We've had a lot of changes in the last year and so could probably use some feedback on our budget. Our household consists of me, DH, our 19-month-old DS, a dog and a cat.
Listed income is after medical, dental, HSA, and 12% contribution to 401(k), which is matched by the company with an additional 6%.
Income: $4945.30
Expenses: Mortgage: $1483.15 Nat. Gas/Elec.: $200 Water/Sewer: $54 Cable/Internet: $159.03 Cell Phone: $167.36 Life Insurance: $161.20 DH IRA: $458.33 Save-to-Spend: $150 (This goes into a savings account to cover car insurance every six months ($475), our yearly personal property taxes on our cars ($510), and our yearly HOA dues($220).) Auto Misc: $50 Auto Gas: $250 Groceries: $400 Eating Out: $250 Pets: $75 Clothing: $100 Home: $150 Prsonal Care: $50 Cash: $150 (I don't really know where all of this goes, but it's probably a lot of fast food.) Entertainment: $50 Gifts: $100 DS: $250 (DS has some medical issues and requires Pediasure to help him grow, which costs us $140/month. This also includes diapers and wipes.)
Leftover: $237.23
We have a little over $100k in liquid savings, which I would like to change. I have $250/month coming out of our savings account and going into a 529 for DS. I'll probably also open a taxable investment account sometime later this year for more of that money.
DH's car is newer and should last a long time, but my car is nine years old with 123k miles on it. I plan to keep it for another few years, but part of the liquid savings is earmarked for my new car.
If you have any other questions, please feel free to ask.
I asked if there was any way we could save any money on it when we were at the doctor's office and they printed off coupons for us, but there's no prescription for it. We buy it in bulk at Sam's, which is cheaper than using the coupons anyway.
Do you have an IRA? I would definitely make sure a 2012 Roth and 2013 Roth are maxed for both of you- you have plenty of money in liquid savings to take care of this.
ETA: I didn't see your follow-up, but my advice stands. 12% to 401K is great, but do the Roth's too!
Do you have an IRA? I would definitely make sure a 2012 Roth and 2013 Roth are maxed for both of you- you have plenty of money in liquid savings to take care of this.
ETA: I didn't see your follow-up, but my advice stands. 12% to 401K is great, but do the Roth's too!
I don't have a Roth because I thought we were saving enough for retirement for right now, but I guess it wouldn't hurt to open one up for me.
I think you are doing well, and I am very impressed at how much you have saved! How did you do it?
I bought a house when I was single and when DH and I got married, he moved in with me. We were married for five and a half years before having DS and so, for that time, we had a lot of extra income that we put into savings. I had a good paying job and we lived in a VLCOL area.
In the past year, we've moved to be closer to family and DS was diagnosed with a chronic condition which would make it difficult for him to go to daycare, so we decided that DH should stay at home with him. Since then, we have put nothing into savings. Luckily, my new company had an awesome relocation program which covered real estate fees (selling and buying), so we didn't need to spend as much money on all of that as I had thought we would, which was part of the reason I was putting so much into savings in the first place.
Do you have any debt besides the mortgage? What is the % on your mortgage? Any plans to buy new home or car or have more kids?
No debt other than the mortgage. We bought the house with 20% down last March and our interest rate is 3.95%. No plans to buy a new home, but will probably replace my car in a few years, which is why I was keeping some of the savings liquid.
As of right now, because of our son's medical condition and the possibility that it is genetic, we are one and done. If we did change our minds, it would probably not be for a few years.