Wednesday, March 24, 2010


D got a call yesterday with another job offer. How lucky is he? Very, and we know it. He didn't burn any bridges because you just never know in this day and age.

As a general observation, it seems like lots of people around us are either trying for or expecting their first child. Some are more financially prepared for the event than others.

The ones that worry me come with stories like -- We can barely make ends meet but we wanted to have our first baby at this stage of our lives... or ... We cannot afford to live without both incomes... or ... I don't care that we have loads of debt and our careers aren't established yet, we still want to sign up for in vitro...

I understand the whole concept of the biological clock and the emotions associated with that can be overwhelming and consuming. I also believe that a solid couple relationship emotionally and financially can be the difference between a stable childhood upbringing and a stressful one. I wish all of them the best.

Lots on the news lately about the impending Bank of Canada rate increase this summer. What will it mean for us? With 2 variable rate mortgages, our payment amounts will increase as the rate increases. We will need to maintain the higher payments in order to stay on course with our existing amortization.

The goal stays the same. We do not want to renew our mortgage when our 5 year terms come to an end in 2 1/2 & 3 yrs. In order to achieve that, we are doing our best to max out the prepayment amounts allowed by the bank each year. If we are successful, then we will have paid for 2 places in 5 years -- A worthy goal.


  1. A very worthy goal indeed. Reading your pasts posts, you and D will no doubt meet your objective.

    Thanks for the comments on how you approach your travel budget. Interesting to see how one meets their travel plans while staying on track with the money.

    Having raised 5 kids, we had to balance the debt retirement versus living in the present and experiencing life adventures. I'm pleased to say that all 5 kids have had the opportunity to see parts of the world outside our own Canada and continue to do so now that most (still one at home) are on their own. I may be biased here but I think they are better persons from their experiences.

    Agree with the Fairmont experience. Our son worked for them for awhile and we were able to take advantage of their family and friends rate (well below rack rate). We even tried to get him to change locations for our benefit.

    Welcome back from Iceland: pictures were amazing, narrative interesting... where to next? Solo or with D?

  2. In my opinion, a couple should be financially okay before having a baby. If someone's living paycheck to paycheck, how're they going to pay for all the needs of the baby?

    I'm so happy for you that you'll own 2 places outright in 5 years! =) We have only this one place but also hope to be mortgage free in 5 years if all goes as planned.

  3. My brother is in a bad spot right now with a baby due. He has been unemployed for most of the winter and has basically been living on his wife's part-time salary and employment insurance. They don't seem too worried about the whole thing though, but I would be freaking out. Babies are as expensive as you make them, but his wife is not a "good enough" sort of shopper......

    Might be a rude awakening in a few years when all the debt is piled up.

  4. Hi I'd rather be sailing!

    Thank you very much!

    It sounds like you have raised some very well rounded kids and I'm very happy to hear you value a broad worldview. That's fabulous and now, they will be able to pass that on to their kids.

    I'm thoroughly jealous your son got to work for Fairmont. D and I both laughed at your attempt to get him to change location. I'm sure I would have done the same thing if he were my son!

    Well, Berlin is next with D this time, which reminds me I need to get moving with my German lessons.

    Hi Sandra!

    I don't know how they are going to manage -- I have a feeling that they count lines of credit and credit cards as money they have...
    scary thought.

    It's not just diapers (which are expensive enough), but later on, there will be sports, lessons etc. I know I cost my parents quite a bit with the years of piano, art, dance, swimming lessons etc.

    I have no doubt you will reach your goal in 5 years too!

    Hi Dave!

    I would be freaked out too. I hope he is either going to find a new job or will get called back for his old one. It doesn't take much time for the numbers to grow exponentially.