Happy new year to all you lovely readers! We didn’t do much for New Years Eve apart from playing some board games with friends and watching the fireworks on TV – I didn’t really think the London fireworks were as good as they were in previous years? (Unless I’m getting too used to them now!). Craig David did really well and he hasn’t changed one bit! 2019 was a great year for the business all in all and we look forward to what 2020 brings. As part of me is slightly concerned about Brexit, the other part is just get on with it / carry on type mentality in keeping the business going.
Anyway, here’s my list of 2020 Goals to continue on the journey of Financial Independence Retire Early;
- Invest maximum £20,000 limit into ISA (post April 2020).
- Achieve an average savings rate of £4,200 per month (net £50,000 per annum).
- Continue to update the blog / post updates on finances on a monthly basis.
- Re-Read Tim Hales Smarter Investing Book.
- Achieve an average savings rate of 55% throughout the year.
- Aim to pay off 50% of Zopa Loan to halve monthly payments. (This is my last loan / debt I have! – apart from my mortgage)
- Pay £3,600 extra against mortgage in 2020 (upping mortgage repayments by £300).
- Continue to put away (emergency fund) £150 into Premium Bonds per month.
- Plan out garden / vegetables and research into storage options.
- Build 2 additional raised beds in the garden for potatoes.
- Pay off tax bill (self assessment) in the usual fashion.
All in all I’m trying to get my savings settled down and remove this sort of ‘rush’ mentality from my head (wanting to save as much / as hard / as fast as I can). It’s a journey and a lengthy one at that and I don’t want to burn out with the process. Therefore my aim is to save £4,200 p/m (minimum) to net £50,000 annual savings each year – of course if there’s any change to the business / dividend allowance this may change / alter in the next coming months. I definitely want to take full advantage of the £20,000 ISA limit come April 2020.
So alternative goals are more to do with the garden! I love it – it’s great escapism from the computer screen and forces you to slow down a little. I’d like to read up more about vegetable storage options / crop rotation (to put nutrients back into the soil) and keep working on using the freezer to bulk grow certain veg (like tomatoes we did last year etc).
Here’s a fantastic 2020 to you all and good luck for the up and coming year!
Hi, I’m interested in this stuff too. I’ve recently read ‘Detox your finances’ by John Middleton and ‘Your Money or Your Life’ by Vicki Robin & Joe Dominguez. My situation is quite different. I’m retired on ill health grounds and feel quite stuck in my financial situation. So far I’m tracking my spending and paying off my credit card. It turns out my usual prudent spending and budgeting habits were on the money, so to speak. I’m saving into a world stocks & shares ISA, because long term the returns should be better. I’ve always had a budget and a reasonable handle on my spending. Keeping more detailed records is interesting. It means I was able to work out, that I had some spare cash to pay off a bit more credit card debt.
Hey Anna!
Thanks for dropping by – great shout on those books. Coincidence I’ve just bought ‘Your Money or Your Life’ after a friend recommended it to me! Looking forward to getting my head stuck into it!
Great to hear that you’re tracking your spending / getting those credit cards bills down!
Good luck in your journey!
Great goals. As a fellow SEO i’ve been following your financial blog for some time. Your savings rates have been incredible. Very well done indeed.
Out of interest what stops you from clearing the loan amount now? I assume the interest isin’t too taxing? Or are you preferring to stack up your investments?
Be keen to understand the rationale. Keep up the great work.
Hey Ryan,
Thanks for stopping by and thanks for the savings rate comment! I think I’ve really maxed out my rate without affecting the quality of my life to the point of having no spending money for hobbies etc.
With the new year comes a new self assessment tax bill which has now been cleared but a real dent to January’s saving rate.
Ahh nice! My reason for not clearing the loan amount is that the interest gained on my Index Funds far outweighs the 2.9% interest rate that I’m paying back on the loan. I’m using a mixture of side projects to help alleviate the payment of the loans such as matched betting. I have in total ?9,300 to pay off of the loan so not too much! And the best thing about Zopa is you can over pay it without having fee’s to pay!
Are you currently in the process of FIRE / journey to FI?