June 2018 Quarterly Summary


05 Jul
05Jul


We are 186 days down and only 2814 days to go on our 3000 day journey to financial independence.

Today, we wanted to provide a June 2018 quarter progress report.....


We continue to see huge benefits in undertaking this journey and Mrs 3000 and I have noticed the change in mindset has almost moved into an automatic reflex. By this I mean, we no longer have the automatic reflex to spend money unnecessarily. So we are labeling this new reflex as our FI-reflex or FIreflex (Financial Independence Reflex). 


Old reflex Vs FIreflex:

Here are some simple examples of how our old reflex differs to our new and improved FIreflex:

Example 1 - We're Bored:

Old reflex: how about we go to the shops, or go to a nice restaurant for lunch, or take our son to an indoor play centre, or go to the movies and get popcorn/drinks etc.

FIreflex: how about we go for a walk on the beach, or go for a picnic lunch, or take our son to an outdoor park, or have a family movie night under a doona at home (or as a treat go to the movies and take your own popcorn/drinks etc).

Example 2 - We need this item:

Old reflex: ok, I will run up to the shops or jump online and buy it. We will just put it on the credit card so we get some points.     

FIreflex: Are we sure we need this? Can we live without it? Can we repair the old one? If we do still need that item – can we buy it second hand? Do we have funds in our debit card account to purchase this?

Our FIreflex is in full swing, it has become second nature to question our need to spend frivolously. We do not feel that we are purposely depriving ourselves in any way, it is just a different mindset and a shift in priorities. Our priority is this 3000 day journey whilst still maintaining a fun and enjoyable life.  

 

So here is our June 2018 quarterly summary:

Savings rate:

You may remember back in the March 2018 quarter, we came out of the blocks fast with a savings rate of 40.25%. This was a massive jump on our previous rate of ZERO….yep 0%.

As flagged in our previous post, we had a bad month in May 2018, we had some yearly expenses all hit at once such as car registration and insurance policies and also some unexpected medical bills.…..our savings rate was 0% for the month of May 2018!! However we sprung back up out of this slump and got back our MOJO to finish the quarter with a respectable 41.58% savings rate.  


Here’s how we did it – our income/expense wins:

Income:

  • Mr 3000 received a decent work related bonus in the quarter, this amount was put 100% into savings which boosted our overall savings rate.  

Expenses:

  • Discretionary spending: Mrs3000 and I continued to be mindful of our discretionary spending. There were no unnecessary purchases in the quarter.
  • Reduced grocery bill: We got this down to $200 to $250 per week. Some of you have been shocked by this figure, however this is what works for us. We place a high value on the food we consume so we try and buy fresh organic produce where possible and also try and eat only grass-fed/free range meat and eggs. So for us this budget line will be more expensive than it is for most people.  
  • Drinking: Mrs 3000 and I continued on with our no drinking lifestyle. I must admit, we both couldn’t be happier with making this decision. You can read more about how this one change alone will make us $500k+ richer here.  
  • Phone Plans: Mr 3000 has moved over to OVO (on the Optus network) paying only $9.95 per month. Mrs 3000 will move over to a similar plan once her current plan runs out.

In summary, once again we have made seemingly small changes which have reaped massive results! We do not feel any of these changes have impacted our lives in a negative way at all. Instead most of these changes have been great benefits to us – less excess, more family time, less stuff, more conscious living and more conscious spending!! And the huge residual benefit of a 41.58% savings rate!! In 6 months time we amassed a 5 figure savings balance which we have now invested. 

We now have the goal of a 50% savings rate for next quarter.......time will tell, so stay tuned.

What is stopping you from making a few small lifestyle changes, creating your own FIreflex and taking control of your finances? Take action now.


Take care and best wishes all, 

Mr & Mrs 3000


View our next post:   

https://www.3000days.com.au/blog/how-we-made-1200-tax-free-for-15-minutes-work


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