<aside> 💡 This activity page should act within Operating Principles and adapt with experience.
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This capitalist society we live in requires some care for money. Money dictates our social and physical wellness, and can be used to focus society toward our individual values. Bottom line: money is necessary, even if we use it to combat the shitty systems that make money necessary.
These facts are particularly evident as @Grace B. and I Cultivate Marriage Success. We are working together as partners to maintain fiscal responsibility, living toward our greatest dreams.
Our last major discussion was during our December 2022 Marriage Summit. We currently hope to have openness around both joint and individual spending habits without judgment (unless there seems to be a problem or disconnect).
Monthly Budgets($3898): Rent($1350), Groceries/Whole Foods ($500), Household Goods/Amazon($75), Utilities ($220), Entertainment ($150), Restaurants ($250), Car Insurance ($140), Gas ($100), Cow Cat ($250), Ubers and Parking ($120), $450 for Raise Happy Children, and Car Payments ($293.00 until $10k is paid),
Budgeting Flow: Blake and Grace fund Marcus account with $1200 each per month (monthly budget minus housing). Utilities are deducted from Marcus on the 20th of every month. Rent is paid to Blake on the 20th over every month from his Cap1 account as of January 7, 2023. Grace pays Blake $275 per month for rent ($400 pays for Blake’s insurance from Grace’s paycheck). Groceries/Whole Foods, Household Goods/Amazon, and Car Insurance is paid by the Amazon Card, which statement is deducted from Marcus. Other expenses are paid by whatever credit card we’re trying to get a bonus from. The person with the credit card is responsible for Venmo requesting the amount that needs to be split.
<aside> 💡 This is old thinking. For more up to date thinking see Buy/Build a House with @Grace B.
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The Gist: A house is an investment in a community for Blake and stable place for family for both Blake and Grace. The goal is not to lose money, but we also acknowledge a house may not generate income (we do not want to be landlords except for short term situations).
Blake wants a house near Audubon Park. Grace would like to figure out longer-term housing before pregnancy. Conversations so far have included the proposal that down payment would be majority on Blake and Grace would contribute through continuing rent (or slightly higher) monthly payments. Improvements and maintenance TBD.
Blake currently saved $200k for a downpayment/closing + $150k in IRA that can be used toward a house. He can afford approx $2k per month for additional housing expenses (with $55k/yr salary).
Grace currently has $15k for a downpayment/closing. $2k per moth for additional housing expenses. Would prefer to use less than $2k.
That means we have approx $215k for downpayment/closing and as much as $4k/mo for additional housing expenses.
The average single family house in our area is around $500k. At today’s rate (7.5%), the monthly cost of a mortgage would be $2,599. That means we can afford approx $650k house within our guidelines, if you include taxes and insurances.
Some concerns: