Financial Decisions

Just my 2 cents, but if you are paying for the truck now and still able to put 25% in to savings, keep the truck. NOT having a vehicle is going to be a bigger pain than what you have now. If you sell your truck and get something cheaper, chances are you’ll spend more keeping it running than what your good, reliable Tacoma does.

Make the payments for another year, refinance it and drop your payment a little. Don’t do it for 7 years though. You can drive this truck for 15 years if you take care of it. Tacoma is a wise investment. You’ll kick yourself 3-4 years from now if you sell it and in a place to get another one. You’ll be saying to yourself...”If I had kept the one I had, it would be paid for!”

You have the land, so that’s not a worry. I think your wanting to move out now is a bigger issue than needing to get rid of your truck. If you can stay at home a little longer, do that. Whether you realize it or not, THAT is the smartest move you can make here. Stay there, pay off your credit card, then refi your truck and then start building. Patience is the most important friend you have right now. Be patient, be diligent and 3 years from now you will be glad you did.

 

Seriously??? Hasn’t done well? You are acting as though the guy is flooded with debt. If he can pay his bills and still put 25% of his income in the bank, he’s doing better than 90% of the population.

I don’t agree with anyone who says flushing money down the toilet is the answer. If he gets rid of the truck, everything he’s paid and the difference in what he owes vs gets for the truck will all be money lost. Absolutely NOT the answer. He already made the investment. Now he has to have a plan of attack. Pinching 10.00 here and 20.00 there is all he needs to do. Buying something cheaper will probably cost him more in the long run.

 

Check out mr money mustache. The dude is hardcore frugal, but his advice is sound and his numbers are legit. I do about 75% of what he has done and it is scary how well it works. I have a thermos and a water bottle... I barely ever buy coffee and when I do it's a refill. I quit drinking pop, that shit is horrible for you anyway. I make iced tea in the fridge for pennies. I usually pack a lunch and rarely eat out. The biggest thing I do is keep lists and keep all my stuff organized. This minimizes the number of trips I make out shopping. If it's not on the list or on sale at the grocery store it doesn't go in the cart. I plan meals for the week and eat the left overs. It literally saves me $500/ month with a family of four. Yes I ride my bike when ever I can. I now live on 60% of my family's take home income after paying off stupid shit and selling off other stupid shit. Don't sacrifice tomorrow's dream for yesterday's shiny new piece of Chinese plastic shit or a fancy phone.

 

His words, his explanations.

Agree he is better off than many. Doesn't mean that a little learning, tweaking and style changes won't accelerate his goal achievements.

 

That I 100% agree with. If he’s this paranoid now, he’ll be set when he’s in his mid 40’s like I am.

 

As he will in his mid 60's, as I am.

 

And you live in my favorite part of Florida. Tampa/Clearwater is nice.

 

I agree. I've lived in Pinellas Co. most of my life, either in St Pete or Clearwater. Lived in a couple of small N Fl towns a total of 8 years.

So I've seen a lot of change. A lot good, some not so good, just like anywhere.

Have no intention of leaving the county, although we are looking at a property in another community that we might move to. We are fortunate to be able to travel a good bit, and our current home requires we have someone monitor a few things while we are gone. Not too big deal, we have great neighbors who do it. But it would be even nicer to just lock the door and leave. And at the same time live in a 'lower risk' location/structure related to potential storm activity.

 

My dad lives in Indian Rocks. I said if I ever move to Florida, this is where it will be. More so Indian Rocks/Clearwater Side, but I do not have any real complaints about Tampa.

 

Damn Bill, I was just going to post the same thing. Smart advice indeed.

Dave Ramsey all the way. Look online, all you need is right there. It's all about discipline, willpower and process. It's actually how I and a few if my friends were able to kick the shit out of all our debt save our homes and fast on the way to eliminating that. Fully funded 401ks, 503s and IRAs. Get rid of the truck and don't buy the house until you can afford it. Afford doesn't equate to "qualifying for it" I know the world doesn't see it that way and that's why the world is fucked financially.

Financial freedom is true freedom. Think you own your home? Skip a payment and see if the bank calls.

You can do it but only YOU can do it. Look up Dave Ramsey and get started. Happy to chat on PM if needed. Good luck to you.

 

Very true... Debt is voluntary slavery. You agree to trade that much money aka work for that item. Houses, food, water, electricity... All good things. There are billions of dollars spent on marketing to make you hand over your money for their item. iPhone and Mac are the best I've seen. $1000 phone? WTF? I drive tacomas for their longevity and their resale. The truck may not be killing you but it's not helping the cause. At least you don't seem to be upside down on it. I can understand buying the land as they aren't making anymore of it and it sounds like it is where you want to live. Even building yourself is expensive as hell right now. Also go talk to the bank on how a home builder's loan works. They don't just cut you a check and wish you luck LOL!!! It takes $$$ up front to build.

 

I looked up Dave Ramsey and have been reading up. I'm doing okay as is, I just need to pay attention to every dollar spent and watch what I spend eating out and stuff on the weekends. And I have a budget tracker on my phone now, so that'll help some.

Yeah I'm not buying a phone that costs that much, that's insane. I'm perfectly happy with the phone I have. I've already talked to one bank that does construction loans, along with talking to my parents since they're both in the housing business so I'm aware of how it works.