Hi Mustaschians!
Topic Title: Reader Case Study - How do I retire by 46? (age 36 now)
Life Situation:
IRS filing status: Single
0 dependents
California, USA
Gross Salary/Wages: Average $20,000 annually, Substitute Teaching/Tutoring
Pre-tax deductions: don't know
Other Ordinary Income: 0
Qualified Dividends & Long Term Capital Gains: $20,000 in Roth IRA, don't know how to answer this
Rental Income, Actual Expenses, and Depreciation: N/A
Taxes:
Social Security
Medicare
CA SUI/SDI
all together about 11%
Current expenses:
and ? = I don't really know because it occurs rarely.
Monthly Personal Expenses
Actual/Est.
Rent/Utilities
650
Groceries/Home Supplies*
300
Gas
80.00
Car Insurance*
75.75
Car Repairs/Maintenance*
?
Doctor/Dentist/Health
?
Student Loan (Navient)*
0 for now
Phone*
40
Time Warner Internet*
14.99
Public transport*
0.00
Fun/Non Essentials
20
Meditation Classes
50
Wardrobe
?
Laundry
6
Total Expenses
1,236.74
Total Monthly Expenses: $1,250 (average)
Total Annual Expenses: $17,000 (average mo. x12 plus $2,000 for unexpected expenses, car repair/health care, etc.)
Total Savings: $3,000 (average) left over from average annual income ($20,000)
Expected ER expenses: don't know what this is
Assets: 1995 Honda Accord
Liabilities:
Student Loan (Navient),
original amount $23,000,
original length: ?,
mo. payment: I'm on an Income Base Repayment Plan and am currently not paying it down.
Current Balance is $28,000
Specific Question(s):
What are the 3 major things I can do now to work towards FI by age 46. Also far things I wasn't able to provide info for what's a good resource for learning about all the nitty gritty of finances?