how can you afford this?

One of the first questions people have asked is how we can afford to leave our jobs and travel. Our savings plan is quite simple. I got it from attending a seminar called, The millionaire mind intensive wealth seminar.  It is based on a book that Jon read named, "Secrets of the millionaire mind." If you have ever heard of the seminar you might think I'm crazy. The truth is that I was a bit skeptical when Jon invited me but he had free tickets so I thought why not. Regardless of your opinion of the seminar and all the wacky things they make you do, I learned a really valuable tool that has helped me structure my spending and savings. I don't remember what they call the savings plan but in a nutshell here's what I took away.

Below is the percentage that goes into an account based on your monthly paycheck: 

• 40% - necessity account (rent, car payment, groceries, toiletries)
• 10% - play account (the idea is that you spend that money every month on something for yourself)
• 10% - education account (swim lessons, tap dancing lessons)
• 10% - charity account (giving money to a charity that you believe in)
• 15% - financial freedom account - FFA (for investing)
• 15% - long term savings & spending account - LTSS (buying a house)

It is based on the fact that only 40% of your salary should be going toward necessities.  But you can also change the percentage to fit your need. I wasn't always the strictest with the plan but did follow it every month. I like that it's based on percentage rather than a dollar amount. For example, I wanted to pay off my student loan so I created another account and only put 5% in play, education and charity.  

Here's what I did after the seminar. I already had my Citibank checking account which I named my necessity account and created three more savings accounts at Citibank (play, education, charity).  You can nickname each of the accounts so I literally have an account called play. Then I signed for three ING Orange Savings account (named them FFA, LTSS, and student loan).  In the end I had seven accounts and you might think this is a little too much to manage but it really isn't once you have the system down. Every pay period I had an automatic percentage withdrawal go into each of the ING accounts because that was where my real savings was going to add up. Then I would transfer money from my necessity account to the other three Citibank savings account. Sometimes I didn't transfer money to my education account because I had unexpected expenses. Remember it's only as strict as you want or need it to be.  

This savings plan has allowed me to pay off my student loan, take swimming lessons, go to Seattle/Vancouver, give over $1K to charities, and save for our trip.

in the beginning

"Vagabonding is about not merely reallotting a portion of your life for travel but rediscovering the entire concept of time." - Rolf Pots, Vagabonding

Warning: This is my first blog so I am not responsible for any misspelling, grammar, content, quirky sayings, or effects you may have from reading this. This is raw, unedited truth of our adventure.  You MAY experience a sudden urge to quit your job and travel the world.  

Now that you have been duly warned, please read on...

About a year ago Jon asked me what I thought about quitting our jobs and traveling for an extended period of time.  I immediately said great idea...when are we leaving.  He was thinking of making a transition though not really knowing if that meant moving somewhere or launching his video producing/editing career.  He threw out the travel idea to test the waters and little did he know I would jump on the band wagon and never look back.

This is the start of our journey and who knows where it will lead but it's all very exciting, stressful, fun, and crazy at the same time.

My goal for this blog is to chronicle our adventure as a memory sake but I also hope to inspire people to think about what's possible.  One thing that prevented me from traveling more was the idea that you need a lot of money to do so.  We are by no means experts in traveling but I have already gathered so much practical information that can be applied immediately just by talking to people who have done this before.  The blog will focus on our finances, general tips, and places we have visited.