Post your financial goals for 2018

[LivingAlmostLarge]

Increased our retirement by about $70k, close to $900k in retirement accounts. Our taxable accounts have increased around $60k. Our debt is down $17k. NW is up $160k. I passed on buying an apartment complex this summer so now I have to deal with a bunch of cash we have sitting. I need to invest it still. We definitely have enough to pay off our mortgage if we cashed out our retirement. Right now looking at taxable accounts to mortgage we could pay off 37% of our mortgage. Goal is to have that much in taxable accounts in 4 years which would make it tight but doable to live off our retirement savings if we had to. I think we'd be lean FIRE at $40k. which put the 9 year time line (DH's 50th) perfectly on target for fat fire.

Interestingly since DH agreed to be an executor for his uncle's estate the money coming in from it will be around $25k I believe. We are earmarking it for DK college funds and investing it one time this year when it comes through. I think if we add an extra $5k each so around $15-20k we are set for college for 4 years for both girls. This will relieve a lot of worry on our retirement.

[Like2Plan]

1. Continue contributing to 401K for DH and IRA for me.

2. Work out a 10 year Roth conversion plan. Most of our savings are in pretax retirement accounts. I want to do some conversions now so our taxes don't go higher when RMDs kick in (less than 10 years from now).

3. Reorganize investments for tax efficiency. For example: bond allocations in pretax, Equities in Roth and after tax.

4. Make a plan and save money for home renovations. We did new windows last year (finally). Kitchen and baths are next.

5. Figure out when DH will claim social security. Full retirement age or 70. (The closer to 70 we can wait, the better. )

1. On track. DH has maxed out his 401k pretax contributions and has switched to after tax contributions. I have almost maxed out my IRA.
2. On track. I changed DH's withholding back in Jan to account for the upcoming Roth conversion. I recently updated and rechecked my figures on our tax liability and I am getting ready to do the first conversion soon.
3. On track. I used to have our roths in target funds, but they were converted to Total Stock Market. I started a bond fund in the pretax retirement account.
4. This is the most difficult one for me. We did some minor plumbing repairs and it spurred me on to at least look at kitchen and bath stores.
5. This one is easy while DH still keeps working--delay claiming. He says he wants to work 'til 65. But, that is only 1.5 years away and the closer we get to 65, the more I hear that maybe he would enjoy working longer....
So, I will continue to plan for contingencies so there is a plan in place and a smooth exit ramp for current age, 64, 65 and ??

And, just when I thought I had everything figured out.....

I just found out DH's company has been bought out by another one and DH will be working for another company next year!
So, I have to learn a new system and make a new plan.
The new company's 401K custodian is Vanguard. They have a safe harbor plan and the match is the same as DH's current employer. DH will be vested immediately in company match and they have a quarterly "true up" on
the match--which is good for front loading. Also, I believe DH becomes instantly vested in his old company when the buy out is complete (that would be about a year early and would give DH more flexibility if he decides to
retire at 64 as I think that could be a factor in his decision)
The downside is no more after tax 401k contributions. (It was nice while it lasted.) So, I am thinking about front loading the after tax contributions in the first couple months of next year while DH is still with his current company.
His current company matches after tax contributions, so I can't see a downside to doing this.

[james.hendrickson]

Like2Plan - nothing for your kids education? Debt reduction?

[Like2Plan]

Like2Plan - nothing for your kids education? Debt reduction?

DS graduated from college several years ago.
The only debt we have is a zero % car loan for which I haven't mustered much enthusiasm to pay off early. It is more fun maxing out DH's 401K. ( He still has a little space for after tax 401k contributions which we will rollover to a Roth. )
And, after that I think I would rather put more savings into a taxable account earning ordinary interest.

[kork13]

Looking back...

- Continue to contribute to TSP & Roth IRAs for DW & I at current levels (keeping our TSP contributions at ~$18k/yr, not bumping up to hit max)
- Save on schedule for DKs 529 plans
- Get a new (or renewed) tenant leasing our rental in the summer with minimal vacancy time
- Make some career choices.... Decide on whether or not one or both of us will be leaving military active duty in 2019, and make plans accordingly (if "No", then bulk up taxable savings... If "Yes", start working on getting the job I'm looking at, and also invest in some desired home improvements).

This year & the next continues to hold alot of uncertainty for us, which has somewhat impacted us following our goals.

- Roth IRAs are still on track, and we are maxing DW's TSP before she most likely gets medically retired sometime in the next 6-9 months. However, I've reduced my contributions significantly, so that we're only adding ~15% of our gross income to retirement.
- 529s are doing fine, no significant changes there (besides a grandmother has started giving us some money for them each month, ~10% of what we were already adding)
- Great success with the rental -- we got a new tenant into our rental house with less than 2 weeks of vacancy, with a 5% rent increase. Happy with that result.
- Still haven't figured totally figured out my career plans... Hopefully in the next 6 months or so, I'll be able to get better resolution. The final result on my wife's situation will also drive alot of this decision.

The notable deviation from our plans for the year is fairly obvious -- rather than focus on our retirement accounts at the moment, we've decided instead to pay off our rental house to give us more flexibility. At 32/33 y/o, we have a little over $400k in retirement accounts alone, plus another $100k in taxable investments/529s, and $250k in equity on our 2 houses. So I'm comfortable with slowing down on the retirement front for the moment while we focus on eliminating the mortgage on our rental. It'll be paid off NLT July'19.

We've also offered to sell the rental house to my brother/SIL who live literally around the corner (same neighborhood -- we probably would have had them in our house in the first place had it been available a few months sooner). Although we're happy with the house as a rental, and willing to continue keeping it....right now we're more interested in the flexibility that selling it would provide. My brother is looking at buying a house next summer, and since he's already lived in that house & likes it, it might be a perfect deal for both of us. They haven't made the decision on it yet, but we've made the offer and they're interested... So we'll see what happens.

[breathemusic]

Wishing you the best of luck with the business development. At least your savings are maintaining, even though his aren't. We hit quite a financial snag this year as well that has put a serious dent in our savings as well as put a stop to a number of our goals for the year, unfortunately. You've got the right attitude though - just keeping looking forward

Thanks! On the plus side.... depending on how quickly he pulls in revenue, it could eventually come out as more savings than he was doing before. All just depends on how quickly he can build it up, so we really just won't know until the time period when the severance would stop replacing his old income. I mean, *technically* his savings is much larger right now.... but he's also living off of that and eating into it, so it's not really savings... just is parked in his savings account to collect interest. I have a feeling that next year will feel like a bit of an income hit compared to this year, but I think that it will just be a fairly temporary lull!

[marcdemar]

Diversify my portfolio. I hold shares in just a few companies. The stocks have been performing extremely well the past year, but it makes me a bit nervous as well. It won't continue. What goes up must come down.

[tripods68]

Not sure what 2018 stock market will bring, hopefully, it'll be another banner year. That said, we will continue to put away about 55K+ in pretax retirement accounts almost all of it going to index funds with 80/20 allocation.

Fully fund ROTH.

Like to reach $800K in NetWorth by the end of the year. But we'll take $750K if the market takes a downturn.

Takes small incremental investment into cryptocurrency (Ripple, Litecoin, and Bitcoin).

Continue to fund our family vacation each year.

Sign up for a Half-Marathon event next summer.

Update:

ROTH IRA funding still in progress. I'll probably continue to invest up to March 2019 to fund our 2018 ROTH contributions.

NetWorth: $775K Up 110K so far this year. $800K is still in play if the market continue to be positive for the rest of the year.
Pre-Retirement Savings so far 60K so far.

Vacation - On-going savings. Had a great family vacation in Belize this summer.

No Half Marathon this year - Got knee injury in December so I had to rehab my knee. Instead I started biking this year for the first time. We biked 50 miles on my 50th Birthday last weekend.

Bitcoin - Originally invested $300 worth of Bitcoin and litecoin last November. Come January decided not to invest any more at all. $300 is worth $62.

[scfr]

The big 3 are:
1. Contribute same percentages to tax-deferred retirement savings.
2. Maintain health insurance (losing employer-supplemented coverage Jan 1 with a decade to go until Medicare eligible)
3. Make decision about relocation

Lots of other small ones, but these 3 are the "biggies."

Numbers one and two achieved.
"Two out of three ain't bad" - Meatloaf

Second Update:
Number 3 achieved. We have decided - and we are moving!
I just gave notice at my 2nd job. I'm keeping my 1st job, but as soon as I have completed my last day at the 2nd job, my "unpaid 2nd job" will become managing the move, starting with getting our house ready to list.

All 3 of my "big goals" for 2018 are complete.

[LivingAlmostLarge]

Second Update:
Number 3 achieved. We have decided - and we are moving!
I just gave notice at my 2nd job. I'm keeping my 1st job, but as soon as I have completed my last day at the 2nd job, my "unpaid 2nd job" will become managing the move, starting with getting our house ready to list.

All 3 of my "big goals" for 2018 are complete.

Congrats@ Where are you moving to?

[LivingAlmostLarge]

I'm thinking we won't make either goal this year of $1M retirement and $500k taxable. But I could be wrong. Depends on Market. We had $790k 1/1/18 and $294k. We are at $857k retirement and $295k taxable but I suspect this is off since I can't get into a final account. It's not $200k worth. Only saving grace is that we paid cash for our remodel this year $60k and that's it. Looking at our accounts our stocks were doing better in January than now. We'll see.

[ronb]

Um...I don't really have any. I stopped dating a while back, so I'm saving money there...guess I got that going for me.