Finances 2010

Financially, 2010 was a really good year for us. I know that many people are really struggling with their finances whether it is from debt or job loss or health problems and my heart goes out to them. We are fortunate because we both have jobs that pay well and provide medical insurance. Another major factor is that we have no debt--no car payments, the house is paid off, and the credit card is paid off every 2 weeks. We are both frugal and have lived well below our means all 42 years of our marriage.

Our net worth has increased by about 10% to $1.2 million; of that about half is in our combined 401Ks, the house is worth and property is worth about $415,000, and $56,000 is in savings (Emergency fund, New vehicle savings, Household Savings).

The key for me is planning--saving $500 per paycheck for the taxes, homeowners insurance, and homeowners association fees; saving in advance for a new vehicle (my van has 131,000 miles on it and JMM's truck has even more miles) so it is likely that we will need a new vehicle soon, and finally having an Emergency fund so that if one of us loses their job or a hurricane blows off the roof, the money is there to pick up the pieces.

My financial goal for next year is to continue on the same path--work, save, give, enjoy.

Beans & Rice and Rice & Beans

If anyone has listened to Dave Ramsey for any length of time, you'll be familiar with his advice to cut your lifestyle and eat beans & rice, rice & beans. I agree with him on the principle but take exception with the tone in which the advice is given. He says it as if beans and rice were some punishment to be endured only while one gets out of debt. Au contraire, beans and rice if properly prepared is a feast! I have a pot of pinto beans simmering right now with onions and peppers (from my garden); I will add some summer sausage later and serve with a rice, a green salad, and jalapeno corn bread. Ah, what a feast!! And the leftovers--c'est magnifique!

The Way Forward 2009

So far JMM and I have not been adversely affected by the current economic downturn. We are both still fully employed in jobs that pay well and have benefits. We both realize that this could change at any time for either of us. Therefore, we have made decisions to help prepare for this possibility. The first decision was to make it a priority to pay off our house by the end of 2009; this meant stopping all contributions to our 403b retirement accounts for this one year. The second decision was to increase our emergency fund by an additional $50.00 per pay period; it is a small amount but over the course of a year, our emergency fund will increase by $1300. The third decision was to continue to live frugally in order to accomplish the first two goals. The fourth decision was to do everything we can to maintain good health; with the exception of my CMT, we are both in good health but there is room for improvement in diet, exercise, and stress management. I hope to look back on 2009 as a year in which we moved forward physically, financially, personally, and professionally.


Thought for the day:

"We can do no great things; only small things with great love." Mother Teresa.

How to make Beans and Rice

2 cups dried beans (I usually use pinto beans)
2 Tablespoons oil
1 cup chopped onion
1/2 cup chopped celery (optional)
1/2 cup chopped bell pepper (optional)
2-3 cloves garlic minced
1 can Rotel tomatoes
1/2 pound Kielbasa sausage chopped into bite size pieces

Soak the dried beans over night in a large pot of water. The next day drain the beans into a colander and rinse them thoroughly.

While the beans are in the colander, heat the oil in the large pot and add the onion, celery, bell pepper, and garlic. Saute for 3-4 minutes.

Remove from heat and add to the pot the beans and enough water to cover 2 inches above the beans and vegetables. Stir and return to heat. Bring to a boil and then lower the heat to where it is just simmering; cover with pot lid and simmer for an hour. Stir every 15-20 minutes .

Add the Rotel tomatoes and sausage. Bring back to simmering and cover with lid; cook for another hour or until beans are soft.

Serve over rice or with toasted garlic bread or cornbread. Great for a cold night.

This is a very forgiving recipe. You can add more are less of any of the ingredients depending on what your tastes are or what you have on hand. Makes great leftovers.

Thought for the day:

There is only one corner of the universe you can change, and that is yourself, but in changing that corner, you change the universe. Chinese proverb

Finances

We are aggressively paying off our mortgage. We have been here at OakMeadows for 4 years and have paid extra principal payments all along. The house is the only debt that we have--the 2 vehicles are paid for and the credit card gets paid completely each month so we are able to focus on the mortgage. The plan is to be mortgage free by January, 2010. (But since when do plans go exactly the way you want them to...) We had 2 big expenses in August--We replaced our old dead television with a new 42" flat screen and we filled the propane tank for the year so we will have much less to pay extra with the September payment. I debated with myself about the television but since we have no reception and no cable out here, Netflix is our weekend entertainment and it is lovely to see movies on the larger screen. (I refuse to spend what it costs to go to theaters these days.)

I have always been a generally frugal person because I work too hard for my money to waste it and because I am just not a shopper. Shopping is an activity that has to be done occassionally--groceries weekly and clothing a couple of times a year, cars and appliances have to be replaced, etc. But shopping as a pastime just would never occur to me. My parents were of the Great Depression/World War II generation so I grew up with frugality is just normal. I never felt deprived--we had a good, paid for home, food, a paid for Chevy, and my mother was a super seamstress. There are people who are more frugal than I am; I can appreciate their activities but try to balance what I would save with how much time and energy it would cost me.