2007 financial goals

In 2006 we continued our journey toward achieving financial independence by paying down a high-interest student loan, maxing out our retirement accounts at an accelerated pace, completing our cash reserve and beginning the process of aggressively paying down our second mortgage debt.

We want to continue with the same relentless pace and determination we have shown in previous years, so in 2007 we are hoping to:

• Continue to make the maximum-allowable contributions to our retirement accounts as we've done in the past - wife’s 401k ($15,500), husband’s Simple IRA ($10,500), and both Roth IRAs ($8,000). Much like last year, we want to be more aggressive with our contributions at the beginning of the year to maximize our long-term returns.
  status: completed



• Though we failed last year, we want to make it a top priority to find a new job for the husband who has achieved all that is possible with his current employer and is looking to make a move that will further his professional growth and better help in accomplishing our goals towards achieving financial independence. The primary requirements for the new position will be greater challenges and responsibilities, higher income and a full 401k package with an employer match which would allow us to contribute more in tax-deferred savings.
  status: completed



• Make the necessary contributions (around $300 per month) to our cash reserve to bring us back up to $13,000 after paying our property taxes at the end of 2006. In addition, we want to also begin saving for a car to replace one of our existing vehicles. We'll assume for now we will need roughly $6,000 by the end of the year (around $500 per month). So, total monthly contributions to our cash reserve should be around $800 per month this year.
  status: completed



• Transfer the second mortgage balance to a credit card offering a no-fee, 0% balance transfer and completely pay off the balance by the end of November. In order to do so we are looking at monthly payments of roughly $900.
  status: failed



• Reach $238,000 in net worth by year end.
  status: failed