Rain, Rain Go Away

Our area is experiencing a 3-4 day rain-a-thon.  Steady showers day and night.  Tomorrow  there will be more rain but with storms.  I don't mind the rain, its just that I am not that motivated when it is overcast and wet outside. Today I baked a cake and worked on some eBay listings.  Oh, I did get laundry done too. 


Tonight is our second night of FPU with Dave Ramsey.  Over the weekend, my husband and I reviewed and discussed the "Quick Budget" that is part of week one.  We spent two hours looking at what our monthly bills are ( auto insurance, cable, phone, gas, tolls, groceries, etc.).  That has NEVER happened before! Usually it was me juggling and deciding what and who gets paid.  Just to have hubs in the mix as an active participant is such a treat for me.  Woo Hoo!! 


We surmised that our budget will be in a state of "flux" until possibly the end of the year.  We are hoping that mom's estate will finally be done with probate.  Until that is done, I hesitate to move any of our savings to our 6 months emergency fund.  I am hoping not to put any more money into probate but we will see. 


We calculated that we will need $18,000.00 for our 6 month emergency fund.  That's a lot of moolah!  In order to accomplish this we will be diverting our retirement contributions to the emergency fund. That will be a drop in the bucket, but we are BOTH motivated to get it done.  After our trip to Las Vegas (booked before we started FPU) we will find more ways to build that emergency fund.  We will not be giving up cable.  Or the internet.  Hubs loves is DIY shows!
And I tend to watch too much reality TV.  But, I like it. :)


It is looking like we will again spend at our around $600.00 for groceries again this month.  Maybe that is our magic number...... But, will try again to get it down next month.   Our eating out is only at about $150.00 this month.  That is low for us.  We have definitely spent more!  I guess we feel a sense of entitlement to eat out.  Or maybe it is just me!  But, we have definitely done well in that category.

Saturday: Stuff to Do and Updates

I love driving this road. 

The weekends just fly, don't they?  There are a few things to do today which include the usual Saturday chores.  Laundry, yard work and taking our foster pups to an adoption event.

Update on son:  He did hire a lawyer.  The lawyer did get him a hardship license to go back and forth to work and church.  I understand he will have that until his court appearance.  At that time he will probably ( and deservedly ) lose his license for a minimum of 18 months.  Probably longer.  That is all I know for now.


Update on Revised Goals for 2013:  Pffffttt!  No new goals set.  We ( my husband and I) have not yet signed up for Financial Peace University.  That sucks!!  We need to do it.   What is the hold up?  I have not brought it up.  We don't talk about money logically.  Big Problem.   Maybe by the end of the year... just in time for 2014.


 Mom's estate is still in Probate.  That is fine.  I am not ready to really deal with all that just yet. I think we will take my parents cremated remains to Wisconsin in May/June 2014.  That will be quite a trip to plan around everyone's schedule.  And at times it is not one I am ready to undertake.  Some days I would rather just not go at all.   But I imagine everything will fall into place at the right time.

And last but not least,  Sluggy is having another great giveaway.  I have been a lucky winner of one of these boxes and there is so much stuff in there that it will blow your mind!  Enter daily and win~

Financial Goals 2013 Revisited. It's About Time!

 It has been awhile since I have even looked at my list of financial goals for 2013.  This year has been a whirlwind for a variety of reasons.  Most of which you all are very familiar with.  As with many things, I have been trying to get back to a new normal.  Reviewing my Financial Goals is just a way to get through ( or over)  the past and look forward to our new financial future.  Here is the quick look at the the before AND the new after. 

1. Pay off remaining Credit Card Debt. Balance $4500.00 At one point this year, our credit card debt was as high as $13,000. We had planned and expected for the debt to be paid off by the end of this year, but we had a few unexpected expenses pop up. PAID OFF!!!

2. Dental work for husband. New crown for one of his back molars. $340.00 PAID!

3. New suit for husband. My husband shops in Big and Tall (he is 6'5'). He needed a new suit right away because he was speaking at my dad's memorial. $500.00 PAID!

4. The rental house needs new tile in the kitchen. the dishwasher leaked and the laminate flooring is buckling. Cost: Unknown at this point.... getting estimates. Done! Tile was 500.00 and labor was 300.00.

5. Save $1200.00 for Christmas,Weddings, and Birthdays The Christmas/ Gift account is automatically funded each pay period. So far we are on track.  But I am thinking I will need to up the amount.  I don't think $1200.00 will be enough. 

6. Save $2000.00 for a trip to Las Vegas in Spring. We were planning to go earlier this year, but it did not work out. We are going to Las Vegas in October 2013.  I am using my eBay and Etsy shops to fund our trip.  Maybe I should put that another way.  We have the funds to go, but I want replenish our vacation account as much as possible before we leave.  This is motivation for me be more serious about online selling. 

 

7. Begin contributing to my Roth again. I have not made any contributions to my retirement accounts since I lost my full time job almost 18 months ago. I have move all of my account to Vanguard and I will begin an automatic withdrawal from my checking to start in January 2013 of $200.00 per month. I did start my payroll deductions in January of this year, but only $100.00 per month.

8. After all of the above are accomplished, it will be time to apply all extra money (at least $7000.00) to our primary mortgage. The balance on our primary mortgage is $98,800. We want very much to reduce the mortgage to $90,000 by the end of the year. PAID OFF!!!

When September rolls around, we will have a newly revised Financial Goals for 2013.  

Financial Update: A New Beginning

Where do I start? Most of you know that thee has been a lot of things going on in my family life for the last 18 months or so. We ( my husband and myself) were on again and off again caregivers for my parents.

 

 

During that time period I willingly gave up two full time jobs to take care of mom and or dad. My husband and I moved in and lived with them for months at a time to help mom take care of dad. After we lost dad in December 2012, mom decided to move in with us and because of health related complications she too passed away in May of this year.

So you see, within the span of the last 6-7 months we lost both my parents. Hard for me to even comprehend sometimes. Needless to say, our whole family was stressed out but still trying to keep our normal lives going amongst all the chaos.

 

When mom passed, I discovered that mom had both a substantial savings account and retirement account. Mom was a very private person and even has her only child she did not share those aspects of her life with me. Initially, I could not wrap my brain around the numbers involved. And I definitely could not decide what to do with the money.... At least not at first. Okay.... Maybe not even now.

 

After consulting with Mom's financial planner, my probate lawyer and my CPA, there has been progress with moving some of the money around. Here is what we accomplished so far:

 

• PRIMARY MORTGAGE : 97,8000.00 PAID OFF!

• CREDIT CARD DEBT : 10,500.00. (Includes funeral expenses). PAID OFF!

 

This is a huge blessing for me and my husband. No doubt about it!! What happens next?? We still have to go through probate to gain access to the accounts that are in mom's name only. Probate is not cheap, but I guess it is a necessary part of the process. After successfully completing probate, mom's mortgage free home will be in my name. Her other as acing accounts will be in my name. I then will be able to also gain access to her safety deposit box.

 

With the funds that are remaining, we will be able to put away 6 months salary. I cannot tell you how much piece of mind that will provide for my husband and myself. We also will be able to replace my husband's 16 year old truck and my 13 year old car.

Along with all of the above, we will benefit yearly from mom's IRA. Every year, I am required to take a RMD,required minimum disbursement. Again, that is hard for be to comprehend, but I guess each day it becomes easier and easier.

What debt will we have left? We still will have the rental house mortgage of 89,000.00. That will be paid off in 10 years, if not sooner. We are planning to rent out mom's house within the next year and we will apply that money to the rental mortgage to speed things up.

I will continue working my three days a week at the mobile ultrasound job. I do not plan to work my other part time job this semester. I need a mental break from that and I still need to go through mom's belongings.

 

So what happens next? We will wait on probate, but in the mean time we will drive our same old vehicles, work or jobs, save our "extra" money and maybe plan a trip to somewhere, San Francisco or Vegas. Who knows!!?

 

For now, that is where we stand. I feel blessed beyond belief!

 

 

 

Decisions, Decisions

I have been back to work for two weeks now. The old routine is feeling very familiar and comfortable. There has been a great outpouring of support from my co-workers, students and church family. I am very blessed.

We are still receiving sympathy cards, the latest one is from one of mom's MD Anderson cancer doctors. Definitely made me cry. This is an odd occurrence as most of the other cards did not. Then it occurred to me that it was the finality of not seeing that particular doctor with my mom. Yes, that is what trigger the tears. A touch of finality.

Every week I check on mom's house and collect the mail from her neighbor. This week, her mail should start being forwarded to my home. That will make it easier on her neighbor and me. I still plan to go and check on her house at least once a week,at least until we decide what to do with it.

With regards to dealing with the financial side of her estate,there a things I know about and things I probably don't know about. I do know that she has a substantial IRA. There're is also my day's bank accounts ( they kept their money separate ) which is a tidy sum as well. Mom had previously added me to that account.

Then there is mom's credit union accounts. From what I can tell, when she saved up $5000.00 she would put in an account or CD. I am not yet on that account.....or accounts. She did add me to her primary checking account at Chase. There is enough money in that account to cover her funeral costs. She may or may not have had a savings account there, because if she did, she did not put me on it. But, I think she did.


She does have a safety deposit box at Chase, as she mentioned that she has CD's in it that she left to my kids. I don't know what else in there, if anything at all. As you can see, there are lots of unknowns with regard to mom's financial legacy. Mostly because she was a very private person and kept her business to herself. As executor of her will, I do have the right to eventually gain access to all of her accounts.

Before I do anything with them, I need financial and legal advice. I have no clue as to what the financial and tax implications of a paid off home and several bank accounts with a yet to be determined amount of funds. My goal is to make wise, well thought out and properly advised decisions regarding my mom's estate.

There is one thing that does hold me back. I know that once ALL the account contents are revealed and dealt with, it will be another stoic reminder of my mom's passing. Another moment of finality.

photo credit

Net Worth Update: March 2013

ASSETS:

CASH 2,000.00

IRA 53,7200.00

DH 403b 8,124.00

DH401a. 1,346.00

DH ROTH 3,690.00

68,880.00

HOUSE #1 105,000.00

HOUSE #2 52,000.00. ( we are upside down - rental house)

157,000.00

225,880.00 TOTAL ASSETS

LIABILITIES

CC 100.00

MORT #1 98,130.00

MORT #2 91,425.00

189,655.00 TOTAL LIABILITIES

221,209.00

191,230.00

36,255.00 NET WORTH ( up from $29,790.00 in February)

• JAN 2013 UPDATE

FEB 2013 UPDATE

Financial Goals 2013: Revised Edition

When putting together my Financial Goals for 2013, I believe now that I had unrealistic expectations of what we could actually accomplish.  So it is time to revisit the original goals and revise them to better suit us.  

1. Pay off remaining Credit Card Debt:  Almost done.  The balance now hovers at 350.00 dollars.  The credit card debt  has been as high as $13,000.00

2.  Increase savings to 5000.00.  Revising this amount to $3500.00


3.  Save $1200.00 for Christmas,Weddings, and Birthdays.    This year, we took a hit our budget with  unplanned weddings and some special birthdays.  Going to do better this year.   Christmas I will still plan to keep it around $500.00    no changes here.  No money saved yet, but will definitely get going on it.



4.  Save $2000.00 for a trip to Las Vegas in Spring. Nope.  No money put aside, no trip.  Too much going on around here with mom.

5.  Begin contributing to my Roth again.  Only 100.00 so far.  

 6.  After all of the above are accomplished, it will be time to apply all extra money (at least $7000.00) to our primary mortgage.  The balance on our primary mortgage is $98,800.  We want very  much to reduce the mortgage to $90,000 by the end of the year.   Ah.... No.  There has been minimal extra sent to the mortgage company.  Boo! 


Below is what I thought I could magically do with the money in our budget.  Not gonna happen.


  The amount of extra or redirected money need to accomplish these goals for 2013 is

credit card debt  4500.00
gifts                     1200.00
vacation              2000.00
mortgage extra  7000.00    (or $580.00 extra per month)
TOTAL             16,500.00


Here is the revised, what has a better chance of happening :)  
 

credit card debt      350.00
gifts                        1200.00                     
vacation                  2000.00              
 mortgage extra    2000.00   

Roth                         1200.00
Savings                    2500.00                    
                                 9250.00
 

So, it is okay to readjust your goals.  Sometimes what you think should happen, well, reality gets in the way and opens your eyes to what will probably happen.

That is not to say that in a couple of months things won't change again.  Because they might.  But this is what we are going with for now. 

NET WORTH UPDATE: FEBRUARY 2013

ASSETS:
CASH         2,800.00
IRA          52,000.00
DH 401       7800.00
DH ROTH   3650.00
                 66,250.00


HOUSE #1   102,060.00
HOUSE #2     53,000.00
                     155,060.00 


221,131.00      TOTAL ASSETS



LIABILITIES
 CC                   430.00
MORT #1     98,500.00
MORT #2     92,300.00

                    191,230.00



221,209.00
191,230.00
29,979.00 NET WORTH

• JAN 2013 UPDATE 

Financial Goals 2013 Update #1

1. Pay off remaining Credit Card Debt.  Balance $4500.00  At one point this year, our credit card debt was as high as $13,000.   Due to the generosity of my mom, our debt is down to $550.00.    This is very exciting for us!  So close to getting rid of the credit card debt!

1.  Dental work for husband.  New crown for one of his back molars. $340.00 Bought and paid for.

2.. New suit for husband.  My husband shops in Big and Tall (he is 6'5').  He needed a new suit right away because he was speaking at my dad's memorial.  $500.00 Done.

3.  The rental house needs new tile in the kitchen.  the dishwasher leaked and the laminate floring is buckling.  Cost:  Unknown at this point.... getting estimates. Tile and supplies are bought and paid for.  The job will cost us $150.00. Due to mom's health adventures we have yet to arrange for the tile job. 

2. Increase saving to $5000.00.  Currently we are at 2600.00 dollars in savings.  Last year we had about $1,200.00 in savings, so we are making some progress. We are hovering around $2700.00 now, but definitely are hoping to increase it.

3.  Save $1200.00 for Christmas,Weddings, and Birthdays.    This year, we took a hit our budget with  unplanned weddings and some special birthdays.  Going to do better this year.   Christmas I will still plan to keep it around $500.00     
No, nothing saved yet.

4.  Save $2000.00 for a trip to Las Vegas in Spring.    We have been planning for a while to take a trip to Las Vegas this Spring.  These plans are sorta on hold.  It depends on mom's health and if she still want to go to Wisconsin for dad's final resting place. We have no plans to go anywhere to far for vacation. Mom's health will keep us close to home this year.

 5.  Begin contributing to my Roth again.    I have not made any contributions to my retirement accounts since I lost my full time job almost 18 months ago.  I have move all of my account to Vanguard and I will begin an automatic withdrawal from my checking to start in January 2013 of $200.00 per month.   I do not have automatic withdrawal set up yet, BUT I can contribute via the Vanguard App on my iPhone.  So far, I have added $100.00 this year. 


6.  After all of the above are accomplished, it will be time to apply all extra money (at least $7000.00) to our primary mortgage.  The balance on our primary mortgage is $98,800.  We want very  much to reduce the mortgage to $90,000 by the end of the year.
 No additional payments made yer. 


 Lets recap the above:

  The amount of extra or redirected money need to accomplish these goals for 2013 is

credit card debt     500.00
gifts                      1200.00
vacation                 750.00
mortgage extra   7000.00    (or $580.00 extra per month)
TOTAL                 9450.00

Being able to visualize the Financial Goals I have set will help me to reach my goal for 2013!

• 2012 Goals 
• 2011 Goals