It’s hard to believe that in 2.5 months (or 11 weeks, to be more exact), 2007 will leave and 2008 will roll in. The latter part of 2007 will definitely be a time to remember for both the good times & the not-so-good times. I graduated college, moved into my own apartment, started a 90-hour+/week job, found my very own mechanic, and started shoving (what is to me) piles of money into savings.
But when 2008 comes around, I think I’ll definitely be RELIEVED and happy to have survived 2007 (mantra: this too, shall pass). Financially-speaking, I want to celebrate New Year’s 2008 with a $10,000 net worth. Currently, I have around a $5,000+ net worth - I’ll need to take some disciplined steps to make it happen.
1. Save $1,750/month for retirement.
2. Save $500/month for emergency fund.
3. Pay down $160 of student loan when grace period expires in December.
4. Mix well, bake for 30 minutes, then voila! Out pops a five-figured net worth.
I can do it… I’ll probably take a look at how I’m doing in November then adjust my savings accordingly.
Hooray for year-end goals! Sounds like you’ve got a steep, but do-able goal. Breaking it up into smaller goals always seems to help me, too; I like the way you’ve figured out exactly how much per month you need to contribute to each of your different funds.
Good luck! (As if you need it; you’re gonna rock this!)
Wow! What high goals. I look forward to seeing you accomplish them. I expect a victory post come January 1st…
I too had a crazy/busy year. While I’ll be relieved and happy to walk boldly into 2008, 2007 will certainly be memorable as well.
I survived a round of layoffs at my company, completed my 18 month credit training program, and was promoted to Private Banking Officer. I joined a church all by myself along with the Junior League of Dallas. I also joined and took a leadership position in my sorority’s alumnae association (yes, I was in a sorority…). I traveled to Peru for volunteer work, Vegas for fun, and the Bahamas for romance. And, oh yeah, I started blogging!!
It sounds like you are well on your way to reaching your $10k goal. Keep up the good work!
That’s awesome!! Great job saving, especially since you make a fantastic salary. As a recent graduate with a good salary, I find my friends (and often myself) having the “small savings take effort, and lets face it we can afford it” kind of arguments. And none of us have salaries quite as good as yours. So what’s wrong with us or rather what’s your secret?
I do have a question for you, the 1750 that you say you sock away for retirement — do you sock it all away pretax (ie 1750 from your paycheck into the 401k) or do you save part of it out of your take-home income? If so, how do you split it? I can’t decide whether I want to give up the liquidity of after-tax investments for the bigger base for growth of the pre-tax 401k.
Thoughts?
[...] January 6, 2008 by wellheeled I said a couple months earlier that I’d like to end 2007 with a $10,000 net worth. [...]