As of April 1, 2011 I have $9337 in my investment account. I am $663 short of having $10,000, my first step in my millionaire goal. This month I will be depositing $68.30 into T Rowe Price but then will be rolling the Roth over to Fidelity and increasing the deposit to $218.30. This income will come from our rental, $200 and the 2% reduction in social security $18.30.
The remain $50 I will now be putting into savings until we save enough for disability/life insurance. By doing price quotes it looks like disability insurance will be $600/year and life insurance will be $100/year. We are still deciding which to do first, given that we cannot afford both.
It looks like I should have $10,000 (if the markets cooperate)by July of this year. My next minigoal will then be $25,000 where I can stop investing in target date funds and diversify myself using mutual funds.
I like that you're taking small steps. $1M seems daunting, but going for $10K, $25K, $100K is very doable in the next 5 years. Congrats and good luck!
ReplyDelete-BNW
http://buildnetworth.blogspot.com/
Thanks for the encouragement BNW. You blog has some great stuff on it, I had fun looking around.
ReplyDeleteI know its more expensive to get, but I would go with disability insurance first. Since you don't have kids, and you're both working (or going to school), life insurance is less of an issue. However, if one of you were to become disabled, though, you not only lose the income (as you would with death) but you keep expenses, in fact, expenses most likely go up.
ReplyDeleteWe were thinking of going with disability for the reasons you mentioned but we keep going back and forth because our jobs/schooling can be done with some disabilities. However, we are still looking around, maybe we can get a quote for both under $600/year. Hey a girl can dream, can't she?
ReplyDeleteWow, I am so impressed. When I was in school, all I did was rake up debt :( It's refreshing to see someone who has started off on a much brighter note. Good luck with getting to $10K! With a start like this, I *know* you will make it to 1 Mil some day not too far away...
ReplyDeletePS: I would love to post a guest article from you or interview you about your land lording experience on my site. I think it will be a very inspiring story for other students. Drop me a note at ispfmail@gmail.com if you are interested.