PFG April Financials

Welcome to another edition of Financial Friday.  A series of weekly posts where we share some of financial gold with you on our personal finances, savings, and investing.  Once again, these are just things we have done ourselves and might not work for you, but it doesn’t hurt to try a new way to pan for your own financial gold!

Financial Friday

The Monthly Recap

April 2014 was a pretty quiet month on the financial front.  We did have some expenses that we couldn’t budget for including graduation gifts, renting a tux for an upcoming wedding, dress alterations and a couple of other unplanned items.

Additionally, we paid off some of the unexpected expenses from March including the furnace and dental work.  While the work was done in March, the bills were due in April.  April was also the first month of a new side hustle for myself.  I am helping a company that runs mobile silent auctions.  This is something that I really like doing and the technology being used is amazing.  I look forward to working more events for them and will share that experience here soon.

Our Spending
This month was overall a good month on the financial front.  We did have those bills come due but the money is coming from our refund check which we got in April.  This once again reminded us of the need for an emergency fund.  The refund check is being used for this purpose right now and will help us pay down some additional debt.

Below are the percentages we spent on each category with a note if needed.  In April 2014, we spent around $4,000.

  • 29% – mortgage (interest, principle, and home insurance)
  • 17% – auto related (gas and lease payment)
  • 9% – groceries, dining out
  • 7% – preschool
  • 7% – travel fund (we put money in quarterly for a family reunion)
  • 6% – utilities (includes garbage, internet, cell phones)
  • 5% – health & wellness; this included the dental bill
  • 5% – shopping
  • 5% – student loan repayment
  • 3% – gifts/charity
  • 7% – miscellaneous

As we continue to track the financials, we will highlight any major drops.  This month’s largest drop from March was on our mortgage and food.  Both of these saw a significant drop because of the addition of health and wellness expenses this month.

Our Debts
With the new reporting, we want to be clear that when we talk about debt that we are being up from with what our “true debt” is.  Like most Americans, we have a mortgage and student loans.  In our past reports, we have listed credit card debt but this was never debt since we pay off the balance each month.  For our purposes moving forward, we will only talk about debt as our student loans and mortgage.

In April 2014, the payments for both of these areas remained steady and the percentage of these didn’t change from March.  We paid off 0.15% of our mortgage and 0.45% of our student loans.  Not a great reduction but we are looking at how the side income can lower these amounts over time.

How was your April 2014?  Did you have any unexpected expenses?  Did you make extra income?  

FF14: PFG March Financials

Welcome to another edition of Financial Friday.  A series of weekly posts where we share some of financial gold with you on our personal finances, savings, and investing.  Once again, these are just things we have done ourselves and might not work for you, but it doesn’t hurt to try a new way to pan for your own financial gold!

Financial Friday

This month, we are changing things up.  Based on some feedback and a great book that I read, we will not be providing the exact numbers of our “net worth” anymore.

While we… actually just Mr. PFG… wants to show transparency,  we believe that the net worth we were presenting was both not final (since we didn’t present our investments) or valuable to our readers.

When I first set out to write a blog about our financials and life lessons, I wanted to share relevant information with the readers.  Does anybody really care that our net worth went up a percentage one month versus another?  Probably not and why do people need to know our net worth anyways?  We don’t need people to feel pity for us or for them to judge us for what we post.

Rather than highlight this “invasive” information, what we will do in these monthly recaps is talk about our debt repayments and our average spending.  We will no longer give a dollar amount (except for the total amount we spent each month) but a percentage to highlight what we did month over month.

As things arise in our lives, we expect this blog to continue to evolve.  Currently the majority of readers are our friends and family, so any feedback or suggestions will be greatly appreciated so that we can change the blog to interest our readers.

And Now the Monthly Recap
In March 2014, we changed the date of our main credit card to be in line with the first of the month.  As Mr. PFG is only paid at the end of the month, we believe this will help us budget and track our money more appropriately.

This month did see some unexpected expenses arise with a problem with our furnace and some dental work for two family members.  This brings us to our new financial endeavor which is to set up an emergency fund.  While we are not sure initially how we will fund this, we are currently looking at opportunities for “side hustles” where we can make additional money.  This additional money will be used for two purposes with a percentage going towards an emergency fund and the rest going towards debt repayment.

If you know of any part-time opportunities or writing opportunities, please let us know.

Our Spending
Besides the unexpected expenses with the furnace and dental work (note: these expenses actually won’t show up until the April credit card statement), this month was overall good on the spending front.

Below are the percentages we spent on each category with a note if needed.  In March 2014, we spent around $3,700.

  • 34% – mortgage
  • 16% – auto related (gas and lease payment)
  • 13% – groceries, dining out
  • 11% – preschool; this was abnormal as we had to pay registration for next year this month
  • 9% – utilities (includes garbage, internet, cell phones)
  • 6% – shopping note: this category will be split up more accurately in the future to show a breakdown of kids items (diapers, formula, etc.)
  • 6% – student loan repayment
  • 5% – miscellaneous

Starting next month, we will give a comparison on how these change and the percentage change each month.

Please note: while our mortgage payment is higher than what is recommended, we have cut our overall expenses down a lot and by cutting expenses elsewhere, the percentage spent on our house went up.  

Our Debts
With the new reporting, we want to be clear that when we talk about debt that we are being up from with what our “true debt” is.  Like most Americans, we have a mortgage and student loans.  In our past reports, we have listed credit card debt but this was never debt since we pay off the balance each month.  For our purposes moving forward, we will only talk about debt as our student loans and mortgage.

In March 2014, the payments for both of these areas remained steady.  We paid off 0.15% of our mortgage and 0.44% of our student loans.  Not a great reduction but all that we can afford currently.

How was your March 2014?  Did you have any unexpected expenses?  Did you make extra income?  

FF9: PFG February Financials

Welcome to another edition of Financial Friday.  A series of weekly posts where we share some of financial gold with you on our personal finances, savings, and investing.  Once again, these are just things we have done ourselves and might not work for you, but it doesn’t hurt to try a new way to pan for your own financial gold!

Financial FridayMonthly Recap
February 2014 was very uneventful on the financial front for the Pure Family Gold.  We did not have any large expenses or additional income that came in.

We still have one more payment for the backyard fix which will be paid in March.  After this payment, our credit card “debt” will be back to normal.

Note: While we list credit card debt, we pay our credit cards in full every month on the 15th.  We do not carry a balance on this.  Additionally, we are looking at changing the due date of our main credit card to be in line with how we get paid.  This will help us budget more accurately.  

Our Assets
Below is a list of our assets as of February 28, 2014.  We will give a monthly overview on or near the last day of the month.

  • Cash: $7,427; Change: 4.01%
  • Home: $267,728 (we update our home value based off of Zillow every quarter; last update was Jan. 2, 2014)
  • Car: $10,300 (we update the value of our car once a year using Kelley Blue Book; last update was Jan. 2, 2014)
  • Lending Club Account: $330; Change: 0.61%
  • Total Assets: $285,785; Change 0.10%

Note: We have an additional $2,000 in cash that will actually be used to pay off the rest of the backyard fix.  In March, we should have a more accurate portrayal of our cash moving forward.

Our Debts
Below is a list of our debts as of February 28, 2014.

  • Home Mortgage: $185,743 (at 4.125%); Change: (-0.15%)
  • Student Loans: $31,775 (at 2.25%); Change: (-0.44%)
  • Credit Cards: $3,120; Change: -62.17%
  • Condo Personal Loan: $4,500 (no interest); Change: 0%
  • Other: $2,052; Change: (-1.17%)
  • Total Debts: $227,190; Change: -2.44%

Notes: As you can see our home mortgage, student loans and other debt all had a decrease.  For February 2014, we paid off $548 towards these debts.  

Our Net Worth
To date our net worth is $58,595 which is a change of 11.35from January 2014.  Overall a good month!

How was your February 2014?  Did you have any unexpected expenses?  Did you make extra income?  

FF5: Pure Family Gold’s January Financials

Welcome to another edition of Financial Friday.  A series of weekly posts where we share some of financial gold with you on our personal finances, savings, and investing.  Once again, these are just things we have done ourselves and might not work for you, but it doesn’t hurt to try a new way to pan for your own financial gold!

Financial Friday Monthly Recap
January 2014 was an interesting month for us on the financial front.  In September 2013, our basement flooded after the Colorado rain storm of the century where we received 15 inches of rain over three days.  Over the last few months of 2013, we replaced the carpet in our basement but still needed to do some grading and replacing a retaining wall and fence in our backyard.

All of the work was done in January and the cost was over $12,000.  For this reason, you will see a drop in our cash and an increase in our credit card debt.  Since we pay off our credit card in full every month, we are not worried about this number and have most of the money on hand for this backyard fix.  Overall, this will also increase the value of our house.  The credit card bill for this large payment is not due until March but we will pay it off sooner.

Additionally, we had one final satellite television bill that was due in January.  This is the last time we will pay this and we had not accurately budgeted for this amount.  Read more about our experience cutting the cord next week.

Our Assets
Below is a list of our assets as of January 31 2014.  We will give a monthly overview on or near the last day of the month.

  • Cash: $7,141; Change: -45%
  • Home: $267,728 (we update our home value based off of Zillow every quarter; last update was Jan. 2, 2014)
  • Car: $10,300 (we update the value of our car once a year using Kelley Blue Book; last update was Jan. 2, 2014)
  • Lending Club Account: $328; Change: 0.92%
  • Total Assets: $285,497; Change -2.03%

Note: We used cash to pay off $4,000 towards the credit card bill of $12,000 for the backyard fixes.  The work done in the backyard will also add value to the house which is not shown in this summary.

Our Debts
Below is a list of our debts as of January 31, 2014.

  • Home Mortgage: $186,019 (at 4.125%); Change: (-0.30%)
  • Student Loans: $31,916 (at 2.25%); Change: (-0.44%)
  • Credit Cards: $8,248; Change: 274.91%
  • Condo Personal Loan: $4,500 (no interest); Change: 0%
  • Other: $2,191; Change: (-1.17%)
  • Total Debts – $232,874; Change: 2.32%

Notes: As you can see our home mortgage, student loans and other debt all had a decrease.  For January 2014, we paid off $770 towards these debts.  We did have an increase in our credit card debt but this was due to the backyard fixes and the payment for this is not due until March 2014.  We will be paying off the entire backyard fixes in February.

Our Net Worth
To date our net worth is $52,623 which is a change of -17.55%.  This was due to the drop in our cash and an increase in credit card expenses.  We expect this to turn around in February.

How was your January 2014?  Did you have any unexpected expenses?  Did you make extra income?  

Financial Friday (FF) 1 – Getting Started

Financial FridayWelcome to the Pure Family Gold’s (PFG) 1st Financial Friday.  Each Friday, we will talk all about finances.  From our own financial standing (yes, we will share the real facts), to financial tips, to teaching finances to our children, and to new products we have tried.  Financial Friday is our way to track our finances while also sharing our journey to pay off our debts, save for the future, and share our personal experiences.

As we are just getting started, we would like to share with you our starting financial point for 2014.  In this post we will share with you our current debts and current assets and some other valuable information about what our finances are and why.

From Two Full Time Incomes to One
As was described in My One Word 2014, Mrs. PFG and I “arrived” at the decision that it made more sense for her to stay at home with our son before the birth of our daughter.  With it costing us between $800-$1,200 a month for infant childcare and another $500-$850 for a toddler, Mrs. PFG’s income would have been going directly to the childcare provider.  This didn’t make financial or logistical sense and with Mrs. PFG being a hairstylist, we knew she could pick up some clients and save on childcare costs.

Being a nonprofit professional and jumping from the program side to the fundraising side has allowed me to earn a little more money (which will increase overtime), I am still pretty new to the field and the pay is not that great.  We knew we were taking a risk but it was one that has proven successful so far.

Our Assets
Below is a list of our assets as of January 2, 2014.  Over the next Financial Fridays (FF), we will share with you a bigger breakdown of these assets but for today’s purposes, we are just sharing the values.

  • Cash – $13,066*
  • Home – $267,728 (we update our home value based off of Zillow every quarter; last update was Jan. 2, 2014)
  • Car – $10,300 (we update the value of our car once a year using Kelley Blue Book; last update was Jan. 2, 2014)
  • Lending Club Account – $325
  • Total Assets – $291,419

*Our current cash includes a payout from our insurance and FEMA that we received when our basement flooded last year.  These funds will be used to fix the grading in our backyard and replace some drywall.

Our Debts
Below is a list of our debts as of January 2, 2014.

  • Home Mortgage – $186,570 (at 4.125%)
  • Student Loans – $32,056 (at 2.25%)
  • Credit Cards – $2,200
  • Condo Personal Loan – $4,500 (no interest)
  • Other – $2,270
  • Total Debts – $227,596

Notes: We purchased our home in 2009 and refinanced last year.  Mrs. PFG attended cosmetology school and I received my masters in nonprofit management.  We rolled our student loans together and have a loan from a family member with an interest rate of 2.25%.  We also have another family loan to pay off the sale of our condo from 2009.  We don’t owe any interest on this loan.

Our Net Worth
To date our net worth is $63,823.  The majority of our net worth is tied up in our house.

Note: this doesn’t include any of our retirement funds or investment funds outside of Lending Club.  We will share this information at a later date.