The count-down is on;
we are having our little baby girl in about a month from now!
With so little time left before this life-changing event, we decided to write down an action plan with quick and simple improvements we could do to be better people, and ultimately, better parents.
Becoming a better person
With a few weeks left before the birth of our new baby, our short-term action plan revolves around being as prepared as we can be, without getting over-paranoid about it.
Here it is again; tax season!
While some of us, or some companies, do not have anything to pay to the taxman, most people will get a tax refund once they file their taxes. About 75% of American receive refunds or in other words, most American have too much taxes withheld from their paychecks every year. Most people actually plan to receive a refund each year and imagine these grand spending sprees as if it was free money.
We invest for our future and our family’s future, but why? We are building wealth for a greater purpose, to buy ourselves freedom, but to what point? Some obsess about money while others are oblivious to it. We try to live a calm and relaxed life without focusing on money too much while still looking at our finances enough to optimize it properly.
There are so many ways to be financially free. Anyone can climb up the stages of FI with a simple nine to five and reach financial freedom relatively quickly. If you work a steady job with good security and simply save until your nest-egg is sufficient to support your expenses, you can retire early or move on to work on projects you enjoy.
We talked about it in the past; we plan on reaching financial freedom in less than a decade. There is no secret to reaching financial freedom; work hard, spend less than you earn, and save a large portion of your income.
For every dollar you save, you are slowly buying yourself time. If you are saving 75% of your income, you are buying yourself three years of retirement for each year you work.
With the New Year comes new dreams, new objectives, and new plans. In our case, this year is our new baby year, where we will focus all our energy on raising our baby girl, but there will be much, much more to come.
This is all part of our life plan. We do not plan every little bit of our life, we need some spontaneity, but the general outline greatly helps.
We are glad to announce to the world that we are having a little girl in a few months!!! We are so happy to welcome a little one on our journey and cannot wait to share this amazing world with our little girl.
Raising a child is not an easy feat and it comes with a lot of unknowns. One thing we know, however, is that we want to be present for our child and enjoy every moment we can with her.
What if we started spending all of our paychecks instead of saving half of them? What if we started living paycheck-to-paycheck without regard to savings or investments?
After all, everyone else is doing it!
With all that money, we could drive brand new cars to work. Nothing fancy but we could finance a 2018 Honda Civic sedan and, since everyone else is doing it, an SUV to go with it.
The year-end is right around the corner, leaving us a bit more than a month to finish on top. As part of our Better Self series, we explore the little things that can, over the long-run, make a big difference in your life.
Revise your finances
In this Holiday time of gifts and expenditures, it is important to keep your spending in line with tools like Mint or Personal Capital and cut the inessentials.
This week, I have been reading The Wealth of Nations by Adam Smith. This 1776 masterpiece reflects upon economics, the division of labour, productivity, and free markets at the beginning of the Industrial Revolution. However, even if it is centuries-old, it is still very enlightening and I highly recommend you pick up a free copy at your local library.
It got me thinking how strange it is that things you value the most for their use have often very little value in exchange and those with the greatest value of exchange have very little use.