2013 - survive the fiscal cliff
2014 - assess the impact of the fiscal cliff and develop new plan

Anonymous wrote:Rock on 1:15.

We'll pay off our rental TH (two units) next month. That's about $3,200 in free cash flow every month after taxes, insurance and property management fee. And it'll only go up. (It's a rowhouse a few blocks behind the Capitol. We price it a little below market, and people line up to rent it.)

I do badly want to buy property as an investment like this. Problem is, even the crappiest places are $500k+. Hard to see how you make money on the rental (or even break even) unless you can put $200 or $300 down. When did you buy?

(I'm the guy who wants to buy a rental from above)

I'm also looking at buying in FL. We have some family down there that could do prop mgmt for us - a 3bd home night run $150k and rent for $1,000 a mo. It's a smaller gamble with a smaller return but more achievable for us right now.

My plan is to maintain my status quo, in terms of income (w/ slightly above COLA increases), savings, housing value growth, etc. I should be able to hit the 100K mark for my emergency savings, have retirement continuing on track, and I should clear more than 300K if I decide to sell my house and downsize. Not very sexy but 1000x better off than most.

I hope to pay off the mortgage, have over 200k hhi, and have a rental unit within 5 years. I am also fairly artistic and I would like to start selling some of my work on etsy and stuff like that, even if it's not for much money. Big dreams!

Anonymous wrote:Not the OP, and I am just hijacking the thread but what are some suggestions or tips for saving more money.

Our HHI is about 150k but we pay a lot to rent, for daycare, doctors... That I just don't feel like we'll ever build up our savings (have less than $5k in savings). I'd love to have these goals but I just don't know how to get there. I'd appreciate any advice.

Do you have retirement account in addition to this? Is 10% of your salary going into a retirement account?
If so then the best way to build up separate savings is to have an automatic monthly deduction (on the 15th when a paycheck goes in works well), of say $333 if you can swing that. This will give you another $4K in savings in a year.

Rock on 1:15.

We'll pay off our rental TH (two units) next month. That's about $3,200 in free cash flow every month after taxes, insurance and property management fee. And it'll only go up. (It's a rowhouse a few blocks behind the Capitol. We price it a little below market, and people line up to rent it.)

Anonymous wrote:

Anonymous wrote:Get rid of nanny in 5 years.
Hit 300k income in 5 years.
Hit 100k annual savings in 5 years.

In ten pay off mortgage
In ten hit $2M net worth
In ten buy a rental property

You aspire to own a rental property? Lol, have fun!

Well, it may not be "fun", but neither are a lot of jobs and/or commutes. Because DH and I have owned rental properties I have been able to be a SAHM for 15 yrs, plus our net worth is in the millions. In a few short years, just the positive cash flow alone will pay every monthly expense we have and more. So laugh away and to the person who aspires to own the rental property, go for it.

Not the OP, and I am just hijacking the thread but what are some suggestions or tips for saving more money.

Our HHI is about 150k but we pay a lot to rent, for daycare, doctors... That I just don't feel like we'll ever build up our savings (have less than $5k in savings). I'd love to have these goals but I just don't know how to get there. I'd appreciate any advice.

Anonymous wrote:DH and I have a two year plan. Want to save and invest a certain sum over the next two years so that we can have a "cushion" and do not have to worry so much about either of us losing a job in the future.

Anyone else have a plan like this?

Yup. We figure we need $5 million to retire, so we're actively working towards that benchmark.

Anonymous wrote:Get rid of nanny in 5 years.
Hit 300k income in 5 years.
Hit 100k annual savings in 5 years.

In ten pay off mortgage
In ten hit $2M net worth
In ten buy a rental property

You aspire to own a rental property? Lol, have fun!

Anonymous wrote:Get rid of nanny in 5 years.
Hit 300k income in 5 years.
Hit 100k annual savings in 5 years.

In ten pay off mortgage
In ten hit $2M net worth
In ten buy a rental property

Sounds great. Enjoy the ride. I will accomplish none of these, ever. (except the nanny part, I guess, since we don't have a nanny).

Get rid of nanny in 5 years.
Hit 300k income in 5 years.
Hit 100k annual savings in 5 years.

In ten pay off mortgage
In ten hit $2M net worth
In ten buy a rental property

we have a 10 years plan...pay off our mortgages for the house and our 4 rentals.

Had a plan, it blew up. Had another plan, the baby was fine but the first year cost $30k more than planned. Made another plan but we're down to one (shaky) paycheck so we've decided just to stick to scrambling day to day for now.

I'm pretty sure the plans were our problem.

DH and I have a two year plan. Want to save and invest a certain sum over the next two years so that we can have a "cushion" and do not have to worry so much about either of us losing a job in the future.

Anyone else have a plan like this?