Net Worth Week 75 – Babies R Us Edition


Gentle Readers,
It is almost time to pack my bag to head to the baby-shower I dread. But, my rule as a human is to show up whenever possible. Even if the family member is a schmuck. Definitely for a baby-shower, especially if the family member is a schmuck since the baby needs examples of how to be good when people are unkind.
I have now paid for nearly half of my invisalign and should receive my first trays in the next 1.5 weeks. It’s going to be more painful in the short-term, but will hopefully correct some of my TMJ. My wallet is not pleased. Since I am worried about cash-flow for myself and my business, I’ve initiated a balance transfer to give me breathing space to deal with the preliminary invisalign costs.  I will have until August 2018 to pay it off. It was approved, but has not yet shown up in the statement.
My student loan payments increase in October because I am on IBR and my income last year was higher than the year before, and I now have a monthly recurring payment for the remainder of my invisalign treatment. The last payment for invisalign corresponds closely with my last Earnest payment. It’s going to be a tight few months.
My dentist was surprised that my treatment plan is for five months. She had envisioned it closer to nine months. With her payment plan, patients pay roughly half upfront and then the remainder in equal monthly payments for the duration of treatment. If my invisalign needed longer to correct my teeth, I would have less of a cash-flow worry in the next few months. At the end of the treatment, I’ll need to pay for a new night guard to match my new smile. Unless my TMJ is entirely corrected, which is not the anticipated result

This week’s net worth numbers

9/8/2017 9/15/2017
 Joy 1109 1109
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 46 46
 Moving 286 286
 EF 11 11
Business 5 5
Life 3282  4107
 IRA  13555  13882
 Brokerage 825  823
 Rewards Card 2 -3781 -6345
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card 0  0
SL 1 -105503 -105619
SL 2 -46491 -46544
 Earnest -3147 -3154
 Net Worth -139762 -141352
 Percentage Change .24% -1.14%

How much have you spent at the dentist this year?

Net Worth Week 70 – Love in the South Edition

Gentle Readers,
Quick post from vacation. Keeping myself liquid because my business will most likely need cash from me soon. A big jump in CC was the first payment for invisalign.
Back to eating TexMex!

This week’s net worth numbers

8/4/2017 8/12/2017
 Joy 1108 1108
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 46 46
 Moving 285 285
 EF 11 11
Business 1005 1005
Life 1818  1632
 IRA  13486  13267
 Brokerage 836  812
 Rewards Card 2 -2489 -2784
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card 0  -438
SL 1 -105444 -105317
SL 2 -46464 -46406
 Earnest -4042 -3584
 Net Worth -139803 -140322
 Percentage Change .15% -.37%

How are your vacations going?

Net Worth Week 66 – It’s Hot in Here Edition

Gentle Readers,
My city is experiencing a heat wave, and I may need more bandelettes to continue the good fight against friction.
I’m a bit frustrated with my teeth. I take good care of them, but they cause me enormous bills. I’ve been in constant tooth pain since last summer when my final wisdom tooth came in. It came in such a way to alter the position of my other teeth. That process was painful. Unfortunately, the new position also means that my night-guard which prevents my TMJ from making my pain unbearable is no longer fitted to my teeth as they are. My dentist is aware, but told me that we can’t do anything until 7 + months after my wisdom tooth removal, because my jaw and teeth will still be settling. Then she wants me to do braces and force my teeth into healthier positions to ease some of the pain and tension. For now, I just wait in pain. Wearing the guard causes deep pain in all of my teeth, but not wearing it allows me to grind my teeth causing damage. It’s an expensive and painful position to be in.
I’m really enjoying my tutoring. I am definitely learning a ton, but it is eating in to my sleeping time so I’m extra tired. There will be three more weeks of this, and then I’ll reassess to see if I need to purchase some more. Or if my body can take more, we’ll see what wins out. My progress has definitely kicked up a notch.
Today I’m off work to attend a training for young professionals in my field. I won’t be paid for these hours, but I think I will be much more confident in my business. Definitely worth it.
In more happy news, a potential client contacted my business. He’s been a bit flaky before, but it would be nice to add to my client-base now that I cannot do overtime.
I’m happy to see my debt go down. This is the first time I’ve been under -$140000!

This week’s net worth numbers

7/7/2017 7/14/2017
 Joy 1107 1107
 Travel 1  1
 Down Payment 19 19
 Retirement 21 21
 Health 46 46
 Moving 285 285
 EF 11 11
Business 1004 1004
Life 500  508
 IRA  13085  13304
 Brokerage 700  817
 Rewards Card 2 -2121 -1693
 CC (largest) 0  0
 CC (longest) 0  0
 Rewards Card 0  0
SL 1 -105242 -105098
SL 2 -46372 -46306
 Earnest -4008 -4016
 Net Worth -140964 -139990
 Percentage Change .02% .69%

How are you handling your heat wave?

Net Worth Week 15 – Dental Pain Edition

Gentle Readers,

There’s been a slight setback in my finances due to some pain issues I’m trying to take care of.  It’s been a physically painful week in my house. I had my semi-annual dental cleaning and learned the reason for some of my jaw pain – I have a new wisdom tooth that is stuck inside for the next six months at least. My chronic, undiagosed back pain also grew much worse. My physician won’t even look at the body parts I complain about so I’ve been pursuing some alternative healing methods. I have an acupuncture and massage appointment this weekend to try to help with this pain until I can find a new doctor. This will cost me roughly $100 because I’ve found places I trust that give really good deals. Hopefully my back approves. I miss being able to run. My girlfriend misses me not being in constant pain.

I initiated a balance transfer on the 15th and it went through today. My old Barclay Card missed me and offered me zero percent financing until next July. I intend to pay it off before then, and it will be a lot easier when it is not earning interest. Thank you, to YETInvesting for talking me through the process and encouraging me. Hopefully this will help my debt reduction process.

I would be delighted if you read my entry to win a trip to FinCon. I’d love to meet y’all.

I still love Earnest and credit them with my ability to conquer some of this debt.

Date 7/1/16 7/8/2016 7/15/2016 7/22/2016
Joy 1099 1099 1099  1099
Travel 323 323 323 323
Down Payment  19 19 19 19
retirement  21 21 21 21
health  45 45 45 45
Moving  31 31 31 31
EF  2002 2002 2002 2002
Business  1 1 1 1
Bed  .29 0.29 0.29 0.29
Life  1929 863 746  897
IRA  9580 9653 9894  9908
Brokerage  324 329 335  337
CC (largest)  0 0 0  -4791
CC (longest)  0 0 0  -529
Rewards Card  -5675 -5247 -4862  0
SL 1  -102482  -102258 -102374 -102489
SL 2  -45112  -45010 -45062 -45115
Earnest  -9328 -8878 -8897 -8915
-$147222 -$147006 -$146678 -$147156
  .35% change .14% change .22% change  -.32% change

Have medical issues ever set you back financially?

Preparing to Buy a Place – 1 Year Out

Gentle Readers,

In April 2016  – I made the decision to get my financial house in order, because it is time for them to become my erstwhile roommates. This is the true reason I started this blog. I know that I work best under “pressure,” which is where putting my financial mess out in public comes in. This is a space for me to learn and grow.

I know a few things. I need great credit so that I can get a favorable rate on my mortgage and I need a down payment.

My Fico Score was 732 when I made this decision. This is essentially what it was before I opened my business two years ago.  It was great, but not excellent. By most reckonings, the bottom end of excellent is 750. I was close. That 18 point difference will make a difference on the APR I’m offered on my mortgage, and thus on the amount of interest I will pay over the life of my loan.

Once I made this decision I began making calculations.  How long to pay off my CC debt.  How long to save up a deposit. How to get my credit score up.

I’m on track to pay off my credit card debt by October or November, barring new expenses. I have an upcoming dentist visit and I think it will be time for adult braces due to some bad changes in my mouth. Expensive. I’ll see if they have a payment plan.

I’m glad to report that my credit score is now 787 as of May. HAPPY DANCE!

I did this by paying off two of my three credit cards. I took out a loan through earnest to do this.  I learned that the right type of credit (the earnest loan) looks more like a mini-mortgage and makes me look more responsible. I also kept the amount of credit utilized on the other card low because I learned that having less than 30% of your available credit utilized makes a difference in your credit score. This is why I did not close those cards, but continue to use them for tiny purchases each month. 

I did all this in April. More than 6 months before I would approach a lender to see what I could get pre-approved for.  It worked. All of this concentrated effort paid off. I’m firmly in the excellent credit category and can keep improving.

I also put more of my expenses on auto-debit so that I won’t accidentally miss them.

I learned that a mortgage should not be more than 2.5 times your annual salary. I had never heard this rule, but it makes sense to me. Helps me to plan. Thanks to Freedom is Groovy for linking here to Fritz Gilbert’s Retirement Manifesto, which is available here.

I do not consider the place I live to be an investment since I need to live somewhere. I do not want to tie up too much of my capital in my mortgage and other housing costs. That means I’m looking to pay little. I don’t want to live in a dump, but I don’t want something incredibly nice.

Things I need to learn:

  • What the heck is a basis point?
  • Will I even be able to get a mortgage without a cosigner since I have years of contingency work?
  • FHA loan rules.
  • HOA rules.
  • The differences between condos and coops.
  • If I want a coop, learn about the coop mortgage rules.
  • How much of an emergency fund will make me feel secure?

Things I need to do:

  • Pay off the rest of my credit card debt.
  • Get into no more credit card debt
  • Save a down payment.
  • Save enough money to actually move.
  • Prepare my financial documents so I’m ready to talk to a lender.
  • Find a realtor I respect
  • Decide what I want versus what I need in a home.
  • Monitor the local market.
  • Buy a home.
  • Take advantage of my access to a garage to paint and/or build the furniture I want for the new space.
  • Move.
  • Unpack.
  • Not share my shower with people I’m not in love with.

How did you prepare when you wanted to buy a home? Am I missing anything?