Reader Case Examine: Empty Nest in Denver, Transferring to The Dominican Republic?

Leigh is a diabetes educator residing in Denver, CO. Her youngsters are on the cusp of maturity and she or he’s trying round her soon-to-be empty nest, contemplating her choices. She’d prefer to downsize to a smaller residence in her similar Denver neighborhood and is interested by exploring the potential of shopping for a second residence in The Dominican Republic. Leigh desires to proceed her work, a ardour she feels known as to, however would get pleasure from decreasing her hours. Let’s assist Leigh work out this subsequent chapter of her life!

What’s a Reader Case Examine?

Case Research handle monetary and life dilemmas that readers of Frugalwoods ship in requesting recommendation. Then, we (that’d be me and YOU, expensive reader) learn by means of their state of affairs and supply recommendation, encouragement, perception and suggestions within the feedback part.

For an instance, take a look at the final case research. Case Research are up to date by contributors (on the finish of the publish) a number of months after the Case is featured. Go to this web page for hyperlinks to all up to date Case Research.

The Objective Of Reader Case Research

Reader Case Research intend to spotlight a various vary of economic conditions, ages, ethnicities, areas, objectives, careers, incomes, household compositions and extra!

The Case Examine sequence started in 2016 and, to this point, there’ve been 78 Case Research. I’ve featured of us with annual incomes starting from $17k to $200k+ and internet worths starting from -$300k to $2.9M+.

I’ve featured single, married, partnered, divorced, child-filled and child-free households. I’ve featured homosexual, straight, queer, bisexual and polyamorous individuals. I’ve featured ladies, non-binary of us and males. I’ve featured transgender and cisgender individuals. I’ve had cat individuals and canine individuals. I’ve featured of us from the US, Australia, Canada, England, South Africa, Spain, Finland, Germany and France. I’ve featured individuals with PhDs and other people with highschool diplomas. I’ve featured individuals of their early 20’s and other people of their late 60’s. I’ve featured of us who dwell on farms and people who dwell in New York Metropolis.

The purpose is variety and solely YOU might help me obtain that by emailing me your story! When you haven’t seen your circumstances mirrored in a Case Examine, I encourage you to use to be a Case Examine participant by emailing your transient story to me at mrs@frugalwoods.com.

Reader Case Examine Pointers

I in all probability don’t must say the next since you of us are the kindest, most well mannered commenters on the web, however please observe that Frugalwoods is a judgement-free zone the place we endeavor to assist each other, not condemn.

There’s no room for rudeness right here. The purpose is to create a supportive atmosphere the place all of us acknowledge we’re human, we’re flawed, however we select to be right here collectively, workshopping our cash and our lives with optimistic, proactive recommendations and concepts.

A disclaimer that I’m not a educated monetary skilled and I encourage individuals to not make severe monetary choices primarily based solely on what one particular person on the web advises. 

I encourage everybody to do their very own analysis to find out the perfect plan of action for his or her funds. I’m not a monetary advisor and I’m not your monetary advisor.

With that I’ll let Leigh, in the present day’s Case Examine topic, take it from right here!

Leigh’s Story

Leigh portrait 2022, drawn by a affected person. I like working with children!

Hello Frugalwoods, I’m Leigh and I’m a 49-year-old diabetes educator residing in Denver, CO. I’ve been amicably divorced since 2019, when my associate and I made a decision that our child-raising was largely completed and we have been coming to a pure finish of our marriage. Our children are 21 and 19, and are my greatest pleasure and precedence in life. Getting them launched properly in life with assist, love, and as a lot steering as attainable, has been my primary precedence for a few years. After we divorced, I purchased my associate out of his fairness in our residence so I might maintain the household residence. It’s the one residence my children have recognized since they have been 6 and 4.

It’s been a terrific state of affairs for the previous few years, as my children have been residence greater than I ever anticipated (attributable to COVID and distant studying being in impact for every of them at completely different occasions). I’ve additionally actually loved having our residence be an area for them to relaxation and calm down throughout their faculty summers and breaks. My oldest graduated with their BA a couple of months in the past, and is at present residing at residence and making use of for grad faculty to start out within the fall. They’re pleasant and I’m having fun with what will be the final time they dwell at residence for an prolonged time! My child is a sophomore in faculty finding out engineering at a state faculty, and lives at college with their roommates. I’ve two senior cats, George and Lucy, who’ve been our household pets for a few years, and provides me a lot enjoyment, particularly with the periodic empty nest I’ve skilled over the previous few years.

Leigh’s Group and Hobbies

Along with my great children and a job I actually love, I really feel fortunate to dwell in a neighborhood of fabulous neighbors. We’ve got ebook membership, coffees, a neighborhood park, library, strolling trails, and a neighborhood of caring individuals. Anybody in my circle who wants meals, pet-sitting, or simply basic care will get taken care of by a loving group of neighbors. My cat-sitter lives down the road, I bartered yard work in trade for storing a neighbor’s trailer on my further parking house, I learn over 50 books per yr totally free courtesy of my library department’s fabulous inter-library mortgage system, and I stroll most days when the climate is good and see neighbors out doing the identical. I’m additionally very lucky that two of my sisters dwell close by and we see one another regularly and are a beautiful assist system for each other.

My hobbies are studying, climbing, meditation and yoga, watching nice sequence on Netflix, and consuming espresso and/or wine with associates. I’m grateful to have a wholesome physique and a wholesome neighborhood. Colorado has so many hikes and I’m having enjoyable exploring completely different ones! I additionally love thrifting and am extra dedicated than ever to purchasing most issues ethically or second-hand.

Certainly one of my greatest passions is journey to the Dominican Republic. I’ve been going to the identical space for a few years and have developed a love for my associates there and the individuals and tradition. I hope to dwell there part-time after I retire, and considered one of my objectives for the subsequent 5 years is to purchase both land and construct a house, or purchase a house, and spend a few weeks per yr there with my associates who are actually like household.

What feels most urgent proper now? What brings you to submit a Case Examine?

1) Profession:

Leigh’s midlife disaster tattoo, “love”

My profession is fulfilling and I like what I do. I’ve no plans to retire early at this level. I’m at a beautiful diabetes middle with a terrific neighborhood and, as a pure helper and educator, I really feel a powerful sense of mission and objective in my work. I’ve at all times been a bilingual (Spanish) educator so I really feel notably known as to working with our Spanish-speaking purchasers.

Previous to my divorce, I labored three days per week, for a complete of 30 hours. I’ve been lucky to maneuver to full-time work inside my present place; nevertheless, I miss the flexibleness and additional day without work I loved after I was working 3 ten-hour shifts every week. I moved to full-time to have the ability to afford all my bills, notably my mortgage, and really feel fortunate to have finished so over the previous couple of years. Nonetheless, with the current modifications in my mortgage, in addition to potential future downsizing, I’m wondering if I would return to my lighter work schedule.

If I decreased to 30 hours per week, my wage can be $3,300/month.

2) Downsizing:

My different query, basically, has to do with ultimately downsizing. My purpose, because the divorce, has been to maintain the home till each of my children are in their very own locations and graduated from faculty. My dad and mom at all times allowed me to maneuver residence throughout faculty and I so appreciated this stability throughout a time in my life that was stuffed with change and I hope to proceed to supply this for my younger grownup children. Additionally, I’m very connected to my home and my neighborhood. And there aren’t many smaller locations close by. Denver’s housing market is insane proper now, the costs are excessive throughout the board and there’s a really small stock of houses on the market. Individuals are usually telling tales of sellers having a number of money provides for properly above asking worth. Whereas this may be superb for me on the promoting finish, it might be troublesome on the shopping for finish. Moreover, I’d desire to remain in my home for at the least one other 2 years, till my child has their BS diploma accomplished. Plus I’m choosy about staying adjoining to my present neighborhood, as that is the place a lot of my shut neighborhood is.

My house is estimated to be price $630k-650k. Denver residence costs are bananas proper now! I purchased this residence in 2007 for $290k. The townhomes I’m interested by are within the $550k-$600k vary. Additionally bananas. I’m fairly ambivalent about downsizing proper now given the excessive worth of a townhome.

3) The Dominican Republic:

In considered one of my most cherished locations, the Dominican Republic, visiting family and friends

Associated to this query is my need to probably purchase or construct a small place within the DR. I believe it may be attainable prior to I believe, though I’m a fairly risk-averse particular person. However a lot of my associates who dwell there are in building, so I believe I might rent a few of them. I additionally surprise about hiring a few of my associates to be caretakers of the house and presumably utilizing the house as an AirBnb. I do know nothing about any of this and haven’t finished a lot analysis–I’m within the “dreaming” stage at this level.

A pricey relative handed away throughout COVID and left me a big inheritance. I’m so appreciative of this unbelievable generosity, and used the reward to repay my mortgage. I now have the peace of thoughts of proudly owning my residence and never having to fret about paying my mortgage funds! I acknowledge the immense privilege of this case and am grateful for my household.

What’s the perfect a part of your present way of life/routine?

• Working 4 days per week at a job I like and really feel known as to
• Well being and bodily talents: climbing, yoga, walks, and sustaining my residence and yard (with some assist from Process Rabbit contractors)
• Children who’re doing properly and thriving in class and life
• Pals close by for hangouts deliberate and spontaneous
• Being answerable for my very own private funds and house. I like a tidy residence house and am a homebody at coronary heart
• Reference to my sisters
• Yearly journey to the DR (paid for final time with bank card factors)
• A few yearly smaller journeys to see associates in CA and NM
• Time to learn

What’s the worst a part of your present way of life/routine?

The place Leigh Desires to be in Ten Years:

1)    Funds:

• Saving sufficient for retirement
• Not careworn about daily bills
• Dwelling in a smaller residence that’s close to my present neighborhood

2)    Life-style:

• Working at my present job
• Touring extra usually to the DR
• Climbing and catching up with associates each regionally and in different areas
• Having fun with my grown children, sisters and prolonged household

3)    Profession:

• Persevering with to excel in my profession and to have interaction with my sufferers and colleagues

Leigh’s Funds

Revenue

Mortgage: none, paid off

Money owed: none

Belongings

Automobiles

Bills

Credit score Card Technique

Leigh’s Questions For You:

1) Is my timeline of planning to downsize to a smaller residence in two years affordable? Or ought to I do it sooner?

• My present house is estimated to be price $630k-650k. I purchased this home in 2007 for $290k. My mortgage is paid off.
• The townhomes I’m interested by are within the $550k-$600k vary.

2) Can I afford my Dominican Republic dream residence?

3) Can I afford to chop again to 30 hours per week?

• If I decreased to 30 hours per week, my take-home pay can be $3,300/month.

Liz Frugalwoods’ Suggestions

I like that Leigh got here to me for a Case Examine at this juncture in her life. She’s finished a terrific job together with her funds up thus far and I’m assured we might help her chart a sustainable path ahead. I believe the overarching theme for Leigh is that she will be able to do a number of the issues she desires to do, however not all of them, and never all on the similar time. Let’s discover!

Leigh’s Query #1: Is my timeline of planning to downsize to a smaller residence in two years affordable? Or ought to I do it sooner?

Leigh’s favourite mug- given as a present by her oldest baby, a motto for all times and motherhood.

It is a powerful one. Usually, downsizing saves you cash, however on this case:

1. Leigh’s home is paid off and represents a big proportion of her internet price.
2. Smaller houses in her space price virtually precisely the identical quantity as her present residence.

On condition that, there’s actually no profit to downsizing.

Sometimes, the explanation to downsize is to unlock extra of your property as you age: you don’t want as a lot home, so that you promote your huge home and purchase a less expensive, smaller residence. However in Leigh’s desired space of Denver, she’d primarily get a smaller home for a similar worth, with all of the hassles and bills of promoting, shopping for and transferring. I perceive the need to dwell in a smaller place, but it surely doesn’t look like there’s any monetary upside to doing so. If something, it’d be a monetary detriment.

Nonetheless, if Leigh is ready to discover a smaller place that prices WAY lower than her present residence, that will probably be a terrific monetary resolution. If, for instance, she needed to promote and transfer to a decrease price of residing space, that might work in her favor. It’s a vendor’s market and it’s exhausting to say what’s going to occur with housing costs sooner or later.

One other thought: if Leigh actually desires to unload her home throughout this scorching market, she might promote it after which hire a smaller place till she finds an reasonably priced smaller residence to purchase. Nonetheless, that entails a good quantity of disruption with no assured pay-off.

Leigh’s Query #2: Can I afford my Dominican Republic dream residence?

I don’t know. We don’t have sufficient data to adequately reply this one. It is a nice space for Leigh to dig into analysis!

1. 

   Summer season entrance porch studying at Leigh’s home

   How a lot are houses within the area she’s interested by?

2. Would she qualify for a mortgage within the DR or would she want to purchase a house in all money?
3. How a lot are taxes and insurance coverage on a house within the DR?
4. What are the opposite authorized ramifications of proudly owning a property there?
5. How a lot would it not price to rent a caretaker to look in on the house whereas she’s in another country?
6. What are the legal guidelines governing AirBnB leases (referral hyperlink).
7. How a lot might she hire the property out for?
8. How a lot is a cleansing service for cleansing the property in between friends?

Heaps to discover! If Leigh runs the numbers and is ready to buy a property that will be a cash-flowing funding, that could possibly be a terrific possibility. Nonetheless, she will be able to’t–at current–afford the carrying prices of two houses that don’t generate income.

The opposite consideration is whether or not or not she’d have the ability to hire out her Denver residence whereas within the DR? It’s a tricky monetary proposition to personal two houses and have one standing empty when you’re on the different. On the very least, she’d must hire out one–if not each–to remain solvent.

Additionally, if Leigh continues to be working full-time, I’m questioning how a lot time she’d have the ability to spend within the DR? If it’s only a week right here or there, I’m wondering if it wouldn’t be cheaper (and much much less problem) to hire an AirBnb/lodge room for these visits? House possession is an enormous expense and problem, and I wouldn’t enter into it until there’s a compelling cause–monetary or in any other case–to take action. If, then again, she intends to spend an excellent portion of the yr within the DR, may it take advantage of sense to promote her costly Denver residence and hire whereas she’s within the states? I believe figuring out how a lot time she’ll spend in every area will assist inform her selection.

I’m a fan of long-term analysis and dreaming, so I believe Leigh may be very sensible to start out contemplating her choices now.

Leigh’s Query #3: Can I afford to chop again to 30 hours per week?

A wonderful fall, mountain move hike in Colorado.

This relies on what she decides to do relating to her Denver residence and her DR dream residence. Once more, it’s a query of with the ability to do some, however not all, of her desires.

Let’s break down the numbers:

• Leigh’s present month-to-month take-home: $4,458 (I’m omitting the month-to-month baby assist fee since she famous that can finish when her youngest graduates from faculty)
• Leigh’s present month-to-month spending: $3,601
• Leigh’s month-to-month take-home if she decreased to 30 hours/week: $3,300

At her present spending degree, a decreased wage would put her at a $300 deficit each month, which isn’t tenable. Nonetheless, if Leigh is interested by decreasing her month-to-month spending within the following discretionary classes, for instance, she’d have the ability to break even on the very least:

• Eating places: $230
• Trip: $120
• Items: $103
• Miscellaneous: $87
• Therapeutic massage: $60
• Clothes: $52
• Wine: $45
• Pedicures: $40
• Espresso: $40
• Haircuts: $15
• House Decor: $15

Sightseeing within the Dominican Republic

It’s a query of trade-offs and of what Leigh most desires to do. I’m assured Leigh might make her month-to-month bills work if she chooses to go all the way down to 30 hours per week, partially due to her detailed, rigorous expense monitoring.

The extent of element she offered exhibits that she is certainly monitoring her spending each single month, which is the one strategy to create an correct image of your annual spending and the way it fluctuates all year long. Very properly finished, Leigh! When you’re not monitoring your spending in granular particulars, I take advantage of and suggest the free service from Private Capital (affiliate hyperlink). Right here’s my full write-up on why.

One other key query is whether or not or not Leigh’s employer provides a match on her 401k contributions and if she would nonetheless qualify for that if she decreased to 30 hours?

Let’s spend a while looking at her property.

Leigh’s Belongings

As I discussed, Leigh’s major asset is her paid-off residence, which is valued at $630k-$650k. Setting that apart–since she’s residing in it–Leigh’s property whole $554,014 and are damaged down as follows:

1) Retirement: $374,064

Appetizers for dinner

Leigh is on monitor for a conventional retirement! Superior work, Leigh! Let’s examine in with our retirement rule of thumb:

Goal to avoid wasting at the least 1x your wage by 30, 3x by 40, 6x by 50, 8x by 60, and 10x by 67 (Constancy).

Since Leigh is 49, we’ll go along with 6x by age 50, which might be [($4,458 x 12) = $53,496] x 6 = $320,976. Perfecto!

Leigh must also go forward and calculate her anticipated month-to-month Social Safety funds by following these directions on easy methods to retrieve her earnings tables from ssa.gov (the federal government’s Social Safety web site). Figuring out the greenback quantity she will be able to count on to obtain from Social Safety each month is a useful consider her retirement funds. Common observe: Social Safety advantages improve the later you begin taking them.

2) Money: $33,950

Leigh has a sturdy emergency fund right here, which is commendable! An emergency fund is money–held in a checking or financial savings account–that equals three to 6 months’ price of your bills. Leigh spends $3,601 per 30 days, which suggests she ought to goal an emergency fund within the vary of  $10,803 (three months’ price) to $21,606 (six months’ price).

My query: why is that this unfold throughout three completely different accounts? If it have been me, I’d consolidate to at least one high-interest account. Leigh famous she’s not incomes any curiosity on this cash, which is a misplaced alternative. Despite the fact that you’re not going to earn hundreds of thousands of {dollars} by means of a high-interest financial savings account, you may as properly earn one thing. One thing is best than nothing! All the time query in case your cash isn’t incomes something! Right here’s the maths on that:

If Leigh moved this $33,950 into, for instance, American Categorical’ Excessive Yield Financial savings account, which earns 0.65% curiosity as of this writing, in a single yr, her $33,950 would develop to $34,171 (affiliate hyperlink). She’d earn $221 per yr only for having her cash on this excessive curiosity account!

3) Taxable Investments: $52,000

Winter studying with George the fats tabby.

I’m not acquainted with the brokerage Thrivent–the place Leigh’s funding accounts are–so I checked out their web site and I’ve to say, I didn’t like what I noticed:

1. They drive you to name an advisor with a view to open/view their funding merchandise.
2. They don’t clearly state their charges or expense ratios.

Each of these items point out one factor to me: they’re over-charging for his or her service. In all probability WAY over-charging. Now I may be fallacious, however I’m keen to wager two corndogs I’m not. Why drive a buyer to work by means of an advisor and never share your charges publicly if the charges are low?

Given my limitless curiosity, I googled round and discovered this PDF, which breaks down Thrivent’s charges. I’m owed two corndogs:

For the “reasonably aggressive allocation” (TMAAX) Leigh’s invested in, Thrivent is charging her an eye-watering 1.33% yearly. What does that imply for Leigh?

• Leigh has a Roth IRA, a Conventional IRA and a taxable funding account by means of Thrivent, which whole: $261,064.
• Thrivent costs her 1.33% yearly on that whole quantity AND they charged her 5.50% on her preliminary funding (that is known as a “gross sales cost” or “entrance finish cost”). Sure certainly, some unscrupulous funds skim off a proportion of your preliminary funding while you put your cash into their fund.
• To calculate what Leigh is shedding in charges, I used this calculator from BankRate.com and enter the next variables:

If Leigh have been to stay invested in these funds for the subsequent 20 years, and the inventory market delivered its annual common 6% return, her investments will stand at $605,339 and she could have misplaced a complete of $231,929 to Thrivent, damaged down as follows:

   $121,781 in alternative prices (in different phrases, what the cash she paid to charges might’ve earned her if invested available in the market)

+ $110,148 in charges (in different phrases, funds to Thrivent)

$231,929 misplaced to Thrivent’s charges

A Colorado bluebird day hike by means of the snow.

That’s some huge cash! Like, A LOT OF MONEY! This is the reason it’s so essential to know the expense ratios and costs in your funding accounts. It’s not a small factor, individuals! And whereas 1.33% may sound small, it’s demonstrably not!!!!

I need to level out that it’s not like Thrivent has some particular sauce they’re sprinkling onto her investments. There is just one inventory market, individuals. Thrivent is investing within the similar inventory market that I spend money on, however I do it myself and pay solely 0.015% in charges yearly.

PANIC on the monetary disco!!!!

I need to be crystal clear about one thing: I’m NOT blaming or shaming Leigh. This isn’t her fault. That is one thing MOST individuals don’t perceive and MOST individuals overpay and lose cash to excessive charges each single yr. This isn’t one thing she “ought to’ve recognized” or “is doing fallacious.” Somewhat, it’s a terrific wake-up name to do one thing about it ASAP. Like, in the present day.

I additionally really feel compelled to share how abhorrent I discover this as a result of Thrivent is a Lutheran firm. They purport they’ve, “…been serving to others dwell extra beneficiant lives whereas guiding them on their monetary path” and that they, “…assist all Christian denominations obtain monetary readability.” In actuality, what they’re doing is charging individuals like Leigh out the nostril!

Tacos are the sixth love language, battle me.

To be clear, I’ve no drawback with companies earning profits. Companies are alleged to earn money! What I’ve an actual drawback with is a enterprise that purports to stick to Christian values whereas taking gross benefit of individuals like Leigh. It actually boils my blood. If you wish to cost excessive charges? Be upfront about it. Clarify to individuals–in plain English–what you’re charging them and why.

Clarify what you’re doing with Leigh’s $231,929. Clarify why you need to take that cash away from her.

I not often rant, however the ethical overtones of Thrivent’s advertising feels dangerous and disingenuous while you dig into what they’re charging individuals. Whew, okay, I’ll attempt to cool off right here.

Questioning easy methods to discover a fund’s expense ratio? Take a look at the tutorial in this Case Examine.

In STARK distinction to Thrivent, the next three brokerages provide DIY funding choices and are extraordinarily forthright about their charges:

• Constancy’s Complete Market Index Fund (FSKAX) has an expense ratio of 0.015%
• Charles Schwab’s Complete Market Index Fund (SWTSX) has an expense ratio of 0.03%
• Vanguard’s Complete Market Index Fund (VTSAX) has an expense ratio of 0.04%

Do-it-yourself tacos

What you’ll observe with all of those brokerages is that they clearly establish this data on their web sites. Anybody can learn it, perceive it and spend money on it on their very own. They’re happy with the providers they’re offering, in order that they don’t attempt to cloak it behind intelligent advertising or drive you to name an advisor.

Let’s check out the place Leigh’s cash can be if she have been as an alternative invested with a brokerage with an expense ratio of 0.015%:

• If Leigh have been to stay invested for the subsequent 20 years, and the inventory market delivered its annual common 6% return, her investments would stand at $833,925 and she or he would’ve misplaced a complete of $2,031 in charges with a $1,311 alternative price. That’s an astronomical distinction from Thrivent.

If Leigh stays with Thrivent, she stands to pay them $231,929

If she switches to a brokerage with a 0.015% expense ratio, she’ll pay them a mere $3,342

I believe you realize my recommendation with regard to Thrivent…

Sadly, Leigh’s employer-sponsored 401k is with TIAA-CREF, which can also be not recognized for low charges. I can’t discover the charges on Leigh’s 401k with out figuring out what it’s invested in at TIAA-CREF, however I urge her to do some digging to seek out that data. If Leigh’s employer provides one other brokerage possibility for her 401k, she ought to examine these charges and examine them to TIAA-CREF’s.

4) Variable Annuity: $94,000

Empty nesting and beginning a tiny plant obsession.

Generally, I’m not a fan of annuities due to the charges they cost. Annuities are primarily a kind of insurance coverage, which suggests you’re transferring some quantity of threat to the insurer. I believe the simplest strategy to describe a variable annuity is that it’s invested within the inventory market and you’ll obtain a specified proportion of cash as a pay-out as soon as you might be out of the buildup part and within the annuitization (pay-out) part.

You might be mainly betting that this proportion might be increased than what the market can ship you by itself. For this threat mitigation, you might be paying decently excessive charges to your dealer. I encourage anybody trying into annuities to learn this web page from the US Securities and Trade Fee (investor.gov). Anytime a monetary skilled tries to promote you a product, really feel enfranchised to google it and browse up on it by yourself.

With most annuities, it’s not attainable to money them out with out incurring severe penalties. Nonetheless, Leigh ought to go forward and browse the prospectus for her particular variable annuity simply to substantiate there’s no possibility for cashing this out with out incurring astronomical charges.

Abstract Ideas for Leigh:

1. Begin researching the method for buying a house within the Dominican Republic:
   • Housing costs.
   • The method/legal guidelines for getting a mortgage, taxes, insurance coverage, and many others.
   • The method/legal guidelines for renting out a property on AirBnb or as a long-term rental (referral hyperlink).
   • The supply of a property supervisor/AirBnb supervisor and cleaners.
   • Contemplate how lengthy she’d be spending in every nation and whether or not it might make sense to personal properties in each areas OR if it might be extra tenable to hire in a single location and personal within the different.
2. Contemplate the trade-offs for decreasing her work to 30 hours/week:
   • There’s no proper or fallacious: it’s a query of trade-offs.
   • What’s she keen to eradicate from her month-to-month funds with a view to dwell on a smaller wage?
   • Is shopping for a house within the DR her #1 precedence? In that case, she’ll must proceed working 40 hours per week with a view to afford it.
3. Look into transferring her investments over to a brokerage that gives low-fee funding choices. Do that ASAP as she’s shedding cash on daily basis to Thrivent’s extreme charges.
4. Learn the prospectus on her variable annuity from Thrivent simply in case there’s a manner for her to money this out with out incurring charges.
5. Ask her HR division if there’s an possibility apart from TIAA-CREF for her 401k. Learn up and examine the charges (aka expense ratios).
6. Discover consolidating her money accounts and transferring them to a high-yield financial savings account in order that she’s incomes curiosity.
7. Calculate her anticipated Social Safety funds, in order that she has a way of what to anticipate in retirement.
8. Proceed contributing to her employer-sponsored 401k in order that she stays on monitor for retirement.

Okay Frugalwoods nation, what recommendation do you’ve for Leigh? We’ll each reply to feedback, so please be happy to ask questions!

Would you want your individual case research to seem right here on Frugalwoods? E mail me (mrs@frugalwoods.com) your transient story and we’ll speak.