24, The Blank Slate - How would you mold me?
Hey Reddit, so I am looking for recommendations on how to best prepare for the future. I'm currently single, 24, making ~77,000/year before taxes and putting 8% into my 401(k) @ 4% employer match. I recently purchased a new 2015 Accord at 0.9% APR (for 6 years) with $14,000 still left to pay but my student loans are paid off. I'm sitting on roughly $40,000 in tangible assets through my savings account (I loaned and additional $12k to my mother which I won't expect to see in full for another ~5 years). I would like to purchase a house within the next 5 years or so I would probably be looking at spending around $165,000 (+/-15k).
My monthly expenses are as follows:
- $1,250 rent (includes all utilities from water, electric, washer/dryer, internet, etc.)
- ~$80/mo on gas for the car
- $75 cell phone
-
$250 groceries and necessities
- $100 for car insurance
- I generally pay about $350 or so towards the car each month even though my payment is about $175
- $60/mo for health insurance
- $12 renter's insurace
- maybe $100 for misc expenses for fun including food, wine, entertainment, etc
Essentially I end up saving about $1500 a month, excluding December for Christmas related expenses.
With my current goal of obtaining a house in the coming years, what do you recommend I do with managing my finances?
Thanks
Posted Feb 21, 2016, 9:41 PM UTC