FiRe – Middle Age Mark

Debt Free Update

At the time of this writing, the For Sale sign in the front yard got a spanking new upgrade: Sale Pending! (Ok, it doesn’t really have an exclamation point, but it should!) We’re very excited! Our latest adventure is proving to be every bit as exciting as we thought it would be.

The graphic above isn’t really the date that either Rachel or I are considering retiring (we are both blessed with jobs that we love), but we couldn’t find a debt free countdown app so we borrowed a retirement app. It’s fun to watch the date get closer and anticipate the feeling of being debt free.

When we originally decided to get out of debt, our intent was to be debt free minus the mortgage, and continue to use the home as an investment. We started last January with monthly financial goals and took aim at the smallest debts first; furniture, credit cards. We held monthly goal meetings and knocked them out in a few months.

Then we focused on the first school loan, which was about 8K at the time, and this coming Saturday night we have a Student Loan Victory Party date planned! (I might get a gladiator costume and drink from a bronze challis). Death to student loan #1! (Exclamation points everywhere – masses cheering) That will be a very good celebration!

Next in the cross hairs will be the second student loan, which will take us out to September 1st of 2020. One added month to finish the car loans off, and if all goes as planned, we’ll have no debt as of October 1st 2020 and begin a cash-only lifestyle.

Zero financial drag.
Lots of possibilities start coming into focus.
Lots of fun possibilities.
I think I might want to catch a swordfish.
On Jimmy Johnson’s boat.

Throughout this process we’ve kept talking, dreaming, reading, sharing, learning. As we continued to talk about our goals and dreams, we started to really drill down into what we wanted our life to look like and who we wanted to be. Our version of being debt free changed to include the House of Wales as well. We decided it was time to make the decision, do the hard thing (pack / move 713,000x boxes, yard sale (gag)), take our earned equity, and begin investing in earnest.

It’s a life rule: You have to do the hard thing before you get the good thing.

We’re behind in investing. Although I have one federal pension that I’m currently receiving (Coast Guard), and at some point I’ll have the state of Idaho pension (two lifetime pensions = dream), we have some really big plans for our future (have a I mentioned a week on a Cat cruising the Bahamas or the fifth wheel and monster truck with the train horn?) so we want to make sure we’re funding our dreams.

And we’re doing just that.

We’re learning all we can about investment options so that we can add more revenue streams for retirement. There are lots of ideas and choices, and we’re learning about liquid assets and index funds. The equity will be a really nice lump sum investment to get us started. If all goes as planned, we should do very well.

I know the planet suffers the occasional naysayer and joy-sucker. To them I say we’re using all the information we have to do the very best we can with what God has given us. The rest is up to Him. In the meantime we’re on the adventure of our lives.

Becoming non-homeowners is not for everyone, but it’s right for us at this point. Although it’s true I may miss getting tangled up in the rose bush (pokey F’er) or attacking the wood pile bees, the fact is we’re becoming more mobile. We have the Baby House in Mesa and we like being there as much as we can, especially during the Idaho winters. I’ve also reacquired my love for Naples Florida and Vermont cabins. It’ll be nice to know that we can turn down the condo heat, close the door, and go get some real maple syrup sans worries.

Our rent, even with all of the amenities, will be similar to what our mortgage was, and since we’re investing all of the profit, we’ll still be leveraging the compounding effect of our money in much the same way (8% annually?) a home might appreciate.

That’s exciting.

At 58 and I-robbed-the-cradle, Rachel and I are looking forward to being a little more unburdened. Without the duties of keeping a beautiful home beautiful, discretionary time will come back. There’s a mountain bike in the garage that’s been missing me, and a drum kit as well (get the band back together?). There are books I’m waiting to read, places I want to volunteer, side hustles that need hustling, and good non-bottom-shelf gin that needs ‘scrutinizing.’

Moving is hard (!) and funny (!), and there’s another blog coming about that with a guest author (!).

Lord the things we get ourselves into. What a ride!

It’s hard to imagine a better and more optimistic life.
Let’s gooooo!

We Pushed Pause

Rachel and I are learning all sorts of new things on our mid-life debt free journey. Sometimes the learning is fun and sometimes not so much. Like with all new adventures, there are things that are expected and things that aren’t (hence the term “adventure”). Even the best planned adventures are going to create surprises.

We knew we’d need to be more aware of our finances. That was good; we wanted to be more aware. Although we are not subscribers to the “every single dollar must be accounted for” school of thought, we compared our income to outflow and set a goal that was seriously challenging: be debt free minus the mortgage by September 2020. We then broke that goal down according to the time we had to work with. We are having fun, working hard, conserving, stretching, and feeling the reward getting closer month by month. It’s happening!

Recently, though, during our Saturday morning front-porch and coffee (FP&C) finance meeting, we had to make some changes. We both felt it coming but our competitive natures made it tough to admit. We didn’t really know if we wanted to make a change or even talk about making a change. The path looked a bit more precarious (and narrow) than was comfortable.

We were doing our best at hashing out our timelines, pay dates, asset arrangement, and monthly goals. I wish I could say we weren’t both getting a bit stressed (but we were). In order to stay on short term track, we were going to be cutting things really close.

Rachel has the opportunity to take a couple of unplanned trips in June. Her Gran in Oregon is turning 94 and she wants to be at the party. Additionally, our daughter works with an amazing company that allows her to bring a +1 to the June corporate retreat (this one is in California) for a very reduced cost, and our son in law can’t make it.

Additionally, although we sold our boat, I still want to do some fishing from the kayak this spring and getting caught without a license is a pretty stiff fine. We’re also missing the Baby House (badly), and want to make a trip down in July to relax and drop off the Baby Car.

During our FP&C talk I went to get the mail that had just been delivered. It was a pretty hefty stack of envelopes.

Lord.

What are the chances that 3 of our 4 vehicles all needed to be registered in June? I mean, c’mon, seriously right now? (You’d think the red “6” sticker on all the license plates might have tipped me off (you’d be wrong).

Suddenly I felt like I was getting chased around the ring by Butterbean.

We both sighed.

And sipped quietly.

For a long time.

Storm clouds were gathering.

Birds stopped singing.

It was hard to breathe.

I mentioned before that we don’t subscribe to eating only beans and rice until we’re debt free. We had decided when we started our debt free adventure that we were still going to do some things that mattered to us, despite the cost, like date night and keeping the house and yard nice.

We also had some non-negotiables:

We were not going to adjust our giving

Everything is prepaid or we don’t go or do

The minimum checking account balance stays

We don’t touch savings

Perhaps I had not done a completely comprehensive job of factoring in every possible cost. I own that. Maybe we started without fully estimating the year. That’s me too. Maybe we set the goals a little more aggressively than we should have.

After a little more reflection, I just grabbed the goal remote: Pause.

There (big breath. Silence). Ok. So.

Let’s take a break; a one month temporary pause from the full-speed-ahead goal pursuit. Just like watching a Netflix movie: let’s push pause and get a snack. We can use the cash that we would have applied to our debt-free pursuit towards making sure the trips are prepaid, our non-negotiables hold, and we enjoy a short-term respite and the fruits of our hard work (Baby House!). We can create a plan for the late summer months to redirect additional funds to get back on track (shouldn’t be too hard; we don’t have any more cars or grandmothers).

As soon the words were out, the birds returned to singing, the sun came back out, the air freshened, and the coffee magically reheated itself. We talked about it a bit more from different angles and decided it was a good move. We’ve been running pretty hard for 6 months and have made unbelievable progress, but sometimes in life you just need a little re-leveling; a return to homeostasis.

I’ve been pondering the events for about week. There was a time when I would have pushed to stay on track; damn the torpedoes, take the pain, get plumb mad-dog mean (how have you not seen that movie?), feel the burn, and all that. Perhaps a life of military service helps create that; meet the objective at any cost.

But at what risk?

The risk of breaking something that might be irrefixable (Rachelism). The risk of crashing the epic quest. The risk of losing the jazz, the fun, the pursuit, and the Trust. The risk of becoming the guy who wrecks all the intoxicated fun by using his tape measure during the block party cornhole game.

And that risk for what gain? One month? 30 days? We already have a plan to regain the time. The right to brag about the hard times we endured? Like anyone cares. What about 2 years from now when Gran has passed and Rachel could have gone to the party?

That’s the stuff nightmares (and life-long regrets) are made of.

No (sorry Clint). None of that is why we chose to get debt-free. This adventure into the good shouldn’t feel like penance. It should build a sense of expectancy, anticipation, and optimism, which it has. It should make life more enjoyable, not less. Self-denial needs to happen, but even that is more like trading short term pleasures for long term (life-long) benefits.

Bending the rules is adventure. Breaking something is regret.

I have to be honest though. I am a little afraid that if we let up we won’t get back to it. But after examination, that fear is unfounded and irrational, and must be addressed as such. Fear is one of those “yeah but what if” things that can run you ragged, become larger than it should be, and create stagnation in middle age. Sometimes us middle-agers might need to do some things just to stay comfortable with change. It’s ok to move forward and be afraid at the same time.

I’m glad we pushed pause. The drive down through the desert to Mesa is pretty. We’ll ride along and listen to podcasts and argue over Dr. Laura’s advice. We’ll stay at the Hoover Damn Lodge where Rachel plays blackjack with a virtual dealer. I’ve picked out some secluded spots where I bet the big bass are hiding. It’s not every day that you get to eat birthday cake with your 94 year old Gran, or sneak away to a cool Cali hotel with your daughter.

All of it: memories waiting to be made.

I’m glad I didn’t break anything. Those movie snacks are the best.

We got knocked off course

If you’re following my blog, you know that Rachel and I are working hard towards getting out of debt. As part of our adventure into Middle Age, we want to be more financially independent. For almost 5 months (!), we’ve been working our monthly goals, denying distractions, and staying focused. There have been some adventure-bumps along the way, but we’ve been rocking it. Huge chunks of money have gone towards school debt (our current focus), and one school loan should be paid off by July 1^st! In the preceding months we’ve closed furniture loans, credit cards, and other smaller debts.

I was feeling so good about how well we were doing that I allowed myself a little dreaming (and man can I dream). I spent some time researching chartered catamarans (yup). One of my dreams is to rent a chartered 40′ cat in the Bahamas for a few days; the captain and mate doing all the sailing and cooking, Rachel and I doing all the sunning and relaxing.

One of the companies I found shows the boat anchored lazily off a pristine, white-sand cay. I could practically see the captain and chef waiving Rachel and me to row back in the dingy because the fresh swordfish (caught somehow by me) and pineapple (picked somehow by me) dinner is ready. Of course, they’d hand me a fine martini (made by them) from the best Bahamian gin (if there is such a thing). The captain would be so impressed with our ability to pay for the whole trip up-front that he’d offer huge discounts for next year. After dinner, there would be an evening snorkel over the secret pirate ship that sank with all that gold (see? Can I dream or what?)

Dreams, huh? The stuff we build our lives on.

Like being on a sailboat at sea, the day can go from peaceful to panic with little warning if a squall comes up. When the sea state changes for the worse, everything is called in to question. Am I on the right tack? Do I have too much sheet? Are the pumps working? Is everything tied down? How bad is it going to get? Was this trip even a good idea?

For Rachel and me, April was like that – financially. Our voyage started out as peaceful and calm; we were on track, our goals were good – and then we hit the squall. We thought we were prepared and had accounted for everything, but there were things we overlooked. I wish I could write that we had planned perfectly and for every contingency, but that wouldn’t be honest, or real.

The vehicle insurance came due. The Baby House in Mesa needed sudden work to prevent more costly damage. The Big House needed spring upkeep. We received three more unexpected bills. We were three weeks into the month and trying to navigate $1,300 in extra expenses and still stay on course.

I knew it wasn’t going to be fatal, or even close, but we were getting knocked around pretty good while trying to make the next paycheck, stay afloat, and stay on track with our goals. I thought there might be some minor damage, but so far we weren’t shooting up flares; a plus one for us.

We easily had the funds in savings to cover the bills, but we’ve done this “thing” to ourselves: we really, really dislike taking money out of savings once it’s there. Weird, I know. Once it’s in there, it’s kind of sacred.

But I knew we had to do something.

First, we increased our financial meetings. We brought the situation front and center and didn’t do the “It’ll all work out somehow” thing. We knew we needed to talk more and keep the response as dynamic as the events. We checked the plans every few days and adjusted course as needed.

Second, we changed some specific plans. It’s spring, and with that comes the cost of grass seed, fertilizer, bee spray (war!) , pool salt, filter sand, weed spray (also war!), flower plants, vegetable plants; you get the idea. Keeping a house beautiful can be a spendy venture and we had built that into our budget.

We staggered the process and scrutinized the materials. I bought less bee spray (but it’s still war!), held off on the pool salt (still too cold to swim), picked out the dandelions by hand (also still war!), reused last year’s filter sand, and looked into seeds instead of plants. Little deviations add up, or in this case, don’t add up.

Third, we slowed down a bit temporarily by adding two weeks to one goal. We gave ourselves the option of either pulling from savings or sliding one of April’s goals out until May 15th. We think it will be met before that, but it allowed us to not pull from savings, and, for us, we chose the lesser of evils. Adding a little extra time allowed us to smooth the ride a bit and still meet the goal.

We made a course correction. We knew we were off track but we also knew it wasn’t a lot. We created a May goal to be back on original course by the end. We’ll still get to the same place at the same time, but the May goals will account for the storm we had in April.

Finally, we congratulated ourselves. By being stubborn, smart, strict, and creative, we absorbed $1,300 of extra bills, took no funds from savings, met April’s goals (except the one that we slid out for two weeks), and already have a plan to end May back on the original track (and when I get my full load of bee spray: Flight of the Valkyrie on level 10. Uh huh, smells like….you know…). It’s good to celebrate the little wins.

It hasn’t been easy or fun this month, but setbacks and storms are going to happen. It feels good to know we can weather a storm and regain true course. We might have been a bit too aggressive in our plans, and we’re talking about that. We had to remember that we created our goals, we charted our course, we want to be different, and we chose to journey out. We’re doing this for us.

We had to remind ourselves that despite the financial pummeling, we are doing it. Everybody has bumpy financial months, but at least ours are in relation to meeting some pretty cool goals. We are making progress, even if we got a little beat up this month. Getting most of the way there is better than getting none of the way there.

So we’re choosing to look forward and focus on the good. Look how far we’ve come in just (almost) 5 months! We’ve learned so much already. Here’s another plus one for us: our debt free date of September 30th, 2020 still holds.

April was a bumpy ride, but I’m still plotting a course towards a chartered catamaran and fresh swordfish.

Welcome to Middle Age Mark

Our Journey Begins, and boy are we excited!

It’s always nice to welcome someone when you first see them, especially when they come to your place; so, Welcome! Come in! I’m glad you’re here! Kick off the shoes, set down the load, rest the dogs.

I’m Mark, and that little hot thing I’ve got my arm around is my wife Rachel. Our full time home, or “The Big House,” is in the high-desert northwest. We’re on one-heck-of-a-cool journey, and I thought I’d enjoy writing about it as we go.

Blogging is new for me, like so many other things these days. I’m at a stage in life where documenting our adventures sounded like fun. The aforementioned adventure-journey is one of self-discovery, self-improvement, the pursuit of financial independence, and just plain figuring out who we want to be and what we want to do for the 3rd act of life.

A bit about me: I served 20+ years in the U.S. Coast Guard, and then had several shorter stints like hospice, insurance, and building cell towers. I now enjoy working in online public school education as a Master Teacher. After 13 years, it’s still a fascinating profession and always earns me the “…huh?” look when I tell people what I do. My “classroom” and meetings are virtual, and I get to work from home.

How cool is that? Yeah, I know.

I divide my time when not working between maintaining The Big House, reading, mountain biking, kayaking, fishing, riding my cool vintage Shadow, staying fit, enjoying a good martini (gin of course, and yes those last two can go together), drumming, and summers in our better-homes-and-garden back yard. I have a small side project in fitness coaching, too.

Resort De Plummer. We spend much of our summers here

Rachel is in medical management / consulting and she’s really good at what she does. She’s a consistent reliable source of good ideas, wisdom, healthy cooking, and killer one-liners. She gets jazzed by numbers (?) and loves spreadsheets (??), which comes in very handy when we’re strategizing on finances.

Rachel started a little side project a year ago, making personalized greeting cards in the renovated basement / art studio. We’re getting ready to do a few small trade shows to test the market.

We spend most every evening talking. Rachel gets home from her commute and I get out of the home office, we make a drink, and depending on the time of year, we either float in the pool or sit in front of the fire, talking about our day, things we read or heard, things we’re learning, hopes, dreams, plans, appointments – you get the idea. It’s our thing and my favorite part of the day (not just because of the martini, but I can’t say it’s not an aspect).

In January of 2019 we joined the ranks of the Financial Independence (FI) (FIRE) movement. That term can wear many hats depending on who you talk to, but for us it means being debt free with the exception of the mortgage and being able to leverage that freedom. Debt sucks and it’s a drag on life, literally.

We recently purchased a small vacation home in Mesa, Arizona (read: 640 sq. foot “Baby House” with a nice porch and our very own grapefruit tree). It’s in a cool resort where the people are even more cool and there’s tons of things to do. We’re in the beginning stages of downsizing. We sold the boat, the camper, and the roll-top desk. It was all part of our move towards being debt free, which we are aggressively pursuing.

Once we achieve zero debt, which is scheduled for September 30, 2020, our plan is to invest more heavily and be able to make some really cool decisions about the next phase of our adventure. (And by cool decisions, I mean a week for two on a chartered catamaran sans shoes, shirt, and worries. Or maybe a big fifth wheel, pulled by a big Ford 350 diesel, with a giant air horn, exploring the country. All prepaid in cash of course).

Retire is not a word that Rachel or I like. We both picture a crumb-filled recliner that tilts to one side and daytime TV. We like better the idea of being free to choose cool new ways to live life. We get jazzed about the thought of doing what we want to do, when and where we want to do it (like chartering a catamaran). It might even mean still working, doing something we’re passionate about. When it comes down to it, we’re happiest feeling useful and engaged.

Aside from financial achievements and cool dreams, my perspectives on things are changing as I enter mid life. At 57, some might say old age (do we even use that term any more, or did I just illustrate my old-age?), but people are living longer and staying healthier (both of which I plan to do), so I’m choosing to view my 50’s, 60′ and 70’s as middle age. Who’s with me?! 57 is the new 33!

Age brings with it experience, and experience hopefully brings reflection and learning. Learning allows for better choices and more cool new adventures without the “oops,” or as least with fewer and less painful “oops’s.”

Age also helps sift life down to the essential and important things, and it’s easier to focus on direction. It allows for a better sense of who I am and who I want to continue to be.

As Rachel said recently during one of our talks, “I like who I am. It’s working pretty well for me right now. I like where it’s taking me.” I could not agree more.

So, that’s kind of where we are and where we’re going. Thanks for reading; your time is valuable. Writing makes me happy, and maybe I can use this venue to help share some cool ideas and discoveries as we wend our way along this journey. I welcome you in. Lose the shoes. Stay as long as you’d like.