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If I won $300,000 dollars, I would absolutely quit my teaching job. These days, $300,000 dollars sounds a lot better than nothing. Money can’t replace the social element of my job, but it would help my finances. I would be able to pay off my student loans, car payment, house mortgage, graduate school tuition, and take a vacation overseas.
What do I need to live on for 2 years until my next job?
However, while not working will save me money, there will be other daily expenses I do not want to cut. I spend about $400 a month for groceries. I rarely eat out so the grocery bill has to cover 7 days of home cooked meals every week, and for me, that has to include some good meats and organic produce. My utilities includes: electric, water, cable, Internet, and telephone which cost approximately about $500 a month. Electric bill can sometimes run up higher in the summer with AC running. Other miscellaneous expenses like: home owner’s insurance, car insurance, medical insurance, and etc cost about $700 a month.
Paying off Debt
Paying off my car loan early can save hundreds of dollars on interest charges. My current car loan payoff amount is $9,000 and that is due to high interest. In my opinion paying off my car loan can be a good or bad according how lenders see it. If I pay off my car loan with a lump sum payment, particularly before a minimum of 12 months have passed, my car loan history will not provide the lender with relevant information. An early payout will give me a lower credit score. Paying off my mortgage would make sense, because I plan to stay in my house for awhile. I owe about $40,000. I want to payoff my student loans quickly, so that I can pursue another degree. My current student loan balance is $60,000 for a bachelor and master degree.
My Expenses Balance
Debt Balances: car loan + house mortgage+ student loan =$109,000.00 total debt amount
Total monthly Daily Expense: groceries+utlities+miscellaneous expenses =$1600.00
Total 24 months of daily expense: $38,400.00
Total sum for all expense: $147,400.00
Leftover amount: $300,000-$147,400.00=$152,600.00
After I pay off all my expenses I would have about $152,600.00 dollars which I could use for investment fund, graduate school, or a long overdue vacation. I plan on to continue working in the field of education after two years of quitting my job.