We Have Four Children, Dwell in Maryland, and Make $240Ok/yr

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Welcome to YNAB Cash Snapshots—the place you see an actual image of another person’s finances and funds. They’re all nameless, as a result of sharing cash continues to be a squirrelly matter for a lot of, however we predict airing them out within the open makes you higher with your individual cash story. 

As you learn these budgets, remember the fact that some folks make numerous cash and a few folks make a bit bit of cash, however we all know it’s what you do with that cash and the way you really feel about that cash which means greater than any yearly wage. 

See how a pair in Maryland with 4 children making $240,000/yr spent their cash in April.

About

  • Names: Tina & Jeff 
  • Ages: 40 & 37
  • Location: Maryland
  • Jobs: Software program engineer and development mission supervisor
  • Dwelling scenario: Married with 4 children

Revenue: $240ok/yr

  • Tina makes $180,000 a yr as a software program engineer
  • Jeff makes $60,000 a yr as a development mission supervisor

Financial savings: $437,800

  • Financial savings: $7,800
  • Retirement: $430,000 

Debt: $607,000

  • Mortgage: $384,000 @ 3.875%*
  • Dwelling Fairness: $158,000 @ 4.25% (adjusting charge)
  • Jeff’s Automobile: $22,000 @ 2.74%
  • Tina’s Van: $20,000 @ 3.04%
  • Private Mortgage: $23,000 @ 5.99%

*I believe our unique mortgage for the home was $490Ok. We did a cash-out refinance to repay bank cards and do a toilet renovation about 4 years in the past, and selected to have the house fairness portion be bigger to provide a decrease rate of interest on the primary mortgage. 

April Inflows: $23,689

  • Tina Payroll: $13,188 (three-paycheck month!)
  • Jeff Payroll: $4,084 (paid on the first and 15th)
  • Jeff work mileage reimbursement: $494
  • Dependent Care FSA: $625
  • Complete Life Insurance coverage Give up*: $4,973
  • Women on the Run Program Refund: $225
  • Money rewards assertion credit score: $100

*In case your coverage has collected some money worth, you possibly can cancel the coverage and take the give up worth in a money cost. We took the cash and moved it to 529 plans/private mortgage.

April Spending

Catego­ry What
I
Spent
Notes
Debt
Auto Mortgage – CRV



$447
Auto Mortgage – Odyssey


1594092760 117 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$485
Sofi Private Mortgage


1595371996 700 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$3,166 The common cost for that is $1000.
HELOC


1594092760 749 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$725
Financial savings
Faculty


1594092760 403 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$2,492 Simply opened 529 plans! We’ll plan to avoid wasting $200/month right here.
Month-to-month Payments
Mortgage


On Headwinds and Tailwinds You Need A Budget.svg Giv.in

$3,046
Insurance coverage – Auto


1594525117 540 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$173
Insurance coverage – Life


1594092760 982 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$273
Utilities – BGE


1594525117 556 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$317
Utilities – Verizon


1594525117 119 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$80
Leisure – Xfinity


1594525117 882 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$198
Childcare
Nanny Paycheck


1594092760 970 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$2,633
Homepay charges


1595371996 548 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$230 Quarterly service that gives nanny with direct deposit payroll and W2.
Nanny Taxes $175 weekly


1595371996 583 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$700
Household/Family
Auto – Fuel


1594525117 824 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$93
Household Actions


1592621957 34 On Headwinds and Tailwinds You Need A Budget.svg Giv.in

$53 A part of this was renting Trolls World Tour…twice.
Household Eating places


1594092760 80 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$171
Household – Medical


1594092760 428 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$18
Groceries & Provides


1594092760 962 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$2,138
Dwelling Furnishings


1594525117 420 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$84
Dwelling Service – iCloud


1594525117 1 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$3
Dwelling Providers (different)


1595371996 283 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$7
Utilities – Water (Feb, Could, Aug, Nov)


1594525117 329 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$197
Reimbursable


1594092760 331 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$477 Mileage compensation, work reimbursements
Jeff
Jeff – Miscellaneous


1595371996 564 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$119
Jeff – Beer/Alcohol/Vape


1595371996 874 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$555
Jeff – Work Bills


1594092760 566 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$42
Tina
Tina – Work Meals & Espresso


1594525118 277 We Have 4 Kids Live in Maryland and Make 240Kyear.svg Giv.in

$22
Sarah
Sarah – Misc


1594092760 197 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$98
Sarah – Allowance


1594092760 916 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$41 Our youngsters get a month-to-month allowance. They’ve a separate finances in YNAB with their very own classes.
Sarah – Dance


1592621957 536 On Headwinds and Tailwinds You Need A Budget.svg Giv.in

$64
Sarah – GOTR


1594092760 352 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$113 Obtained a reimbursement as a result of this system was cancelled 🙁
Sarah – Summer season Camp


1592621957 34 On Headwinds and Tailwinds You Need A Budget.svg Giv.in

$365 We acquired refunded for this in Could. 🙁
Lilly
Lilly – Misc


1594092760 197 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$55
Lilly – Allowance


1594092760 916 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$91
Lilly – GOTR


1594092760 352 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$113
Lilly – Summer season Camp


1592621957 34 On Headwinds and Tailwinds You Need A Budget.svg Giv.in

$365
Maryanne
Maryanne – Allowance


1594092760 916 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$18
Edmund
Edmund – Misc


1594092760 197 We Live in Seattle With 3 Kids Making 120K a.svg Giv.in

$19
Whole Bills
$20,286

My Financial savings Classes

Proper now my high financial savings targets are:

Christmas. This one all the time sneaks up on me! Regardless of my pleas to “make christmas smaller,” it hasn’t labored and I simply have to plan for it.

Faculty. We now have 529 plans for all 4 of our youngsters. Initially, we acquired life insurance coverage insurance policies when my 10-year-old was born, and the rep informed us it was a great way to avoid wasting for faculty. After some analysis, we notice we must always have began with a 529. 

Household Trip. Sometime after the pandemic we hope to get again to Tenting at Hershey Park—our favourite household trip.

Household Photos. I like getting skilled pictures taken yearly.

My Month

Final month we spent a bit extra on groceries as a result of we did some giant instacart orders to keep away from going out throughout the pandemic. Though we began chopping again spending to get out of debt, it’s been simpler with all the things closed!

My Story

We’ve been very lucky to have excessive incomes. However, with 4 children and increasingly more and extra bills, we’ve discovered ourselves dwelling paycheck to paycheck. 

We might journey the bank card float (not even realizing that was a factor), using 0% bank card affords to purchase dwelling furnishings and Christmas. I attempted to make use of Mint to have a finances, nevertheless it was by no means useful at anticipating the non-monthly bills. Was $1000 a month of financial savings sufficient? Certainly that’s sufficient, I believed, however even that purpose by no means gave the impression to be met utilizing Mint. 

It was useful to have the spending knowledge from Mint once we moved to YNAB—although our YNAB conversion didn’t occur straight away. 

I began with YNAB in 2018 however had a lot hassle with not having the ability to fund all the things initially. It felt like I had no freedom in any respect. I attempted once more and subscribed final July. I’ve actually been taking a look at it each day and reconciling incessantly for the final Four months. So, you possibly can say my true conversion occurred in December. 

Utilizing a YNAB finances template, I decided that we want about $1,800 to fund our true bills every month (Christmas, summer time camp, auto repairs, water invoice, HOA invoice, and yearly subscriptions like Amazon prime, YNAB, TurboTax, McAfee). It’s a lot simpler to avoid wasting for them every month as a result of I drive myself to make them “inexperienced,” after which I cover the class so I gained’t steal from them.

Utilizing the finances template, I additionally decided we have been in a deficit, and there’s no method we might preserve the identical life-style with out going additional in debt. With a view to in the reduction of, we stopped a garden service that was $245/mo, I now not get our home professionally cleaned ($160/mo), I’m chopping my husband’s hair ($25/mo), and I depart my discretionary purchases from Amazon in my cart for 3 days (guaranteeing they’re budgeted for but in addition that I actually need them). I’m additionally making an attempt to repair our belongings or do with out earlier than shopping for a alternative.

Issues are going very well proper now as a result of we’re nonetheless each getting full paychecks throughout the pandemic. I do know there are such a lot of folks that aren’t, so we actually are so grateful for this. 

We’re off the bank card float fully and we now have the cash earlier than we spend it! We’re not fairly a full month forward, however we’re almost there. I’ve all the things set to auto-pay on the first of the month, in order that’s an thrilling day with the checking account. 🙂

My Monetary Targets

Whereas we nonetheless want my sister-in-law as a nanny, my purpose is to not go additional into debt. As soon as the kid care bills lower in a couple of yr and a half, we’ll have the ability to aggressively pay down debt and save for dwelling updates.

I’d charge my present monetary scenario: 3/5

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