Where have I been?

To my embarrassment I’ve only posted once this month about our September numbers. Today marks the last day of this month and I haven’t posted anything else. So what’s up? Work has been crazy this past month so I worked a ton of extra hours and then when I get home, the last thing I wanted to do is to use my laptop some more.

Also since English is not my first language it’s taking up a lot of my brainpower to write posts. On the other hand this is not an excuse. There are plenty of other bloggers who also have busy lives and still manage to post on a regular schedule. It’s also a matter of priority. Amidst all the chaos from work I’ve chosen to spend my free time to exercise and still try to see friends and family as much as possible as a form of self care to help ease the stress. I don’t feel bad about that, but I do wish I posted more than once this month. So I’m going to try to do better next month! The work stress situation is still far from over, but I want to try to post at least once a week. Starting with our October numbers and we’ll see how it goes from there. I love the community feeling that other blogs have and I want to be a part of that so that is going to take some effort on my part. See you soon!

Monthly Updates

September Numbers

September 2017.jpg

This is our second monthly update where I share the most important numbers I try to keep track off. This month was a good month for us income wise. I received an extra €900 from a previous employer in back pay, so that was nice. Unfortunately it was also a very expensive month because we had to buy a new fridge and our trip to Berlin also cost us a pretty penny. OK, let’s dig into the numbers.

September Mortgage Numbers

Interest Only Mortgage €98.788 No change
Savings Mortgage* €80.000 No change
Annuity Mortgage €109.253,55 – €188,89 change from last month, just the regular payment
Lineair Mortgage €5.266,47 – €47.793,02 change from last month. BOOM! Our large overpayment of the equity from our previous home cleared.
Total Mortgage €293.308,02  
Savings Balance Attached to Savings Mortgage €13.822,12 + €192,47 change from last month
Total Mortgage incl. Savings in Savings Mortgage €279.485,90

26,55% of the mortgage is paid off, 73,45% is still outstanding.

The €80.000 mortgage remains outstanding until the end of the 30-year loan. Attached to this mortgage is a blocked savings account where you save for 30 years and receive the same interest as the interest rate that you’re paying on the mortgage. After 30 years there is €80.000 in the account and you pay the mortgage off.

Savings Rate*

September Savings Rate: 36,25%
Savings Rate 2017 Year to Date: 20,25%

Our savings rate in 2017 is not that impressive, because we had a lot of expenses in the middle of the year because of our move. Our savings rate for September also is not that high despite the unexpected extra income because of needing to buy a new fridge and our trip to Berlin.

* To calculate our savings rate I deduct everything we’ve spent in a month from our income. Divide that number by our income, and that gives us our savings rate. Not included in the savings rate are pension contributions because those happen before taxes and are mandatory.

Progress towards FI

In addition the mortgage numbers I also look at how far along we are on the path to be financially independent. Since we’re not investing that much just yet this is not a very impressive number. Using the 4% rule we are currently at 1,43% of the amount that we need in order to declare ourselves financially independent. That’s an 0,01% decrease from last month unfortunately. In order to calculate how much we need for early retirement I use the average of our expenses over the past year. So also here, our expensive month is showing up in our numbers.

How did your September Finances go? I’m hoping October is going to look a little better for us!