In spite of last month's upward blip in debt, my finances straightened out in June. I ended the month having reduced my indebtedness by $1511, which, after I adjust for May's increase, reduces my total debt by $704.
I always recalculate my net worth quarterly.
Here, the results are even more dramatic.
Thanks to the debt reduction, and small increases in the value of my home and my rental as well as my 401Ks, my net worth is now $623,093, up $13,134 from the first quarter.
So, all in all, (and except for the weather!) June went just fine.
Onward to July
Saturday, June 30, 2012
Thursday, June 28, 2012
Sometimes You Get Sanity Where You Least Expect It
This isn't a political blog, which is probably a good thing, since if it were, it would be from the perspective of a knee-jerk liberal. (Some of my best friends are conservative--I like them as people, so I forgive their political persuasions. I consider forgiveness and tolerance to be liberal traits!)
But is there any issue with more impact on the budge than healthcare?
I am lucky to have always worked in fields where my employers provided medical benefits.
My adult children have not been so fortunate. Only two of the five have employer-provided coverage. One is covered under Obamacare because she is 22 and I can carry her on my insurance until she is 26.
As of today, I can stop worrying about my youngest child because she will continue to have coverage under my insurance plan. And if the two older, uncovered girls can hold out more-or-less-healthily until 2014, they will have insurance as well.
Then there's my clientele (I work for a non-profit that provides services to folks who earn less than the federal poverty guidelines) who win big-time. I'm in a state that provides pretty good insurance to people on Medicaid, but for those who are not handicapped or do not have children (thus, aren't eligible for Medicaid), it's either no medical care or the very expensive emergency room visit. Neither of those options are any good.
I cannot tell you how relieved I am (not to mention, surprised!) by the Supreme Court decision upholding Obamacare. I've just never understood the political animosity directed at what should be a fundamental right of our citizens to adequate health care.
But is there any issue with more impact on the budge than healthcare?
I am lucky to have always worked in fields where my employers provided medical benefits.
My adult children have not been so fortunate. Only two of the five have employer-provided coverage. One is covered under Obamacare because she is 22 and I can carry her on my insurance until she is 26.
As of today, I can stop worrying about my youngest child because she will continue to have coverage under my insurance plan. And if the two older, uncovered girls can hold out more-or-less-healthily until 2014, they will have insurance as well.
Then there's my clientele (I work for a non-profit that provides services to folks who earn less than the federal poverty guidelines) who win big-time. I'm in a state that provides pretty good insurance to people on Medicaid, but for those who are not handicapped or do not have children (thus, aren't eligible for Medicaid), it's either no medical care or the very expensive emergency room visit. Neither of those options are any good.
I cannot tell you how relieved I am (not to mention, surprised!) by the Supreme Court decision upholding Obamacare. I've just never understood the political animosity directed at what should be a fundamental right of our citizens to adequate health care.
Sunday, June 17, 2012
No Dearth of Opinions
The Oregonian, the newspaper for most of Oregon, ran this article about a Portland couple in financial trouble. I enjoyed (although that's not quite the word I mean) reading about the Carters because they have handled their finances in ways both right and wrong, and because they are drawing near retirement age.
They have saved for retirement, and have not raided their 401(k) to keep themselves afloat during the past two years that the husband has been out of work. They do not have credit card debt. They are helping out their pregnant married daughter and her husband.
On the less positive side, they have used their modest home as a piggy bank, and now, in their mid-fifties, still have 25 years to go on an increasingly non-viable mortgage. If they are not upside down, they are near to it.
The husband is retraining, but he rightly fears his age will be against him in the workplace, both in his prior work as an insurance adjuster and his new degree for medical billing. My question is why he waited two years to start the retraining. In retrospect, he needed to be working at least part-time at any job he could get or he needed to start school sooner. I'm guessing he didn't because he hoped to find work in his field, and it never occurred to him that it would be two years and he still wouldn't be employed.
In fact, I suspect the whole family thought his job loss was just a temporary set-back, not a major lifestyle change. This would explain their continued reliance on expensive meals eaten out and their unwillingness to stop shopping at one of Oregon's great, local and costly markets, New Seasons.
The comments section is enlightening as well, (123 posts at last count), though there's a fair amount of political nonsense to be waded through. The advice varies from the terrible (Cash in the 401K) to more thoughtful commentary on how to live on a reduced income. I admit to a bit of surprise that some posters felt it was somehow "unfair" of this couple to take advantage of a federal mortgage-suspension program. Personally, I think it makes no sense NOT to take advantage of any available program that would help the couple get back on their financial feet.
The comments were also interesting regarding the presence of the couple's daughter and son-in-law. Clearly the young couple needs to increase the 'rent' they currently pay, but if they're going to pay market rent (as some posters feel they should) why would they bother to stay with their in-laws? I assume the idea is to help both families--giving Mom and Dad some much needed cash while allowing the kids reduced housing expenses.
Too many of the comments focused on the mistakes that have already been made (and were highly judgmental in ways that suggested to me that the posters had never truly experienced any of the life experiences this couple had had) without offering suggestions for the here and now.
But I am in total agreement with those who suggested that the couple accept that their situation is NOT temporary and adjust accordingly. Should their earning power go up in the future, more power to them. But it may not. $39,000 a year (which is what they will have when the husband's unemployment insurance runs out) is a comedown from their past lifestyle, but it's not impossible for a two-person family to live comfortably, if not richly, on that amount.
They have saved for retirement, and have not raided their 401(k) to keep themselves afloat during the past two years that the husband has been out of work. They do not have credit card debt. They are helping out their pregnant married daughter and her husband.
On the less positive side, they have used their modest home as a piggy bank, and now, in their mid-fifties, still have 25 years to go on an increasingly non-viable mortgage. If they are not upside down, they are near to it.
The husband is retraining, but he rightly fears his age will be against him in the workplace, both in his prior work as an insurance adjuster and his new degree for medical billing. My question is why he waited two years to start the retraining. In retrospect, he needed to be working at least part-time at any job he could get or he needed to start school sooner. I'm guessing he didn't because he hoped to find work in his field, and it never occurred to him that it would be two years and he still wouldn't be employed.
In fact, I suspect the whole family thought his job loss was just a temporary set-back, not a major lifestyle change. This would explain their continued reliance on expensive meals eaten out and their unwillingness to stop shopping at one of Oregon's great, local and costly markets, New Seasons.
The comments section is enlightening as well, (123 posts at last count), though there's a fair amount of political nonsense to be waded through. The advice varies from the terrible (Cash in the 401K) to more thoughtful commentary on how to live on a reduced income. I admit to a bit of surprise that some posters felt it was somehow "unfair" of this couple to take advantage of a federal mortgage-suspension program. Personally, I think it makes no sense NOT to take advantage of any available program that would help the couple get back on their financial feet.
The comments were also interesting regarding the presence of the couple's daughter and son-in-law. Clearly the young couple needs to increase the 'rent' they currently pay, but if they're going to pay market rent (as some posters feel they should) why would they bother to stay with their in-laws? I assume the idea is to help both families--giving Mom and Dad some much needed cash while allowing the kids reduced housing expenses.
Too many of the comments focused on the mistakes that have already been made (and were highly judgmental in ways that suggested to me that the posters had never truly experienced any of the life experiences this couple had had) without offering suggestions for the here and now.
But I am in total agreement with those who suggested that the couple accept that their situation is NOT temporary and adjust accordingly. Should their earning power go up in the future, more power to them. But it may not. $39,000 a year (which is what they will have when the husband's unemployment insurance runs out) is a comedown from their past lifestyle, but it's not impossible for a two-person family to live comfortably, if not richly, on that amount.
Wednesday, May 30, 2012
Not As Bad As It Could Have Been
It's time for an end-of-the-month look at my finances. Surprisingly, it's not nearly as bad as I feared.
First I had a $3500 emergency (I will spare you the details, but let's just say one of my children will not be around for quite awhile, but not as long as it might have been had she not had a very competent attorney). Then, my baby-steps emergency fund, which is supposed to contain $1000 has more like $200 in it.
So I wound up using a line of credit at my credit union to pay the bill. I've had that line for nearly a decade but haven't used it for the past three years. Just what I need--more debt!
Still, the good news is that by the end of May, I was able to throw money at my other debts such that I wound up the month only increasing my total indebtedness by $806.99. Admittedly, that's going in the wrong direction, but I was worried that the damage would be much worse. I chose not to pay back more than a minimum payment on the line of credit because it has a 7.99% interest rate while my credit cards have higher rates.
All in all, I'm glad to see May in the rearview mirror, but I'm grateful I didn't dig my hole any deeper.
Onward to June, which looks to be a much better month, God and Murphy willing!
First I had a $3500 emergency (I will spare you the details, but let's just say one of my children will not be around for quite awhile, but not as long as it might have been had she not had a very competent attorney). Then, my baby-steps emergency fund, which is supposed to contain $1000 has more like $200 in it.
So I wound up using a line of credit at my credit union to pay the bill. I've had that line for nearly a decade but haven't used it for the past three years. Just what I need--more debt!
Still, the good news is that by the end of May, I was able to throw money at my other debts such that I wound up the month only increasing my total indebtedness by $806.99. Admittedly, that's going in the wrong direction, but I was worried that the damage would be much worse. I chose not to pay back more than a minimum payment on the line of credit because it has a 7.99% interest rate while my credit cards have higher rates.
All in all, I'm glad to see May in the rearview mirror, but I'm grateful I didn't dig my hole any deeper.
Onward to June, which looks to be a much better month, God and Murphy willing!
Tuesday, May 22, 2012
Shouldn't I Have Done Better Than This By Now?
Warning! If you don't like whines, you should stop reading now.
I just had a $3500 emergency come up (at a time when I have less than $200 in my emergency account), so I know that my end-of-the-month wrap-up will not be a pretty sight. But more than that, also coming up is my 5-year anniversary of my very first post.
You'd think that five years would be more than enough time to get rid of debt, increase retirement savings, and generally be in fine shape, wouldn't you? Even with a recession smack in the middle, at least the debt should have come down, right? Well, it did come down some, but not nearly as much as it should have over a five year span. My total indebtedness has reduced only by $2105 per year, for a grand total of $10529. Likewise, my retirement savings have increased, but again, not as much as I would have predicted. I currently have $69,000 more in my 401(k) than I had in 2007, thanks to pre-tax deductions from my pay (which pay has not gone up at all in five years!). I will say that I'm glad I did not stop my retirement contributions to make increased payments on my debts--I know myself well enough to think that I would have found excuses to use that money elsewhere, in which case, my retirement fund would be seriously short about now.
So what has been my problem? Well, life did not stand still during the past five years. There was college for a child and grandchild; a new roof, replacement windows and a new furnace for the rental property; my only vehicle that died and had to be replaced; the comings and goings from my home of various adult children and grandchildren; etc. But none of these were unusual life events. These expenses could have and should have been part of my budget. If only I could get far enough ahead of current expenses to actually budget for visits from Murphy.
I'll probably be in a better mood tomorrow, but in the meantime, the whine wins!
I just had a $3500 emergency come up (at a time when I have less than $200 in my emergency account), so I know that my end-of-the-month wrap-up will not be a pretty sight. But more than that, also coming up is my 5-year anniversary of my very first post.
You'd think that five years would be more than enough time to get rid of debt, increase retirement savings, and generally be in fine shape, wouldn't you? Even with a recession smack in the middle, at least the debt should have come down, right? Well, it did come down some, but not nearly as much as it should have over a five year span. My total indebtedness has reduced only by $2105 per year, for a grand total of $10529. Likewise, my retirement savings have increased, but again, not as much as I would have predicted. I currently have $69,000 more in my 401(k) than I had in 2007, thanks to pre-tax deductions from my pay (which pay has not gone up at all in five years!). I will say that I'm glad I did not stop my retirement contributions to make increased payments on my debts--I know myself well enough to think that I would have found excuses to use that money elsewhere, in which case, my retirement fund would be seriously short about now.
So what has been my problem? Well, life did not stand still during the past five years. There was college for a child and grandchild; a new roof, replacement windows and a new furnace for the rental property; my only vehicle that died and had to be replaced; the comings and goings from my home of various adult children and grandchildren; etc. But none of these were unusual life events. These expenses could have and should have been part of my budget. If only I could get far enough ahead of current expenses to actually budget for visits from Murphy.
I'll probably be in a better mood tomorrow, but in the meantime, the whine wins!
Thursday, May 17, 2012
What's a Carnival and Why Would I Want to be in One?
I have a post this week in the Carnival of Personal Finance which is being hosted by One Cent At A Time.
My post is joined by a great many other relevant posts, plus an extended (and funny) post by the Grumpies, Nicole and Maggie, on how to properly wash dishes. Why exactly that last one is part of a personal finance carnival is open to question, but at least you'll know what to do when the dishwasher is broken.
In general terms, a carnival is a collection of posts gathered over the past week or so and presented all in one place.
When I first started blogging, I thought the blog hosts simply surfed the blogosphere and picked out the most worthy writing.
Umm--not so much.
The reality is that blog hosts sit back, eat bon-bons, and wait for individual bloggers to fling their authorial contributions into the vast void. If they like what flies by, or if they are just in a good mood, or nothing better appeared in their mailbox that week, your post will become part of the carnival.
Most carnival hosts are good about sending e-mails telling you whether you made it in or not. Unfortunately, these e-mails are sent out the same day the carnival appears online so if you're the kind of blogger who is organized and sent in your contribution a week earlier (you know this is NOT Grace, right?) then you just have to wait. OTOH, if you contributed 2 hours prior to the deadline (Yep! That would be moi!), you get the information relatively soon.
The general thought is that having one's post find its way into a Carnival will increase blog traffic. It does, particularly if your contribution is highlighted in some special way, but many carnivals, like the Carnival of Personal Finance, are huge. My experience is that my post appears in a long list of others, and tends to get lost.
However, a better way to use a Carnival to generate traffic to your blog is to actually host a carnival. The carnival websites have sign up lists to do that. I couldn't tell you how it works or how much time it entails because I've never volunteered. It seems to require an ability to have a clever theme and to post cool pictures--both of which are more than I can manage.
Still, I do contribute. That's because I really like reading the Carnivals, where I often discover financial blogs that I would otherwise miss, or come across old friends whose sites I haven't recently visited.
My personal favorites are the Carnival of Personal Finance and the Festival of Frugality. You can view the latest Festival here.
My post is joined by a great many other relevant posts, plus an extended (and funny) post by the Grumpies, Nicole and Maggie, on how to properly wash dishes. Why exactly that last one is part of a personal finance carnival is open to question, but at least you'll know what to do when the dishwasher is broken.
In general terms, a carnival is a collection of posts gathered over the past week or so and presented all in one place.
When I first started blogging, I thought the blog hosts simply surfed the blogosphere and picked out the most worthy writing.
Umm--not so much.
The reality is that blog hosts sit back, eat bon-bons, and wait for individual bloggers to fling their authorial contributions into the vast void. If they like what flies by, or if they are just in a good mood, or nothing better appeared in their mailbox that week, your post will become part of the carnival.
Most carnival hosts are good about sending e-mails telling you whether you made it in or not. Unfortunately, these e-mails are sent out the same day the carnival appears online so if you're the kind of blogger who is organized and sent in your contribution a week earlier (you know this is NOT Grace, right?) then you just have to wait. OTOH, if you contributed 2 hours prior to the deadline (Yep! That would be moi!), you get the information relatively soon.
The general thought is that having one's post find its way into a Carnival will increase blog traffic. It does, particularly if your contribution is highlighted in some special way, but many carnivals, like the Carnival of Personal Finance, are huge. My experience is that my post appears in a long list of others, and tends to get lost.
However, a better way to use a Carnival to generate traffic to your blog is to actually host a carnival. The carnival websites have sign up lists to do that. I couldn't tell you how it works or how much time it entails because I've never volunteered. It seems to require an ability to have a clever theme and to post cool pictures--both of which are more than I can manage.
Still, I do contribute. That's because I really like reading the Carnivals, where I often discover financial blogs that I would otherwise miss, or come across old friends whose sites I haven't recently visited.
My personal favorites are the Carnival of Personal Finance and the Festival of Frugality. You can view the latest Festival here.
Sunday, May 13, 2012
Enough About the Death of Social Security Already!
Every time I turn around, another article, news story, discussion or diatribe about Social Security pops up on the radar.
When a person is my age, and the prospect of Social Security is just around the corner (give or take six years), these articles, news stories, etc. take on new meaning.
And raise new fears.
If we read or listen to TV or surf the internet we all 'know' the Social Security system is a shambles, can't be repaired, and will be lucky to cover MY retirement, never mind that of my kids.
The recent 2012 Report from the Social Security Trustees brought another spate of scare stories.
In the report, the trustees projected that, largely because of changed economic conditions, Social Security would be able to pay full benefits only for 21 years, and 75 percent of the benefits after that assuming no changes were made.
The reaction to the report, and the media storm around it make one question the actual literacy of the press. Somehow, the news stories missed the parts of the report that refer to the shortfall (a shortfall that will exist ONLY if Congress does NOTHING to secure more funds) as "manageable." More than that, many of the news stories talked about Social Security running out of money in the forseeable future. Again, that's NOT what the report says. It says if NOTHING is done, the payouts will be reduced by one-quarter AFTER another two decades. I am not all that great at math, but even I know that three-quarters of a pay-out is not ZERO payout.
The Columbia Journalism Review has a very snarky 'review' of the press coverage.
As dysfunctional as our current congress is, I don't think the members (or their replacements in the next twenty years) are politically suicidal enough to allow Social Security to reduce payments by 25%, much less become bankrupt.
When a person is my age, and the prospect of Social Security is just around the corner (give or take six years), these articles, news stories, etc. take on new meaning.
And raise new fears.
If we read or listen to TV or surf the internet we all 'know' the Social Security system is a shambles, can't be repaired, and will be lucky to cover MY retirement, never mind that of my kids.
The recent 2012 Report from the Social Security Trustees brought another spate of scare stories.
In the report, the trustees projected that, largely because of changed economic conditions, Social Security would be able to pay full benefits only for 21 years, and 75 percent of the benefits after that assuming no changes were made.
The reaction to the report, and the media storm around it make one question the actual literacy of the press. Somehow, the news stories missed the parts of the report that refer to the shortfall (a shortfall that will exist ONLY if Congress does NOTHING to secure more funds) as "manageable." More than that, many of the news stories talked about Social Security running out of money in the forseeable future. Again, that's NOT what the report says. It says if NOTHING is done, the payouts will be reduced by one-quarter AFTER another two decades. I am not all that great at math, but even I know that three-quarters of a pay-out is not ZERO payout.
The Columbia Journalism Review has a very snarky 'review' of the press coverage.
As dysfunctional as our current congress is, I don't think the members (or their replacements in the next twenty years) are politically suicidal enough to allow Social Security to reduce payments by 25%, much less become bankrupt.
Wednesday, May 9, 2012
I Can't Explain It. I Just Have to Spend It!
I love my readers, and I especially love it when they comment on some of my dumber statements.
If you've read the comments to my April Update, then you've met Mike. Mike, politely but emphatically, thinks I'm making a mistake spending a lot of money on my sister's birthday gifts when that money could better be spent reducing my considerable debts. My woefully inadequate response is that "I can't explain it, but I do have to do this." Mike's heard that one before and he's not buying it.
Let's get one thing straight: Mike is right and Grace is wrong.
That doesn't mean I'm not going to spend the money on my sister, because I am. But he's right that I shouldn't.
By way of apology, I used to have a much longer lists of things I 'had' to have or money I 'had' to spend. I had to have expanded cable--how else to watch new movies and catch every chapter of "Game of Thrones?" I had to buy books--reading is important when I commute by bus, and then, there's my Kindle Fire that my sister gave me for Christmas. I had to buy coffee and pastries every morning--it set the pace for the rest of my day.
Over time, I have managed to reduce most of these 'have to haves.' The public library solves a lot of the problems. They have DVD's and if I can't get the new movie fast enough through them, there's always Redbox. The library has the whole first season of "Game of Thrones" and it's more fun to watch all the episodes back-to-back, The library even has books for my kindle. Buying coffee beans and bringing coffee to the office has saved me a bundle, and who knew that Toaster Strudel travels just fine in a briefcase, especially when the office kitchen has a toaster? It's not free but it's a lot cheaper than the $4.25 a morning I used to spend.
I find that working around a 'want' is easier for me than giving something up completely.
I used to have an annual pass to my city's art museum. These days, I still see all the exhibits, but I do it the first weekend of each month when I can flash my Bank of America checking account and get in for free.
I still love to eat out, but I've discovered Happy Hour can substitute for dinner and gives me access to the great dishes my foodie city is known for. (Then there are the food carts that are all over this city, including across the street from my office. A fair number of chefs here have started with a food cart.)
My sister is a different kind of problem. I adore her, though it was not always that way. When we were growing up, she was the pretty, popular kid while I was the smart bookworm. She went to MY senior prom while I stayed home and cried. But growing up helps a lot of relationships and it certainly helped ours. She is my best friend even though she lives on the East Coast and I'm here on the West Coast. We have a tradition of extravagant gifts to each other on birthdays and at Christmas. I have definitely cut back on my level of extravagance, but I'm not willing to eliminate it.
And no, I can't really explain it.
But there it is!
If you've read the comments to my April Update, then you've met Mike. Mike, politely but emphatically, thinks I'm making a mistake spending a lot of money on my sister's birthday gifts when that money could better be spent reducing my considerable debts. My woefully inadequate response is that "I can't explain it, but I do have to do this." Mike's heard that one before and he's not buying it.
Let's get one thing straight: Mike is right and Grace is wrong.
That doesn't mean I'm not going to spend the money on my sister, because I am. But he's right that I shouldn't.
By way of apology, I used to have a much longer lists of things I 'had' to have or money I 'had' to spend. I had to have expanded cable--how else to watch new movies and catch every chapter of "Game of Thrones?" I had to buy books--reading is important when I commute by bus, and then, there's my Kindle Fire that my sister gave me for Christmas. I had to buy coffee and pastries every morning--it set the pace for the rest of my day.
Over time, I have managed to reduce most of these 'have to haves.' The public library solves a lot of the problems. They have DVD's and if I can't get the new movie fast enough through them, there's always Redbox. The library has the whole first season of "Game of Thrones" and it's more fun to watch all the episodes back-to-back, The library even has books for my kindle. Buying coffee beans and bringing coffee to the office has saved me a bundle, and who knew that Toaster Strudel travels just fine in a briefcase, especially when the office kitchen has a toaster? It's not free but it's a lot cheaper than the $4.25 a morning I used to spend.
I find that working around a 'want' is easier for me than giving something up completely.
I used to have an annual pass to my city's art museum. These days, I still see all the exhibits, but I do it the first weekend of each month when I can flash my Bank of America checking account and get in for free.
I still love to eat out, but I've discovered Happy Hour can substitute for dinner and gives me access to the great dishes my foodie city is known for. (Then there are the food carts that are all over this city, including across the street from my office. A fair number of chefs here have started with a food cart.)
My sister is a different kind of problem. I adore her, though it was not always that way. When we were growing up, she was the pretty, popular kid while I was the smart bookworm. She went to MY senior prom while I stayed home and cried. But growing up helps a lot of relationships and it certainly helped ours. She is my best friend even though she lives on the East Coast and I'm here on the West Coast. We have a tradition of extravagant gifts to each other on birthdays and at Christmas. I have definitely cut back on my level of extravagance, but I'm not willing to eliminate it.
And no, I can't really explain it.
But there it is!
Wednesday, May 2, 2012
April Update
April was a surprisingly good month on the debt-reduction front. I managed to reduce what I owe by $1017.91.
May will probably not be as good because I have property tax payments to make, along with my sister's birthday. As longtime readers know, my baby sister (a retired East Coast banker) always comes through for me financially, so I go all out for her birthday and Christmas presents. Of course, all out for Grace is considerably less than what she spends on me!
On a more depressing front, My Retirement Blog reports that by age 55, 60% of us have saved $100,000 or less for our retirement. I guess I should be glad that I finally hit the $250,000 mark (albeit at age 63, NOT age 55) but since I feel like $400,000 is a more reasonable figure for me to feel comfortable in retirement, I'm not feeling good for myself, and I'm truly appalled for those even less prepared.
May will probably not be as good because I have property tax payments to make, along with my sister's birthday. As longtime readers know, my baby sister (a retired East Coast banker) always comes through for me financially, so I go all out for her birthday and Christmas presents. Of course, all out for Grace is considerably less than what she spends on me!
On a more depressing front, My Retirement Blog reports that by age 55, 60% of us have saved $100,000 or less for our retirement. I guess I should be glad that I finally hit the $250,000 mark (albeit at age 63, NOT age 55) but since I feel like $400,000 is a more reasonable figure for me to feel comfortable in retirement, I'm not feeling good for myself, and I'm truly appalled for those even less prepared.
Monday, April 30, 2012
Diane Weighs in on Condos v. Houses
Diane Crowley tried to leave a comment on my recent post about Condos v. Houses. It was a great comment but too long for Blogger's comment section.
So--
I'm reprinting it here in full:
Hi Grace,
Boy, do I have a lot to say on this subject. I have owned two houses and two condos. I still have one of each so perhaps this makes me qualified to chime in on the subject of condos.
First and foremost, make sure any condo association you're considering has fully funded reserves. Don't buy in one that's not or you will be facing higher dues and assessments. A high level of foreclosures in the development is a red flag, as people stop paying their condo dues first, which strains the association's budget. Another negative is a high percentage of rentals. Banks don't want to see more than 30% renters. Even if you're paying cash, it's an excellent rule of thumb. Attend a board meeting before you buy. Find out who the management company is and speak with them. Most of these companies manage multiple HOA's and can tell you who the good ones are. Make sure the complex has no signs of deferred maintenance. Walk the complex early in the morning and talk to the people who are out walking their dogs. Get a history of dues and assessments. If there were assessments in the past ten years, find out what they were for.
"The Board" is a group of your neighbors, not some evil empire. Many people complain about "The Board", but refuse to attend a meeting. Don't be one of them. If you buy a condo, plan on attending meetings until you are asked to join the board. If you're not willing to do this, don't buy a condo. Same for the rules. Read them first. If you don't like them or find them onerous, don't buy there. The rules are clearly spelled out before the purchase and shockingly few people bother to read them. They then complain vociferously about "The Board" and "The Rules".
I've been in my present home for nearly eleven years and on the board most of that time. Our meetings are rarely over one hour and everyone works together to lighten the load. We are fairly conservative and frugal. To save money, we have a team of volunteers who deliver our newsletters and anything else that doesn't require a postmark. As a result, we kept our dues at $275 for three years. Last year, we reduced the dues to $260, as our reserves are 100% funded and we had a surplus. The rate will stay the same this year. Our dues include care and feeding of three pools and lush, mature landscaping, so we are getting a lot of bang for our hard-earned bucks. The only assessment was over twenty years ago, due to insufficient reserves. We make sure to keep the reserves fully funded and do not anticipate any assessments in the future. In your discernment process, always ask about assessments. They generally loom on the horizon long before notices go out. Get a copy of and actually read the minutes from at least a year's worth of meetings. If there is an assessment coming, it will be in the minutes.
When I went shopping for my current home, I knew I wanted my own driveway, no speed bumps, and a place that looked the same whether I was home or not. I got all of this and great neighbors to boot. My unit is attached to two others. The dog-walking neighbor places our newspapers on our porches every morning. On trash day, the one who is home when the cans are emptied brings everyone's up from the curb. We watch out for each other in lots of other ways, big and small. Last year, we had a neighborhood food drive and collected over 650 pounds of food for the local food bank.
Here's a story about the value of being on the board: When my first condo board announced that there would be an assessment equivalent to 1.5 month's mortgage to replace the roofs, I asked if it was necessary to replace all six roofs at once. We had them inspected and photographed. It was determined that we could do two buildings per year and avoid the assessment completely.
Obviously, I vote for a condo, but it must be the right one for your needs. It's not hard to find if your goals are clear and you do your homework. One myth I'd like to bust is that of taxes. As a renter, you are still paying taxes indirectly. They are included in your rent. Your landlord is paying them with your money. That's part of why rents always go up, roughly on pace with inflation. If you have a fixed rate mortgage, or none at all, your taxes may increase, but it's generally a much smaller percentage of your total budget.
Whew! That was a long one. It's hard to proofread in the tiny comment box, so I hope I've explained things clearly enough to help you with your decision.
Your blog has helped me in so many ways. I hope I can return the favor.
Kind regards,
Diane
So--
I'm reprinting it here in full:
Hi Grace,
Boy, do I have a lot to say on this subject. I have owned two houses and two condos. I still have one of each so perhaps this makes me qualified to chime in on the subject of condos.
First and foremost, make sure any condo association you're considering has fully funded reserves. Don't buy in one that's not or you will be facing higher dues and assessments. A high level of foreclosures in the development is a red flag, as people stop paying their condo dues first, which strains the association's budget. Another negative is a high percentage of rentals. Banks don't want to see more than 30% renters. Even if you're paying cash, it's an excellent rule of thumb. Attend a board meeting before you buy. Find out who the management company is and speak with them. Most of these companies manage multiple HOA's and can tell you who the good ones are. Make sure the complex has no signs of deferred maintenance. Walk the complex early in the morning and talk to the people who are out walking their dogs. Get a history of dues and assessments. If there were assessments in the past ten years, find out what they were for.
"The Board" is a group of your neighbors, not some evil empire. Many people complain about "The Board", but refuse to attend a meeting. Don't be one of them. If you buy a condo, plan on attending meetings until you are asked to join the board. If you're not willing to do this, don't buy a condo. Same for the rules. Read them first. If you don't like them or find them onerous, don't buy there. The rules are clearly spelled out before the purchase and shockingly few people bother to read them. They then complain vociferously about "The Board" and "The Rules".
I've been in my present home for nearly eleven years and on the board most of that time. Our meetings are rarely over one hour and everyone works together to lighten the load. We are fairly conservative and frugal. To save money, we have a team of volunteers who deliver our newsletters and anything else that doesn't require a postmark. As a result, we kept our dues at $275 for three years. Last year, we reduced the dues to $260, as our reserves are 100% funded and we had a surplus. The rate will stay the same this year. Our dues include care and feeding of three pools and lush, mature landscaping, so we are getting a lot of bang for our hard-earned bucks. The only assessment was over twenty years ago, due to insufficient reserves. We make sure to keep the reserves fully funded and do not anticipate any assessments in the future. In your discernment process, always ask about assessments. They generally loom on the horizon long before notices go out. Get a copy of and actually read the minutes from at least a year's worth of meetings. If there is an assessment coming, it will be in the minutes.
When I went shopping for my current home, I knew I wanted my own driveway, no speed bumps, and a place that looked the same whether I was home or not. I got all of this and great neighbors to boot. My unit is attached to two others. The dog-walking neighbor places our newspapers on our porches every morning. On trash day, the one who is home when the cans are emptied brings everyone's up from the curb. We watch out for each other in lots of other ways, big and small. Last year, we had a neighborhood food drive and collected over 650 pounds of food for the local food bank.
Here's a story about the value of being on the board: When my first condo board announced that there would be an assessment equivalent to 1.5 month's mortgage to replace the roofs, I asked if it was necessary to replace all six roofs at once. We had them inspected and photographed. It was determined that we could do two buildings per year and avoid the assessment completely.
Obviously, I vote for a condo, but it must be the right one for your needs. It's not hard to find if your goals are clear and you do your homework. One myth I'd like to bust is that of taxes. As a renter, you are still paying taxes indirectly. They are included in your rent. Your landlord is paying them with your money. That's part of why rents always go up, roughly on pace with inflation. If you have a fixed rate mortgage, or none at all, your taxes may increase, but it's generally a much smaller percentage of your total budget.
Whew! That was a long one. It's hard to proofread in the tiny comment box, so I hope I've explained things clearly enough to help you with your decision.
Your blog has helped me in so many ways. I hope I can return the favor.
Kind regards,
Diane
Thursday, April 26, 2012
Looking for Cheap Therapy? Become a Blogger
I've added new blogger, Jessie, to my blogroll. She's a forty-something newly-minted real estate agent wondering if her new career is worth continuing. (At least she lives in Texas, cuz given the real estate market everywhere else, the answer would have to be "Are you kidding?")
I like the ambiguous title of her blog, Fumbling At Joy.
In Jessie's welcoming message, she mentions that one reason for opening a blog is that it is cheaper than therapy.
Got that right, and therapy is something I know a whole lot about. Having adopted five daughters as older children over a twenty year period, I practically had therapists on retainer. As I often said about one particularly difficult daughter, the counselor didn't do much for my child, but her therapy was the reason I survived that kid's adolescence.
There are as many reasons for blogging as there are bloggers. Working out one's issues on an anonymous yet public stage seems to me to be a good one.
I started my blog nearly five years ago (Sheesh! Has it really been that long? And I STILL have all this debt?) to keep myself honest as I move financially and emotionally toward retirement. As with the recent post on condos, I tend to do much of my thinking out loud. It helps me sort out what's important, as do the responses, which range from supportive to "You did WHAT??" Most of all, I appreciate hearing what others have done in similar circumstances and how it is working (or not) for them.
Good thing I can blog, since the one thing I cannot currently afford is a good therapist.
I like the ambiguous title of her blog, Fumbling At Joy.
In Jessie's welcoming message, she mentions that one reason for opening a blog is that it is cheaper than therapy.
Got that right, and therapy is something I know a whole lot about. Having adopted five daughters as older children over a twenty year period, I practically had therapists on retainer. As I often said about one particularly difficult daughter, the counselor didn't do much for my child, but her therapy was the reason I survived that kid's adolescence.
There are as many reasons for blogging as there are bloggers. Working out one's issues on an anonymous yet public stage seems to me to be a good one.
I started my blog nearly five years ago (Sheesh! Has it really been that long? And I STILL have all this debt?) to keep myself honest as I move financially and emotionally toward retirement. As with the recent post on condos, I tend to do much of my thinking out loud. It helps me sort out what's important, as do the responses, which range from supportive to "You did WHAT??" Most of all, I appreciate hearing what others have done in similar circumstances and how it is working (or not) for them.
Good thing I can blog, since the one thing I cannot currently afford is a good therapist.
Monday, April 23, 2012
Condo v. House
One of the decisions I will need to make someday is whether to keep my house, downsize to a smaller place or move to a condo.
I've pretty much decided to eliminate the middle choice. I like my current home a lot, even though it is old (built in 1929), large, and has too many stairs and too much yard.
Need I say that ranch-style bred moi first fell in love with the house BECAUSE of the stairs and the yard and its age?
I live only ten minutes from city center (20 minutes if I'm traveling by bus).
But I am very attracted to life in the middle of my city--the sheer walkability, the restaurants, the magnificent library, how close the cultural institutions are.
I've never minded apartment life, and I certainly would not mind NOT having to worry about upkeep. I refer to my yardcare as 'Darwinian.' I have the lawn moved and the flower beds weeded, but whatever grows is what survived the rainy season. Nothing is planned, so I'm always as surprised as the next person to see what comes up when.
So, in general terms, I think I'm the ideal condo-dweller.
BUT, I worry a lot about monthly condo fees and how unpredictable they are. Isn't the point of paying off my mortgage prior to retirement, NOT to have more monthly fees? At least with a home, I make a personal decision as to what I want fixed or updated. It's scary to think of a condo board making those decisions for me, possibly at a cost that I could not afford.
Then, too, I wonder if I'm ready or ever will be for the rules and regulations that come with owning a condo. I've never been part of an HOA nor wanted to be. I prefer eccentricity to cookie-cutter houses.
Finally, at some level, I am concerned that condos are seldom good buys--the recession hit their market far harder than the housing market, which was bad enough.
I'm starting to read up on the advantages/disadvantages of condos versus homes See here and here--read the comments as well.
I've pretty much decided to eliminate the middle choice. I like my current home a lot, even though it is old (built in 1929), large, and has too many stairs and too much yard.
Need I say that ranch-style bred moi first fell in love with the house BECAUSE of the stairs and the yard and its age?
I live only ten minutes from city center (20 minutes if I'm traveling by bus).
But I am very attracted to life in the middle of my city--the sheer walkability, the restaurants, the magnificent library, how close the cultural institutions are.
I've never minded apartment life, and I certainly would not mind NOT having to worry about upkeep. I refer to my yardcare as 'Darwinian.' I have the lawn moved and the flower beds weeded, but whatever grows is what survived the rainy season. Nothing is planned, so I'm always as surprised as the next person to see what comes up when.
So, in general terms, I think I'm the ideal condo-dweller.
BUT, I worry a lot about monthly condo fees and how unpredictable they are. Isn't the point of paying off my mortgage prior to retirement, NOT to have more monthly fees? At least with a home, I make a personal decision as to what I want fixed or updated. It's scary to think of a condo board making those decisions for me, possibly at a cost that I could not afford.
Then, too, I wonder if I'm ready or ever will be for the rules and regulations that come with owning a condo. I've never been part of an HOA nor wanted to be. I prefer eccentricity to cookie-cutter houses.
Finally, at some level, I am concerned that condos are seldom good buys--the recession hit their market far harder than the housing market, which was bad enough.
I'm starting to read up on the advantages/disadvantages of condos versus homes See here and here--read the comments as well.
Thursday, April 19, 2012
Debt in One's Last Decades
The May issue of Money magazine arrived today. As usual, I devoured it in one sitting.
But that doesn't mean it was without its depressing moments. One of the first articles talks about the increasing debt loads carried by people older than 65. I'd link to the piece, but it's not yet up at the Money site.
Apparently, in the United States, a third of those age 65 or older still have a mortgage--up from 20% in the 1990's. The median amount owed is $56,000.
Worse, seniors owe an average of $10,235 on credit cards.
I will likely be among those with some remaining credit card debt when I turn 65 though I don't plan to retire until I get rid of it.
But my mortgage will be paid by the time I turn 65. The article's statistics are scary and do not describe a group I want to be part of.
But that doesn't mean it was without its depressing moments. One of the first articles talks about the increasing debt loads carried by people older than 65. I'd link to the piece, but it's not yet up at the Money site.
Apparently, in the United States, a third of those age 65 or older still have a mortgage--up from 20% in the 1990's. The median amount owed is $56,000.
Worse, seniors owe an average of $10,235 on credit cards.
I will likely be among those with some remaining credit card debt when I turn 65 though I don't plan to retire until I get rid of it.
But my mortgage will be paid by the time I turn 65. The article's statistics are scary and do not describe a group I want to be part of.
Friday, April 6, 2012
Why Grace Didn't Win Mega Millions
The easy answer?
I didn't buy a lottery ticket.
Before anyone starts telling me how smart that was, let me say that I thoroughly intended to buy one but I forgot.
Who knows if that $2 could have solved all of my financial problems--now I'll never find out. At least until the next $100+ million dollar lottery.
I read somewhere (and, of course, can find no reference to it now) that one's chances of winning, while witheringly slim, are somewhat better if the jackpot goes over $100 million. So when it does, and if I remember, I buy ONE ticket.
That's right. I blow $2 on a virtual impossibility.
Donna at Surviving and Thriving knows whereof I write. She even admits to buying a lottery ticket or two or six over the course of a year.
I never win lotteries, not even local ones. When my youngest daughter's school put on a fundraising dinner/auction each year and requested (more like demanded!) that each child sell 10 raffle tickets at $25 a piece, I couldn't bear the thought of hitting up my friends, so I bought all the tickets myself (which seemed fair to me because the raffle funded scholarships, and my daughter was getting a significant reduction in her tuition as a result). Over the course of four years, I had 40 chances to win, and never came close.
But like Donna, I don't think $2 is too much to spend for the chance to dream of winning millions. It's a lovely exercise to mentally spend all of that money on myself, my children, my charities, my world.
In a good year, I've spent, at most, $20 on the lottery. It's money I haven't spent on nail salons, super-fancy coffee drinks, or jewelry. (I have nothing against any of those, they just aren't my particular vices.)
Donna quotes one financial guru as calling the lottery "a tax on people who can't do math."
Yep. That would be Grace. Bad at math. Good at dreaming.
I didn't buy a lottery ticket.
Before anyone starts telling me how smart that was, let me say that I thoroughly intended to buy one but I forgot.
Who knows if that $2 could have solved all of my financial problems--now I'll never find out. At least until the next $100+ million dollar lottery.
I read somewhere (and, of course, can find no reference to it now) that one's chances of winning, while witheringly slim, are somewhat better if the jackpot goes over $100 million. So when it does, and if I remember, I buy ONE ticket.
That's right. I blow $2 on a virtual impossibility.
Donna at Surviving and Thriving knows whereof I write. She even admits to buying a lottery ticket or two or six over the course of a year.
I never win lotteries, not even local ones. When my youngest daughter's school put on a fundraising dinner/auction each year and requested (more like demanded!) that each child sell 10 raffle tickets at $25 a piece, I couldn't bear the thought of hitting up my friends, so I bought all the tickets myself (which seemed fair to me because the raffle funded scholarships, and my daughter was getting a significant reduction in her tuition as a result). Over the course of four years, I had 40 chances to win, and never came close.
But like Donna, I don't think $2 is too much to spend for the chance to dream of winning millions. It's a lovely exercise to mentally spend all of that money on myself, my children, my charities, my world.
In a good year, I've spent, at most, $20 on the lottery. It's money I haven't spent on nail salons, super-fancy coffee drinks, or jewelry. (I have nothing against any of those, they just aren't my particular vices.)
Donna quotes one financial guru as calling the lottery "a tax on people who can't do math."
Yep. That would be Grace. Bad at math. Good at dreaming.
Tuesday, April 3, 2012
Quarterly Net Worth Going UP!
For once--a good Quarterly Net Worth statement.
I'm now at my highest ever amount--$609,959.24
Not only are my retirement funds getting larger but both my primary residence and my rental have increased equity. Maybe the Pacific Northwest is coming out of its real estate funk? I can only hope so.
This is all particularly good news since things seem to be getting tighter on the day-to-day front. Every month that I think I'll have more money to throw at my debt, something happens.
Why do I think Murphy is sitting on my shoulder with a score pad?
I'm now at my highest ever amount--$609,959.24
Not only are my retirement funds getting larger but both my primary residence and my rental have increased equity. Maybe the Pacific Northwest is coming out of its real estate funk? I can only hope so.
This is all particularly good news since things seem to be getting tighter on the day-to-day front. Every month that I think I'll have more money to throw at my debt, something happens.
Why do I think Murphy is sitting on my shoulder with a score pad?
Thursday, March 29, 2012
Catching Up
OK, I got some great suggestions for additions to my blogroll. Plus I realized that I've been reading some cool blogs that I hadn't yet put onto my site. For example, LC often comments here. I'd been reading her Retirement Daze for some time when all of a sudden, she had a stroke. Instead of putting her blog on hold, she has been writing her way through her treatment and continued recovery. I'm so sorry the stroke happened to her, but I'm still fascinated by her posts. (Just for the record, there is a serious history of strokes in my family going back three generations on both sides--I should probably be taking notes!)
Also check out I'm Losing It Here, Tessie's Awesome Blog, and Last Third of Our Life.
For those looking for Judy at "Finally Frugal," she is apparently on a temporary hiatus. Why that means she took the blog away with her, I don't know. But she says she will be back shortly, so I'll leave the link up for a bit longer.
March was the month in which I turned 63 though it was something of a non-event. However, I did get a new microwave from my sister, which I've been coveting for awhile but was too cheap to replace the old (but working!) model I've had for more than 10 years.
March was also a good month on the debt front--I paid down $1,694.55. Of course part of it came from my meager $300+ tax refund, but no matter--I love seeing the figures reduce. I now owe $88,142.76 on everything, including my house.
And, in some very good news, my retirement funds recently topped $250,000, which should mean that by the time I retire at age 69, I will have more than $400,000 in my 401(k).
So in spite of the fact that it is storming outside, March is leaving like a financial lamb.
Also check out I'm Losing It Here, Tessie's Awesome Blog, and Last Third of Our Life.
For those looking for Judy at "Finally Frugal," she is apparently on a temporary hiatus. Why that means she took the blog away with her, I don't know. But she says she will be back shortly, so I'll leave the link up for a bit longer.
March was the month in which I turned 63 though it was something of a non-event. However, I did get a new microwave from my sister, which I've been coveting for awhile but was too cheap to replace the old (but working!) model I've had for more than 10 years.
March was also a good month on the debt front--I paid down $1,694.55. Of course part of it came from my meager $300+ tax refund, but no matter--I love seeing the figures reduce. I now owe $88,142.76 on everything, including my house.
And, in some very good news, my retirement funds recently topped $250,000, which should mean that by the time I retire at age 69, I will have more than $400,000 in my 401(k).
So in spite of the fact that it is storming outside, March is leaving like a financial lamb.
Thursday, March 15, 2012
They Went Which-A-Way?
Here's the thing about blogs--I love writing mine, but even more, I love reading the blogs of others. I am offered interesting, if brief and narrow, glimpses into the lives of those very different from myself--people who are younger, richer, older, more settled, well-traveled, less sensible, much smarter, of different genders and races, whatever.
So, I take it badly when writer leaves the blogosphere. I want more!
Sadly, not everyone cares what Grace wants.
Hence--a new clean-up of my Blogroll.
I have trouble believing that Morrison can actually stay away for long, but I have eliminated "All Doors Considered" until she changes her mind.
Julie from "Beside Still Waters" has left for the second time. Too bad. I like the perspective of someone forced into retirement too early who is struggling with the financial consequences.
Karissa from "Keeping It Seriously Simple" has the best reason to stop blogging--she paid off all of her debt, which was the reason she started her blog in the first place. You go, Girl!
"Blogging Away Debt" is here, but with a new blogger, Claire. Her financial situation is different from Beks, but still compelling.
"Living Almost Large" is gone, though its author still comments on various financial blogs. Ditto Dog from "The Dog Ate My Finances."
Master Po from "The Po File" has posted what he says is his final post. He has, however, left his blog up, which I appreciate. I'm curious why other folks don't. Still, unless I hear he's coming back, I'm deleting him from blogroll.
Judy, formerly of "Poor But Happy" got hacked, but is back at a different location with a new name, "Finally Frugal and Happy."
Some bloggers definitely seem to be losing steam. One of the first blogs I found was Jane Dough's "Boston Gal's Open Wallet" but her posts have become increasingly sporadic. Her most recent post was last November. Still that puts her ahead of "Debt Hater", who was all set to get married and hasn't blogged since. Shouldn't the honeymoon be over by now? And what about "Sistah Ant"? She became a lawyer, got married, and found a job. Shouldn't that give her enough to blog about, but her last post was in September.
Neither "M Is For Money" nor "Oh, My Aching Debts" have posted in over six months, so off my list they go.
Hmm--Now I need replacements.
Suggestions, anyone?
So, I take it badly when writer leaves the blogosphere. I want more!
Sadly, not everyone cares what Grace wants.
Hence--a new clean-up of my Blogroll.
I have trouble believing that Morrison can actually stay away for long, but I have eliminated "All Doors Considered" until she changes her mind.
Julie from "Beside Still Waters" has left for the second time. Too bad. I like the perspective of someone forced into retirement too early who is struggling with the financial consequences.
Karissa from "Keeping It Seriously Simple" has the best reason to stop blogging--she paid off all of her debt, which was the reason she started her blog in the first place. You go, Girl!
"Blogging Away Debt" is here, but with a new blogger, Claire. Her financial situation is different from Beks, but still compelling.
"Living Almost Large" is gone, though its author still comments on various financial blogs. Ditto Dog from "The Dog Ate My Finances."
Master Po from "The Po File" has posted what he says is his final post. He has, however, left his blog up, which I appreciate. I'm curious why other folks don't. Still, unless I hear he's coming back, I'm deleting him from blogroll.
Judy, formerly of "Poor But Happy" got hacked, but is back at a different location with a new name, "Finally Frugal and Happy."
Some bloggers definitely seem to be losing steam. One of the first blogs I found was Jane Dough's "Boston Gal's Open Wallet" but her posts have become increasingly sporadic. Her most recent post was last November. Still that puts her ahead of "Debt Hater", who was all set to get married and hasn't blogged since. Shouldn't the honeymoon be over by now? And what about "Sistah Ant"? She became a lawyer, got married, and found a job. Shouldn't that give her enough to blog about, but her last post was in September.
Neither "M Is For Money" nor "Oh, My Aching Debts" have posted in over six months, so off my list they go.
Hmm--Now I need replacements.
Suggestions, anyone?
Wednesday, March 7, 2012
Never Too Late To Do What You Always Wanted to Do.
Mother Martina Roy died
I never knew her though friends of mine did.
There were a lot of things important in her life--like her marriage and her four children.
There were things that wentwrong in her life--the marriage didn't work out and one child pre-deceased her.
But here's the part I find the most interesting: her earliest dream-career was to be a nun. Her family was against that, and real life intervened. After her divorce, she was the sole support of all of her children.
Once her children were grown, she took positions as housemother at various fraternities. At age 72, when she decided to once again pursue that dream of becoming a nun, she not only knew how to handle rowdy college boys, but thanks to them, she was up on all the latest technology.
She was the United States' (and maybe the world's) oldest postulant both when she entered the convent at age 72 and when she took her final vows at age 84.
She was in her mid-ninties and had suffered from dementia for the past few years before she recently died. Her last years were spent among the nuns on Shaw Island, WA.
Those that knew her described her as funny, social, physically active, and a true delight.
There's definitely a lesson here--and not just for Catholics.
I never knew her though friends of mine did.
There were a lot of things important in her life--like her marriage and her four children.
There were things that wentwrong in her life--the marriage didn't work out and one child pre-deceased her.
But here's the part I find the most interesting: her earliest dream-career was to be a nun. Her family was against that, and real life intervened. After her divorce, she was the sole support of all of her children.
Once her children were grown, she took positions as housemother at various fraternities. At age 72, when she decided to once again pursue that dream of becoming a nun, she not only knew how to handle rowdy college boys, but thanks to them, she was up on all the latest technology.
She was the United States' (and maybe the world's) oldest postulant both when she entered the convent at age 72 and when she took her final vows at age 84.
She was in her mid-ninties and had suffered from dementia for the past few years before she recently died. Her last years were spent among the nuns on Shaw Island, WA.
Those that knew her described her as funny, social, physically active, and a true delight.
There's definitely a lesson here--and not just for Catholics.
Thursday, March 1, 2012
February Wrap-Up--Back on Track
I finally feel like I can breathe financially.
February is always hard because that's when property taxes and various insurance policies are due.
I not only managed to get everything paid, I did it without incurring more debt. In fact, I once again reduced my debt below $90,000 (including my house)--albeit just below, at $89,837.31. That is a monthly reduction of $996.69, though given the increase in debt in January, the net reduction is $204.69.
My retirement funds hit new highs in February, which also feels good. My general goal is to have at least $400,000 in my retirement 401(K)s when I retire in six years.
So I'm feeling pretty fine right now, and I'm hoping the rest of the year works out as well.
February is always hard because that's when property taxes and various insurance policies are due.
I not only managed to get everything paid, I did it without incurring more debt. In fact, I once again reduced my debt below $90,000 (including my house)--albeit just below, at $89,837.31. That is a monthly reduction of $996.69, though given the increase in debt in January, the net reduction is $204.69.
My retirement funds hit new highs in February, which also feels good. My general goal is to have at least $400,000 in my retirement 401(K)s when I retire in six years.
So I'm feeling pretty fine right now, and I'm hoping the rest of the year works out as well.
Tuesday, February 14, 2012
A Story for Valentine's Day
Today is Valentine's Day, and do I have a romantic story for you!
Last Saturday I received a wedding invitation from a college dormmate. The wedding will take place on the east coast in August.
What makes it special is not only do I know both parties, I'm the one who introduced them.
Picture Grace as Cupid.
The introduction took place 38 years ago, and to say that these folks were slow to get with the program is an understatement.
L. lived across the hall in the graduate dormitory.
C. was a cute, bright but very shy law student I'd met in the library.
It just seemed to me that they would be a good couple.
So I introduced them.
They went on a couple of dates but nothing clicked.
OK, so Grace isn't the world's swiftest Cupid.
L. married, had children, then lost her husband three years ago to cancer.
C. married, divorced, and kept working his way up the corporate ladder.
I kept in touch with L. but lost contact with C.
Two years ago, he found me through our alumni association and we renewed our friendship. He casually mentioned L. and asked if I knew what had happened to her. Indeed I did so I passed on her e-mail address.
As they say, the rest is history. And part of that history will be made in August when the two of them finally get married.
I am definitely planning to be there.
Let's see. Am I ready? Wings? Check. Arrows? Check.
Grace/Cupid is now on her game!
Last Saturday I received a wedding invitation from a college dormmate. The wedding will take place on the east coast in August.
What makes it special is not only do I know both parties, I'm the one who introduced them.
Picture Grace as Cupid.
The introduction took place 38 years ago, and to say that these folks were slow to get with the program is an understatement.
L. lived across the hall in the graduate dormitory.
C. was a cute, bright but very shy law student I'd met in the library.
It just seemed to me that they would be a good couple.
So I introduced them.
They went on a couple of dates but nothing clicked.
OK, so Grace isn't the world's swiftest Cupid.
L. married, had children, then lost her husband three years ago to cancer.
C. married, divorced, and kept working his way up the corporate ladder.
I kept in touch with L. but lost contact with C.
Two years ago, he found me through our alumni association and we renewed our friendship. He casually mentioned L. and asked if I knew what had happened to her. Indeed I did so I passed on her e-mail address.
As they say, the rest is history. And part of that history will be made in August when the two of them finally get married.
I am definitely planning to be there.
Let's see. Am I ready? Wings? Check. Arrows? Check.
Grace/Cupid is now on her game!
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