Hi,
I originally wanted help convincing my husband we should move to a smaller house. Once I found the cash flow spreadsheet (and had to call to find out the balances), I found out we are two months behind on our rental house, one month behind our current house, and late on our car loan. This isn't the first time; in June, I cashed out my TSP to catch up on our houses and cars- with the understanding this s*** never happens again, and he includes me in our money situation. I kept asking, and he kept delaying, and I tried not to nag (no surprise, marital problems too).
So. We are both 36, and our daughter is 13. Based on my current budget, this is what I plan to do this week:
-cancel the cable Savings: $140
-trade in the FJ (our other car is paid for, a 2003 Camry) for a smaller, more efficient car (thinking a 2005 Prius priced at $6900). I know I shouldn't finance a car, but I can't afford to keep it and I can't afford to pay outright for another. Saving estimate: $300 in payments, $200 in gas
-lower my thermostat to 62 during the day, and 58 at night. Savings: $50? (currently leave the thermostat at 67 during the day, and 62 at night)
-put an end to all spending under "useless crap I waste money on." Savings: $1659.
I know my credit card debt is a "hair on fire" emergency, but I need to play catch up with the houses first.
Specific questions: Should I also sell our rental and primary house immediately?
-Rental: Right now, I believe its best; but in the long term, I hoped the sale from the rental would help finance college for my 13 year old (its on a 15 year note). Moving into the rental and selling the current house is not an option, because my daughter needs to stay in the same school (emotional stuff).
-Primary: I'm not thrilled by the property taxes and the HOA. If I sold, there would be a loss (guessing anywhere from $20k - $50k). But math homework shows me I could save $200-$500 with a house in the $175k-$220k range. If I waited one year to sell, other new houses would raise the comps higher, and the new park (4.5 acres, walking trails, playground) will be built across the street. I'm hoping that would mitigate my loss.
After reading the blog and forums, I hope it might be possible to retire at 57 (minimum retirement age for me). Or at least work part time and enjoy my life (not a knock on the job. good hours, good pay, good people, good managers so far. just not my idea of a fulfilled life).
Commence the beatings.