Author Topic: Reader Case Study- maximize increase in income for FI while abroad for 1 year  (Read 1381 times)


  • 5 O'Clock Shadow
  • *
  • Posts: 52
Hello all!
My husband and I have a great opportunity to build our financial independence while living abroad having a cool experience for 1 year in New Delhi, India.  I'm looking for input on how to best use this scenerio to build financial independence.  I am in my late 30s, husband in his Mid 40s. Here is a brief outline of our financial situation:

Own our house, currently $145,000 mortgage 4% interest we are paying 15 year loan $1595/month payment. We've owned the house for a while, but recently refinanced with cash-out to help pay down my significant student loan debt- see below:

Student loan debt: after physical therapy school was about $115,000 at 6.5% interest rate. We've whittled it down to $24,000 in 3 years (our main financial goal was paying this off)  and refinanced recently at 3.4% rate (however this is variable rate so it may go up at some point) 5 year plan the payment is $495/month

401K: about 150,000 in TIAA Kref account.

When we're in the US we make about $100,000 pre-tax dollars (conservative estimate).  With this year in India, we'll be making hopefully $170,000 and have our living expenses (besides food and extras) paid. After taxes etc. and some travel, We hope to save around $70,000.  This is an estimate based on Indian tax rate, and what others have managed to save before us.

The main questions: should we sell or rent the house?  (we're kind of interested in selling anyways, as it is about 25 miles out of town and therefore far from where we both currently work.)

Should we focus on paying off debt (definitely want to finish off student loans, could put a dent in mortgage) or just invest it all?

Are there any financial repercussions (thinking of extra taxation mainly) for investing this amount of money in a relatively shorter period of time?



Wow, a phone plan for fifteen bucks!