Take two. So sorry, fat fingered first attempt. Okay, blended family, want to be FI in about 15 years. DH and I have been together for 10 years, married 7. 5 kids, ages 15-12.
Assets: duplex, used currently as single fam home: 200k
: 2005 Excursion, 140k, worth not much (maybe 5k, maybe)
: 1999 Lexus, 140k, worth not much (5k maybe)
: old travel trailer, worthless except that we use it for camping and vacations, thus priceless
: 45k 401k
: 2k in individual stocks
:13.5k cash
Liabilities: 184k mortgage, 4.75 APR
: 13k cc debt (facepunch!) (0% apr)
: 32k student loans (facepunch!) (3.8% apr)
Income: his 8833.33
-883.33 401k contribution (50 percent matched, total monthly is 1250 or so)
-415 medical insurance and FSA contributions
-500 fed, state, local taxes
-1000 child support
= 6085.00 net income
mine: approx. 2.5k per month after business expenses.
Expenses: 1545.00 PITI mortgage
650.00 food
150.00 restaurants (facepunch)
300.00 gas for cars (facepunch)
739.00 minimum monthly debt payments
30.00 internet
40.00 gym (facepunch)
300.00 utilities (facepunch)
350.00 other expenses for kids, us (clothing, etc)
775.00 sinking funds for annualized expenses (car and life insurances, Christmas, etc)
Total expenses: 4879.00 monthly
Total available income: 10833.00 monthly
Some explanations. Our savings rate has been totally shitty for the last 10 years as we have been digging out of our respective divorce situations and some job instability, and a number of expenses we literally could not have foreseen, but are now poised to make some serious headway. We share custody with the other parents, so have the kids roughly 50 percent of the time, hence our grocery bill. There is plenty of fat that could still be cut from expenses, but I am but one of two of the adults in the household and I have negotiated about as well as I can on all that stuff. We tend to stay pretty cash heavy because my income is variable from month to month: some months nothing, other months 6k. It does average out to about 2.5 k monthly. We are also more comfortable with a heavy cash cushion because, well, we have 5 kids to support.
Other positives: a husband who can fix damn near anything, a wife who can cook damn near anything, both really hard workers who can put our heads down and get it done, really really good low deductible health insurance through his work, I work from home so my wardrobe is yoga pants and a fleece hoodie, no serious facepunch type habits like lunches out at work. Kids are relatively happy and healthy.
The negatives: One ex likes to make life more difficult than necessary, but not too bad. The other ex makes up for it pretty well. My income is variable.
We are on target to eliminate most of the debt in the next three years or sooner, throwing every penny toward debt. In 3 years, child support obligation is reduced by 50 percent, and then to zero in three years after that. The current plan is once the kids are launched (God I hope in 6 years) that we will maybe refinance the duplex, live in the upper half, rent the lower half for approx. 950/month (which is the going rate in this neighborhood), and live "free." Many of our expenses will be significantly reduced at that time as well. We do not plan to pay for college, but do plan on guiding the kids to appropriate vocations (not everyone is designed for college).
I anticipate that after the kids launch our expenses will be at the 3k/month mark, with our income at the same or higher rate. We should be able to get to FI in 15 years, right? Please let me know what I'm missing.
Thanks a bunch.