forward thinking: the math

Ok, the OC in me likes to plan things ahead of time and gets kinda stressed whenever I'm told to "go with the flow". I know some people like it and live by it, but I'm just not wired that way... Also, the Math geek in me likes to see things on black-and-white and formulas put in place so that things compute properly and everything is accounted for. I do not like cracks or have things fall into them (you know what I mean)... Anyway...

This OC-ness led to me draft up a household budget for me and Attorney, for our life-together to be launched in mid-Sept 2010. The excel sheet accounts for all expected income flows as well as expenses, and computes for yields in terms of gains or losses as a function of income minus expense. It also creates another scenario where a baby is involved. I estimated costs incurred by pregnancy and the baby entering this world, annualized it, and made a safety padding to include inflation and to absorb the cost of cutesy baby things that are pricey but simply cannot be passed up (see, I'm also very realistic!). I wanted to know if we're financially prepared for this occurence. I know we planned not to have a baby until my MBA is done, but sometimes, these things cannot be helped nor 100% planned for, so I wanted to know if we'll be on shaky ground if I pee into a stick and find out we're with-child. I'm sure we'll be happy but I want to know if our wallets will be just as happy.

Bottom-line, nearly break-even if with child with a little bit stashed away for savings. Not a bad scenario all-in-all.

I'm happy now. :)

And can breathe better.

Math calms me down this way. Numbers don't lie. :p

Oh, and I just realized, imagine if we didn't have to pay 32% income tax. That would mean a 32% immediate increase in our takehome and more moolah for our little kid. Tsk tsk tsk. Instead it goes to the fat pockets of you-know-who.

Oh, and I also just realized, I didn't plan for the occurence of us having twins.

I don't think we have twins in our genes. So it's an improbable matter. :p

Ok, too much OC. Gotta get back to work.