Last year, my main money goal was to diversify into real estate. At the beginning of 2017, all but $145,000 of my investments were in the stock market. Here is how the $145,000 was invested in real estate:
- $95,000: private loan
- $50,000: Syndication deal #1
At the start of 2018, I have $660,000 in real estate investments (and another syndication deal in the works):
- $290,000: private loans
- $200,000: syndication deals (4 at $50,000 each)
- $170,000: trailer park
Mission accomplished! Although, my timing was bad. Really bad:
I’ll discuss my financial goals for this year and ask you about yours, but first, we must answer last week’s question.
Last week, Mrs. 1500 asked you about how many loads of laundry you do every week. I feel like we do way too many, but most of you were on Mrs. 1500’s side. But wait, I need to address another important matter first!
I’ve been called all kinds of names since I started the blog. A$$hole is popular, but others include cheap-ass, jerk, and the always timeless, c*ckmaster. Just last week, longtime reader/hater Tim called me a special kind of idiot. Thanks for that!
Anyway, the laundry post took the hate to a fun, new level! NicoleAndMaggie drew a comparison to none other than Darth Vader (!):
It really isn’t funny reading about someone who does none of the chore criticizing how that chore gets done. That’s the kind of thing that shows up on Captain Awkward because it’s something Darth Vader boyfriends use as a means of control. Really not funny.
NicoleAndMaggie must have missed this part of the post:
…my lack of laundry help is a relic from the days of when I worked and Mrs. 1500 didn’t. Since the first draft of this post was written, I’ve seen the errors of my ways and started doing more of the laundry…
But that’s OK. One doesn’t get compared to a supervillain that often, so I need to relish this special moment!
Is there anyone worse than Darth Vader? Stalin and Hitler both murdered millions of people. However, Darth Vader blew up a whole planet (2,000,000,000 dead on Alderaan)!
I don’t think that I’m that evil, but then I watched Star Wars again and maybe NicoleAndMaggie are on to something. I had totally forgotten about this scene:
No one else compared me to Darth Vader, wife beaters or ethnic cleansers, so let’s move on.
Accidental Fire agrees with me, so they are correct:
I do one load a week, that’s it. And I follow the Japanese Subway Style guide and just stuff it all in. It’s always worked for me, things get clean.
Reader Peter is similarly awesome:
I’ve standardized my outfit. Wear the same look every day. Do laundry once a month. No dryer sheets, use felted wool balls.
I agree with The Vigilante. Why wash towels with any frequency when you’re just drying your clean body with them?
When I was single, I never washed my towels until they smelled and were obviously way overdue. #efficiency
However, most of you agreed with Mrs. 1500 including Reader Debbie:
Well, it is just me but I do 4 loads a week. Gotta separate whites, colors, darks and then there is the sheets/towels load. I use Charlie’s soap so no need to additional softner.
Mike from Balanced Dividends:
On your question, we probably do 6-8 loads a week. But we have a tiny washer/dryer in our downtown Chicago apartment.
Mrs. 1500 would get along magically with Reader Elena:
We are a family of 5 (with 3 kids under 3, 2 of them still in diapers), and we do 8 loads: one per day plus an extra one on Saturdays when I change the sheets and towels.
Finally, Tawcan seems to have a struck a nice balance:
Given that we have a 22 months old still in cloth diaper and a 4-year-old, they go through clothes a lot, especially when they go play in the yard. I would say we probably go through like 2 or 3 loads of laundry each week. We try to reduce the number of loads by wearing clothes for multiple days (both kids and adults).
I’m a sensitive guy (not really) and comparisons to Darth Vader make me cry (nah, they’re kinda funny), so I’m moving on to less controversial ground.
Not only had I not made any financial goals, I had not even thought about any (the software project that Gen Y mentions is proceeding full-on). This is a big and positive change for me.
Money insecurity used to terrorize me. Sometimes, I’d wake up in the middle of the night in a cold sweat after having a nightmare that I was broke. Since I started my journey to financial independence, those fears have faded. Pivoting to a frugal lifestyle along with saving more money than I’ll ever need has squashed all money fears.
Don’t get me wrong, I still care. I wouldn’t be buying trailer parks and continuing to investigate syndication deals if I didn’t. However, it’s not as important as it once was.
My one and only goal this year is to max out 401(k)s. Mrs. 1500 will max hers out at her job and I’ll do the same with my solo-401(k). I think that this is the optimal way to save because:
- We have enough in post-tax to last:
- We have almost $700,000 in post-tax investments. Even if Mrs. 1500 quit her job tomorrow, this is enough to last us until 59.5 when we can start withdrawing from a 401(k).
- We also have $450,000 in home equity. After younger daughter finishes school, we’ll probably sell our home and either rent or buy something much smaller and cheaper. All gains up to $500,000 are tax-free, so this money allows us to coast into our mid-50s with huge padding.
- We won’t pay much in taxes when we do access the 401(k): The standard deduction for a married couple is $24,000 and we won’t have to withdraw much more than that to live on. Tax law specifies a required minimum distribution (RMD) that will make us withdraw more than we need (and result in taxes), but that doesn’t kick in until 70. And I don’t expect the RMD to be more than our current income.
So, I think the best course of action for us is the focus on the 401(k) to limit our tax burden now. If I’m wrong here, chime in.
How about you? What are your financial goals for 2018?
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