For an audio version of this post, please click on the speaker icon (top left).
Welcome to this episode of The Doctor’s Bill (Can You Afford It?).
Wonder if you should buy that big ticket item or not?
Well here’s your chance to have a wealth management expert, Johanna Fox Turner, of Fox & Company Wealth Management analyze your overall finances and make a final verdict on whether or not you can indeed swing for the fences and splurge on yourself or whether you should just walk away.
[Johanna and I have no current financial relationship]
Disclaimer: This is not meant to be a substitute for paid professional advice but only meant to serve as a suggestion/guideline.
The following are the details from our submission form:
On A Happiness Scale of 1-10 (10 Being Happiest), rate what this item/experience will do for you A) Short Term and B) Long Term:
A) 10 B) 9
How Many Years Till Planned Retirement?
What is your total household income?
What is your % Annual Savings Rate? (savings/gross income)
Primary Home Equity (Market Value-Debt) [For Renter =$ 0]
Additional Real Estate Holdings Equity (Market Value-Debt):
$1,000,000 (cash flows $50k/yr)
Current Liquid Asset Value (Savings, Checking, Etc.):
Retirement/HSA Combined Value:
Miscellaneous Asset Value:
Student Loan Balance:
Future College Plan Funding Needed (Today’s Dollars):
$200,000 (16 years from now)
Future Parental Support Funding Needed (Today’s Dollars):
Additional Future Obligation Support (Today’s Dollars):
How do you plan on paying for this item/experience?
$2M down payment
- $375k/yr savings toward downpayment over 4 years
- Reduce investing savings to 20% over this 4 year period
Borrow $1.5M with plan to pay off mortgage < 8 years
Any other pertinent information not addressed?
We make a lot currently, but do not know how long it will last.
My concern is we buy this home and reimbursement gets slashed and our solid financial foundation crumbles.
My wife is pushing hard for this home.
I am perfectly happy in our current cheaper home that is already paid off.
In looking around, it also seem the sellers of these $3M+ homes are having a difficult time unloading them.
Part of my concern is that even if reimbursement isn’t slashed, I’ve locked myself into this area for the long haul once we shell out for this kind of house.
1st World problems but one that grows daily as my wife wishes to expand to a larger home.
What do you think?
Does this submitter get the keys to the castle but ends up in the financial outhouse?
Or is happy wife/happy (financial) life a possibility?
Click on the Doctor’s Bill Image and find out the verdict:
After you see the verdict please come back to this page and comment whether you agree or not with the decision (and no cheating by looking at comments first!)
If you would like to submit your own Doctor’s Bill request please fill out the submission form.
I would like to introduce the latest XRAYVSN financial partner: Splash Financial
The mission of Splash Financial is simple:
Provide hardworking graduates like you with more financial freedom, so you can move forward and make a splash in the world.
Splash Financial is an online student loan refinancing platform that helps lower the interest rates on your student loans.
By offering rates as low as 3.75%, refinancing can help you save tens of thousands.
Checking your rates is free, takes two minutes, and will not hurt your credit score.
Refinance more than $30,000 with Splash and you will receive a $500 cash bonus.
Splash was specifically founded to help medical professionals before expanding to all professions in early 2018.
Splash Financial Bonus: (Good for Refinance Applications submitted before Dec 31, 2018)
- $500 for refinancing $30k+
- $1,000 for $100k+
- $2,000 for $200k+
If you are in search of financial help, please consider enlisting the service of any of the sponsors of this blog who I feel are part of the “good guys and gals of finance.”
Even a steadfast DIY’er can sometimes gain benefit from the occasional professional input.
NOTE: The website XRAYVSN contains affiliate links and thus receives compensation whenever a purchase through these links is made (at no further cost to you). As an Amazon Associate I earn from qualifying purchases. Although these proceeds help keep this site going they do not have any bearing on the reviews of any products I endorse which are from my own honest experiences. Thank you- XRAYVSN