Two days ago I posted an update on my personal goals, and now it's time to highlight progress on our financial goals.
1. Pay for braces. My daughter just received her braces on Jan. 29. The office manager is on vacation until next week, and another employee couldn't get the system to give me a discount for paying within the first 90 days. The office manager is supposed to call me next week to resolve the issue. This goal should be accomplished within the next week.
2. Refinancing our mortgage. Please check out this post about why we are refinancing now. I locked a 30-year fixed rate of 5.5% on Jan. 14. This goal should be accomplished by the end of next week. The closing is scheduled for the morning of Feb. 4, and the loan will disburse on Feb. 8, if all goes according to plan.
3. Contribute 12% to retirement plans. This was our contribution amount last year. We just had to verify the first paystub of the year to be sure the payroll conversion where my husband works transferred our information correctly.
4. Find a job/source of income for me. So far I've made $25 from opening an account at E*Trade. I will get more focused in the search within the next two weeks so I can start working mid-February.
5. Consolidate retirement accounts. No progress yet. With the refi and working on our income taxes, this goal has fallen off the radar for now. I'll talk with my husband once his big project at work is completed, after Feb. 9.
For January, I'm 2 for 5; a pretty good start to the year.
Thursday, January 31, 2008
Wednesday, January 30, 2008
Insurance Issues - Update
In a previous post, I detailed two issues I was working to resolve with our health insurance company and doctors offices. We received the $27 balance that the specialist owed us, and now that matter is completed!
The other issue didn't come out in our favor. The office manager from the optometrist's office sent me an updated bill with corrected codes, but our insurance company still denied the claim. At this point, I'm tired of going back and forth with the doctor's office, so the fee will have to be an expensive lesson to us.
From now on we will not pay doctors upfront; we will wait until our insurance company processes the claim. This is the only way that we can be certain of what we owe, and it also gives the doctors more incentive to help us with any issues that arise with the insurance company.
The other issue didn't come out in our favor. The office manager from the optometrist's office sent me an updated bill with corrected codes, but our insurance company still denied the claim. At this point, I'm tired of going back and forth with the doctor's office, so the fee will have to be an expensive lesson to us.
From now on we will not pay doctors upfront; we will wait until our insurance company processes the claim. This is the only way that we can be certain of what we owe, and it also gives the doctors more incentive to help us with any issues that arise with the insurance company.
Tuesday, January 29, 2008
2008 Personal Goal Progress - January
Lets review progress on my 2008 personal goals; so far, I've worked mainly on one goal - losing weight. My goal is to lose 20 pounds this year, and so far I've lost 7 pounds! Go, me! I started exercising again at the beginning of January, using a workout from Fitness magazine. In February, I'll pick a different workout so I won't get bored.
This weekend, my husband and I will have our first official date night. We had several nights this month where we were able to spend time talking without interruptions, and that was very nice!
I haven't worked on our photos yet, so in February, I plan to spend at least 15 minutes per day organizing the photos into chronological order.
I will start working on the class materials in mid-February when my children go back to school. They attend year-round school, and they have three week breaks throughout the year instead of a long summer break.
Once we know the amount of my husband's raise, we will decide if we can do the Seattle trip this year.
So that's the update for now. I'll post updates on our financial goals next.
This weekend, my husband and I will have our first official date night. We had several nights this month where we were able to spend time talking without interruptions, and that was very nice!
I haven't worked on our photos yet, so in February, I plan to spend at least 15 minutes per day organizing the photos into chronological order.
I will start working on the class materials in mid-February when my children go back to school. They attend year-round school, and they have three week breaks throughout the year instead of a long summer break.
Once we know the amount of my husband's raise, we will decide if we can do the Seattle trip this year.
So that's the update for now. I'll post updates on our financial goals next.
Tuesday, January 15, 2008
Refinancing to a fixed-rate mortgage
We purchased our home a little over four years ago. Our mortgage was from our credit union, and it was a 2-year ARM that could go up a maximum of 1% every two years. The starting rate was 3.75%, which was well below 30-year fixed rates at the time. Also, choosing this mortgage allowed us to skip the PMI since we only wanted to put down 10%. It was a great option at the time.
Fast forward to 2008, and our rate adjusted to 5.75%, still a very reasonable rate. However, our home value has increased substantially, and we're below the 80% LTV threshold for PMI (closer to 60%). This week, I was able to lock in a 30-year rate of 5.5%. We're not planning on moving for at least another 8-10 years, and I wanted to get a fixed rate while rates are still low. Will rates go even lower? We'll see, and if they drop like a rock, we'll refinance again.
We will continue to pay the amount of our current payment in order to reduce the loan payoff term.
Fast forward to 2008, and our rate adjusted to 5.75%, still a very reasonable rate. However, our home value has increased substantially, and we're below the 80% LTV threshold for PMI (closer to 60%). This week, I was able to lock in a 30-year rate of 5.5%. We're not planning on moving for at least another 8-10 years, and I wanted to get a fixed rate while rates are still low. Will rates go even lower? We'll see, and if they drop like a rock, we'll refinance again.
We will continue to pay the amount of our current payment in order to reduce the loan payoff term.
Financial Goals for 2008 (Pre-Raise)
Well, the hubby and I had a preliminary goal setting session, and we came up with some goals that we want to accomplish this year. Some of them may get tweaked once we know what our projected income will be this year. Here goes:
1. Pay for braces for DD#1. This will take about $2500. Fortunately, it will be $2500 tax-free because we found out she needed braces in time to add the amount to our flexible spending account for the year.
2. Refinance to a fixed rate mortgage. Look for a more detailed post explaining why we're doing a refi now.
3. Continue to contribute 12% to retirement accounts. The company puts in 2%, so we're at 14% total. For 2008, the contributions will be split 8% (including 2% match) to regular 401(k) and 6% to the Roth 401(k).
4. Find a job/source of income for me. I quit my part-time job in June 2007 because it was far away (36 miles, roundtrip) and my daughters' daily school schedules are off by almost two hours for this year and next, i.e., one starts school at 7:30, and the other one starts at 9:15.
5. Consolidate retirement plans from previous employers. We currently have accounts at four different institutions, and I would like to move the other three to Vanguard. We would be able to reduce our fees, and we would be eligible for some additional services.
That's the first look for the year. We'll revise and post as needed.
1. Pay for braces for DD#1. This will take about $2500. Fortunately, it will be $2500 tax-free because we found out she needed braces in time to add the amount to our flexible spending account for the year.
2. Refinance to a fixed rate mortgage. Look for a more detailed post explaining why we're doing a refi now.
3. Continue to contribute 12% to retirement accounts. The company puts in 2%, so we're at 14% total. For 2008, the contributions will be split 8% (including 2% match) to regular 401(k) and 6% to the Roth 401(k).
4. Find a job/source of income for me. I quit my part-time job in June 2007 because it was far away (36 miles, roundtrip) and my daughters' daily school schedules are off by almost two hours for this year and next, i.e., one starts school at 7:30, and the other one starts at 9:15.
5. Consolidate retirement plans from previous employers. We currently have accounts at four different institutions, and I would like to move the other three to Vanguard. We would be able to reduce our fees, and we would be eligible for some additional services.
That's the first look for the year. We'll revise and post as needed.
Thursday, January 10, 2008
ING Direct Referrals Available Again
ING Direct is being generous in 2008. You can earn a $25 bonus for opening a savings account or a checking account with at least $250;however, you need a referral code from an existing account holder. The APY on the savings account is 4.10%, and you can earn up to 4.80% on the checking account, depending on your balance.
If you send me an email, I will send you a referral. I will receive $10 for each account that is opened. Help me to help you! Thanks for your support!
If you send me an email, I will send you a referral. I will receive $10 for each account that is opened. Help me to help you! Thanks for your support!
Tuesday, January 8, 2008
Freecycle and save the earth
I love Freecycle! What is Freecycle, you ask? There are local groups on Yahoo where you can post items that you no longer need and that you don't care to sell. You can post an OFFER, and group members will email you with a time when they are willing to pick up your stuff. So far I've offered kids VHS tapes and a cordless phone. I've gotten quick responses and fewer hassles than selling because it's FREE, who's going to complain about that?
This service gets things into the hands of people who want and can use them, and it keeps the items out of the landfill, for a little longer, anyway. It's interesting to see what's available, and it changes constantly. Today's offers include everything from underwear (new!) to a mattress and box spring set.
Once you have confirmed that someone is picking up your OFFER, you post a TAKEN message to the group. It's that easy! Check out your local group for specific rules.
This service gets things into the hands of people who want and can use them, and it keeps the items out of the landfill, for a little longer, anyway. It's interesting to see what's available, and it changes constantly. Today's offers include everything from underwear (new!) to a mattress and box spring set.
Once you have confirmed that someone is picking up your OFFER, you post a TAKEN message to the group. It's that easy! Check out your local group for specific rules.
Friday, January 4, 2008
Insurance Issues
I spent about an hour today trying to resolve a claim from my husband's visit to the eye doctor in October 2007. He went to a new doctor because the doctor we've used since the mid-90s could not find the cause of his headaches and vision issues. Because he was unsure of our insurance coverage, my husband paid the full fee of $199, and we filed the claim ourselves. The new doctor coded the visit as an annual exam instead of a problem-focused (ah, the irony) exam, and the insurance company denied the claim because my husband had already had his annual exam in 2007. Now I have a problem to focus on!
After talking to the insurance company, I called the billing manager to ask him to change the codes so that we can resubmit the claim. The billing manager told me he would speak with the doctor and call me back. Five hours later--still no call back. On Monday, I will call again because I would like to get back at least some of our money.
In addition, the eye doctor referred my husband to a specialist for another $75. On my husband's second visit there, we were overcharged by $9--it was on the bill, and my husband overlooked it. Then after the insurance company processed the claim, our part of the bill was reduced. Balance due to us--$27. I will also call this office on Monday, unless a check arrives tomorrow.
Have a great weekend!
After talking to the insurance company, I called the billing manager to ask him to change the codes so that we can resubmit the claim. The billing manager told me he would speak with the doctor and call me back. Five hours later--still no call back. On Monday, I will call again because I would like to get back at least some of our money.
In addition, the eye doctor referred my husband to a specialist for another $75. On my husband's second visit there, we were overcharged by $9--it was on the bill, and my husband overlooked it. Then after the insurance company processed the claim, our part of the bill was reduced. Balance due to us--$27. I will also call this office on Monday, unless a check arrives tomorrow.
Have a great weekend!
Thursday, January 3, 2008
One Month Later . . . 2008 Personal Goals
Well, the holidays kept me busy, and now it's time to focus on the new year. Here are my personal goals for the year:
1. Have a date-night with my husband once per week. We're great with family time--we need to make more time for ourselves as a couple.
2. Lose 20 pounds. I used Weight Watchers to lose about 40 pounds 6 years ago. I've gained half of that back, and it's time for the pounds to go away again.
3. Organize family paper photos into albums. This is ugly--I haven't put pictures in albums in over 10 years! Ack!
4. Take a family vacation to Seattle. Staying with relatives for part of the trip will make this possible.
5. Develop materials for a basic finance class I can teach through the local extended learning or community college program. Teaching a class will give me the leads needed to start a financial coaching business.
Financial Goals for 2008
We will make our annual budget at the end of January once we know the amount of my husband's raise, and I will post our financial goals then.
1. Have a date-night with my husband once per week. We're great with family time--we need to make more time for ourselves as a couple.
2. Lose 20 pounds. I used Weight Watchers to lose about 40 pounds 6 years ago. I've gained half of that back, and it's time for the pounds to go away again.
3. Organize family paper photos into albums. This is ugly--I haven't put pictures in albums in over 10 years! Ack!
4. Take a family vacation to Seattle. Staying with relatives for part of the trip will make this possible.
5. Develop materials for a basic finance class I can teach through the local extended learning or community college program. Teaching a class will give me the leads needed to start a financial coaching business.
Financial Goals for 2008
We will make our annual budget at the end of January once we know the amount of my husband's raise, and I will post our financial goals then.
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