2015 Goals!!

posted in: Goals | 6

?????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????My 2015 Goals: Save at least 60% of my income per month to put towards another income property and dividend generating stocks.

Right now I am 24 years old, engaged to a beautiful woman…. and living at home.. even though I own my own house. The first house I bought was a 3 unit apartment building, I have been able to keep 2 units rented while ive spent the last year completely gutting and remodeling the third apartment on my free time. With two units rented the property pays for itself. However within the next month or two the third apartment will be coming online and that when the cash is really going to start to flow. Ive done the math and figured out what I can spend per day, week, month…, I anticipate these next couple months to come in below 60% due to the fact that I have a few things to buy to finish the third apartment, but after collecting rent from the third apartment I should come out ahead.

My biggest goal is to save enough money to buy another 3 or 4 unit apartment building for me and my fiance to move into. Of the money I save each week $50 will be put towards dividend growth stocks. Not as much as I would like at this point but I can sense the lady wants our own place.

Heres the math:

Goals for Investment Money:

Income after tax: $573.54

Simple IRA before tax: $30 + $24 work contribution = $54 (separate from $573.54)

Objective: save 60% of income for investment purposes.

  • $573.54 / 7 = $81.93 per day
  • $81.93 x 30 = $2458.03 per month
  • $2458.03 x 60% = $1474.82 savings per month
  • $1474.82 / 30 = $49.16 savings per day
  • $49.16 x 7 = $344.124 savings per week
  • $81.93 – $49.16 = $32.77 expense per day
  • $32.77 x 7 = $229.39 expense per week
  • $344.124 x 52 = $17,894.45 savings per year + $2808 (IRA) = $20,702.45

Monthly Expenses:

Mortgage (PITI): $1137.01

Student Loans: $256

Garbage: $33

Utilities: $50

Rental Income: $1150

  • Covers Mortgage

To Cover Student Loans:

  • $32.77 x 30 = $983.10
  • $983.10 – 256 = $727.10
  • $727.10 / 30 = $24.24
  • $24.24 x 7 = $169.66 can be spent per week

To Cover Garbage & Utilities:

  • $727.10 – $83 = $644.10
  • $644.10 / 30 = $21.47 can be spent per day
  • $21.47 x 7 = $150.29 can be spent per week

Expected Future Income:

1 More Apartment being rented: $650/mo

  • $650 x 12 = $7800

6 Responses

  1. Wow, these are some extremely detailed financial goals. Congratulations on your engagement and the income potential of your 3-unit apartment building. As a 24-year old you’re well ahead of the curve by already thinking about these things, so I’m sure you’ll see plenty of success as you march forward.

    Best wishes.

    • Thanks w2r! I am shocked to already have comments on this website! I will be sure to keep updating my progress!

  2. You’ve set up some pretty detailed goals for yourself and I think that’s great. By knowing exactly what you seek to achieve it becomes easier to quantify and measure your progress. I have chosen to go the dividend growth route and prefer to focus my attention in that respect but if I were to get involved in real estate it would be exactly as you have done, a duplex, triplex property. Thanks for sharing. Look forward to seeing your dividend progress as well.

    • Thanks DivHut! Ive always had goals in other aspects of my life but in this sector ive never really written anything out. Its amazing to see the potential once you become aware of all the variables!

  3. I like how your financial plan is so detailed. The more details the better I guess because it’s easier to keep track of exactly how you’re faring. Have you thought about what dividend growth stocks you want to buy?

    • So far I have a position in CVX at 108/ share and AFL at 61/share…. I will mainly be buying dividend aristocrats.. Buffet said it best… buy the best companies at a reasonable price… Im not trying to find the new best tech fad. Right now on my watch lists are PM and MO the yeild is attractive and recent earnings have been good but I am not completely sure how I feel about the decrease in smoking rates affecting them…

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