(no. 006)
After giving it some thought, I have decided to share most of our numbers apart from our net worth. I hope the numbers I have decided to share will help to provide some context into how we are hoping to achieve FI. I will continue to update this page which will provide a summary of our numbers as well as a timeline of our journey towards FI.
You can see our numbers in more detail broken down for each tax year by clicking on the relevant buttons below. I will document from the tax year 2016 – 2017 onwards. In all honesty, I just haven’t got the time write up everything going back further, but the summary on this page should give you an idea of how we managed our finances before we found out about FI.
Savings Rate
Whilst I was studying, my savings rate was zero. It is not something I am proud about and in hindsight, I should have set some money aside sooner for an emergency. However, I did manage to save up for a Masters degree without taking on more debt to fund it. As soon as I started working properly, I really focused and started to squirrel away money properly. In 2015, our savings rate jumped because Mrs. CC and I decided to pool our resources together. To this day, we still ask each other why we waited so long?! Perhaps it had something to with our three or four holidays a year. We have actually returned from holiday to immediately take another flight to go on another one! That’s a story for another time.
The chart below shows my savings rate since I was old enough to work.
Consumer Debt
Mrs. CC has never had any consumer debt. She has used credit cards, but only to obtain points and she always paid off her balance in full every month. The chart below shows my consumer debts over the years. The total includes my credit card debts, personal loans and student loan. We currently have no consumer debts and I have no intention of taking on any more in the future.
Mortgage Debts
We see property as a valuable asset class which helps us to diversify. The chart below shows our mortgage debts over the years. We are currently aggressively playing down these mortgages. In the interest of transparency, I was only able to buy Property 1 due to a small informal loan which I have paid off. Property 2 was purchased with my parents. They own a 20% share, with myself and Mrs. CC owning the remainder 80%. Property 3 was purchased with a small inheritance Mrs. CC received together with some savings. We both acknowledge and are grateful for what we have and what has been gifted to us. Receiving an inheritance comes with it alot of responsibility. We are very conscious to ensure that we not only protect this inheritance but ensure that it grows for future generations. We were not tempted in the slightest to use a single penny of it to go on holiday or buy a new car. I will write about this more in another post. The chart below also shows the predicted mortgage balances over the next few years.
Timeline
The timeline below shows our personal finance journey and our discovery of FI. Some of the dates I have selected a random month or day as a precaution to disguise our identity.
1 January 1984
1 January 1987
1 September 2000 My first proper job at 16 in hospitality. I saved money, but only to spend it all.
1 September 2002 I go to university for my undergraduate studies.
5 April 2003 Debt: TOTAL = £12,500 // Savings Rate = 0%
1 September 2003 Her first job at 16 in the publicity department of a college.
5 April 2004 Debt: TOTAL = £15,000 // Savings Rate = 0%
5 April 2005 Debt: TOTAL = £17,500 // Savings Rate = 0%
1 August 2005 I finish my undergraduate studies.
1 September 2005 I’m back at university for my postgraduate Masters degree.
5 April 2006 Debt: TOTAL = £17,000 // Savings Rate = 0%
1 December 2006 I finish my postgraduate studies.
5 April 2007 Debt: TOTAL = £17,000 // Savings Rate = 5%
1 July 2007
1 October 2007 25-year mortgage on a three-bed end-terraced property with lodgers.
5 April 2008 Debt: TOTAL = £196,348 // Savings Rate = 7.93%
5 April 2009 Debt: TOTAL = £197,685 // Savings Rate = 19.25%
5 April 2010 Debt: TOTAL = £199,281 // Savings Rate = 24.84%
1 June 2010 Mrs. CC joins the RAF and begins her university studies to be a Nurse. Her studies were funded by the military and whilst also receiving a salary from them.
1 September 2010 Mrs. CC starts university, fully funded by the Military.
11 November 2010
5 April 2011 Debt: TOTAL = £190,675 // Savings Rate = 23.69%
5 April 2012 Debt: TOTAL = £189,354 // Savings Rate = 19.46%
1 October 2012 Mortage renewed and reduced to 17 years.
1 March 2013 I’m back at university for another postgraduate Masters degree, this time fully funded by the Police.
5 April 2013 Debt: TOTAL = £174,884 // Savings Rate = 33.60%
31 August 2013 Mrs. CC graduates with her nursing degree.
5 April 2014 Debt: TOTAL = £164,598 // Savings Rate = 29.53%
21 December 2014 I discovered the book: The Richest Man in Babylon. A few days later, I find the blog Mr. Money Mustache. Mrs. CC and I begin to talk about FI.
1 January 2015 Mrs. CC and I begin to pool our resources and seriously work towards financial independence!
5 April 2015 Debt: TOTAL = £151,991 // Savings Rate = 31.43%
1 October 2015 Mortgage renewed and term reduced to 5 years.
1 March 2016 10-year mortgage on a three-bed end-terraced property which is rented out.
5 April 2016 Debt: TOTAL = £222,290 // Savings Rate = 49.96%
1 July 2016
1 August 2016 I finished my postgraduate studies.
1 January 2017 25-year mortgage on a three-bed end-terraced property which is rented out.
1 January 2017
5 April 2017 Debt: TOTAL = £293,155 // Savings Rate = 51.06%
1 March 2018 Mortgage renewed and term reduced to 7 years.
5 April 2018 Debt: TOTAL = £255,538 // Savings Rate = 60.69%
5 April 2019 Debt: TOTAL = £206,000 // Savings Rate = 59%
5 April 2020 Debt: TOTAL = £170,000 // Savings Rate = 55%
Hello Cashflow Cop!
Hello Mrs. CC
Cashflow Cop’s First Job
Cashflow Cop at University
£ Finance Update
Mrs. CC’s First Job
£ Finance Update
£ Finance Update
Cashflow Cop Graduates!
Cashflow Cop at University
£ Finance Update
Cashflow Cop Graduates!
£ Finance Update
Cashflow Cop Joins the Police
Property No. 1 – Purchase
£ Finance Update
£ Finance Update
£ Finance Update
Mrs. CC Joins the Military
Mrs. CC at University
Cashflow Cop and Mrs. CC Meet!
£ Finance Update
£ Finance Update
Property No. 1 – Update
Cashflow Cop at University
£ Finance Update
Mrs. CC Graduates!
£ Finance Update
Discover FI!
Our FI Journey Begins!
£ Finance Update
Property No. 1 – Update
Property 2 – Purchase
£ Finance Update
Cashflow Cop & Mrs. CC are Married!
Cashflow Cop Graduates!
Property 3 – Purchase
Baby Cashflow Cop Arrives!
£ Finance Update
Property 2 – Update
£ Finance Update
£ Finance Update
£ Finance Update
Read more…
That interactive timeline is bloody brilliant! Thanks for sharing your journey from the start with the numbers!
WOW love that timeline! How did you do it? Love seeing the beginning of your journey!
Little Miss Fire
https://littlemissfireblog.wordpress.com
Hi there LMF. Thanks. I used a free plugin called Timeline Express in WordPress. It’s quite easy to use once I got over the initial how does this all work moment.
I’m late to this blog, but – awesome timeline!
Wow, that timeline is a really effective presentation mechanism, tells your story well. Also love the design of your blog, easy to read plus feels clean and inviting. Well done!
Very kind of you to say. Improving my writing is what I am working hard on and the blog helps me do that. Well done again on your nomination!
I’m really excited to have found your blog! While I’m not a police officer, my brother is, and I know how stressful his job can be. I’m a teacher on my journey to FI as a mommy to four kiddos. I write about how teachers can take charge of their money on my blog http://www.financialindependenceforteachers.com. I love that even though both our careers don’t generally yield a lot of money with future planning we can still get ahead!
Thanks for spotting by Kate. My older brother is a Chemistry teacher so I also get how tough your job can be. I know for a fact I can’t do it – I just haven’t for the patience to deal with unruly kids.
I agree. Although generally our professions don’t make much money, with a solid plan on place, it can still knock many years off the date to retirement.
I’ll check your blog out.