Be financially self sufficient

Until I’m employed again. But when I am, (depending upon the job/pay rate) I should be on my way to this. My mom only covers my phone/auto insurance bills now, so that’s not so bad. I just want to be completely self-reliant and not have to worry about someone else taking care of my bills.

http://www.marketwatch.com/news/story/lazy-portfolios-beat-benchmarks-again/story.aspx?guid=%257BDABA48D1%252D0DDA%252D43F7%252D8700%252D275FEF592BD1%257D&dist=

3 Fund Allocation
60% in Vanguard Total Stock Market Index
30% in Vanguard Total International Stock Index
10% in Vanguard Total Bond Market Index

So a month ago I bought a fixer 2 unit house for cash (see completed real estate investment goal). I had to buy cash because it was too much of a fixer to get a mortagage. But then I was out of money to fix it! So I took some money from my personal line of credit attached to my checking account (checks to contractor won’t bounce!). But the rate on the line is 14.99%. This past week the work on the house is nearing the end & the interest rate on home loans dropped. So I used my new nice house equity to start a refinance to a home equity loan of 6.79%. I hope to pay off this renovation loan in a year and a half. In the meantime I will rent the units for income.

And I live in MY house….Under My rules ( of which there aren’t many)

Today I wrote a payoff check of $4,136 for my car. It felt good canceling my monthly automatic car payment on my bank’s website.

To Do
- regularly contribute to brokerage account, due: Feb 28 2008 (source: wages), extended on 6/20/08 tio Dec 2008
- pay off my car, due: Mar 31 2008 (source: bonus and extra savings) – DONE
- apply for a Continental credit card (so I can earn miles) due: June 30 2008 – placed ON HOLD 6/20/08
- save for downpayment ($20,000) on 2 family home for personal use, due: Dec 31, 2008 (source: wages & business pay) – placed ON HOLD 12/11/07, REMOVED AS GOAL 6/20/08, my condo (bought in 2002 is good enough for me)
- build a training and consulting company, due: Dec 2008

I no longer cringe when I pay bills. In fact, I have plenty of money to cover expenses, with a little left over for fun stuff. Which is how I define self-sufficient. So I’m marking this done, and will add a new goal about saving money…probably after Christmas.

http://www.networthiq.com/people/XaymacaNomad

Currently reading The Millionaire Next Door (due to my other goal of reading evey book I own). Why didn’t I read this book sooner? It is brillant and gives me inspiration to be truly “financially self sufficient”.

I am now at a point in my life were finances are not the ruling force – thanks mostly to only having $6000 left on my mortgage. I am being able to spend money on getting some things done that I have waited almost 5 years for so I am going to call this one done. Its made me realise you don’t need to be loaded to be able to achieve this goal.