worth ~ $400k
• Student Loans: $40k @ 1.5%
Assets
• ~$250k in equity in primary house
• $150k estimated value in vacant land that I am holding for sale or potentially build upon
• $30k cash on hand (emergency and future bills)
• $135k b/w ROTH IRA, Rollover IRA and 401k (me and wife combined) - all tied to blue chip stocks and S&P 500 index funds
• Own 2 cars in full (’06 Grand Cherokee & ’04 Accord)
How we use our extra money
• Allocate $10k/year into my 401k (no match)
• Use the rest to pay down my mortgage
Potential Exposure
• I wrestle with not putting any money into my kids 529 plans
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