June 25, 2008


Since we began tracking our net worth in February 2007, it has consistently increased each month by an average of $2,428. December 2007 was the only month thus far that our net worth has decreased (it was down $3,301.44 from November 2007) because we reduced the value of our two cars by a total of $4,845 in December to account for depreciation.

Well, at this point, it looks like our net worth will be down ~$1,500 at the end of June. I reviewed the numbers and determined that it is due to a combination of planned annual expenses (such as our vacation), some overspending (such as the increase in eating out), and depressed market conditions (such as the reduction in our retirement accounts).

Below are some of the details:

1) We paid for the $1,071.09 vacation we took at the end of May (bill was due in June)
2) We have spent ~$410 thus far on gifts
3) We have spent $233.90 thus far on household items (our budget is $150)
4) We have spent $173.62 thus far eating out (our budget is $130)
5) We spent $104 on my eye exam and contacts
6) Our retirement accounts are down ~$1,100 thus far
7) We were not able to contribute any money to our Roth IRAs

We should be able to turn this around in July. My wife will receive her first paycheck from her better paying new job, I receive an “extra” third check next month, and my wife may receive a ~$3,800 commission from her old company. However, we may need to pull ~$3,500 from savings to pay off my wife’s car that we are selling, the bill for our new LCD TV will come due, and the bill for my wife’s new brakes will come due.

God willing, we can change direction and get back on track towards our goal.

June 19, 2008

Let the Good Times Roll

During training this week my wife learned quite a bit about the company, her position, and the products she will be selling. While challenging, this new career is already living up to her expectations. Her manager has also done an amazing job of taking care of the new sales reps including providing very nice hotel rooms and meals.

My wife found out this week that her company will be providing a few more perks they had not mentioned before. Each month, they will give her $60 towards a cell phone, $60 towards internet service, $50towards office supplies and up to $100 for a mini storage unit (for her samples). They also gave her a laptop, docking station, printer for her home office - perfectly timed because our printer is on the fritz.

I am amazed at how well her new company is taking care of her to ensure that she feels like part of the familiy, is properly trained, and has the tools necessary to do the job. Let the Good Times Roll

June 16, 2008

A New Chapter Begins

My wife began her new job today; it’s exciting to get this new chapter in her (our) life started.

She will be spending the first couple of months learning the products. Then, she’ll be heading out into the field to meet with the doctors. Her company has provided her with a rental car until her new company car is ready. She should also receive her company gas card this week. Her first paycheck will arrive on 7/4 and will tell us exactly how much extra we can invest, save, and use to pay down our 2nd mortgage. Exciting stuff!

Her old company had a nice send off for her on Friday, including giving her a gift card and taking her out to lunch. Not only was that very nice of them, it’s a good indication that they will pay her the final commissions she is do. She hopes to receive the large ~$4,000 commission in mid July.

My wife is leading the way in our quest for financial freedom. I’m going to do my best to try to keep up.

June 4, 2008

Transitioning to the New Career

My wife starts her new career on the 16th, and gave her two week notice at her current job on Monday. Although her boss fought her a bit, she was able to negotiate keeping all of the commissions that she has earned, but not been paid on yet. This includes a large ~$4,000 commission that should come in around August, once the company has been paid by their customer. This is such a blessing. We were worried that they might try not to pay her the commissions and/or let her go immediately rather than pay her for the final two weeks.

My wife receives her new company car before her start date, so we plan to put her car up for sale this week and hope to sell it within the next few weeks. This will save us $450/month in car payments and $150-$200/month in gas.

Her first paycheck from the new job will be deposited on July 4th. With the increased income combined with the money we will be saving on the car, we want to restart our 2nd mortgage accelerated payment plan by paying an extra $400/month to principle. In addition, we will apply ~$12,000 of her $20,000 annual bonuses towards the 2nd mortgage. We’re hope to have the 2nd mortgage paid off by July 2010 and begin saving for a down payment with a goal of purchasing a home by July 2012. We also plan to increase our tithe, contribute 6% of her salary to the company 401(k) that includes a 25% match up to 6%, and deposit $200/month into our savings account. The only deliberate increase in lifestyle will be an extra $20/month each for fun money.

This new career is such a blessing in so many ways. My wife will be working in a field she is passionate about, earning greater pay, working out of our home, and receiving amazing benefits/perks. I am very impressed and proud of her success, especially at such a young age. Because of this opportunity, we will be able to go after multiple goals (increasing our tithe, paying off our 2nd mortgage, increasing our savings, and adding to our retirement savings) much sooner than expected.

June 1, 2008

May 2008 Income Statement

I wish we could have kept our expenses at the same level as last month, but it didn't happen. We spent a good amount of money in May, but thankfully, we earned much more (click on spreadsheet below).

In addition to our regular saleries, my wife received an "extra" paycheck, a $943.92 commission check, and a $89.10 mileage reimbursement check.

Outside of our jobs, we earned a $50 Chase credit card cash back reward, $25 HSBC credit card reward, and our $1,200 economic stimulus check. Our E*TRADE savings account brought in $14.98 in interest income.

Next month should be a interesting. My wife will be leaving her current job and starting her new career. We're still not sure of the paycheck timing at her new job so we may end up with a bit less money coming in in June. We also have to pay for our $1019.81 vacation that we took at the end of May.