That's great, it starts with an earthquake, birds and snakes, an aeroplane -
Lenny Bruce is not afraid. Eye of a hurricane, listen to yourself churn -
world serves its own needs, regardless of your own needs. Feed it up a knock,
speed, grunt no, strength no. Ladder structure clatter with fear of height,
down height. Wire in a fire, represent the seven games in a government for
hire and a combat site. Left her, wasn't coming in a hurry with the furies
breathing down your neck. Team by team reporters baffled, trump, tethered
crop. Look at that low plane! Fine then. Uh oh, overflow, population,
common group, but it'll do. Save yourself, serve yourself. World serves its
own needs, listen to your heart bleed. Tell me with the rapture and the
reverent in the right - right. You vitriolic, patriotic, slam, fight, bright
light, feeling pretty psyched.
It's the end of the world as we know it.
It's the end of the world as we know it.
It's the end of the world as we know it and I feel fine.
That’s right. I feel fine.
Yep. My wake up to date started with an earthquake of 25k in medical debt last August. Then, I was listening to my inner voice just churn with self-doubt. Then, the fear of the height of my debt crept in. Then, I saved myself and served myself and it was the end of my old world as I knew it, but I feel fine.
During the first quarter of this year, mid month was always the apex of the stress for the month. Then last month, something happened. There wasn’t any stress. This month, no stress.
Why? I had a plan at the being of the year. It’s basically the same plan I have this month. It’s because I have full faith in the plan. As they say “Plan the work and work the plan.”
So now, I don’t have to devote my mental energy to worry about the whether the plan will work or not. I can now start mapping out my next steps. My plan, which encompasses my goals, is pretty much mapped out for the rest of the year. I work the plan and I should get there.
This leaves me to start looking at what I want to do in 2009. What direction do I really want to go? And what are the main variables?
So what’s on the table for 2009?
Definite:
1) $15,500 to 401(k)
2) Contribute to 529s – total of $4,000
3) Max. 2008 IRA contributions
Now comes the harder goals. I need to explore if it is better for me to be a 1099 consultant or a W-2 consultant.
But the real big question is whether to stock up cash for real estate investment purchases or to pay down the mortgage. My thought process is that I am probably 2-3 years from purchasing my first investment property. I have a child that is 9 months and one that is 3.5 years old. At this juncture in my life, I really don’t want to take time away from them. Also, I want to do tremendous research into the market and formulate a business plan. I also want to enter the market from a position of strength (good down payment, strong cash reserve, and time to devote to it).
I also would love to get my 30 year mortgage down to a 15 year.
So those are the three things rolling through my head right now. But I have time to think before 2009 gets here. Time at the moment is on my side.
Mid-May Update
May 15th, 2008 at 05:05 pm
May 15th, 2008 at 06:17 pm 1210871824
May 15th, 2008 at 06:35 pm 1210872930
I also aim to max my 401(k) and Roth IRA each year... but beyond that, things are a bit hazier. Then again, I don't make enough to worry about this part yet.
You probably know this already, but to me, going into real estate for investing is like operating a side business. In which case, I'd probably lean towards something more stable like W-2 consulting. That is, I'm assuming that you are also planning to take on renters until you can flip it for profit.
Investment properties are too high cost of an entry for me though. At most, I'll probably do REITs, but I don't know what to think of REITs yet.... Probably a good idea to look into, say in another year or maybe two?
May 15th, 2008 at 07:57 pm 1210877869
I have promised myself I can start trying to get pregnant once I get rid of the CC debt, so it's another great incentive to do it early (but will probably change the rest of my debt-payoff landscape a bit).
May 15th, 2008 at 08:25 pm 1210879516
As for real estate, it’s not something to go in with low funds. I pan on starting with one 3 family. It will probably got 200k. So, I would be looking at 45k to get in and then have an additional 30k sitting in the company account, just in case. That way I am going in strong and not desperate.
You should think about a 2 family. We’ll have competing real estate empires in 15 years.
Ceejay – My goals are pretty much set for the end of this year. So, I’m on autopilot now. Just keeping the pace. So, I’m trying to look ahead and make any small adjustments that I need to. Unfortunately, the USS Merch doesn’t turn on a dime.
Also, I wouldn’t wait for children. My wife and I had to go through an egg donor for our second child. Just something to think about. It’s never the perfect time for kids.
May 15th, 2008 at 09:32 pm 1210883576
Hahahaha! Something tells me you'll wipe the pants off with me, but hey, a little healthy competition never hurt anyone!
May 16th, 2008 at 12:10 am 1210893016
May 16th, 2008 at 06:36 am 1210916164
We're still pretty far from "planning the work and working the plan" but it's nice to know that when that day comes . . . my stress level is likely to go down.