Monday, January 07, 2013

Financial Goals for 2013

My husband and I were able to have our big kick off meeting for our financial goals over the weekend.  I reviewed with him the 2012  year end financials
We have no debt at this time except for our mortgage and I  feel like we have other things in priorities that we need to either pay for now or aggressively save for.

1. Increase funding DH 401k at 13%
We are currently at 12% and I feel as we are in our 40s we need to make sure that we to save some more.

2. Deposit $450 a month in a Roth IRA for me.

we do this automatically each month this is an increase of $50 a month.

3.  Save $3,000 outside of retirement and college saving plans. 

I usually have this aggressively at 5k but the last few years we don’t get there. With increasing our 401k and Roth IRA funding I am hoping that we can continue

4. Save for College $150 a month  for the oldest and $100 for the two others

Two of my sons have a 529 education plans. The 3rd one who has autism I save in balance fund. My oldest will be heading into college in 4 years so I feel that I need to add some more money to his account.

5. Save for our vacation fund

We are planning on going to Niagara falls over the summer month.  Between transportation, hotel cost, food and tickets it will be about  $2200. 

6. Repave our drive away

I like to do  one big home improvement and maintenance goal. 
. Excess tax return money (and money saved via self employment) will go towards our drive way I expect this to cost about $2500

7. Substitute teaching

I let my contacts know I would like to start subbing on a regular basis again.  I hope to be able to sub 2-3 days a week.  


Rachel Noah said...

Found your page on the DR facebook page.

Point 2: You can't do that. $450/mo for a ROTH IRA is over annual limit of $5000/per person. You need to re-think that.

Point 1: Also, it would be better to reduce your husband's 401K contribution and put in the max to a ROTH IRA for him first. Take the ROTH limit and divide by his salary. If he makes $50,000, that is 10%. If his company matches 3%, put 3% into the 401K, then 10% to the ROTH. If his salary is less than 50,000, you'll need to reduce the amount to the ROTH.

Admin said...

Hi Rachel thanks for stopping by. they increased the 2013 contribution to $5500.

We have done the higher Roth amounts for my husband in the past but then something always came up and we stopped funding it so we decided to simply do the 401k.