Author Topic: Saving to $10K  (Read 276046 times)

cazio

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Re: Saving to $10K
« Reply #1400 on: January 26, 2020, 03:02:56 PM »
10/2/18 - $(2742.60)
10/29/18 - $(1899.81)
11/25/18 - $(1660.04)
12/31/18 - $245
3/14/19 - $(5,212)
3/31/19 - $(882.10)
4/25/19 - $(16,545.33)
5/29/19 - $(14,275.68)
6/28/19 - $(13,578)
7/26/19 - $(12,692)
8/23/19 - $(11,219)
10/4/19 - $(12,227.77)
11/30/19 - $(15,648)
12/27/19 - $(12,288)
1/27/20 - $(17,036)

Stomped lol. Got hit with that dental bill, unemployed for January, but starting a new 5-week gig next week with a $800/mo raise. Made less than anticipated last year, but hopefully that means a significant tax refund to bump me back to where I need to be. Hoping like hell this is the tough part of the year. :/

Moonwaves

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Re: Saving to $10K
« Reply #1401 on: January 30, 2020, 12:48:27 AM »
You can look into no-load, low ER index mutual funds that might allow smaller increments than 1,000, and automatic transfers from your paycheck.  That would take a step out of your investment process.
Yes, that's the savings plan I use at the moment, as it allows just 50 per month. To make a one-off purchase, even of the same ETF fund, a lot of them have seem to have a minimum of x amount. The bank I currently use does special offers a couple of times a year though, where you can buy with no-fee, and that usually has a 1,000 or 2,500 minimum. Since it would take me a while to save that much anyway, I'm going to use my savings account to accumulate that much and then when the special offers come up, I can take advantage.

In other news, I had forgotten that we were due a pay raise (3.2% of salary or min. 90/month, whichever is higher) from this month. So, I will have 53 extra per month to play with. For the first time ever, even before I have received that extra money for the first time, I have diverted it to investments. I set up a second ETF savings plan, but this time for bonds, rather than stocks. And I saw that my bank has started offering a rounding service and I activated that, too. For every card purchase, the amount rounding up to the nearest euro will be transferred to savings.

It feels a bit weird to have had an entire year without any major money emergencies or dramas or unexpectedness.

Dicey

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Re: Saving to $10K
« Reply #1402 on: January 30, 2020, 04:47:34 AM »
You can look into no-load, low ER index mutual funds that might allow smaller increments than 1,000, and automatic transfers from your paycheck.  That would take a step out of your investment process.
Yes, that's the savings plan I use at the moment, as it allows just 50 per month. To make a one-off purchase, even of the same ETF fund, a lot of them have seem to have a minimum of x amount. The bank I currently use does special offers a couple of times a year though, where you can buy with no-fee, and that usually has a 1,000 or 2,500 minimum. Since it would take me a while to save that much anyway, I'm going to use my savings account to accumulate that much and then when the special offers come up, I can take advantage.

In other news, I had forgotten that we were due a pay raise (3.2% of salary or min. 90/month, whichever is higher) from this month. So, I will have 53 extra per month to play with. For the first time ever, even before I have received that extra money for the first time, I have diverted it to investments. I set up a second ETF savings plan, but this time for bonds, rather than stocks. And I saw that my bank has started offering a rounding service and I activated that, too. For every card purchase, the amount rounding up to the nearest euro will be transferred to savings.

It feels a bit weird to have had an entire year without any major money emergencies or dramas or unexpectedness.
Congratulations on your progress! Just popping in from the other side of the FIRE journey. One thing I regret in hindsight is being too conservative in the early accumulation years. Since your horizon is presumably long, you have lots of time for your investments to recover in case of a severe market downturn. I would seriously consider avoiding bonds just yet. Based on my own experience, I'd continue stuffing the ETF, because growth is what gets you there fastest.

When I was just starting out, I was afraid of losing a penny. Now, I understand that when the market dips, it's like my favorite store is having a sale. It's a chance to get more shares at a discounted price. Dips in the market are opportunities, not something to be feared. I wish I'd understood that then and been less fearful.

In 2008, I decided to really put the pedal to the metal and ratchet my savings up so I could GTFO. I saved until it hurt. I put everything into equities, even though the market wasn't doing so hot. As the stock market recovered, I was amazed at how much my 'stache ballooned! I still consider it my best financial move ever.

Just sharing things I wish someone had told me way back when. Best of luck to you In your journey to financial freedom!

Moonwaves

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Re: Saving to $10K
« Reply #1403 on: January 30, 2020, 06:30:19 AM »
You can look into no-load, low ER index mutual funds that might allow smaller increments than 1,000, and automatic transfers from your paycheck.  That would take a step out of your investment process.
Yes, that's the savings plan I use at the moment, as it allows just 50 per month. To make a one-off purchase, even of the same ETF fund, a lot of them have seem to have a minimum of x amount. The bank I currently use does special offers a couple of times a year though, where you can buy with no-fee, and that usually has a 1,000 or 2,500 minimum. Since it would take me a while to save that much anyway, I'm going to use my savings account to accumulate that much and then when the special offers come up, I can take advantage.

In other news, I had forgotten that we were due a pay raise (3.2% of salary or min. 90/month, whichever is higher) from this month. So, I will have 53 extra per month to play with. For the first time ever, even before I have received that extra money for the first time, I have diverted it to investments. I set up a second ETF savings plan, but this time for bonds, rather than stocks. And I saw that my bank has started offering a rounding service and I activated that, too. For every card purchase, the amount rounding up to the nearest euro will be transferred to savings.

It feels a bit weird to have had an entire year without any major money emergencies or dramas or unexpectedness.
Congratulations on your progress! Just popping in from the other side of the FIRE journey. One thing I regret in hindsight is being too conservative in the early accumulation years. Since your horizon is presumably long, you have lots of time for your investments to recover in case of a severe market downturn. I would seriously consider avoiding bonds just yet. Based on my own experience, I'd continue stuffing the ETF, because growth is what gets you there fastest.

When I was just starting out, I was afraid of losing a penny. Now, I understand that when the market dips, it's like my favorite store is having a sale. It's a chance to get more shares at a discounted price. Dips in the market are opportunities, not something to be feared. I wish I'd understood that then and been less fearful.

In 2008, I decided to really put the pedal to the metal and ratchet my savings up so I could GTFO. I saved until it hurt. I put everything into equities, even though the market wasn't doing so hot. As the stock market recovered, I was amazed at how much my 'stache ballooned! I still consider it my best financial move ever.

Just sharing things I wish someone had told me way back when. Best of luck to you In your journey to financial freedom!
Well, I'm forty-five already, doesn't feel like any horizons are long anymore.
It's more of a psychological thing, I'm afraid. I just want to have a little bit of diversity. I'm thinking I'll probably stop the bonds savings plan after I have a bit saved and divert everything to the stocks then. I know it doesn't make sense from a mathematical point of view but that's where I'm at at the moment. Meet you back here in fifteen years so you can say "I told you so?" :-)

Ze Stash

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Re: Saving to $10K
« Reply #1404 on: February 01, 2020, 06:11:31 AM »
Hi all,

I'm a long time reader of the forum and had planned to track my progress in this thread upon starting to work in the summer of 2018 after graduating. I feel like the positivity and encouragement in this thread is really awesome and had anticipated that posting regularly would help me keep myself accountable.

It took a bit to get into the groove of things of working life and some personal stuff happened simultaneously as well, so I never got around to actually posting here and graduated from the thread without actually participating. :/ Before moving on to the race to 100k however, I thought it would still be nice to document my progress in 2019 here, so here goes:

Assets:
01/01/2019:   3.914,63
01/02/2019:   4.106,10 (+   101,47 )
01/03/2019:   4.359,75 (+   343,65 )
01/04/2019:   4.959,75 (+   599,82 )
01/05/2019:   6.669,92 (+1.710,35 )
01/06/2019:   7.451,88 (+   781,96 )
01/07/2019:   8.069,41 (+   617,26 )
01/08/2019:   8.949,17 (+   880,03 )
01/09/2019: 11.310,21 (+2.361,04 )
01/10/2019: 10.795,59 (-    514,62 )
01/11/2019: 11.426,98 (+   631,39 )
01/12/2019: 12.123,70 (+   696,72 )
01/01/2020: 12.979,27 (+   855,57 )
01/02/2020: 14.363,54 (+1.384,27 )

Debts:
01/01/2019: 4.024,10
01/02/2019: 3.746,69 (-277,41 )
01/03/2019: 3.469,28 (-277,41 )
01/04/2019: 3.191,87 (-277,41 )
01/05/2019: 2.914,46 (-277,41 )
01/06/2019: 2.637,05 (-277,41 )
01/07/2019: 2.109,64 (-527,41 )
01/08/2019: 1.832,23 (-277,41 )
01/09/2019: 1.454,82 (-377,41 )
01/10/2019: 1.077,41 (-377,41 )
01/11/2019:    700,00 (-377,41 )
01/12/2019:    350,00 (-350,00 )
01/01/2020:       0,00   (-350,00 )
01/02/2020:       0,00   (+- 0,00 )

Net worth:
01/01/2019: -    109,47
01/02/2019:      269,41 (+   378,88 )
01/03/2019:      890,47 (+   621,06 )
01/04/2019:   1.767,70 (+   877,23 )
01/05/2019:   3.755,46 (+1.987,76 )
01/06/2019:   4.814,83 (+1.059,37 )
01/07/2019:   5.959,50 (+1.144,67 )
01/08/2019:   7.116,94 (+1.157,44 )
01/09/2019:   9.855,39 (+2.738,45 )
01/10/2019:   9.718,18 (-    137,21 )
01/11/2019: 10.726,98 (+1.008,80 )
01/12/2019: 11.773,70 (+1.046,72 )
01/01/2020: 12.979,27 (+1.205,57 )
01/02/2020: 14.363,54 (+1.384,27 )

The debts were for a private no-interest loan of 4.500 from my parents to buy my first car (used 2012 Honda Fit for 6.500 in total) that still had a balance of 3.750 in the beginning of 2019 and a consumer loan for a monitor. I normaly wouldn't finance electronics like that, but financing the monitor for 0 % came with a 50 discount. The spike on the 1st of September was due to a large tax return in August and the lack of progress in September was due to an expected car repair bill of ~ 950 and my phone dying at the same time.

Typing this all out really motivated me to keep going in 2020, see you all back in the race to 100k.

Gingersnaps

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Re: Saving to $10K
« Reply #1405 on: February 01, 2020, 03:12:58 PM »
Hi, my first post here! Opened our vanguard accounts this week so I'm keen to get to our first 10k invested. I'm not counting pension savings and cash for this.

So as of 1/2/2020 3000 in vanguard, mainly from moving some cash savings.

Imma

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Re: Saving to $10K
« Reply #1406 on: February 02, 2020, 03:21:11 PM »
You can look into no-load, low ER index mutual funds that might allow smaller increments than 1,000, and automatic transfers from your paycheck.  That would take a step out of your investment process.
Yes, that's the savings plan I use at the moment, as it allows just 50 per month. To make a one-off purchase, even of the same ETF fund, a lot of them have seem to have a minimum of x amount. The bank I currently use does special offers a couple of times a year though, where you can buy with no-fee, and that usually has a 1,000 or 2,500 minimum. Since it would take me a while to save that much anyway, I'm going to use my savings account to accumulate that much and then when the special offers come up, I can take advantage.

In other news, I had forgotten that we were due a pay raise (3.2% of salary or min. 90/month, whichever is higher) from this month. So, I will have 53 extra per month to play with. For the first time ever, even before I have received that extra money for the first time, I have diverted it to investments. I set up a second ETF savings plan, but this time for bonds, rather than stocks. And I saw that my bank has started offering a rounding service and I activated that, too. For every card purchase, the amount rounding up to the nearest euro will be transferred to savings.

It feels a bit weird to have had an entire year without any major money emergencies or dramas or unexpectedness.
Congratulations on your progress! Just popping in from the other side of the FIRE journey. One thing I regret in hindsight is being too conservative in the early accumulation years. Since your horizon is presumably long, you have lots of time for your investments to recover in case of a severe market downturn. I would seriously consider avoiding bonds just yet. Based on my own experience, I'd continue stuffing the ETF, because growth is what gets you there fastest.

When I was just starting out, I was afraid of losing a penny. Now, I understand that when the market dips, it's like my favorite store is having a sale. It's a chance to get more shares at a discounted price. Dips in the market are opportunities, not something to be feared. I wish I'd understood that then and been less fearful.

In 2008, I decided to really put the pedal to the metal and ratchet my savings up so I could GTFO. I saved until it hurt. I put everything into equities, even though the market wasn't doing so hot. As the stock market recovered, I was amazed at how much my 'stache ballooned! I still consider it my best financial move ever.

Just sharing things I wish someone had told me way back when. Best of luck to you In your journey to financial freedom!
Well, I'm forty-five already, doesn't feel like any horizons are long anymore.
It's more of a psychological thing, I'm afraid. I just want to have a little bit of diversity. I'm thinking I'll probably stop the bonds savings plan after I have a bit saved and divert everything to the stocks then. I know it doesn't make sense from a mathematical point of view but that's where I'm at at the moment. Meet you back here in fifteen years so you can say "I told you so?" :-)

I understand what you feel like. From your posts I get the impression that you are either single or in a relationship with separate finances. You're a bit older than me (I'll be 30 this year) but I have a health condition that will likely limit the amount of years I can keep working. I don't make tons of money. I don't have family with money that I can fall back on. I used to feel quite vulnerable for a long time and that is what drove me to save money (I'm a lifelong saver, even before I got to know MMM). I passed the 10k mark a year ago and hope to reach 20k in a year from now. I feel significantly less vulnerable than I did 5k ago. I think in a few years from now you will feel more secure and more able to take risks.I think not wanting to take risks when you still have a relatively low net worth is a sensible thing to do. For me, I have put away a set amount of money into risky investments for years and suddenly it has become quite a lot of money, but I've always put away small amounts of money (100/month).

What has added to my personal feeling of security is home ownership but that's not something that works for everyone. We were able to buy a small property with a low mortgage payment (way cheaper than renting) and we had experienced terrible landlords. We wanted to know we had an affordable roof over our heads that we could afford in any doom scenario we could think of.

Trifele

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Re: Saving to $10K
« Reply #1407 on: February 03, 2020, 04:22:04 AM »
Hi, my first post here! Opened our vanguard accounts this week so I'm keen to get to our first 10k invested. I'm not counting pension savings and cash for this.

So as of 1/2/2020 3000 in vanguard, mainly from moving some cash savings.

Welcome aboard @Gingersnaps!  This is one of the best threads on the whole forum.  In your other post I think you said you want to RE in 15 years?  You've probably read this classic post, the Shockingly Simple Math -- https://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/ -- and know that with a ~55% savings rate that goal is within your grasp.  Ready, set, GO!   

Moonwaves

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Re: Saving to $10K
« Reply #1408 on: February 03, 2020, 07:03:59 AM »
I understand what you feel like. From your posts I get the impression that you are either single or in a relationship with separate finances.
Yep, single unfortunately. Mind you, I am a fairly extremely introverted person and have lived on my own for so long now I think even if I met the man* of my dreams, we'd still have to live in separate houses. LOL

What has added to my personal feeling of security is home ownership but that's not something that works for everyone. We were able to buy a small property with a low mortgage payment (way cheaper than renting) and we had experienced terrible landlords. We wanted to know we had an affordable roof over our heads that we could afford in any doom scenario we could think of.
This is something that I have struggled with for a long time as it was always a huge security thing for me and it seems unlikely now that I'll ever manage to buy.

My parents used to rent out some houses, the plan was to have one for each of the children to either receive upon marriage or inherit. Unfortunately, after my mum died and my dad remarried, that plan seemed to fall by the wayside. I hadn't even realised how much I had internalised the security of having my dad as a "financial blankie" (not that we were very rich, but we were comfortable at a time of recession and lots of redundancies etc.) until after he died when I was in my early 20s. In the end, each of us kids got four thousand pounds each, and my stepmother inherited everything else (we didn't bother contesting the somewhat suspicious will because when all is said and done, it was only money). But I really struggled with that feeling of having no security, no family home to move back into if things ever went pear-shaped, etc. That was 1997, when house prices in Ireland first started going absolutely mad, too, so saving even enough for a deposit seemed totally out of reach. If only I had found (and believed!) MMM then, instead of going into credit card debt, I might have been able to buy a house that would now be worth five times what I paid. Coulda, shoulda, woulda.

I still keep an eye out for opportunities to buy something small but it can be very expensive to buy in Germany, and I work in a typical university only-professors-can-afford-to-actually-buy-here kind of town. And live 10km away because even renting is very expensive. At least renter protections are relatively good here and there are some advantages to having a landlord when it comes to some maintenance stuff, too.




* Or woman or a non-binary option - I'm prettty open really but given my past, the chances of man being most applicable for me are very high. :-)


Edited to fix far too many typos - if there are any more, ye will just have to live with them.
« Last Edit: February 03, 2020, 07:12:12 AM by Moonwaves »

mckaylabaloney

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Re: Saving to $10K
« Reply #1409 on: February 03, 2020, 08:59:25 AM »
1/1/2018: $(170,956.12)
2/1/2018: $(166,849.63)
3/1/2018: $(161,395.88)
4/1/2018: $(156,590.44)
5/1/2018: $(152,997.61)
6/1/2018: $(149,175.48)
7/1/2018: $(143,748.22)
8/1/2018: $(138,734.38)
9/1/2018: $(135,043.66)
10/1/2018: $(131,441.14)
11/1/2018: $(133,372.50)
12/1/2018: $(128,081.25)
1/1/2019: $(80,750.78)
2/1/2019: $(73,422.02)
3/1/2019: $(60,122.64)
4/1/2019: $(54,342.22)
5/1/2019: $(48,858.05)
6/1/2019: $(49,269.97)
7/1/2019: $(29,802.87)
8/1/2019: $(25,751.08)
...
1/1/2020: $(4,873.13)
2/1/2020: $(4,647.56)

A relatively stagnant month since I took a break to switch jobs and haven't gotten paid at the new one yet (plus the market's downturn in the last week or two).

cari8285

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Re: Saving to $10K
« Reply #1410 on: February 03, 2020, 09:47:27 AM »
November 2019
Credit card: $521.24
Car loan: $7,868.05
401K: $604.75

Net worth: -7,784.54

December 2019
Credit card: $208.72
Car loan: $7,719.02
401K: $1,072.31

Net worth: -6855.43 (+929.11)

January 2020
Credit card: 0.00
Car loan: $7,567.96
401K: $1,411.37

Net worth: -6,156.59 (+698.84)

February 2020
Credit card: 0.00
Car loan: $6,917.34
401K: $1,564.01
HSA: $240.18

Net worth: -5113.15 (+1043.44)

Imma

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Re: Saving to $10K
« Reply #1411 on: February 03, 2020, 11:22:13 AM »
That's a sad story @Moonwaves :( of course I don't know what happened but I just can't understand people like your father's wife.

Luckily renting is quite secure in Germany so as long as you've got a reliable landlord renting is a good option too. Funny, people from NL often buy homes just across the border with Germany because homes are much cheaper there, but of course we're talking about big family homes in the countryside, not small homes in urban areas. I guess it's the same as in Ireland, there are affordable homes but not in places you want to live :)

We  (I have a partner but we're in a bit of an unvonventional relationship, and we have separate finances) were very lucky to be able to buy through a rejuvenation project from our housing autjority, so we were able  to buy our house at a discount provided we maintain it and sell it back to them if we ever leave. We bought for 80k. We'd never thought we would be homeowners but it happened and it's been good for us.

TyGuy

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Re: Saving to $10K
« Reply #1412 on: February 05, 2020, 10:21:23 AM »
Hi, my first post here! Opened our vanguard accounts this week so I'm keen to get to our first 10k invested. I'm not counting pension savings and cash for this.

So as of 1/2/2020 3000 in vanguard, mainly from moving some cash savings.

Welcome to the thread, opening your first investment account is a big step in the right direction, happy saving!!

TyGuy

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Re: Saving to $10K
« Reply #1413 on: February 05, 2020, 10:27:24 AM »
Student Loans:

01/12/19: $43,762.76
02/01/19: $42,561.06 (-$1,201.70)
03/04/19: $41,418.69 (-$1,139.41)
07/05/19: $37,901.63 (-$3,517.06)
08/10/19: $36,673.79 (-$1,227.84)
09/01/19: $35,289.89 (-$1,383.90)
10/02/19: $33,624.85 (-$1,665.04)
11/04/19: $31,707.48 (-$1,917.37)
12/08/19: $30,043.85 (-$1,663.63)
01/03/20: $28,335.39 (-$1,708.46)
02/05/20: $26,652.37 (-$1,683.02)


Net Worth per Personal Capital:

03/04/19: -$30,065
07/05/19: -$21,711 ($8,294)
08/10/19: -$18,173 ($3,538)
09/01/19: -$12,615 ($5,558)
10/02/19: -$10,089 ($2,526)
11/04/19: -$6,559 ($3,530)
12/08/19: -$1,673 ($4,886)
12/22/19: $237 ($1,910) (First day of having a positive net worth)
01/03/20: $1,447 ($1,210)
02/02/20: $5,209 ($3,762)

Another successful month, my net worth is quickly approaching 10K! I am amazed at how fast my net worth has grown the past year!
« Last Edit: February 10, 2020, 09:48:12 AM by TyGuy »

Trifele

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Re: Saving to $10K
« Reply #1414 on: February 06, 2020, 02:40:30 AM »
Great month @TyGuy !  Remind me what the first numbers are?  Student loans?

TyGuy

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Re: Saving to $10K
« Reply #1415 on: February 10, 2020, 09:49:33 AM »
@Trifele yes, the first set of numbers are my student loan debt, thanks for noticing (I edited the above post)!

jdhansen

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Re: Saving to $10K
« Reply #1416 on: February 14, 2020, 12:17:13 AM »
Progress continues, we hope to be at zero or maybe in the positive when March arrives.  Just depends on when that tax refund hits.  If it takes a little while longer, we should still be starting our positive climb by April, which is still 2 months sooner than we thought we would do it.  Fingers crossed nothing messes up the plan.

11/15/2019   $ -5671.56
12/18/2019   $ -4174.34
01/18/2020   $ -4162.83
02/13/2020   $ -2575.99

mactastic

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Re: Saving to $10K
« Reply #1417 on: February 25, 2020, 11:41:34 AM »
Sept 2019:
Starting Debt: $60,811.05   
Starting savings:  $46,123.39   
Where it stands: (-14,687.66)
Targeted student loan balance: $5463

January 2020:
Total debt: $54,424.86
Total savings: $51,759.52
Where it stands: (-2,665.24)
Targeted student loan balance: $4050


February 2020:
Total debt: $51,755.95
Total savings: $55,711.19
Where it stands: +$3,955.24
Targeted student loan balance: $3,208

WOO HOO! Across the zero line into the positives! We didn't actually payoff 2700 dollars of debt last month, but when I went to check the balances and interest rates, they were lower than expected, so I adjusted my spreadsheet to reflect more accurate numbers. I won't actually do it, but it's comforting to know that if we absolutely had to, we could pay off the entirety of our debt and still have (a little) something.

Sending good vibes to all y'all!