Friday, June 13, 2008

My New Long Term Goal

While reading Get Rich Slowly this morning, which I've decided might be my new favorite website, I cam to the conclusion that I need a long term goal. A goal that I don't plan to reach for several years ... like 20 or something like that.

I want to retire no later than 50.

There. It's written down, plain and simple. And thanks to the great stuff over at GRS I think that I might be able to do it. I mean ... really do it. I want to be able to spend a big part of my life doing what I love to do the most - NOTHING.

I want to be able to sit around and stare at a wall if that's what I decide I feel like doing that day. I want to be able to get on a train and be gone for a week without worrying about whether or not I got my time out sheet to the secretary on time. I want to be able to do whatever I want when I want and I think the best way to make that happen is to take my destiny into my own hands and make this happen.

So how do I plan on doing this? Well, that's the hard part. And God only knows how much money I am going to need as I get older. As my grandmother so aptly put it in my 23rd birthday card I might end up being "one of the chosen ones" who lives FOREVER. My grandfather is going to be 102 years old next month and he is healthy as a horse and shows no signs of leaving us anytime soon. The reason my grandmother gave me such a happy birthday sentiment is that they are going to outlive their retirement savings. And Nana needs lots of pain medication and those cost a lot of money ... Papa doesn't need any medication. Like I said, he's healthy as a horse.

Ok, considering that I will be putting quite a bit more thought into this when I have the chance to sit down and really map out my plan, here is what my plan is (more or less):
  • spend less than I make and save the rest
  • invest!
  • start a 401k (I really hope Clickspeed offers them) or an IRA, some sort of retirement account
  • pay off all debts and cut up all credit cards (which I'm already working on)
I am going to spend some time this weekend talking to my dad about stocks that I might like to get into and maybe opening a mutual fund or something ... I don't know. Like I said, I need to spend some time really thinking this through. But that's the basic idea. I want to be done with working and being a grown up by the time I'm 50. Just in time to enjoy my glory years.

Also, I would like to tell everyone that I am going to be paying off my Macy's account in full this afternoon. I only owe them $94 and some cents and then I am done with them forever! YAY!! I am so happy because while I have never really had a problem remembering to pay my other credit card bills, for some reason Macy's always fell through the cracks. I have had to pay a bunch of late fees on this account and I'm sure that part of the reason my credit score is low is because of this damn Macy's card.

The only reason I got it in the first place was because in order to get your employee discount you have to charge what you buy. Those sneaky bastards knew exactly what they were doing when they made that policy. Sure, they give you a paycheck, but then you really are giving the whole thing back to them in interest and late fees. Bah Humbug is what I say to that sir.

So, once I get Macy's paid off I will only have 3 credit accounts left to pay off and a debt that I owe my parents but they aren't charging me an interest which is nice. And this is what they are:
  • Citi Card: $1,593.28
  • Capital One: $462.37
  • UMB (my bank's overdraft protection): $444.00
  • Mom and Dad: $1,790.00
I plan on paying down UMB first since I actually might need that sometime in the future (although I am going to do everything in my power to avoid needing to use it), then Captial One, Citi Card, and finally paying back my parents. Then it'll be all profits. WONDERFUL!

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