Grocery Shopping

Over the last few months, we have been doing 90% of our grocery shopping online and having it delivered home.

We had been receiving FREE DELIVERY because of a credit card. This offer has recently finished.

Now i need to decide if the time saving is worth the cost of actual delivery charges.

Value of my Time?

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It has been a huge time saver, not driving to shops, parking, searching up and down aisle then waiting in a queue to check out. Not to mention dragging a toddler around the shops.

In my area, there are two main options.

Woolworths:

under $100 = $15 fee

$100-150 = $12 fee

$150-200 = $9 fee

Online order Pickup = $0 fee

Coles:

$any = $4 to $20 Depending on location, time of day, length of delivery window.

over $150 = $0 only with a 8 hour delivery window ( Flexi-Free)

Click&Collect = $0 fee

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Our normal shopping budget is around $90-150 depending on the week. Although with the twins coming any day now, the extra nappies and supplies will bump this number up.

I believe the Click&Collect/Online Pickup for no cost is defiantly worth doing and more people should be using it. I am in and out within 5 minutes!

Our shopping will probably hitting $150+ in the coming weeks and with someone being at home in the 8 hour window, we could use the Flexi-free delivery offered by Coles.

If I had to pay for the service, I think $9/week, $36/month or $468/year is too much for me to justify. But if i can game the system by using free online pickup and flexi-free deliveries, I can get best of both for no cost.

After using online shopping for a few months, I totally see this as the future of grocery shopping. The grocery store will become more of a delivery warehouse then a corner store. While the competition is still strong between the main players, we can benefit from it.

ChooseFI recent podcast about American grocery shopping.

What are your thoughts? Are you using any grocery shopping delivery?

1st Quarter 2019 Update

We are already past the 1st Quarter of 2019! Time to update our progress.

Mrs FMT’s small business made a nice extra bit of income this quarter.

Total Income $24,854 

Total Expenses $14,940 

Savings Rate 40%

Home Loan Balance $-268,503 (Down $10,854)

Putting us $8,500 off our goal for 2019 (will need to update our target of end of year.)

Travel $824.5

We had a week pre-babies in Dunsborough in the South West of Western Australia. Beaches, animal farms, parks and ice creams.

7 days $414.5 spending and $410 accommodation

Total $824.5 $117.78/day

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Goals Update

  • Hit 50% savings rate – We have not hit a 50% savings rate yet, March was close at 46% but on average 40% which is a great improved on 25% last quarter.
  • Under $260,000 Home loan – $8,500 to go

New Goals for 2019

End of Year to have Home Loan balance at $245,000

Overview

Spending was higher then expected due to one off purchases for the twins coming in next few months.

We managed to put away a nice amount onto the mortgage, although this is expected to drop in coming months. With Mrs FMT  finishing up work and Mr FMT pay to be reduced whilst taking time off to be with the new babies.

March was our first full year of expenses tracked, which is a great milestone as this is a huge part in increasing our savings rate by being aware of all expenses.

Thanks

 

4th Quarter Update 2018

End of December means the end of the 4th quarter of 2018, which is a good chance to look over our spending.

We had a bit of a bump in income due to Mrs FMT’s small business.

 

Total Income $28,344 Oct to Dec

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Photo by Pixabay on Pexels.com

We continue spending extra on the planned necessary house repairs this quarter. Now with the repairs out of the way we can continue increasing savings as of 2019

 

Total Spend on Home Repairs $7,690.83 Oct to Decimg_7988 (1)

Even with the home repairs we managed to pay down some extra money on the home loan.

Total Extra Payments on Home Loan $6,074 Oct to Dec

Current Home Loan balance at $-279,357

Just beating our target we set last quarter for end of 2018, to pay down the home loan to under $280,000

Travel for 2018 $2,406

We had two family holidays in 2018 a interstate holiday to South Australia and a trip to the South Coast in Albany. img_7733 (1)

Goals Update

  • Hit 50% savings rate – We have not hit a 50% savings rate yet, December was close at 40% but on average with home repairs was around 25%
  • Under $299,000 Home loan – Done $279,357
  • Essential house repairs that had been put off – repairs are now done

New Goals for 2019

Under $260,000 Home loan

Home repairs to only come from Home repair fund. ($208/fortnight transferred to a offset account for use on future home repairs)

Earn 100,000 frequent flyer points. (in 2018 120,000 qantas points and 65,000 virgin points were earned) Virgin points were used for South Australia Holiday.

Overview

At start of 2018 we had sold one investment property but still had one investment property loosing money monthly and no idea on what our monthly expenses were.

Fast forward to today and we have

  • 9 months of expenses tracked
  • a separate 6 months emergency fund
  • budgeting for future months
  • sold investment property
  • carried out outstanding home repairs
  • have a clear view of where we will be in the coming months and years.

This has not only helps us sleep well at night but to make plans ahead into the future.

Which is handy as the FMT family is growing from 3 to 5 in 2019 with twins expected in May 2019.

How was your 2018? and what goals are you planning for in 2019?

 

 

Change of Plans for the Blog

person writing on white book

Even though I have a number of unpublished posts ready to go, I haven’t posted in the last few months because I have been thinking about what type of site I want this to be.

I didn’t want to end up with another page of copy/paste FIRE related content. There is already a wealth of great content out there, written and presented a lot better then I could of done.

The blog will only focus on my own progress towards goals and FIRE as well as travel updates.

In the coming days I will have my 4th Quarter update published and go over our goals for 2019.

Photo by rawpixel.com on Pexels.com

Adelaide and South Australia Family Holiday Travel Hack

Early in the year we took our one year old daughter from Western Australia to South Australia to meet my wife’s family without paying for airfares.

 

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We wanted to take the trip before our daughter turned 2 and we had to pay for a extra seat on the plane. But we ended up not needing to even pay for airfares.

5 months earlier, I signed up to a credit card with 65,000 bonus points as long as you hit minimum $2,000 spend for 2 months.

Perth to Adelaide return flight- $350 x2 =$700 Savings

To round up the spending required I bought Coles Group gift cards to make up the required spend. (Coles, Kmart, Office-work, Target, Liquor-land, Coles Express) So I could use on everyday expenses in the following months (groceries, fuel etc)

Not only did we get a chance for our daughter to meet her great grandma’s and extended family but we got to see a good amount of South Australia.

From free museums and parks in Adelaide, to the historic town of Hahndorf in the Adelaide Hills.  As well as enjoying the beaches in Tumby Bay, Port Lincoln and Oyster Bay

We did decide to splurge in Port Lincoln to have a upmarket ocean view room, looking over the ocean. Which in our opinion was totally worth the extra expense. (see photos)

Accommodation – 10 days $862.7 (2 nights with family) 

Spending money – $1030.34

Transport – Hire car and taxi’s $906.46

Total – $2,799.50 $279.50/day/family

Have you used frequent flyer points for a holiday? 

What do you think of South Australia?

Does anyone have some tips for reduces the cost of a Hire Car?

Home Loan Interest Rate Creeping Up

For the last two years my home loan interest rate has been slowly creeping up. It started off around 3.89% and is now at 4.07% with one of the Big 4 banks. This has prompted me to look into other lenders to see what is on offer.

House Value: $450,000

Current Mortgage Balance: $284,000

4.07% Variable Principle and Interest 

$395 annual package fee

2 years into a 30 year loan. (planning on paying off loan over next 5/6 years with extra payments)

After contacting my current lender they have agreed to drop interest rate down from 4.07% to 3.92%

1 Email = Savings of $426 per year! not bad for 2 minutes of work.

I also search for best deal online.homeloaninterst

Best rate: 3.59% Variable P/I no offset but redraw. $0 annual fees

If I switch to this online lender, I would be saving $937 per year in interest + $395 annual fee = $1,332 per year!

There are a few fees in switching lenders to consider, discharge fee for my current loan $300, property title fee $179 and potential settlement fee $150.

I would also need to switch my everyday bank account over to avoid monthly fees to a fee-free online account. This would also involve contacting all direct debits to switch over.

If I switched over I wouldn’t have a offset account, this shouldn’t be a issue as I plan to pay the loan off early and never want to create a Investment Property out of it.

Should I do the paper work and make the switch?

What your current interest rate?

 

 

 

 

 

 

3rd Quarter Update $-288,200

End of September means the end of the 3rd quarter of 2018, which is a good chance to look over our spending.

We had a big bump in income due to a tax return and a small first pay from Mrs FMT’s small business.

Total Income $26,564 July to Sept

After a great second quarter of saving, we ended up spending alot of money on planned house repairs which we had put off for the last 2 years. Mostly necessary repairs, which comes with owning a 1960’s house on the beach.

Total Spend on Home Repairs $14,364 July to Sept

As much as I wish this was money put onto the homeloan, the work is now mostly done with last part of the repairs coming into the 4th quarter spending.

Even with the home repairs we managed to pay down some extra money on the home loan.

Total Extra Payments on Home Loan $5,000 July to Sept

Current Home Loan balance at $-288,000

With the major home repairs costs out of the way for the immediate future, I hope to get back to paying down extra on the loan.

Target for end of 2018 is to pay down the home loan to under $280,000

What are your thoughts? How do you deal with Home Maintenance costs and trying to reach FI?