Retirement savings above $50,000--at least for now

My retirement plan balance went just above 50,000 for the first time*. Tomorrow could have it back under that amount, but it was nice to see it when I looked at my account this morning.

Still, it doesn't feel like enough. I've never made a salary above 38,000/year, yet I enjoy a higher standard of living than I would if I were single. Regardless, I feel a bit of pressure to save enough in my retirement account alone, to provide for my current standard of living during retirement. Something won't allow me to tell myself that I can count on J's retirement savings, too. I suppose in a way that's a good thing--it doesn't allow me to become too dependent or put off saving on my own, but I could deal without the stress and the worry that my standard of living is going to plummet in my later years.

It also doesn't help that there seem to be no general guidelines as to what a reasonable amount is for a person to have saved by a particular age. I suppose there's no good way to measure that--everyone's salary, needs and standard of living are different--but I wish there was some quick and easy way of determining just how well I'm doing at a particular moment.

*I began saving for retirement at age 29, long after I'd--egad--cashed out a retirement plan from my early 20s.

Frugality gone too far, circa 1832

I've enjoyed loading my PDA with several books from manybooks.net and Project Gutenberg; among them, The American Frugal Housewife, by Lydia M. Child, and Isabella Beeton's The Book of Household Management. I didn't imagine I'd be able to apply much of what I learned from them; rather, I wanted them for their entertainment and historical value. The Beeton book is an encyclopedic work that will take some time to get through, but the Child book was a quick, enjoyable read. My stomach took a turn upon reading this "tip," however:

EAR-WAX.—Nothing is better than ear-wax to prevent the painful effects resulting from a wound by a nail, skewer, &c. It should be put on as soon as possible. Those who are troubled with cracked lips have found this remedy successful when others have failed. It is one of those sorts of cures, which are very likely to be laughed at; but I know of its having produced very beneficial results.

Blech! Bet you wouldn't win many kisses putting that tip to use!

She also includes various remedies for "the piles," which I gather are hemorrhoids.

Retirement rollovers finally complete!

A few months ago I began the process of rolling over my sundry retirement accounts (2 at TIAA-Cref, 2 at Fidelity) into one account at Vanguard, where my current employer-sponsored plan is housed. The whole process was more difficult and time-consuming than I expected it to be, mostly because I wasn't quite sure whether to start with TIAA-Cref and Fidelity or with Vanguard. (Apparently a good rule of thumb is to start with the source who will eventually get the money, but for whatever reason, that wasn't the way it worked out for me. Fidelity, at least, wanted me to initiate the rollover with their forms.) And, it was further complicated by the fact that my old employer in Massachusetts had to sign off on part of the paperwork.

I looked at my Vanguard account online this morning to find that the last rollover had finally taken place! How nice to only have to look in one place to check on my nest egg.

My nest egg, by the way, is $48,434.88. That seems a little on the low side to me (I'm 35), but I don't think I'll be raising my contributions until I take care of some debt.

Early September 2007 Update

This ought to give you a picture of where things stand with me, moneywise:

1) I admit, I was a little worried about cash flow with the new mortgage, but things seem to be manageable. The biggest change is that we're actually using most of my salary, rather than saving it. Therefore, it'll take a bit longer to build back up our emergency fund. Thank goodness for fixed mortgages, however!

2) After much thought, I filled out an application for a new credit card with a 0% APR for balance transfers, and no fees. Unfortunately, they only gave me a limit of around $5300, which is not enough to cover the debt I'm carrying (approximately twice that). I may be getting to the point where I have so much available credit that new creditors are leery of giving me more, in case I suddenly decide to go on a spree. I transferred over as much as I could, but rather than try again with another card, I think I'll just suck it up and pay the remaining debt off at 10%. I'm still considering that one--I'm not terribly worried about the short-term impact on my credit score of applying for credit, but I just don't like the idea of multiple credit card accounts, period. Any thoughts/suggestions?

3) I thought I was being smart by stocking up at Costco close to my membership expiration date in July, and then renewing two months later. However, Costco technically doesn't allow that, though the woman who helped me was kind enough to change my renewal date to September. Just an FYI for you folks who might be considering the same thing--not sure how the other warehouse clubs operate.

4) We're receiving multiple collection calls for "Brandy and Nicholetta." They act like they don't believe that they have the wrong number and ask stupid questions: "Are you sure you don't know Brandy or Nicholetta?" I haven't quite figured out what to do about it. Interestingly, I get a bit of the same feeling I did when I actually was getting collection calls over 10 years ago--a bit of anger, helplessness and fear rolled into one. Not fun.

5) I've bought the Entertainment Book for 2008, and yesterday I got my 2008 edition of a local coupon book called the Chinook Book. I bought both for 2007 as well, and they paid for themselves in a short period of time.

6) I've been considering getting rid of my Swiffer Wet-Jet in favor of more ecologically-friendly options, but I figured I'd use up the rest of my pads and solution. Well, I finally used up the solution, but still had a ton of pads left. I've never been a big fan of the solution anyway, so I hacked the bottle: I drilled a hole in the bottom, filled it with a vinegar/castile soap/water solution, and plugged it with a rubber stopper. It works great! (You need to make sure the plug is a very tight fit. Other folks have done similar things with hose connectors, caps, and super glue.)

7) When we moved out of the rental, we had a balance due for our internet access. Qwest mailed us a check, which I didn't get around to depositing right away, and found too late that the check was void after 30 days. 30 days?! I called and asked them to reissue the check, which they did, but I wonder how much money they make off of people who don't deposit their checks but decide it's too much of a bother to call?

8) I've checked out a number of books from the library on saving money, simple living, etc. The last year has been very odd, and I feel like I've gotten off track. I haven't really been spending more, at least on unnecessary stuff, so maybe it's just a feeling of discomfort at carrying debt once again. (Or maybe I'm just bored? ) These books make me feel better, at least. Thanks to Get Rich Slowly for alerting me to a freebie.

Hope all of you are well!