Life's Little Roadblocks

So, I mentioned earlier that the Professor and I sold her car a few weeks ago.  Well, the pain of being a single car family and sharing a car for the first time in our adult lives has reared its ugly head.

First, on Sunday, we celebrated Mother's Day with BOTH mothers and families at my parents home.  A gerat idea and saved us from having to drive back and forth for dinner/dessert (the pain of Professor being the only child in the area).  However, my father and brothers asked me to go golfing in the early afternoon.  So, I drove out to PTHS and back home, then back towards VBCC and almost drove home to pick up my wife and return.  A lot of driving.  Professor's parents were gracious to pick her up and bring her to my parents in order to save one trip, but still an inconvenience to be dependent on someone else.

Then on Tuesday evening, while I'm on the bus to class, the Professor calls and tells me that she walked outside to flat tire on our Sonata!  So, her planned trip to yoga had to be cancelled as she waited for AAA and then had to take it to NTB.  Again, a major annoyance to be stuck because of only having one car.  Now, if we had two cars we could not have avoided the cost of the tire or the trip to NTB, but it could have been done on our time, and lessesed the inconvenience.

Sidebar:  Tires are expensive.  I've now purchased two new tires in less than a month and it just amazes me how pricey they can get.  I'm scared to think what the cost will be once we purchase a SVU later this year.  I'm thinking $200 minimum for one tire.  Good thing I have plenty of buffer built in around our budget - these one time expenses killed the car savings this month, but won't put us in a hole!

The Professor is also very savvy.  She complained about blowing out 3 tires in less than a year and received a $30 discount on the tire!!  They won't take advantage of that blonde again!!

Anyway, we both knew only having one car could create some headaches as we adjusted to it.  We'll both have to plan things well and be mindful of the other person.  Like, in two weeks, I know that Professor needs the car all day to take her National Boards!!  I'm already thinking of house projects I need to get to (light fixtures anyone?).  However, the savings will definitely be worth it when we purchase the Professor's new SVU and don't have to worry about crazy interest payments!  Car payments are not "good" debt.  The value of the car will NEVER increase and always decreases throughout the life of the car.

Payment Cycles

The professor made a comment a couple of weeks ago that has stuck with me for some time.  To paraphrase because I don't remember it exactly, "my first paycheck goes to credit card debt and my second is saving for a car!".  Now, generally, I'm excited that she recognizes the value in saving for a car she wants and being able to pay it off.  However, something else about the comment has bothered me.

That every paycheck has a purpose before it is even earned!  Debt.

It got me thinking about my payment cycle and how things get paid.  Almost all of our payments come due either the last week of the month or the first week of the following month.  So, there is a two week flurry in which we see massive debt paydown and bank transactions going on.  It is got me thinking though because it basically means (based upon my bi-weekly payment cycle) that my first paycheck each month goes to the credit card bill and utilities and my second goes to mortgage and student loans.  As the professor has already said, her first goes to Home Depot and her second goes to a car payment (future).

That sucks.  We work hard and make decent money.  It's kind of depressing to know a month in advance where my dollar are going and there's nothing I can do about it.  Perhaps I've mentioned it before and I know we could reduce our credit card bill and get some relief, but we've already done that and this past month there were extenuating circumstances (Charity donation, Medical Deductibles, Car tires). 

Ultimately, it goes back to the goal of being debt free.  We could free up $2,500 a month without any debt.  That's more money for a bigger house, bigger retirement, and bigger giving!!

It's probably also my fault that I refuse to touch our investments or other savings.  We could wipe-out all our debts right now if we chose to, but don't need to.  So, we're living paycheck-to-paycheck (in a manner of speaking).

June is a 3 paycheck month!!!  Booya!  The little things.  Life's a journey and building that paycheck is the drive I need. 

Side Hustle #1

I started a business.

On Sunday, I met a small group of 14 year old men at a High School for the first Speed & Agility Session.  I've known these boys since they were in 4th grade and now I'm helping them prepare for High School next year.

I created a 12 week program that introduces stretching, agility, and speed techniques to these young men.  For the time and efforts, I'm charging each participant $25/session or $250/year.  I had 6 young men come to the first session and the parents were very enthusiastic and expressed the possibility of more coming.
I don't own any certificates or degrees in Sports/Athletic Training, but I have done just about every workout in the book and have forgotten more exercises than most people have ever done.  Besides, I genuinely want to help these kids.  I am charging the parents because of the time it is taking away from my wife and the commitment that is needed.  Besides, I've made this unassociated from the elementary school so that it does not look like any conflict to my coaching.  At some point, I need to make more money to help bring down the Student Loan Debt and build more savings.  If I can do it helping kids I know and have experience with, it makes sense.

The price isn't outrageous, but it will definitely help our finances.  I've always said that the community of St. Louise is full of very successful people and I would be an idiot not to utilize them as I build my career.  I keep coming back to the school because it provided a great base for my future athletic and educational ability.  Now, I'm in a position to be able to help and maintain strong contacts with very successful people in the area.  It's a Win/Win in my opinion.  I don't think it is any different than my father soliciting parishioners he knows for Fish Fry sponsorships.  I'm actually putting more work in.

So, what to do with the Side Hustle Funds:
1.  Pay Down Student Debt.  30% of all income goes to Student Loans.
2.  Professor's New Car.  30% goes to buy Professor's Dream Car - hopefully can avoid future debt.
3.  Gifts.  Professor's Anniversary Gift.  For Being AWESOME!
4.  Anything left over will go to Home Depot bill.  I hate that debt.  0% interest or not, it's annoying having to pay them $1k a month.

As you can see - I'm not doing this for much fun - I created a hole by going back to school and would like to get out ASAP and BCK (Before Children Comes).

A Manly Weekend

Wow.  That was quite a weekend/Monday.  Let's start from the top and review:

Friday:  We sold Prof's (We had our first blog post by Professor last week!) VW Passat on Friday evening!  Finally!!  We met the lovely couple at the AAA center so that if they really wanted the car, we could get the deal done that day and not have another flaker like the divorcee from New Kensington (I knew I didn't like him).  That being said, the car sold for less than I had originally hoped for, but was definitely satisfied with the sales price.  The car was too old for anyone to fork over anything over $5k.  Although the KBB had it slightly over, I can understand why the market priced it a bit lower.  No love loss.  Now, Teach starts dreaming of her Acura!

Saturday:  ROAD TRIP!! The family traveled to Erie for the little brother's graduation ceremony from University.  Hurray!  Get a Job!  I'm been thinking lately about congratulatory gifts!  Teach and I were blessed with great friends and family at the time of our wedding and we love and want to reciprocate it back to them.  When does the giving stop?  Is life just an eternal merry-go-round of cash?  Let's think of all the gifts that social etiquette says we give:

Wedding gift
Housewarming gift
Retirement Present
Birthday Present
Graduation Present (at every level)
Baby Shower
Wedding Shower
New Job
Anniversary Gift

I'm sure there are a lot more.  Now, I've said my goal for living debt free is to be able to give and give to those in need.  However, I'm not sure passing $20 bills back and forth between friends and family counts. 

Sunday:  Started my Side Hustle!  I'll blog about this tomorrow! 

Professor and I also FINALLY installed the backsplash in the kitchen!  We wanted to do it 6 months ago when I installed the tile floor and we had the kitchen updated.  However, life gets in the way and Teach couldn't find a design that she really liked.  With basketball over, school on break, and the design picked - we made our way to Home Depot and gathered up all the materials.

I was very impressed by Prof's enthusiasm and vigor to work and get the project done.  Her level of involvement during the floor tiling and shelf installation was to yell score updates for the game on TV (Steelers and Pirates).  I solved that problem by asking her to bring down a radio!! (Ugh 5-0 loss though).  Anyway, she tackled the job head on and it went really fast with her help!  I'm going to assess the financial damage on the kitchen later this month, but now that it is done - I'm really happy with the results.  Probably could have knocked a wall down and gone big time, but for this house and for us - it's perfect.

Why I'm Psycho

Ok, other teachers might not be completely psychotic.

But we’re all flirting with it.

I, in particular, have noticed a steady decline in my sanity since I’ve begun teaching.  I can’t make friends the way I used to in high school or college.  People I meet for the first time sometimes frown when I’m talking, or tip their heads to the side politely like my dog does when I talk to her through a cardboard tube.  I talk to myself ALL THE TIME-- not just in the car like I used to before I started teaching. I can pretty much cry on command. 

Why has this happened?  My other friends who have begun their career paths have also reported an increase in stress levels since joining the “real world,” but none of them are crazy.  My mom raised three children (one being me, who spent my childhood doing things like drawing elaborate scenes on the underside of our couch cushions with Sharpies) and she’s normal-- even nice.  Barack Obama has a terrible job and he seems to keep it under control.

It’s teaching, my friends.

Reason #1: We are tired.

Have you ever had to give a presentation for school or work?

Do you remember the preparation you had to do for the presentation?  Creating a Powerpoint, doing research, making graphs, charts, handouts.  You had to practice your presentation, think about what you would say, what order you would say it in, etcetera.  You put hours of work into something that might take 30 or 45 minutes, tops.  After you gave your presentation, how did you feel?  Proud, right?  But probably exhausted?  In need of a stiff, celebratory drink?

Teachers give presentations for 8 hours a day.  5 days a week.  And we plan these presentations or grade papers or fill out inane paperwork or answer hundreds of emails or meet with crazy parents for another 10-15 hours on top of that weekly.  Yes, it gets easier with time and practice, but it never gets less tiring.  In fact, the longer I’ve been teaching, the better and more elaborate my ideas get, and the more tired I am.

I’m not trying to get you to create a shrine to teachers in your home or feel sorry for us.  (We know we’re awesome enough on our own without other people’s help.)  I just want you to think twice before judging me for forgetting to undo my seatbelt before getting out of my car in the parking lot at the bank and almost strangling myself. 

We’re tired, and being tired can make people crazy.

Reason #2: We are in complete control for 8 hours a day.

I think this is the main reason I’m psychotic.

After growing out of a frighteningly bossy childhood, I spent the latter part of my teenage years and my time in college being very complacent, warm, and receptive to others’ ideas and concerns.  You would have described me, for the most part, as “laid back.” “Easy going.”  “Johnny-come-lately.”* I was always totally fine with whatever the group wanted to do; more than willing to accommodate those around me. 

“Heck yes I’ll lend you my favorite shoes!”

“Oh, you’re out of bagels?  It’s cool; I’ll have the breakfast tacos.  My other fave!”

“Oh, no worries about the loud music last night, neighbor--  I eventually fell asleep after awhile.”

I am not “laid back” anymore.

First, you have to understand that I have created an environment, my classroom, in which I have complete control.  Over EVERYTHING.  Not only do my students behave impeccably this year, but they know how everything works-- from turning in homework (no wide ruled paper, proper heading, no hearts or abbreviations or emoticons) to asking questions (“Fellow classmate Raul, would you mind moving your head for one moment while I copy the notes on the board?” not “UGH I CAN’T SEE”;  “I’m having trouble understanding,” not “MISS I DON’T GET IT.”)  We even have a system where they ask to use the restroom silently. Everything operates in the most efficient way possible, which allows us to learn in the best way possible.

Then I leave school and enter the world, where I have no control.

It makes me sad.

What do you mean, 5th red light in a row?

What do you mean, “Sold out?”

What do you mean, sassy drugstore employee?

I am not simply annoyed by these things; I become livid.  I find myself saying, “I just don’t understand why _________________.”  It’s usually something to this effect:  “I just don’t understand why (I can’t have my way).”

I have no idea why I was single for all those years!

(This reason also explains why teacher professional development days, particularly ones with old teachers present, are a joke.  These teachers have been in control for 8 hours a day for YEARS-- God help the man or woman trying to tell them what to do or how to do it. It also explains why first-year teachers cannot control a classroom.  See any post from the 2010-2011 school year for proof.)

Reason #3: Our job is violently important.

(I’m on this kick of using “violently” as an adverb ever since I saw The Pioneer Woman use it to describe the movement of her back fat.  That, my friends, is prose.)

Sometimes I think that America forgets that teachers fill young minds with knowledge.   And if America does know that, I’m pretty sure they don’t really get it. 

It would be one thing if we were cranking out burgers or graphic tees or expense reports.  We could meet up with our friends or go to concerts on weeknights.  We could email our friends from our work computers, or take a long lunch, or maybe only put in 75% one day.

But we can’t.  We’re creating scientists, writers, historians, Nobel Prize winners, moms, dads, farmers, executives, counselors and teachers. We’re investing in our students, not as commodities to be shuffled through the conveyor belt, but as individuals with unique visions and gifts. Some of us are putting in 150% to make sure that these people will hopefully leave the world a little better than they found it.

That kind of effort and pressure would make anyone a raging lunatic.

But it’s something worth being crazy about.

Love,

Professor

May Challenge

The April Challenge was a HUGE success.  I made it the entire month without going out to eat lunch!  I even brought my packed lunch to the Chinese Take-In Group!  Overall, I think it was a great experience and really made me evaluate my grocery shopping and my needs.  I've packed the first couple days of May as well, so the trend continues.

The Challenge:  No Beer in May!  We're gonna pick it up a NOTCH!! BAM!!  I'm trying to think of better name, but, for now, I'm going to try and go the entire month without drinking beer.  I don't drink a lot of beer, but I've definitely gotten into a habit of having a beer or two on weeknights while watching TV, or enjoying one or 5 too many on the weekends.  So, in May, I'll be sticking to my other fave, Bourbon.

Obviously, this isn't much of a Financial challenge, but a personal one.  It's about living a healthier lifestyle and getting back into shape.  I worry about the old man gut (aka: beer gut) developing as I approach 30.  I'm still two years away, but, there's no reason I can't start now.  I may have to call Tony Horton and rejoin the P90X gym soon.

The Penalty:  For every beer I drink, I owe the Guilty Jar $2.  It's less than last month's penalty, only because the Challenge is longer and more challenging since it's everyday and not just work days.

I'll miss my old friend Sam Adams, but I'm looking forward to being more Mad Men-ish with my bourbon!

Coach

April Net Worth Review

It's been one month since we've taken a 5,000 ft fly-by of our financial progress.  So, let's review:

Cash - $26,095  (-$2,894)
Investments - $71,072 (+$5,540)
Home Value - $180,000 ($0)
Personal Assets - $28,250 (-$500)
Less: Liabilities - $175,410 (+$155)

Here's how it breaks down:

Assets -
Cash - A small decrease in cash as we made our annual IRA Contribution this year.  So, the decrease was expected.  To be honest, I expected worse since we made a $4,730 deduction in cash to make the contribution.  Otherwise, there weren't any real changes to Cash and the Car savings keep growing!

Investments - A nice increase to the retirement accounts this past month has helped ride out a down market in April 2012.  The IRA Contribution and 401(k) and 403(b) contributions easily canceled out a small percentage decrease in the markets.  I was very happy to see this because I had doubts because of all the doom and gloom in the Dow and S&P.  I guess this is a good lesson that by making consistent contributions beats the guessing game any day.  That being said, our II-VI stock performed horribly in April as it fell (13.7%) in April due to Q3 earnings release.  I expect better from them in the future.

Personal Assets - No major changes to our personal assets.  The house across the street with the exact same lay-out sold for $205k in April.  So, with the kitchen upgrades, the $180k is fair for now.  I reduced the value of the Prof's Passat because it looks like the Craigslist sales price will be between $4500 and $5000.  I had hoped for more, but being as old as it is has people hesitant to go above the $5k mark.

Liabilities -
Mortgage - $131,706 - Ugh.  Small incremental change.

Student Loans - $36,786 - 1 $500 payment at a time.  I did get my Undergrad loans to consolidate with graduate loans at a lower rate.  So, that's down to 1.5% - which is awesome.

Home Depot Credit Card - $5,770 - We bought a carpet for the bedroom, however, still on track to pay this down.

Anniversary Gift - I purchased a gift for the Professor for our Anniversary/Birthday.  It's pretty expensive and since its not July yet, I only put a down payment on it to hold it until closer to the real day.  So, I owe additional funds there.  This should be gone soon.

Total Joint Net Worth - $130,007!!

To be honest, I was shocked when I saw the amount of growth.  I'd been very apprehensive the last week about our finances due to all the charity events and unusual items that popped up (Medical insurance drives me crazy).  However, it was nice to see that without really changing anything, we were able to improve our Worth by $3k.  It's not great, but it's growth. 

I start my first side hustle job this coming weekend.  So, there should be further increase to the NW next month as I've already dedicated money towards Student Loans and Savings.