Money discussion ~ considering starting savings and retirement and slower debt reduction.......

[Joanne]

 

Of course not. The second paragraph of my post says that. Pay less to the creditors while building the fund, and when the fund can cover three months' expenses those fund payments can revert to being used for higher payments to creditors.

 

 

 

This is a great idea for servicable debt levels, and maybe depending on age.

 

At my age, with my level of debt, I think that *abandoning* funding retirement and an increasing emergency fund is very possibly not the best use of my funds. At this point, we are not talking about major payments, anyway. They won't reduce debt by much, but if I don't start saving, I won't have anything. I am going to run out of time to save before I run out of debt.

[Durriyyah]

I'm sorry to hear how hard your situation is! :grouphug: I didn't read all the responses, so I apologize if this is a repeat.

 

I know it isn't looked highly upon, but do you think when retirement time comes you can live with one of your kids? I understand not everyone agrees with this, but this is not an uncommon practice around the world. There are many ways to work towards not being a burden, and keeping the lines of communication open but not overbearing. This way you can work and pay your way, but not have to come up with a complete house payment/rent. A few friends of mine have their parents or in laws living with them, and it all works out, plus the kids love have grandma and grandpa with them often.

 

Another option would be living with friends, an old family home that's paid off, or something like that. Then if you can even put away a small amount for retirement, it should get you by where you don't have to work -as hard- for such a long time. Just an idea. :grouphug:

[Soror]

Fwiw even DR says not to postpone retirement indefinitely if your debt repayment is going to take longer than a few years. I agree as well that I would consider bankruptcy if/when your dh stops accruing medical debt.

[Twigs]

no advice, just :grouphug: :grouphug: :grouphug:

[happyhomemaker]

I'd just like to say please don't put your cash somewhere in your house. Safety deposit boxes are cheap, and the peace of mind is worth it. I worked as a teller for a while years ago and talked to a client who had been wiped out due to a home robbery. Especially if money is tight and savings are precious, take steps to protect what you are able to save.

[Moxie]

Careful. Almost all the posts supporting Joanne in this matter/manner seem to have been deleted. :glare:

 

 

My post was deleted. I broke no rules. Not happy about that.

[idnib]

I also am wondering if you can live with one of your kids during retirement. (Not that you don't still need to save some.) In most of the world, including where my family comes from, having kids is the retirement plan! :) It's the natural outcome for all the effort and money you invested throughout your life.

 

Sometimes I think about what effect the creation of social security and retirement savings plans has had on the inter-generational family structure.

[Moxie]

Apparently you don't know my situation, or you have made some erroneious and inaccurate assumptions.

 

Years ago, I divorced from my children's abusive father. He then plunged the family into a custody battle that lasteed years. This, in combination with a reduction in child support to $400 a month and an eventual total lapse, caused a foreclosure on my home. In the meantime, I worked many jobs, including teaching additional children, working for the YMCA, working for a local company that provided free poker entertainment in local bars, and cleaning buildings.

 

A local second generation homeschooling family had also been teaching additional students. Her mother had started a homeschooling store; she eventually started offering homeschool enrichment classes. This became a cottage school, which became a full school. I joined the team as the 7th through 12th grade Language Arts teacher. 2 of my children attended the school as part of my compensaton.. The other child was required by a mediated agreement with his Dad to enter public school. I live in Katy, Texas. They are known to have an excellent, award winning public school system. That system would not honor my son's homeschooled 9th grade year (Though he had outsourced math and biology, and I used Sonlight, and had excellent documentation). In spite of accepted standardized testing (Iowa and Stanford), they put him in 9th grade again.

 

This same school district won't honor the transcripts and credits of the private school (we are now in an accreditation year.) I work at the school so that my children get the needed education and so that they don't get penalized and have to spend more years in school than their academic history dictates.

 

It seems to me that finding a way to fund it without paying IS creative budgeting.

 

Eventually, I returned to school to earn my Master's degree. While a full time student, I worked several jobs, homeschooled my and other kids. I spent the last 2 years of my Master's degree working 3/4 time at the my kids' school and full time at my graduate school (which after 1 year allowed for free tuition for me and my husband).

 

As far as my neighborhood, I live in the lowest type of neighborhood I can and still be safe. It is 1100 square feet for 5 adult sized people. My boys share a room, and for a while, shared a bed. The house is deteriorating at an accelerated rate due to age and a landlord who does not invest in proactive care. I have identified at least one drug house. I moved here after my husband's health tanked and I needed to get him back into a county in which I could have access to cheaper healthcare. However, his health situation created many medical bills, and at times, continues to create bills because he can't get the specialized care he needs at the hospital associated with his "free" care. In addition, there are times that his acute episodes dictate I call 911; they won't take him to the hospital district hospital, they take him local which incurs bills.

 

The luxuries I have are smart phones; getting out of that contract costs a chunk of money I don't have. Not having cell phones is not an option.

 

I am not working to fund "lifestyle choices". Riding a bicycle for 3 professional level jobs in metro Houston is not feasible. Your friends' situation with being an Adjunct Instructor is not mine. I am accepting an additional class for Spring term, which will double my income from this source and fund one of the vehicles you are critical of.

 

Monday through Friday, I work from 7:00 am to 9:30 pm. Now that I've been promoted, I often go in on Saturdays and starting January, I will teach a course on Saturday.

 

Your ideas and attitude emerge from somewhere; but are not a match for my situation. It wasn't a JAWM post; but I don't need the spend less, earn more ideas. I've LIVED it. I was posting for feedback on personal finance theory. I'm not sure paying off debt and not funding a decent emergency fund and retirement are prudent in a case like mine.

 

"Enjoy your life" is a unique kind of jab. I am glad I work at my kids' school (the oldest is there now through a ironic twist of fate); I see them those mornings. My husband is dying a slow, tortuous death that heavily impacts all involved in many, many ways. My children have heard "no" many, many times and have taken the reality of our life with grace, maturity, and humor.

 

I have been steadfast and persevered; but I have also been plunged into depths of despair I don't post about.

 

Given your perspective, I don't expect you'll revisit your assumptions about me and my choices. I'd like to ask, then, that you consider no longer contributing to this thread.

 

You owe her no explanation. Haters gonna hate

 

Make your decision based on what you think is best for your family, not based on what someone on the radio says. I'm a huge DR fan but, guess what?? I'm about to buy a house while we still *gasp* have SL debt. It is what is best for our family.

 

:grouphug: :grouphug: :grouphug:

[QueenCat]

:grouphug: :grouphug: Joanne :grouphug: :grouphug:

[idnib]

 

You owe her no explanation. Haters gonna hate

 

Make your decision based on what you think is best for your family, not based on what someone on the radio says. I'm a huge DR fan but, guess what?? I'm about to buy a house while we still *gasp* have SL debt. It is what is best for our family.

 

:grouphug: :grouphug: :grouphug:

 

I agree. I love DR's plan. But I think of it as something that will work every time it's applied, but cannot be applied every time.

[Scarlett]

 

 

My post was deleted. I broke no rules. Not happy about that.

 

I can't figure out which post of mine was deleted. I am pretty sure I siad nothing wrong.

[Dana]

I can't figure out which post of mine was deleted. I am pretty sure I siad nothing wrong.

 

I like the spam to just disappear, but I can see confusion and frustration when posts just are deleted. I like how on the old boards they'd show that a post was deleted and occasionally say WHY it was deleted.

 

Vanishing posts without commentary does nothing to prevent similar issues from happening in the future.

 

 

(on topic) Joanne - you're showing incredible grace here. I'd be trying to save for an emergency fund and maybe for retirement, but I'd talk with a financial consultant as well first. If you declare bankruptcy for the medical bills, would the retirement still be there or would it be taken? Kind of pointless to save if you can't be sure the money stays yours.

 

If you do go with an IRA, Vanguard has low fee funds.

[kitten18]

I've got nothing. Just hugs. :grouphug:

[Sugarfoot]

Well I think you really need professional advice. I totally agree that saving for the future should be a top priority at this point in your life. Honestly, I think you should find a reputable attorney who specializes in medical bankruptcy and run all of this by him or her. I totally get that you want to pay back your debts, but I think that letting a third party help you do that in a way that you could actually afford may be your only option. Yes, it might stick around for a few years, but those years will go by anyway, either with the bankruptcy on your record or $100,000 of debt on your record. And who knows, you may be able to explain your unique situation to lenders later anyway.

 

I guess I see it this way:

 

Start saving now for emergencies/unexpected expenses. Seek professional advice from a reputable source. Keep paying the minimum on the 0% credit card balance.

 

When Adrian's care is fully funded by Medicaid, etc. (soon, hopefully?) move forward in dealing with the medical debt in whatever way you decide and begin to fund actual retirement accounts.

 

:grouphug: