Persistence -> Debt Free

Per the last post I did, Sarah and I had $24,931 in student loans as of May 5, 2015. Since that time, we have paid $24,931. We made our final payment in February 2016! I cried when I pushed the submit button while sitting at the local café. It was an overwhelming feeling of accomplishment, satisfaction, blessing, and thanksgiving. Going forward, I want to help others prevent their own bondage and for those in chains, help them to get out. Sarah and I could never have done this alone and we are thankful to a great family who battled with us, friends who listened to our struggle, and God for providing for our needs.

Just to give a little context, I finished grad school in 2010. Sarah then completed her undergrad in 2011. We both graduated from the University of Oregon; Sarah spent her first two years at a private school in California. Between the both of us, we had $100k of student loans, or $33k for each degree. Note that the strategies we implemented to conquer this beast will be discussed in a different set of posts.

To add to this challenge, Sarah started graduate school in 2013. She has since graduated with her masters in in 2016! I will cut to the chase and say that we prioritized not adding onto our debt burden and choose to pay for her school as she went. After her graduation, her school tab was $0! This certainly slowed our slaying of the other tranches of debt, but it was worth it to us.

Again, this is not a victory declared on our own strength, smarts, or stamina. This was a team effort that really started from my parent's encouragement to get a financial plan. Now I hope to be a voice to others facing their "insurmountable challenges."

Current Remaining Balance = $0 @ 0.00%

Season of Faiths Perfection

What is faith? The bible says in Hebrews 11:1 that "faith is the assurance of things hoped for, the conviction of things not seen." To me this means that faith is not a vague hope grounded in wishful thinking. Rather, faith is is a settled confidence that the promises of God will come to pass. And this faith, that is unshakable, is perfected through Jesus as we become more and more like Christ through the Holy Spirit. Hebrews 12:1 describes this process by saying "let us also lay aside every weight, and sin which clings so closely and let us run with endurance the race that is set before us, looking to Jesus as the founder and perfecter of our faith, who for the joy set before him endured the cross, despising the shame, and is seated at the right hand of the throne of God."

 I was reading about the sermon on the mountain yesterday (Matthew 5), using the Message translation. Matthew 5:4 says "You’re blessed when you feel you’ve lost what is most dear to you. Only then can you be embraced by the One most dear to you." For sometime, I have been going through trials where my false identities and idols have been challenged. The height of this internal war was revealed while Sarah and I were in Hawaii last December.

 We were walking along Waikiki beach at dusk and I had a breakdown. In the end, I was crying on the beach, head on Sarah's shoulder. What brought me to tears was my the pain I felt when I realized that one of my dreams was now unattainable. For a few years, I had played with the idea of joining the Navy, with my ultimate goal of becoming a SEAL. I started training when I was ~26 and was consistently dominating the PST (physical fitness test). However, I always came back to the realization that the special forces life would come with significant sacrifices with respect to my marriage with Sarah. I could never bring myself to enlist and on my best days, remembered this conviction. However, on bad days, like this time in Hawaii, it is devastating to acknowledge a dream that will not come to fruition.

 I think the SEALs would be a fit for me. I am intense, athletic, team-oriented, type-A, aggressive, and dominant. However, when I peel back the layers, I think I looked to this goal/accomplishment, as well as others (i.e. becoming a homeowner, being married, being single again, making $100k, etc.) as a source of purpose and satisfaction. As I sat on the Waikiki crying that night in December, while pain, disappointment, and regret boiled up from my soul, I also felt a deep serenity from the faith that I have in the world to come. While my faith is still being perfected, I experienced a glimpse of Christ in that moment as I realized that nothing I put my hope in, outside of Christ, can satisfy.

School Debt - Update 3

Current Remaining 
1. Private Loan Program - 12,297 remaining @ 2.98 $12,031 remaining @ 3.01%
2. Federal Loan - $7,796 remaining @ 4.23% $3,204 remaining @ 4.23% 
3. Federal Loan - $9,697 remaining @ 0% (deferment for school - 6% after deferment)
5. Private Loan - $7,376 remaining @ 6.55%

Total Remaining = $29,664 $24,931

Total Principal Repaid in Last 60 Days: $4,733

As our goal is to repay our loans prior to my 30th birthday (November 27), I also want to outline the monthly repayment that will need to take place.

Total Remaining = $29,664 $24,931
Remaining Months: 7 (May - Nov)
Principal Payment/Month: 3,562

Sarah's school payments are much less for summer semester than in previous semesters. Additionally, we will only have ~$5,000 left after summer which will be spread over several months. Overall, this will enable us to put more money towards our school debt. As of now, we have $3,100 budgeted for school payments (debt and grad school payments). For the past several months, school payments were ~$1,800 which left only $1,300 for debt. As school payments decrease, we will be able to ramp up debt payments. I have included my forecasted payments and debt payoff timeline below:

Conservative estimates result in a payoff in Feb 2016. Factoring in an assumed pay increase and bonus in 2015, I think a full payoff in 2015 is possible. Please see the graph below for an updated forecast with pay increases and bonus included.

Payoff with salary increase assumption

With expected pay raise included, my conservative estimate results in a payoff of early January 2015. We will continue to be aggressive in hopes of realizing a 2015 payoff, but we rest in our overall excitement of seeing the end of the tunnel.

Red Sea

   

Scott and I (in the picture above) hit the South Coast beach this morning around 9a. We had a full day ahead of us and had to get some snorkel time in prior to 12p. At 9a, the weather was ideal at 75 degrees and the water was temperate. Shortly after finding a covered spot, we jumped in with the snorkel gear some friends let us use.

The bottom of the Red Sea is full of coral and fish of all shapes and sizes. Small orange fish can be seen within the expansive, bright coral against the deep blue backdrop of the water. We hit the water at the perfect time for the sun to start slicing through the water, reflecting the colors brightly of the floor.

I am one who sees God more through nature than in things made by man. While swimming through these historic waters, the heavens were declaring the glory of God.

Souk by the Sea

We are in a small town on the edge of the Red Sea. From the water, you can Israel, Egypt, and Saudi Arabia. As you can imagine, the city is quite diverse due partially to the close proximity to other countries.

As the sun started to fade, we walked around the beach front where the locals gather. A sea of people on the sea. We spent time taking in the culture, shooting photos, and sitting.

Already planned, we headed to the Souk by the Sea (market by the sea) at 6p. This is an outdoor market in the heart of the city. It is a beautiful collision of business and culture. While at the Souk, we were able to see a few of our friends and meet new friends. It is cool to see how time grows people when they are open to growth.

The idea for the Souk is that it provides a safe opportunity for families to come and enjoy local culture and products. It is also strategically located in the heart of the city and situated along a popular tourist area. In the shape of a square, the Souk is made up of many outdoor-style event tents. There are also tents within the middle of the square along with a big open space for eating and congregating. Situated as the focal point, a stage is located near the open space and showcases local talent and actors for the kids. The Souk was bustling with energy and excitement.

As a business guy, I enjoyed seeing this model work in the city. I would say that this is a example of what is being called Shared Value. This concept (coined by Harvard Professor Michael Porter) is that businesses, when operating well and within their core capabilities, can create economic value in a way that also creates value for society by addressing its needs and thereby expanding the total pool of value. 

The Souk by the Sea is creating economic value while also creating new value for the community. For example, one of the booths showcased local handmade products made by Jordanian women. This company employs local women and also makes many of their products out of recycled materials. So my question is, how am I creating shared value?

Cups of Tea

After landing at 11:20p, I proceeded through customs and exited the airport around 12:00a. I was picked up shortly after by Scott in a Kia rental car and informed of a plan to head down to Aqaba that night. After a brief tour of Amman, we dropped off the big bag I brought on the trip for the foreign workers at the guesthouse at 2:00a. We finally decided to get a few hours of sleep around 3:00a.

Wake up came at 6:30a for me, even earlier for Scott. He was actually kind enough to make an amazing brew of Stumptown and eggs. At 7:45a, we started a four hour drive to Aqaba through Ma'an. 

We stopped along the way at a tea stand  (and for a bathroom break). While not be used to being in country, the experience of greeting locals, being accepted with smiles, and enjoying a delicious tea was disarming. While not completely comfortable, I felt walls of apprehension break down in that exchange of .25 Jordanian dollars for two cups of tea.

14 Hours 27 Minutes

A German voice just came over the P.A. announcing that the Emirates flight I am currently on is scheduled to be 14 hours and 27 minutes. For those who have not been on Emirates before (which I have not), it is a nice ride.

The steward and stewardesses are dressed to impress in Middle Eastern style fashion. There are five sections, the first of which is first class (offering the sleep pods). The other sections are spacious, and personal toiletry bags, blankets, headphones, and pillows are provided on every seat. Also, everyone gets access to free movies and entertainment which makes the long trip a little more palatable.

So now to my set up. First, I had to check my back-packing back at the gate because it weighed too much so I am streamline. In terms of location (within the 5 sections) lets just say that if the tail fell off, I would be the first to go. Also, the last 5 rows only have 2 seats on the end sections so my middle seat turned into an isle row! However, the reason for dropping off the third seat is to make room for the bathroom...which is within arms reach across the isle from my seat.

This flight is the most diverse experience I have had in a good while. I have traveled to Seattle often over the past two years (50+ trips) and have never heard of or seen "S Gate." This is the international terminal and as soon as I entered S Gate the trip became real. 

I leave with excitement and all the trust I can muster.

Ryan