Ahead of the New Year, I wanted to get a big picture view of our money life since I started blogging here in 2008.
It's just amazing. We haven't always met our goals, but we've gone farther than we would have. Before I had a place to write down and plan, we just drifted, without a plan. Having a plan, at least for me, makes all the difference.
Just keeping track of my goals, and having a place where I felt accountable has had an amazing impact on our financial life.
Here is what my family has accomplished since I started this blog:
2008
Savings goal: $19,250
Actual savings: $21,305, plus $15,000 in 401k contributions.
I owed $12,700 in student loans and paid $1100 extra. The rest of the money went to fund our IRA, Roth, 529, brokerage, car fund, and savings accounts. We also had a baby, I left my full-time job and began freelancing to save on childcare and to care for my terminally ill father, who died in July of that year.
2009
Savings goal: $22,220
Actual savings: $10,000, plus $12,000 debt pay-off, plus $16,500 in 401k contributions.
In 2009, we added a second baby to the family, which meant more hospital bills, and another 529 plan. Our freelance income took a nosedive thanks to the Great Recession. We didn't meet many of our goals, but I did pay off my $12,000 student loan using our "exotic" vacation fund and some savings. Paying it off eliminated the $303 monthly payment, and made us 100 percent debt free.
2010
Savings Goal: $23,540
Actual Savings: $16,575, plus $16,500 in 401k contributions.
Once again, we didn't make the goal, but hey, I make them ambitious. We bought a new car, and had to adjust our lives and finances to two children. My freelance income rebounded a bit from 2009, to about half 2008 levels. We full funded my IRA, both kids' 529s, paid extra on the car loan, and put a little in savings. We loaned $5,000 to a friend, which is why we were so far below our goal. We saved it, we just didn't get to keep it!
2011
Savings goal: $32,490, plus $16,500 to 401k.
This is by far the most ambitious year yet. To make this, we'll have to dedicate our tax refund and hubby's bonus (hoping he gets one...) strictly to the goals. My freelance income is also rising again, which should help. I'd also like to do another No Spend Month to kick start savings.
I think if we're diligent-- sticking to our weekly spending cap, shopping smarter for groceries and such-- it will help us make our goals and prep to one day have a mortgage again. (EEK. Not looking forward to that!)
Looking back at my savings account balance last year at this time, I realize we're only about $100 above where we were then. Sigh. Treading water, but given everything we've done this year, I'm trying to be happy with that.
It has long been my goal to up the balance of the EF by $10,000 a year. We made a little headway in 2008 and 2009, but in 2010, it didn't really happen. Here's to 2011!
the BIG picture....
December 19th, 2010 at 04:00 pm
December 19th, 2010 at 04:06 pm 1292774785
I agree that blogging about finances is a great motivator for meeting financial goals. I'm also convinced that I wouldn't do as well if I didn't have people reading about how we do on our goals.
December 19th, 2010 at 04:31 pm 1292776302
December 19th, 2010 at 06:48 pm 1292784483
Being here keeps me motivated too.
December 19th, 2010 at 07:58 pm 1292788727
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December 20th, 2010 at 01:44 am 1292809470
December 21st, 2010 at 02:59 am 1292900386