Welcome to the blog I call Bit of It. Let me begin by saying that this is not my first attempt at starting a blog, but it will hopefully be my first successful venture into the world of blogging. I found and registered this cute (and very short!) domain name that I thought was quite catchy and then realized I had nothing useful to do with it. Rather than have it sit around and collect dust, it is now going to be my blog.
Let’s dive right in. Probably the most important thing for you to know about me right now is that I have a strong desire to become financially independent and retire early. It should be noted that retiring early does not mean I will just sit around watching TV all day. Nor does it necessarily mean that I won’t be doing any work. It simply means that I will not be required to wake up at a certain time every weekday morning and report to an office so I can earn a paycheck and pay for my expenses. It means I won’t be dependent on that paycheck anymore. It means I will be able to spend my time doing work that I enjoy or traveling or volunteering or doing whatever I might want to do that day. It will be when the passive income from my investments is enough to cover my living expenses.
Now this blog is not going to be about extreme frugality and saving 90% of my income so that I can retire in a couple of years. I live in one of the most exciting cities in the world and have a boyfriend and friends who like to enjoy its many offerings. We also value traveling and exploring new places. My boyfriend and I both have good jobs and we generally don’t deprive ourselves much. It’s probably important to point out that we have no debt. In general though, we seem to prefer spending money on experiences rather than on things. Concerts, vacations, and festivals are some of the experiences we like to spend our money on. One of the “things” that I do think we spend too much money on is booze, but that’s a story for another time. I know that every dollar spent now is money that won’t be working for us in retirement, but I do feel that there can be a happy middle ground between saving like a fiend and spending like there’s no tomorrow.
Here are some of the smart money-related things we do:
- Track our spending
- Spend less than we earn
- Contribute to our 401ks
- Pay off our credit cards every month
- Use credit cards whenever we can to maximize rewards
- Never pay fees for bank accounts, ATM withdrawals, or late fees
- Check our credit reports and credit scores (provided free from various credit card companies, in our case, Discover and Citi)
- Bring lunch to work from home most days
Now that I’ve covered some of the basics, let’s continue our journey together along this happy middle ground as we enjoy life and plan for an early retirement!