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Hello, thank you for reading this. I'm a first year teacher currently, living in a high cost city in California, and I make about 50k, and after taxes I make 36k. I paid off the last of 23k school loan just this month. I live like a college student. I'm very frugal and will continue to live like one. I come from a low income family, so financial illiteracy runs in the family (for now).

This is my current financial situation:

Car payment 6k left (no interest)- 250 a month

Personal loan of 5k to mom due by July, which I attempted to pay $1650 per month but lagging because of Roth -5000

Personal expenses (food, going out with friends, etc) - 200 a month

Gas- $35 a month

No rent until March, will pay -825 a month; -700 a month if move in with bf

monthly gigs/hustling from craigslist +100

online business passive income +40 a month

Monthly paychecks +3300

+$200 in checking account currently (not touching until next month)

+$18 in savings account (1% interest)

Roth IRA + 700$ (still deciding which index fund is right for me; really confused but will max soon)

0- emergency savings

Calstrs- Teacher retirement account +$5000

I'm in a lucky situation right now, I have a supportive mom who I will pay every cent back for the personal loans. I was able to pay off debt very quickly (in a year). I technically owe 4k in school loans, but as long as I teach at title 1 schools for four more years, I'll be good to go without having to pay for it. I am very low in savings and I have no emergency funds. My goal is to max out my Roth IRA by the end of March, and that is why my savings are so low. I started my Roth on December 2016 and that's why there is only $700 in there. I am very ambitious for this year, so I'll be scraping by but I'll be okay because I'm used to living this lifestyle.

My financial goal for the end of 2017 is to max out both ROTH for 2016 and 2017; Pay mom back for the 5k, and have an emergency fund of 5k.

My long term goal is to invest, start multiple small internet businesses on the side, buy 2 condos, retire, and teach for fun. It's just a dream for now, but let me fantasize (new year, new me).

Am I on the right track of long term savings, planning for retirement, and planning for emergencies?

  1. Coworker told me to look into TSAs before looking into Roth, but no matter how much I read into it, I'm lost because I'm financially illiterate (but learning)! What are TSAs and how do they work? How are they different from ROTH? Link: http://ift.tt/2iMBFzP

  2. Also which index funds should I be looking into?

  3. Where do you put your emergency savings into? I have a savings account (Ally 1% interest), but I know I am losing money from inflation, although easy accessibility is a good thing.

  4. Besides ROTH IRA, are there anything else I should be looking into?

  5. If you're also a teacher or any related field, please offer me any financial advices. My teacher friends suggested a teacher friendly accountant. I don't know why that would be needed. Thank you :-)

  6. Also my coworker told me if I moved to another school, then my retirement money is somewhat jeopardized? I have no idea how school districts work regarding retirement money and pension, if teacher moves around.



Submitted January 21, 2017 at 04:39AM by iwantout666 http://ift.tt/2jJDVqP

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