After quite a bit of thought and a little discuss with the hubby, I have a few goals in mind to help us improve our financial future. Here are some of our thoughts:
- Max out my husband’s 401K. Although it isn’t matched, we figure this a good place to start investing in our future. It also should help us out come tax time. From what we can tell, we are currently at about $9K each year. Our goal is to gradually increase his contribution so that we get to the $18K.
- Reduce monthly spending. In order for us to do step #1, we will have to reduce spending to make up for the difference. According to breakdowns calculated here (thanks Livefrugalee), we would need to decrease our monthly expenses by $750! That’s a lot!
- Pay mortgage off early. I can’t ignore how much we would save in interest by cutting our 20 year mortgage in half – about $50K! Sure, I could invest the extra funds used to pay off the mortgage, but being completely debt free is a feeling I would like to experience!
- Declutter our house. Since we are staying put for the next 20 years or so, I have to find a way to love my home! I am going to make myself love this house again! The rest of the family seems to love it. I just need to get on board. So, by reorganizing and decluttering, I am going to feel like I have a brand new house! Lets see if it works. (Thank you, Mintly for the idea!)
- Have a net-worth of $1 Million. Everyone else is doing it, so why not us! 🙂
I am not really sure how I am going to do all of this or the time frame for accomplishing these goals, but this is where we will start! What do you think?