Changes in contribution limits to retirement plans in 2019

The IRS came out with a directive on Nov 1, 2018 announcing changes to contribution limits in 2019.

Here’s in a nutshell what is changing.

  • For employer sponsored plans such as 401(k), 403(b) – $19,000 (up from the current $18.5k)
  • IRA – $6,000 (up from the current $5.5k)
  • Roth IRA – $6,000 (up from the current $5.5k), with income phase-out range increasing from $193,000 to $203,000 (up from $189,000 to $199,000) for married couples filing jointly

You can read the original directive here or the technical guidance here.

Cheers to more saving!

Are we Rockstars yet?

Say it to the tune of “Are we there yet?” your kids invariably sing when you’re taking them on a road trip 😅

Our blog was recently added to the Rockstar Finance directory of all personal finance blogs. I had no idea about this aggregator site before a fellow newbie blogger mentioned it.

You can find us at the recently added list or the main list. We clocked in at #149.

Though this means that we’re officially a part of the FIRE blogosphere, we are far, far away from being the rock stars of the demography that preach sensible personal finance. There are giants in this field and we learn and incorporate the portions that applies to us, in this phase of our lives.

Which bring me to the next point. And it is a rant. For which I’m apologizing right now. Having mentioned earlier that this is a judgement free zone, the next portion is going to sound hypocritical. But the incredulity of the stated facts are just too …well, incredible, for me to not lose my mind.

While going through some of the blogs there were recently added to the Rockstar Finance directory, I came across this blog maintained by a lawyer. I will purposely not name this blog nor reveal the gender of the writer. This is not meant to vilify the person behind the blog, nor give them added eyeballs. This is meant to show how stretchable our various aims and goals are.

This person claims that they need access to a gym that charge $893. Monthly.

MONTHLY $893 gym expense. A completely discretionary expense. Let that sink in.

Despite the fact there is a student loan that is more than the average sized mortgage. Despite living in a city with high costs. Despite having a $30k car loan at 3.5%. All the above factors are perfectly fine, even when taken in aggregation. But all these debts, plus a $893 monthly spending habit is another thing.  Not only does this individual have zero qualms about it, the blogger goes on to make an astounding appeal to the readers to not cancel their own expensive gym membership. This is where it got my goat.

I am dumbstruck. I mean I’m sorry that I’m even doing this, but this affects me viscerally.