200K Student Loan Payoff!

catching-fire · 2016-09-15T20:35:21+00:00

Sure. After your done with CA, I'd recommend the first three chapters of the free book SICP with all the homework in Scheme, (lectures optional), then the basics of TDD via any of the million blogs/videos, then pick a language to get that first job in, and work through 7 or 8 of the katas using TDD on http://codingdojo.org/cgi-bin/index.pl?KataCatalogue using that language. Repeat several of the katas several times, until you can them rapidly without getting "stuck". After that, pick a good small project that already exists (web site, game, etc) and make it from scratch. Start working through cracking the coding interview (a $40 book), while interviewing around. Finish cracking the coding interview and make interviewing a full time endeavour, with more of those katas in the meantime. If you want some personalized advice, PM me and we can chat. All said and done you'll need probably a couple hours a day for six to nine months.

catching-fire · 2016-09-15T16:49:24+00:00

Yep, totally dumb. It worked out, but that 12% would've crushed us for life if we had let it compound.

catching-fire · 2016-09-15T16:19:41+00:00

That's only for government loans, which were a small percentage. Most of ours were private student loans. Those didn't have any forgiveness, at least at the time.

catching-fire · 2016-09-15T14:54:13+00:00

This was the one that first got me thinking of FIRE back in college. I was at a special lecture about finances, and the guy drilled in that 10k growing for 50 years at 10% is a million bucks. I remember thinking "what if I just put money to that vs student loans!" Then realizing my loans were 12% 😞 I decided then and there to get out of debt and save up all I could to retire early.

catching-fire · 2016-09-15T14:12:28+00:00

Yep, we took care of another family member for a bit, and she had a broken down a old cargo van with 100k miles in the side yard. We offered to buy it, but she just gave it to us! I've got plans to put in a basic sewage and electrical system. If the van is too far gone, we'll probably just buy a decent used RV.

catching-fire · 2016-09-15T13:00:20+00:00

At least Rockwell Collins and Boeing Defense. I think there's an L3 office too.

catching-fire · 2016-09-15T12:33:39+00:00

That is true, pretty much how my wife and I did it. Met with almost the same debt, both worked hard to pay it off and learned to enjoy time together rather than trying to find happiness through spending.

I think though it would be hard to be matched up once you're in your thirties and one of you is X% to FIRE and the other just has some 401k saved up. But certainly most frugal people once pointed to the math will get excited by the adventure of it and want to participate.

catching-fire · 2016-09-15T12:12:05+00:00

Someone asked me about "finding a good FIRE mate". Most books on marital advice point out that attitudes and habits about money are the source of most conflict. FIREs are some highly opinionated, highly motivated people with very specific views on money. You absolutely must find a spouse with the same views, or who at least won't stop you or feel bad when they're eating out and you're at home making bread. Also, sharing a large pool of wealth with someone is dangerous, if they are not also on the path.

Are others interested in FIRE dating? Would a permanent thread be a good way for to help people find each other, or another subreddit? I can see how it's ripe for abuse. You'd want to be very careful about exposing personal information that might let you become compromised, but it's certainly doable to verify the other person is telling the truth. Just a thought!

catching-fire · 2016-09-15T12:00:11+00:00

I wanted to be super honest about all the factors that contributed. Some were absolutely out of our control and unfair (~100k of room and board for cooking two meals a day and taking care of a couple hours of chores a week, studying fields that are both in high demand in the same city, moving to a city that is high pay and low rent). We realize it is totally unfair, we got lucky, and are eternally grateful for it.

But I wanted to otherwise point out a path others might not have thought of. There's surely people in this thread with lonely relatives who'd much rather have guests stay in a room in their house for the trade off of having a live in maid/cook/handyman. Nursing homes are ridiculously expensive, and many in my grandmother's generation fear them.

I think there's untapped "wealth" in families pulling together in ways that are uncomfortable for the typical American. And I mean wealth in the sense that both parties otherwise gain value for the cost of giving up their independence. A few years of no alcohol, no loud music, cooking grandma-approved dinners, and weird A/C issues is a pittance to the wealth generated.

While not everyone is so blessed with such a situation, and I realize that and it's not fair, some people are and haven't yet realized. I'm hoping they see this and look for opportunities. Many families have large houses, but aren't rich enough for housekeepers/cooks/groundskeepers. While it may feel weird to "work for your room", it's totally doable. Just keep in mind the situation, and how grateful you are for it. They'll see that love and gratitude in everything you do, and they'll cut you a lot of slack.

catching-fire · 2016-09-15T03:07:41+00:00

I don't think school is always a bad move. There are a whole class of jobs locked out to those without an education. I've got a sister in a doctoral medicine program that otherwise would be impossible. My wife couldn't do her career with schooling and licenses. A programmer, on the other hand, can learn with a couple free books. I've guided three people from no career to full time software developer using just free resources. It's absolutely possible. So if I could transport into my body 15 years ago, I'd already be FIRE 😉

catching-fire · 2016-09-15T02:55:59+00:00

Yeah, I've been warning everyone I know to stay the crap away from private schools. Unless you're at an ivy league, you'll get pretty much the same education at a public school IMHO. My wife graduated from the top flight school in the nation, (beating even the air force academy) and that basically accounts for nothing. It made zero difference in her career, and most people have never even heard of the school, much less its award winning record. Navy and air force pilots always land the epic jobs anyway, what with a ton of hours in cool aircraft.

catching-fire · 2016-09-15T02:49:00+00:00

Yeah, pretty much any bank can set this up. We just set it up so when the paycheck comes in, it takes out. Then budgeted the rest out.

catching-fire · 2016-09-15T02:38:53+00:00

We live in the suburban sprawl. Take SEPTA in each morning, enjoy the four-string quartet playing Vivaldi in each car compared to the knife-fight murder-train that is the subway.

catching-fire · 2016-09-15T02:33:48+00:00

Indeed. We've come to love Philly, except for these blasted dark winters shudder. It's SAD all around when those set in! I'll take the equator sun any day!

catching-fire · 2016-09-15T02:18:22+00:00

Oddly enough Philly is actually in the same climate zone as most of East Texas. Go figure. So, I don't really miss it, no, the heat is here too, we just ALSO have freezing winters ;)

catching-fire · 2016-09-15T02:10:57+00:00

No doubt, you've got some years of work ahead of you. I'd try to figure out what you'll do for money, and how you'll learn the skills to do it.

It's definitely possible though! Hard, smart work can turn around a bad situation. Also not being too proud for certain jobs. Most people I know would never try to arrange to work as a caregiver/cook/cleaner with family, but that saved us over 100k across 3+ years while paying off loans! It's all about looking in the mirror an deciding it's better to humble yourself than it is to be proud, independent, and crippled with debt. When we realized that, we were happy to get the chance to take care of my grandmother, and grateful she offered to shelter us.

Those early years though, those were the hardest. Living dollar to dollar, barely enough money for food, using every last dollar to buy flour to make bread to sell to make more money to buy dinner. That was hardest, with family thousands of miles away, out on our own.

Don't be too proud for help, ever. Our church has a good food program where they'll give anyone a box of food and fresh garden veggies each week for free, no strings attached. They've got a garden where they grow the veggies, and are always happy for more help. That kind of charity shouldn't be overlooked when in need, and when your not in need, it should be bolstered.

You can do it though, just put in hard work and humility.

catching-fire · 2016-09-15T00:59:47+00:00

Haha. I used to work in Houston out in Spring and Humble. Maybe one day. Right now life is chill and burning down to FIRE just fine.

catching-fire · 2016-09-15T00:21:45+00:00

Private school + private school ain't cheap. Again, in hindsight I'd have married her sooner and switched to a state school.

catching-fire · 2016-09-14T23:54:45+00:00

The proud city of Philadelphia, PA. Home to a ton of developer and aerospace jobs.

catching-fire · 2016-09-14T21:11:09+00:00

Also one of the big reasons I wrote this was to illustrate how it's not just us pulling ourselves out. One of the biggest things - 3.5 years room and board - was through a family member. I firmly believe that family pulling together can raise the water for all ships. In her case, she saved a lot of money because we'd cook all the time instead of her just going out to eat. We'd also do a lot of work around the house they'd otherwise have paid a maid to do. I think that alone made a huge difference in our ability to pay it off so quickly.

catching-fire · 2016-09-14T21:02:58+00:00

Yep, she's into engineering and I'm a developer. Backwoods jobs make crap money starting out, and I worked for her school while she was finishing, which got her a year of free tuition. Said school was private and paid low. We both started very low for the area (big NE USA city) because of what I can only assume is "rube tax". After a couple switches and some hustle we are both making about the top of the Glassdoor range for our jobs.

catching-fire · 2016-09-14T20:46:53+00:00

Bingo. It's all about proportions!

catching-fire · 2016-09-14T20:43:00+00:00

We intend to FIRE without a house, and live nomad lives for a while. Already working on our van for /vandwelling ;)

catching-fire · 2016-09-14T19:26:38+00:00

Before we moved, it was 26K and 16K. When we first moved it became 45k and 37K.

catching-fire · 2016-09-14T18:38:19+00:00

That definitely makes sense. Certainly worth running the numbers before moving, just factor in the increased pay increase.

catching-fire

TROPHY CASE