Why am I sharing this? As always, on the chance you are curious about what others do with their $$$. I’ll also share in separate posts what we are doing for 2019 and some tools or information sources I have found to be useful this year. As always, I’d love to hear what you are up to or any resources you want to share!
When I reflect on what we are doing financially, I give thanks to the Lord every day for provisioning us. Marcus and I try to keep up our end of the bargain by being mindful of what we have, and by paying it forward to those who need it through acts of philanthropy and service.
Our Total Savings Rate was 23.7% of our net income. This was broken out as 70% into our retirement accounts (Roth 401(k)s), 21% into cash and 8% into 529 savings plans for Critter and Glitter’s education. I know that only totals 99% – I didn’t want to get into minutiae of percentages so I rounded. I am sure you all understand and directionally get where we are going here.
Charitable Giving comprised 4.11% of our net income.
Pre-Tax Accounts. We continued to max out our HSA account because we have a high deductible health plan. As everyone knows, when you have little ones you go to the doctor a lot. So we spent all of it! We also maxed out our contributions to a dependent care FSA this year. As I am sure we all know, that comes nowhere near paying for our full daycare need, but being able to set aside some of that money tax free really helps.
You’ll notice that I did not list 401(k)s here. That is because we participate in Roth 401(k)s post-tax instead of traditional pre-tax 401(k)s. We also maintain separate Roth IRAs that we contribute to as we are able to in any given year.
Fin. I’ll post later this week/next week with our reality and plans for 2019 (Spoiler alert it involves doubling our daycare bill! Fun!).