Net Worth Week 63 – “Stable” Employment Edition

Gentle Readers,
I’ve done a good job working through some of the giveaway piles and they should be gone before my girlfriend arrives. Gave the nicest thing to a friend and will be donating the rest to a nonprofit.
Work is being very sketchy with information. I think my project is ending, but they won’t say. This is par for the temp employment course, but is always frustrating because you are never sure that you should be looking for a new gig until you are out of another. This is why a resume needs to be up to date. As soon as you are told that employment ends in 2 hours (this is what they do to temps), you can email your recruiters the updated resume and let them start working for you.
I get tempted when the balance is this close to raid my bank to pay off the credit card in full, but I don’t know if I have paying work next week and that feels dangerous.
Had the last free class and signed up for the great deal on a tutor. I think really focused work is going to get me ready to charge for this skill.

This week’s net worth numbers

6/16/2017 6/23/2017
 Joy 1107 1107
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1004 1004
Life 476  1116
 IRA  13145  13106
 Brokerage 705  709
 Rewards Card 2 -2136 -2291
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card (98) CR  (98) CR
SL 1 -104890 -105011
 SL 2 -46210 -46266
 Earnest -4446 -4455
 Net Worth -140764 -140500
 Percentage Change .37% .19%

Do you feel that your employment is stable?

Fannie Mae Easing DTI Standards Impacts Your Ability To Get a Mortgage

Gentle Readers,
Remember when I learned that FHA guidance would make it much harder for me to get a mortgage any time soon? Things are changing, potentially.
Fannie Mae is changing their debt-to-income (DTI) formula. This will allow some folks to qualify for a mortgage who could not under the old standards.  The old DTI maximum was 45%, but at the end of July, it will be 50%.

What is the DTI Formula?

The DTI is simple to calculate. All of your debts go on the left of the colon and your income goes on the right. Then divide your debt by your income and multiple by 100.  That is your DTI percentage.
  • If I make $4000 a month, and have debt obligations of $2000, I have a DTI of 50% and am just barely eligible.  2000:4000  (2000/4000)100=50%
  • If I make $4000 a month, and have debt obligations of $1800, I have a DTI of 45% and am eligible.  (1800/4000)100=45%
This applicable DTI seems to be for Fannie Mae mortgages and not Freddie Mac or Federal Housing Administration mortgages. Their standards may or may not change to fall in line.

What does this DTI standard mean for me?

I’m not sure that this is a good move. The more debt you have relative to your income, the harder it is to pay for everything you need. This is true even without emergencies cropping up. Perhaps if the rent in your market is outrageous in comparison to your potential mortgage + insurance + maintenance, then this could be a boon for you.

 

This change still seems risky. Everything in the US market seems frothy right now. Real estate and other investment prices do not seem to correspond to the underlying asset values in a lot of markets. It does not seem like now should be the time for loosening our standards. Just because you can receive a mortgage, that does not mean it is financially responsible.

 

The next thing I need to research on my quest to own a condo is the Fannie Mae Homepath program.

 

What do you think of the new DTI requirement? Good for the market or for individuals? 

Net Worth Week 62

Gentle Readers,
My roommate has my box spring and my bed is finally normal size! This feels wonderful. I still need to deal with some items I’d like to donate, but my room is already much more comfortable.
It appears we have more than one week of work left, but the systems will be down all weekend. This means less OT than I’d like. This is also the second weekend in a row with extended system downtime. I assume the Russians are involved.
I’m really glad that I attended some PRIDE events even though my heart was not in it. It did me good to people with my people as I suspected. There were some good acknowledgements of the devastation of Pulse. Our community needs to support one another.  Some protections that had been put in place have been removed and we believe further removals are coming. The number of hate crimes against LGBT people has increased in the past year alarmingly. We were already the most likely to be targeted, and it got worse.
I have one more week of the free class before our teacher is gone for summer. I found a potential tutor for the summer who is also a really good deal. I need to see if I can actually give the tutor all the time they say I need before laying down the money. Since this skill will help my business, it can help my taxes, too. Having that LLC definitely changes how I spend money. I think this tutor and dedicated focus by me could finally get me over the edge and ready to charge for this skill.
Having dinner with a group of women in my profession tonight. We like to talk trade and support one another and just generally add to the conviviality. It should be lovely.

This week’s net worth numbers

6/9/2017 6/16/2017
 Joy 1107 1107
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1004 1004
Life 455  476
 IRA  13191  13145
 Brokerage 703  705
 Rewards Card 2 -2873 -2136
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card (106) CR  (98) CR
SL 1 -104780 -104890
 SL 2 -46161 -46210
 Earnest -4427 -4446
 Net Worth -141292 -140764
 Percentage Change -.15% .37%

Do you make a habit of truly knowing other professionals in your area?

Net Worth Week 61 – PRIDE Edition

Gentle Readers,
I have not yet been able to coordinate with my roommate about removing the box spring, so my new bed is still gigantic. My back feels like it is slowly getting better, maybe. I’m monitoring it.
The gig continues to go back and forth on what we should expect. At this moment, according to one set of instructions, we have one more week on this gig, but according to another set of instructions, we probably have a few more months. How’s that for planning your life?  I’m just going to keep showing up and trying to get hours in until they take them away from us.
My trip to my love was short, but good. It was my first venture on Spirit and I was very pleased. I don’t need much when I’m visiting her and am able to be down to one personal item – at least when it is not winter.  I’ve also looked up the cost of rental cars for the first time, and I learned that the cost for renting a small car for 3 days is less than the cost of a cab from the airport to her place. I must sign up for driver’s ed and become comfortable driving. We could explore so much more if I could drive us.
June is Pride month. I don’t know if it is Pulse haunting me, or the general scary world news, or the fact that my girlfriend is over one thousand miles away from me, but I’m not really interested in going to any of the events around PRIDE this year. Pride did not used to be such a corporate, white-washed event. It used to be queer joy, queer anger, and queer liberation. I’m trying to make space in my time and mind to attend a potluck or something with other queer folk. My heart is not there, but perhaps being in a queer space would do me enormous good…

This week’s net worth numbers

6/2/2017 6/9/2017
 Joy 1107 1107
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1004 1004
Life 1809  455
 IRA  13166  13191
 Brokerage 703  703
 Rewards Card 2 -3215 -2873
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card 0  (106) CR
SL 1 -104924 -104780
 SL 2 -46226 -46161
 Earnest -4893 -4427
 Net Worth -141086 -141292
 Percentage Change -.26% -.15%

Are you doing anything to learn more about PRIDE or attending any events in your area?

Net Worth Week 60 – Fly to Love Edition

Gentle Readers,
My bed arrived!!! It has definitely improved my pain and my sleep situation. I got a good memorial day deal, but it still is a tiny setback on the path to FIRE. I think it was the right choice. Unfortunately, I bought a box spring I did not realize I did not need. My bed + frame is currently 34 inches high. It is ludicrous. When I return from visiting my love, my roommate will help me take it down and will see if she likes it under her futon mattress that is currently laying directly on the floor. If she does not like it, I’ll see who in my community needs one.

 

This was week 52 on the current gig. We were told it would last 6 months. Supposedly, we have 3 more weeks on this project. I am skeptical. I think it will last longer. I hope the ability to do OT lasts.  Especially now that I am so close to paying off my credit card debt.

Oh yeah, another credit card vanquished! I am down to one credit card!!!  If my gig lasts, I hope to vanquish this in the next 4-5 weeks.
And I am off to the airport and hopeful that the storms near her will break enough for me to land safely and quickly.

This week’s net worth numbers

5/26/2016 6/2/2017
 Joy 1106 1107
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1003 1004
Life 1907  1809
 IRA  13106  13166
 Brokerage 698  703
 Rewards Card 2 -2034 -3215
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card -1028  0
SL 1 -104808 -104924
 SL 2 -46174 -46226
 Earnest -4883 -4893
 Net Worth -140724 -141086
 Percentage Change -.25% -.26%

Have you ever packed more lipsticks than outfits?

Net Worth Week 59

Gentle Readers,

I enjoyed the graduation party last weekend, but got stuck in the city due to mechanical issues in my plane. Thankfully, airport hotels are comfortable enough and my job is flexible. It will make it harder to get all the OT hours I intended this week, but the travel vouchers will come in handy.  Getting out of town was a definite mood boost. I need to plan for this more often now that my girlfriend lives far away.

I had a client in my office late on Thursday. Not yet sure if they’ll hire me, but good to meet new people.
I’m excited to check out the mattress deals in the suburbs this weekend. Hopefully I can find something that diminishes my pain that does not set me too far back financially, too.

This week’s net worth numbers

5/19/2016 5/26/2017
 Joy 1106 1106
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1003 1003
Life 1644  1907
 IRA  12883  13106
 Brokerage 685  698
 Rewards Card 2 -1474 -2034
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card -918 -1028
SL 1 -104693 -104808
 SL 2 -46121 -46174
 Earnest -4872 -4883
 Net Worth -140374 -140724
 Percentage Change .49% -.25%

Do you have vacation plans lined up this summer?

Net Worth Week 58 – Graduation Edition

Gentle Readers,

My gig continues to be managed very poorly. Once the supervisor who hated this project got a new job, it has gone downhill faster and faster. They promise there is a ton of work to do, but they are not staying enough ahead of us, me really, to ensure that there is work available when necessary. It’s frustrating. I sit at my desk waiting for work. At least I get paid when I wait. Their mismanagement messes up my ability to get overtime as planned.  Nothing is promised and I have to keep remembering that. Thankfully, I am still doing well.

A coworker I like on another project let me know about some job postings within our field but a level up. He found the pay rate and what skills we would need to show in order to qualify for it. I appreciate that he looks out for us.

I am off to my family member’s graduation party this weekend. It is important to show up for significant milestones. I’ll also get a chance to have a girl’s day with my best friend from middle school. Since she has children, I am letting her pick what we do. She gets less downtime than me. If she wants us to hang with her family or if she needs away time, I’m happy. I love her family, and I will do my part to contribute to its happiness.
My TMJ is acting up. I’m trying to do a better job taking care of this pain, but stress triggers it.
The markets were rocky this week. I wonder what they’ll have in store for us with all of the ridiculous goings-on in our Administration. My IRA is down, but my net worth is up. I’m heading in the right direction. This is the fourth week with a positive change in my net worth!

This week’s net worth numbers

5/12/2016 5/19/2017
 Joy 1106 1106
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1003 1003
Life 832  1644
 IRA  13002  12883
 Brokerage 693  685
 Rewards Card 2 -1572 -1474
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card -999 -918
SL 1 -104577 -104693
 SL 2 -46068 -46121
 Earnest -4862 -4872
 Net Worth -141059 -140374
 Percentage Change .95% .49%

Have you noticed the rocky market or just kept on with your plan?

Planning For a Graduate’s Future – Redux

Gentle Readers,

It is graduation season again, and another family member is finishing high school. This time the plan is to stay in the family home until college starts. I like to not play favorites with siblings, so I am getting her almost the exact same set of books that I got him last year. One small deviation to account for the differences in their characters.

I decided to stick with the perennial favorite, “The Millionaire Next Door.” She plans on a high-paying career, but I think the stealth wealth envisioned here could help her stay on course no matter what happens.

Her personality is very different from her brother and I think she’ll be best served by the framework in “The Money Book for the Young, Fabulous & Broke.” That will be on top of her present-stack.

I don’t think she would even read the one I was least sure of for her brother, so I did not buy her it. I don’t want to waste her bookshelf space. She plans on being pre-med. That shelf-space is precious.

She believes in deep thought, supposedly, and I got her the esoteric one, too, “Early Retirement Extreme.” I suspect she won’t touch this either.

The deviation for her was “Truth & Beauty: A Friendship.” I loved this biography and think that many women with deep but fraught friendships could benefit from seeing one displayed in all of its gory richness. Patchett is one of my favorite living authors and this was helpful and painful to read during a particular time in my life. I think this family member may understand my twenties better from reading this. Perhaps not. I hope that she navigates relationships in a far healthier way.

Unlike her brother, I think traditional education is the current best route for her. I think she will flourish in college in a way her brother never would. Maybe I’ll buy a textbook for her? Or leave that to her parents…

What do wish you had read at 18?

Net Worth Week 57 – One is Done Edition!

Gentle Readers,
This week has been a whirlwind. We sat for days at work waiting for our task to be available. Naturally, our supervisor did not communicate with us for two and a half days. So we sat. Thursday morning rolled around and we were told that unlimited OT was being “temporarily” suspended since work was not available. Sensible, but frustrating to my plans. A few hours later, not only do we have work, but we have multiple urgent projects. No word on OT until I had to ask my supervisor if the approval would be back since we have deadlines. This is the uncertainty of my job. We just never know what will happen.
I used my downtime at work to study and it feels like it’s paying off. I’m feeling very hopeful about my ability to get a gig in this new skill soon.
In wonderful news, I paid off the balance transfer ahead of schedule!!! No weird spike in interest rate on that bit of money. I’ve been throwing money at this particular sore-spot for weeks. In mid-April, I still had a balance of over $3000. This is one of the reasons I’ve been working my tail off in overtime. I wanted this gone and now it is!
My remaining credit card debt is $2571. Much better than the almost $6000 it was just a short while ago. I will continue working hard towards demolishing this debt. If my job can keep overtime available, it will be very useful for me. I am traveling next weekend, so my ability to work a ton will be diminished substantially.
This is my fourth week in a row of positive gains. I love that sort of trend!

This week’s net worth numbers

5/5/2016 5/12/2017
 Joy 1106 1106
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1003 1003
Life 1397  832
 IRA  12937  13002
 Brokerage 689  693
 Rewards Card 2 -1727 -1572
 CC (largest) -879  0
 CC (longest) 0  0
 Rewards Card -1150 -999
SL 1 -104721 -104577
 SL 2 -46134 -46068
 Earnest -5318 -4862
 Net Worth -142414 -141059
 Percentage Change .55 % .95%

Have you paid off something lately ?

Net Worth Week 56

Gentle Readers,
The same grind as last week. Being diligent getting my hours, going to class, and studying. The business front has been quiet for the past two weeks, which has been a nice change. I can focus on getting my OT and paying down this personal debt for the time being. I have spoken with other similar professionals and they are having a slow few weeks, too. Apparently, all of our clients only came in with their tax refund money.
Still working according to the plan and on track to pay off the balance transfer before the rate changes in early.
I finally figured out why I could not get my numbers to reconcile. I had a decimal place off for one category for the past few weeks.
Tonight I celebrate my best friend’s birthday. It also happens to be the anniversary of meeting my girlfriend. Lots of happiness. It is strange to think that I have only known her for part of my life. She feels so vital to it.

This week’s net worth numbers

4/28/2016 5/5/2017
 Joy 1105 1106
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 45 45
 Moving 285 285
 EF 11 11
Business 1002 1003
Life 1324  1397
 IRA  12974  12937
 Brokerage 698  689
 Rewards Card 2 -1859 -1727
 CC (largest) -1629  -879
 CC (longest) 0  0
 Rewards Card -1200 -1150
SL 1 -104606 -104721
 SL 2 -46081 -46134
 Earnest -5307 -5318
 Net Worth -143110 -142414
 Percentage Change .26 % .55%

Are you celebrating Cinco de Mayo ?