Our Monthly Net Savings is the amount of money we have saved/invested each month throughout the year. As you can see, we became debt-free the end of January (hooray!) 2014. Most months we are able to save at least 50% of our net salaries combined. In the summer and winter we take time off, so our savings go down, but that’s okay because everyone needs a break.
We are diligently investing our money into an index fund and our
ING Voya retirement plan through our employer. You can read all about that here. And the plan is that within 7 to 10 years, we can call ourselves financially independent. Our ‘golden figure’, which is the figure we think we need to live comfortably in countries with lower costs of living, is around $600,000. If you are interested in getting started on the road to financial independence, too, start here.
|February||62.6% (sold 1st house!)|
|April||2% (Pd for trip)|
|May||$100 (Pd for trip)|
|June||$100 (no salary in summer)|
|July||$100 (no salary in summer)|
|August||$100 (no salary in summer)|
|September||$100 (moved abroad!)|
|November||$100 (Saving for Baby #2)|
|February||2% (baby bills due)|
|July||$100 (no salary in summer)|
|August||$100 (we bought house #2)|
|September||11.1% (who knew daycare was so expensive!)|
|December||52.5% (Rock on!)|
So much happened in 2016! We bought another house, we put our son in daycare, and we had a really long vacation back home in Ireland. Money, money, money! Considering all of this, I think we did alright in that we were still able to save an average of a little over 16.5% each month. Our passive income has really started generating money and our side hustling with Airbnb really helped out when our other house was vacant for two months. Whew!
It looks like December has been a good month for us for the last two years. This winter break, we decided not to take any extravagant trips and save some money. Good idea, Stephen! It surely shows in December’s savings.
Let’s look forward to what we can save in 2017! I’m hoping for bigger savings with some new changes that may come along our way.
|January||70% (heck ya!)|
|June||$147.18 (passive income)|
|July||0% (no workee-no money, but mini-retirement was worth it!)|
|August||4% (but back to work!)|
|October||26% (initial baby and house costs are higher than expected)|
It looks like we were not able to save the 50% of our salary that we had anticipated. Although we started off with a strong beginning, our choice of taking a mini-retirement threw us off track. After asking ourselves if the mini-retirement was worth the lower savings percentages, we answered with a wholehearted YES!
Thankfully, December will see us back in action with a very respectable savings figure, a figure that we expect to maintain for the first months of 2016.
One important fact that I would like to point out is that from September 2015 to present we now put aside between $300-400 for our summer trip instead of using the last of our 9-month work contract paycheck. This allows us to purchase plane tickets with less stress earlier in the year instead of at the last minute. So this does drop our monthly savings rate considerably throughout the year, but we hope to make up for it in the May and June months.
|January||0% (debt free!)|
|June||93% (Found some lost money!)|
|December||20% (Ireland trip)|
This year (2014) we invested an average of 43.4%. We didn’t make our 60% savings goal, but overall we are pretty happy with our first debt-free year of investing. All in, this includes our Vanguard investments and our
ING Voya retirement investments through our 403(b)s, we have about 8% of the golden number saved. Not earth-shattering, but it’s a grand start.
Other considerations to take into account are that we didn’t start saving until February, we are still waiting for healthcare reimbursements for a couple of procedures, and we both received a 5% raise in August.
As for 2015, we are once again going to set the bar high, but maybe not quite as high as 2014. Perhaps investing around 50% of our savings is a more realistic number that we can work with and achieve.
**These percentages do not include the 8% retirement fund employer match nor the 5.5% we each contribute (pre-tax dollars) to our Voya retirement accounts.