Saw this article (http://amysfinerthings.com/finer-things-friday-support-system) and wanted to write my own version...
I have been feeling overwhelmed lately. Murphy is parked on my doorstep and wants to come in. I am pushing back as hard as I can and having little success...
Here is what is happening:
My son may need surgery for tubes in his ears
My daughter's father has decided he will no longer pay for college
We are having a baby in Oct
I need to have thyroid surgery. I need to work with the doctor will try and get it done before my insurance changes in Jan.
All of it is mostly manageable but right now I am feeling quite stressed about issues. In addition there are promised layoffs at my husband's office and we will find out if he is on the list today. Of course there are rumors of additional cuts in the future so there are no guarantees that we would be safe. More stress...
When I see it all laid out here on the computer I have a lot going on.
I guess its about how you spend your time but I am grateful for the people who are supporting me...
Family
My mom has been a rock and even though there is a lot of stuff going on for her she is still coming to see the new baby, and to nurse me through the surgery in Dec.
Co-workers
surprisingly this is changing for me. I used to have good support here it is changing with this pregnancy. I am leaving as soon as my daughter graduates college.
Faith - I have not found a good church in this area. Its too bad really because I do have a strong faith in God. My husband is a no go guy so I tend not to go either, mostly out of laziness.
Looking into a lawyer made me realize how important it is to get to know people in the area and take suggestions from those around you.
Looking into surgery for my son I got a lot of interesting feed back on face book. People love to comment and give input. It did make me realize though the scale of the number of ear infections is wayyyyyyyyyy above the norm and I need to make it different. I do not want him to loose his hearing.
So there we are. I am grateful by brother after one year of unemployment has a job currently. I am grateful my dad is keeping the chaos low. I am grateful my mom will support me the best that she can. I am grateful I will be out of debt some day. I am grateful that I do have a family that I love as crazy as they are, they are mine.
Sunday, May 30, 2010
Thursday, May 27, 2010
Mad money monday
Life has been busy and I have not felt inspired by others to blog. Although I have a bunch of notepad documents that I might one day go back and post... We'll see.
Picking up from my last post. I have not had the heart to change my side bar. I have had a bunch of financial setbacks last year and this so perhaps I got a bit dis heartened because we have extended the time It will take for my debt to be gone. last month the debt stood at 26713.65 It was a tough winter and fall. And predictions for may have the debt increades by $200.00 Thay was due to some traveling requested by my mom. And you dont say no to my mom. So travel we did.
There is some good news. $200 is did not put me back at $39804. I start with a fresh sheet of paper each month and I believe there is light at the end of the tunnel. Someday I will be out of debt. I am here and I did not give up the ghost. I truely believe that persistance pays.
My raise has ben spent and spent and spent. It has been a blessing but spent... I have set up an automatic payment from checking to my savings account to transfer 100.00 every month to get savings back to $2000.00 It has dropped to ~1400. Some days I have to pay things out of savings so I do not increase the debt. and the emergency fund is where the money comes from. By transfering the cash into savings every two weeks the emergency fund will be replenished by the end of theyear and I can stay on track with debt pay down.
There has been one other piece of good news... I am going to have baby #3 so I will be increasing my expenses. I am doing everything I can to get as much paid down before the arrival date. but 20 year olds seem to have other ideas in mind.
One pregnancy challenge I seem to be having is keeping my mind focused which is causing me to spend too much time on facebook and not enough time on programming or work.
Picking up from my last post. I have not had the heart to change my side bar. I have had a bunch of financial setbacks last year and this so perhaps I got a bit dis heartened because we have extended the time It will take for my debt to be gone. last month the debt stood at 26713.65 It was a tough winter and fall. And predictions for may have the debt increades by $200.00 Thay was due to some traveling requested by my mom. And you dont say no to my mom. So travel we did.
There is some good news. $200 is did not put me back at $39804. I start with a fresh sheet of paper each month and I believe there is light at the end of the tunnel. Someday I will be out of debt. I am here and I did not give up the ghost. I truely believe that persistance pays.
My raise has ben spent and spent and spent. It has been a blessing but spent... I have set up an automatic payment from checking to my savings account to transfer 100.00 every month to get savings back to $2000.00 It has dropped to ~1400. Some days I have to pay things out of savings so I do not increase the debt. and the emergency fund is where the money comes from. By transfering the cash into savings every two weeks the emergency fund will be replenished by the end of theyear and I can stay on track with debt pay down.
There has been one other piece of good news... I am going to have baby #3 so I will be increasing my expenses. I am doing everything I can to get as much paid down before the arrival date. but 20 year olds seem to have other ideas in mind.
One pregnancy challenge I seem to be having is keeping my mind focused which is causing me to spend too much time on facebook and not enough time on programming or work.
Monday, May 03, 2010
Wet and windy get focused day
Hard for me to realize that I have not posted since Jan. I thought it had only been a few weeks. Silly traveler....
So Instead of back tracking and trying to catch you all up I will just do a brief where have I been and then quickly move forward.
The fall was super bad for expenses. I pulled myself up by my boot straps and re focused in Feb and said no more silliness. So far Feb, March and april have been more on track and I have managed to get my debt payoff to 33% in number terms for you geeks....
I started this journey at $39804.12. Currently I have $26,713.65 in Credit card debt. I have paid off in 2 years $13,090.47 WEEEEEE I have paid off $13,090.47 in debt. I do not wish to be there ever again!
My goals have been to pay off the total of the debt in 3 years. based on the fact it took 2 years to come 1/3 of the way it looks like it will be more like 6 before I am truely free. Thats okay. Not fun but okay. As long as I get ther eventually.
There have been set backs... Health care additional costs and college expenses for my daughter.
There has also been good news. I got a small raise. Even though the place where I work has put a freeze on all raises They examined my salary and found (NOT to my surprise) that I was paid too low below market and this was un equitable. So they gave me a bump to make it more of a market rate. In truth I think I could leave this employeer and make a move to almost double my salary and that is my plan in two years... But I will blog more on the hows of that some other time.
In June of 2009 I had 23864 in debt so I am still not quite back to where I was a year ago.
I left off here... I will post this and continue more in another blog
So Instead of back tracking and trying to catch you all up I will just do a brief where have I been and then quickly move forward.
The fall was super bad for expenses. I pulled myself up by my boot straps and re focused in Feb and said no more silliness. So far Feb, March and april have been more on track and I have managed to get my debt payoff to 33% in number terms for you geeks....
I started this journey at $39804.12. Currently I have $26,713.65 in Credit card debt. I have paid off in 2 years $13,090.47 WEEEEEE I have paid off $13,090.47 in debt. I do not wish to be there ever again!
My goals have been to pay off the total of the debt in 3 years. based on the fact it took 2 years to come 1/3 of the way it looks like it will be more like 6 before I am truely free. Thats okay. Not fun but okay. As long as I get ther eventually.
There have been set backs... Health care additional costs and college expenses for my daughter.
There has also been good news. I got a small raise. Even though the place where I work has put a freeze on all raises They examined my salary and found (NOT to my surprise) that I was paid too low below market and this was un equitable. So they gave me a bump to make it more of a market rate. In truth I think I could leave this employeer and make a move to almost double my salary and that is my plan in two years... But I will blog more on the hows of that some other time.
In June of 2009 I had 23864 in debt so I am still not quite back to where I was a year ago.
I left off here... I will post this and continue more in another blog
Thursday, January 14, 2010
CREATING THE NEW YEAR
Well its new years so I like many others feel compelled to create goals for myself. Of course its obvious to me my top three.
Here is what I am focused on:
Who or what, other than yourself, are you most committed to loving and serving in 2010?
Family, my children, my husband, my brother, my parents.
What one word would you like to have as your theme in 2010?
Progress
So those are my answers, what are your goals? Feel free to comment.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Here is what I am focused on:
- Pay off 28,077.53 amount of debt, or this year about $9000.00. That equates to $750.00 per month. I am budgeting about $800.00 to debt but some of that is interest. So we’ll see how I do.
- Lose 20 lbs
- Learn to be a SharePoint developer/programmer
I am starting a new blog for #3. I think it helps to keep me on track and focused. I like blogging. Lets see if I can make a little additional income and get some referrals for technical work by putting it out there. I am not going to blog about #2 because from my observations people who are on a debt diet then start talking about a real diet never seem to come back to the debt blogging. And really getting out of debt is more important. It makes me feel like I have lost my friends when bloggers go away. I really am missing I've paid for this twice. She was really inspirational in my focus. Of course I also like NoCreditNeeded. But he blogs much less often and his journey is less about debt and more about skills after the debt. I need and want those skills but I need to remain focused on my own goals.
As I write this blog entry I received in email David Allen's productivity tips email. You can subscribe to it yourself here... http://www.davidco.com/productive_living.php
I Love how he re-frames New Year’s resolutions...
CREATING THE NEW YEAR
What would you like to be your biggest triumph in 2010?
What advice would you like to give yourself in 2010?
What is the major effort you are planning to improve your financial results in 2010?
What would you be most happy about completing in 2010?
What major indulgence are you willing to experience in 2010?
What would you most like to change about yourself in 2010?
What are you looking forward to learning in 2010?
What do you think your biggest risk will be in 2010?
What about your work, are you most committed to changing and improving in 2010?
What is one as yet undeveloped talent you are willing to explore in 2010?
What brings you the most joy and how are you going to do or have more of that in 2010?
Who or what, other than yourself, are you most committed to loving and serving in 2010?
What one word would you like to have as your theme in 2010?
So Here are my responses:
CREATING THE NEW YEAR
Love the positive language that I can create the year I want to have.
What would you like to be your biggest triumph in 2010?
Having baby #3 we are attempting it, but have not had success there yet. Second biggest triumph will be to get the debt back under control. For the last six months things have been a little (a lot) crazy.
What advice would you like to give yourself in 2010?
Have persistence in paying off your debt. Perseverance and diligence these are the skills that will accomplish getting rid of debt. Towards the end Oct, Nov and Dec stay focused on the goals instead of dithering away on auto pilot. Make allowances for the fact that it is a busy time and try to put away extra before the fall to compensate for the time you know you will have more demands on yourself.
What is the major effort you are planning to improve your financial results in 2010?
Increase my income, decrease expenses basic but HARD
Learn to be a SharePoint developer to increase my income.
We are giving up cable to decrease expenses further. And as I type this the thermostat is set to 65!
What would you be most happy about completing in 2010?
I would like to read more books. I have not been able to focus my attention for long enough on any single book. I just look long enough to read the answer I need. I would like to learn the information in a textbook really commit it to my skill set.
What major indulgence are you willing to experience in 2010?
Ahhhh chocolate comes to mind. Then Cross-stitch, But also it is an indulgence to learn a new skill. To dedicate so much time (which I have little of) and focus (which I find harder and harder to obtain) is a luxury and therefore an indulgence. So I plan to dedicate 2 hours each week to reading about SharePoint development.
What would you most like to change about yourself in 2010?
The back sliding. I know it happens but I find it so frustrating. It is exactly these circumstances for which Dave Ramsey has you create an emergency fund in the first place. I have dipped into it a lot recently. I want to put back. (I will post more about this in a further blog)
What are you looking forward to learning in 2010?
SharePoint development
Better budgeting
Making a SharePoint Blog produce an income.
What do you think your biggest risk will be in 2010?
Having another child is a very expensive choice. But I am too old not to try to take action right away.
It is also a risk to learn programming. In two years will I be able to leave my job and take a contracting position to do development. I like security. We will see.
What about your work, are you most committed to changing and improving in 2010?
1) Learning tract for SP development
2) Be a better teacher
3) Working towards preparing my team at work for the next version of SharePoint that is coming out.
4) Encouraging users them not to be afraid of the new tools.
What is one as yet undeveloped talent you are willing to explore in 2010?
Undeveloped talent… My first thought is leadership. But what I really want to develop is the skill to lean something by reading and doing. I want to be a self learner. In the past I have learned very well by taking classes and reading blogs. Now I need to strengthen the ability to take what I read and turn it into a doing action. I need to retrain my brain.
What brings you the most joy and how are you going to do or have more of that in 2010?
Joy... My children, my husband and cross stitch. These are my biggest pleasures. I would like to spend more time with each of those things. I need to remember when I am spending time with each of those people how much I appreciate them for who they are and how much they support me and bring me happiness.
Who or what, other than yourself, are you most committed to loving and serving in 2010?
Family, my children, my husband, my brother, my parents.
What one word would you like to have as your theme in 2010?
Progress
So those are my answers, what are your goals? Feel free to comment.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Wednesday, December 30, 2009
Debt free tips from Indiana Jones
I love to read blogs. I love to see what people say. I read a lot of personal finance blogs. I read a lot of cross stitch blogs and I read a lot of SharePoint blogs. (SharePoint is a product by Microsoft) I came across this blog http://sharepointkb.wordpress.com/2009/12/23/sharepoint-tips-from-indiana-jones/ and began to think that hmmmm. I think this could also apply to personal finance. So lets see how our journey goes... 
1) You have to have the courage to take on something challenging.
Fighting my way through the debt heap has taken a good bit of courage to keep going. It has also taught me to "defend" my wealth. I hate confrontation. I hate fighting. I have come to respect that sometimes you have to stand your ground in order to not be taken advantage of. Currently I have to appeal to my health insurance some extenuating circumstances that my dd had an urgent situation and needed to get care. If I do not appeal then the health care company denies my claims for around $2000.00 Its my money. She needed the health care its why we have insurance. I have learned to be brave and take the fight to the vendors because typically I get my money back. Another example is getting a lower interest rate. See my blog entry here... http://travelfarandwide.blogspot.com/2008/11/ask-dont-forget-to-ask.html
Be brave ask for what you want.
2) Know your limits and what your good at.
I am good at dreaming. I can daydream all day long. Typically, I have to stop myself from dreaming and put my nose to the grindstone to get myself to focus on my work. It is okay to run away from the big boulders when they are flying at you but it is also necessary to know when to get to work.
3) Simplicity is often the best option. (Gun vs Sword)
Isn't this one of the favorite scenes where the swashbuckler is waving his sword and Indy just shoots him. I think this is parallel to online banking. It was a lot of fuss to pay lots of bills over the phone on cards. I love online bill pay. I just hop on my bank's web site and off I go, electric paid, rent paid, cable paid. Done. And because time is such an issue in my life now that I have a 1 year old. It takes me about 30 minutes to check all my balances and pay the bills. Once per month 30 minutes is very effective. Keep it simple. Bam just knock it out.
4) You need to know your stuff and be ready to learn.
Indy Jones always pops in with some little tid bit of history that solves the puzzle. He knows a lot of stuff and it gives him that little competitive edge over the Nazis among others. I read tons of blogs. I have learned a lot about how to do things as well as been inspired by others who struggle in the same journey.
Places to learn:
No credit needed
Dave Ramsey
WiseBread
Boston gal's Open wallet
Places where I feel inspired:
I've paid for this twice
GRACEful Retirement
5) You don’t have to be a superhero.
Indiana Jones was a geeky history professor who liked fancy vacations. I am a geeky Technology buff who likes mellow vacations. I believe if we follow the map to the treasure we can achieve our goals. And I follow Dave Ramsey's baby steps road map. you should too http://www.daveramsey.com/new/baby-steps/
6) Some things never change.
Indiana Jones uses old fashioned common sense and logic to solve his conflicts. He seems to choose the best way to get out a of a fix. There is no way to stop life from becoming complicated. BUT we can keep an emergency fund in order to keep our debt from growing.
7) Know what your are afraid of, or bad at and let other people help.
Snakes why does it have to be snakes??? I love that moment. When the great hero admits to being human. But he pushes through his fears and escapes anyway. I have mounting fears that my debt is mounting. But I keep on the plan because its to only solution to escaping debt.
8) You can’t do it alone.
Jones used lots of resources on his journey. He took advantage when help was offered and so should all of us. When my mom offered to help me with some extra cash I paid it toward my debt. I am going to start cashing in my bonds (I only have 2 so its not big bucks) to pay off some if the debt. I am also going to look into selling off some stock I own to try and get the debt down further. Again we arent talking big bucks maybe a couple of hundred dollars. Any help is good.
9) You have to believe in yourself and it doesn’t hurt to be unique or have your own image.
When Indiana Jones was on an adventure he wore his unique hat. It helped to get him into the roles he had defined for himself as an adventurer. He was super confident when he came into a new situation. He believed in himself.
It turns out to be different then average is to have no debt. So my goal is to be unique. I am going to get out of debt and then build up savings. I have fantasies about how fast it will happen. But mostly I am planning to follow the steps and save for retirement. There are no get rich quick schemes.
10) You have to see things through and stay focused.
Indiana upon his return from the opening adventure in the movie said "Marcus, I had it it in my hand, Marcus. I can get it." He was completely focused on obtaining an artifact for the museum even if it took more then one adventure to get it. He was then changed to follow the arc of course, but the idea is persistence and diligence despite setbacks won him the treasure every time.
We all need to be like Indy.
This was a light and fun Holiday way to help one enjoy getting back into the grind of debt reduction. Sometimes when you look at something in a new way it gives you a different perspective. I want to be a bit more like Indiana Jones. I want to crack my whip and have my credit cards sit up and take notice. Because I am coming for you...
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
1) You have to have the courage to take on something challenging.Fighting my way through the debt heap has taken a good bit of courage to keep going. It has also taught me to "defend" my wealth. I hate confrontation. I hate fighting. I have come to respect that sometimes you have to stand your ground in order to not be taken advantage of. Currently I have to appeal to my health insurance some extenuating circumstances that my dd had an urgent situation and needed to get care. If I do not appeal then the health care company denies my claims for around $2000.00 Its my money. She needed the health care its why we have insurance. I have learned to be brave and take the fight to the vendors because typically I get my money back. Another example is getting a lower interest rate. See my blog entry here... http://travelfarandwide.blogspot.com/2008/11/ask-dont-forget-to-ask.html
Be brave ask for what you want.
2) Know your limits and what your good at.
I am good at dreaming. I can daydream all day long. Typically, I have to stop myself from dreaming and put my nose to the grindstone to get myself to focus on my work. It is okay to run away from the big boulders when they are flying at you but it is also necessary to know when to get to work.
3) Simplicity is often the best option. (Gun vs Sword)
Isn't this one of the favorite scenes where the swashbuckler is waving his sword and Indy just shoots him. I think this is parallel to online banking. It was a lot of fuss to pay lots of bills over the phone on cards. I love online bill pay. I just hop on my bank's web site and off I go, electric paid, rent paid, cable paid. Done. And because time is such an issue in my life now that I have a 1 year old. It takes me about 30 minutes to check all my balances and pay the bills. Once per month 30 minutes is very effective. Keep it simple. Bam just knock it out.
4) You need to know your stuff and be ready to learn.
Indy Jones always pops in with some little tid bit of history that solves the puzzle. He knows a lot of stuff and it gives him that little competitive edge over the Nazis among others. I read tons of blogs. I have learned a lot about how to do things as well as been inspired by others who struggle in the same journey.
Places to learn:
No credit needed
Dave Ramsey
WiseBread
Boston gal's Open wallet
Places where I feel inspired:
I've paid for this twice
GRACEful Retirement
5) You don’t have to be a superhero.
Indiana Jones was a geeky history professor who liked fancy vacations. I am a geeky Technology buff who likes mellow vacations. I believe if we follow the map to the treasure we can achieve our goals. And I follow Dave Ramsey's baby steps road map. you should too http://www.daveramsey.com/new/baby-steps/
6) Some things never change.
Indiana Jones uses old fashioned common sense and logic to solve his conflicts. He seems to choose the best way to get out a of a fix. There is no way to stop life from becoming complicated. BUT we can keep an emergency fund in order to keep our debt from growing.
7) Know what your are afraid of, or bad at and let other people help.
Snakes why does it have to be snakes??? I love that moment. When the great hero admits to being human. But he pushes through his fears and escapes anyway. I have mounting fears that my debt is mounting. But I keep on the plan because its to only solution to escaping debt.
8) You can’t do it alone.
Jones used lots of resources on his journey. He took advantage when help was offered and so should all of us. When my mom offered to help me with some extra cash I paid it toward my debt. I am going to start cashing in my bonds (I only have 2 so its not big bucks) to pay off some if the debt. I am also going to look into selling off some stock I own to try and get the debt down further. Again we arent talking big bucks maybe a couple of hundred dollars. Any help is good.
9) You have to believe in yourself and it doesn’t hurt to be unique or have your own image.
When Indiana Jones was on an adventure he wore his unique hat. It helped to get him into the roles he had defined for himself as an adventurer. He was super confident when he came into a new situation. He believed in himself.
It turns out to be different then average is to have no debt. So my goal is to be unique. I am going to get out of debt and then build up savings. I have fantasies about how fast it will happen. But mostly I am planning to follow the steps and save for retirement. There are no get rich quick schemes.
10) You have to see things through and stay focused.
Indiana upon his return from the opening adventure in the movie said "Marcus, I had it it in my hand, Marcus. I can get it." He was completely focused on obtaining an artifact for the museum even if it took more then one adventure to get it. He was then changed to follow the arc of course, but the idea is persistence and diligence despite setbacks won him the treasure every time.
We all need to be like Indy.
This was a light and fun Holiday way to help one enjoy getting back into the grind of debt reduction. Sometimes when you look at something in a new way it gives you a different perspective. I want to be a bit more like Indiana Jones. I want to crack my whip and have my credit cards sit up and take notice. Because I am coming for you...
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, November 02, 2009
October wrap up
My retirement fund and my debt paydown reached the exact amount I have paid off in debt, 14,000. It is not a lot in the grand scheme of things but it means a lot to me. I am floating in the big debt sea and can see neither shore those little elements help to make your day.
Despite a really lousy financial October, I still am putting $200 to pay down debt. I have newly resolved that I no longer need web space I WILL be closing my website. That is a painful choice but I think we can do it. I wrote about it before here...
The October renewal plan:
Here is the run down:
CC#1 is Paid off Bal $0
CC#2 13.49% $3,833.69
CC#3 11.24% $3,590.70
CC#4 9.90% $3,690.93
CC#5 4.99% $874.97
CC#6 3.99% $2,023.11
CC#7 3.99% $11,363.51
Total is $25,335.13
So If you are following this And I know no one is I have had a bit of a back slide since July. Most of that is due to DD and College. Also some of her health issues. But I believe it will get better and I am going to just keep pusjing forward.October 2012. I can do it. I have no other choice. I Refuse to live in debt for the rest of my life.
I thought I had 6 cards and I have 7 shudder and ugh. I am paying off in interest order. I get dave ramsey's psychology first better now. On card #5 I have an automatic payment. Once it went below 1000.00 I was like thats it boom lets just knock it out. The thing is It has the LOWEST interest rate and it is until the balancce is paid off. I am better off sticking to CC#2 with a rate of 13.49% and getting rid of it. There was a time when I had 18000 on a 24% card so I know truely I am making progress. but it is very hard to feel like you are making progress. But I CAN do it. and I will do it.
Things that I have done wisely:
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Despite a really lousy financial October, I still am putting $200 to pay down debt. I have newly resolved that I no longer need web space I WILL be closing my website. That is a painful choice but I think we can do it. I wrote about it before here...
The October renewal plan:
Training 1 hour every day. read in a chapter, study something having to do with MS Sharepoint. From 8-9:30 every day.
Put money into savings. Currently I am not saving enough. It is a real problem. I am not sure I have calculated it correctly but I have noticed when the payment is automatic I put more away consistantly to my debt then at my other cards. I need to replenish our emergency fund. I had to borrow $500.00 to cover for my husband. He came up a bit short on the electric bill. So I have set up an automated payment schedule. Well see how November handles that and if I miss the money. (The budget is so tight I am sure I will.- My plan is to be debt free in 35 months. I do love the snowball calculator web site
Here is the run down:
CC#1 is Paid off Bal $0
CC#2 13.49% $3,833.69
CC#3 11.24% $3,590.70
CC#4 9.90% $3,690.93
CC#5 4.99% $874.97
CC#6 3.99% $2,023.11
CC#7 3.99% $11,363.51
Total is $25,335.13
So If you are following this And I know no one is I have had a bit of a back slide since July. Most of that is due to DD and College. Also some of her health issues. But I believe it will get better and I am going to just keep pusjing forward.October 2012. I can do it. I have no other choice. I Refuse to live in debt for the rest of my life.
I thought I had 6 cards and I have 7 shudder and ugh. I am paying off in interest order. I get dave ramsey's psychology first better now. On card #5 I have an automatic payment. Once it went below 1000.00 I was like thats it boom lets just knock it out. The thing is It has the LOWEST interest rate and it is until the balancce is paid off. I am better off sticking to CC#2 with a rate of 13.49% and getting rid of it. There was a time when I had 18000 on a 24% card so I know truely I am making progress. but it is very hard to feel like you are making progress. But I CAN do it. and I will do it.
Things that I have done wisely:
I am proud of myself for reducing the interest rates I am paying to the best of my ability.
I am proud of myself for trying not to carry cards in my wallett I pay mostly only cash. I have to say mostly because last month there were a bunch of unexpected medical expenses for my daughter. While you can call this murphy's law or something. It was frustrating because I do not believe she needed to go to the emerg room over a sprained ankle. So I am mad at the dicisions her employeer made for her and did not pay for.
I am proud of myself for keeping on the path to get out of debt even though It is hard and tiresome
I am proud of myself for having a budget and knowing what I can spend and what I should not.
Life is a journey. and I am on the right path for myself.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, September 21, 2009
Still in the rowboat
I have started a number of times trying to write about finance. I find it to be really hard. I have felt like I was in the middle of the sea in a row boat with no shores in sight. The thing about that is I know you have to stay the course. Frankly there is no going back to having nearly 40K in debt. I do not want that life. And I don't want to maintain this level of debt either.
I know
1) If I had not started the journey when I did I would have had to declare bankruptcy - especially as many cards are now raising their rates & minimum payments.
2) I want to retire some day and I cannot do that carrying this debt burden.
3) I want my son and daughter to live a debt free life so they can learn healthy attitudes and carry that behavior forward into their own lives..
Knowing and feeling are two different things. Right now I feel despairing that I will ever get out of debt. And I relate (as I often do) to Paid Twice's journey that knowing there is light at the end only seems to invite Murphy to stop by more often. (you can read her post here http://www.paidtwice.com/2009/09/09/the-home-strecth-can-be-as-difficult-as-the-start/)
It is much easier to know what I want... College for my children and a house.
I have about 2.5 years left until my DD comes home from college. So far I have only had to borrow about 4k (Her college is 32K per year so keep it in perspective) I am willing to be in debt for her degree. I want her to have an education. It could have been cheaper, but She is happy.
The house debate within myself continues to rage. There are a lot of factors. I really wanted to take advantage of the 8K house credit. But I think my DH and I were a little ambitious there. It would have been a stretch. And while I think we are a good risk I have no idea if a mortgage lender would see that and grant us a mortgage. And even if they did grant us a mortgage would it be enough for me to get the type of house I would want.
It might be better to wait. I think If we take our time and do it carefully I will get all the things I want but I am the least patient person on the planet. All I can offer myself is that there is hope at the end of the tunnel.
So with Mad money Monday in mind....
So I am turning to the tool...
What's the cost to re-evaluate where I am today.
I have to account for some of the setbacks that I had during August....
Setbacks
Man oh man I know every dollar needs to have a purpose but right now the names all seem to be debt. And I cant even cry misfortune. Lack of planning? maybe, a little hid under a rock definitely, but its time to stand tall, take the hit and get back on the wagon.
Like weight watchers you are more apt to stay on track if you track your progress. Over the summer I have to say time has been fleeting at best and I have often been derailed. The thing is I know I need to get back on track. Right NOW.
So starting today, I logged into many of my different accounts. I have created an outline for My October budget. I will also have to do a where did my money go budget but I cant face that yet. And seriously I will only avoid getting back on track if I have to beat myself up. So today Is no judgment Monday. Just evaluate where you are and what we can do today...
I have to wait till month end to get the true numbers. And I will be receiving a check back from the college to pay back money I was forced to put on a credit card for some of my daughters education because the financing was not lined up. So I charged $2680 to CC#2 (Currently focus of the debt pay down. ) I also charged school supplies and gas because this card was having a promotion I wanted to take advantage of. Time to get back on track...
What's the Cost predicts my debt pay off, given my current standing (which includes the almost 3k in education), to be September 2012. I am sure when I adjust the numbers for the education charges I will come back from that date a bit. More like something around May 2012. Not surprisingly the first card of focus is CC#2.
So we are back to the 3 year plan. Its a long journey to pay down nearly 40K in debt. It looks like I will have paid off most of my credit card debt as my DD graduates college. I can live with that. The only worry I have is that now the minimum payments are larger from certain of my cards how will that effect my schedule. But onward. Row Row Row
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
I know
1) If I had not started the journey when I did I would have had to declare bankruptcy - especially as many cards are now raising their rates & minimum payments.
2) I want to retire some day and I cannot do that carrying this debt burden.
3) I want my son and daughter to live a debt free life so they can learn healthy attitudes and carry that behavior forward into their own lives..
Knowing and feeling are two different things. Right now I feel despairing that I will ever get out of debt. And I relate (as I often do) to Paid Twice's journey that knowing there is light at the end only seems to invite Murphy to stop by more often. (you can read her post here http://www.paidtwice.com/2009/09/09/the-home-strecth-can-be-as-difficult-as-the-start/)
It is much easier to know what I want... College for my children and a house.
I have about 2.5 years left until my DD comes home from college. So far I have only had to borrow about 4k (Her college is 32K per year so keep it in perspective) I am willing to be in debt for her degree. I want her to have an education. It could have been cheaper, but She is happy.
The house debate within myself continues to rage. There are a lot of factors. I really wanted to take advantage of the 8K house credit. But I think my DH and I were a little ambitious there. It would have been a stretch. And while I think we are a good risk I have no idea if a mortgage lender would see that and grant us a mortgage. And even if they did grant us a mortgage would it be enough for me to get the type of house I would want.
It might be better to wait. I think If we take our time and do it carefully I will get all the things I want but I am the least patient person on the planet. All I can offer myself is that there is hope at the end of the tunnel.
So with Mad money Monday in mind....
So I am turning to the tool...
What's the cost to re-evaluate where I am today.
I have to account for some of the setbacks that I had during August....
Setbacks
Man oh man I know every dollar needs to have a purpose but right now the names all seem to be debt. And I cant even cry misfortune. Lack of planning? maybe, a little hid under a rock definitely, but its time to stand tall, take the hit and get back on the wagon.
Like weight watchers you are more apt to stay on track if you track your progress. Over the summer I have to say time has been fleeting at best and I have often been derailed. The thing is I know I need to get back on track. Right NOW.
So starting today, I logged into many of my different accounts. I have created an outline for My October budget. I will also have to do a where did my money go budget but I cant face that yet. And seriously I will only avoid getting back on track if I have to beat myself up. So today Is no judgment Monday. Just evaluate where you are and what we can do today...
I have to wait till month end to get the true numbers. And I will be receiving a check back from the college to pay back money I was forced to put on a credit card for some of my daughters education because the financing was not lined up. So I charged $2680 to CC#2 (Currently focus of the debt pay down. ) I also charged school supplies and gas because this card was having a promotion I wanted to take advantage of. Time to get back on track...
What's the Cost predicts my debt pay off, given my current standing (which includes the almost 3k in education), to be September 2012. I am sure when I adjust the numbers for the education charges I will come back from that date a bit. More like something around May 2012. Not surprisingly the first card of focus is CC#2.
So we are back to the 3 year plan. Its a long journey to pay down nearly 40K in debt. It looks like I will have paid off most of my credit card debt as my DD graduates college. I can live with that. The only worry I have is that now the minimum payments are larger from certain of my cards how will that effect my schedule. But onward. Row Row Row
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, August 03, 2009
Debt elimination vs savings
I read Paid twice's blog often. I have found that if you surround yourself with people who are on the same path for a goal you will be more likely to achieve that goal. I really really want to be out of debt. I can not ignore the huge credit hunk of change I owe. And I have noticed that the interest rates did indeed go up. The banks want a little more from me... I do not really want to give it to them but I did borrow the money.
I currently have 6 cards that have a balance on them. 3 of the cards are at a fixed rate until the balance is paid off. I like that fact. It saves me a LOT of money. The other three cards drive me bonkers. CC#2 is the currrent card I am paying the largest amount to each month. CC#3 will be next and CC#4 has a 9.9% rate that has not increased... However... I am charging my web design space to CC#4. It is $14.00 per month. So I eliminate any debt reduction by the charge. Previously I did not want to get rid of my domain name. But currently my job focus is elsewhere and I no longer need to post a portfolio. And if I did need to host a web space I could sign up again. Nothing there is critical any more. So it has to go. It is important to revisit these charges. Because as few as 3 months ago I felt differently. But my career goals have shifted just so slightly and I feel it is no longer necessary to have web space. Actually I feel it is foolish to hold on to something that is costing me money for no benefit.
So How do I feel about Debt elimination over savings?
Well I am in the middle. It has been saving grace that I have paid down as much as I have so that when issues come up like vacation, child's father not paying for college and school expenses I just reallocate some of the debt elimination/repayment money to the current spending challenges. Life does happen. Just because I got myself into debt does not mean my child has to pay and pay. She will have her own challenges. And having a college degree for her is so important to me I would do a lot to make sure it will happen. I would even take on more debt. I know its not Dave Ramsey's philosophy - but he is a multi-millionaire and he funded his kids schools long ago. Each of his kids are in college. There is a classest divide in this country. Those who do not have good skills or a degree have a much harder time in life supporting themselves. I want my daughter to have a degree so she can get employment. I am committed to it.
SO Anyway....
I also see the value in building up savings. I used a little savings to carry us at the end of May. Things were just too tight. That is why we have savings, to bridge the gaps, so we do not feel the need to put charges on the credit cards. Well.... I would like to pay back to savings the money I borrowed. But I chafe at the pace of debt repayment. I want it all to be over now. I want to be debt free today. I also want to be skinny now and wanting it does not make it so.
There is a rhythm to each financial year. My spending is always higher in the summer because the child is home, then there is back to school, then Nov birthdays and then Christmas. So If I am honest with myself Aug - Dec are always slimmer then Jan - July. The BEST debt repayment months are during winter. But I have felt the power of debt elimination. I feel how wonderful it is that I can decided to pay less each month if I needed to. I am committed to paying of the remaining balances.
Each month just a little more goes to elimination and a little less goes to interest. It is so powerful to be able to make progress.
For myself the argument for savings is a big one we want to purchase a home. We will need to have money for closing costs and other expenses. I am not sure if one month's savings would make a dent so I keep eliminating debt. But that is where the tug and pull comes from. Rationally I think we will end up purchasing a home in 2 years after the debt is much lower. We'll see. If they offer the tax incentive again next year it will give us pause... again.
My actions are to debt elimination even though some times I feel the savings pull. I almost always choose to put the money into debt pay down. I just don't want to live a life with an expensive anchor anymore.
Food for thought. Enough ranting... thanks for reading
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
I currently have 6 cards that have a balance on them. 3 of the cards are at a fixed rate until the balance is paid off. I like that fact. It saves me a LOT of money. The other three cards drive me bonkers. CC#2 is the currrent card I am paying the largest amount to each month. CC#3 will be next and CC#4 has a 9.9% rate that has not increased... However... I am charging my web design space to CC#4. It is $14.00 per month. So I eliminate any debt reduction by the charge. Previously I did not want to get rid of my domain name. But currently my job focus is elsewhere and I no longer need to post a portfolio. And if I did need to host a web space I could sign up again. Nothing there is critical any more. So it has to go. It is important to revisit these charges. Because as few as 3 months ago I felt differently. But my career goals have shifted just so slightly and I feel it is no longer necessary to have web space. Actually I feel it is foolish to hold on to something that is costing me money for no benefit.
So How do I feel about Debt elimination over savings?
Well I am in the middle. It has been saving grace that I have paid down as much as I have so that when issues come up like vacation, child's father not paying for college and school expenses I just reallocate some of the debt elimination/repayment money to the current spending challenges. Life does happen. Just because I got myself into debt does not mean my child has to pay and pay. She will have her own challenges. And having a college degree for her is so important to me I would do a lot to make sure it will happen. I would even take on more debt. I know its not Dave Ramsey's philosophy - but he is a multi-millionaire and he funded his kids schools long ago. Each of his kids are in college. There is a classest divide in this country. Those who do not have good skills or a degree have a much harder time in life supporting themselves. I want my daughter to have a degree so she can get employment. I am committed to it.
SO Anyway....
I also see the value in building up savings. I used a little savings to carry us at the end of May. Things were just too tight. That is why we have savings, to bridge the gaps, so we do not feel the need to put charges on the credit cards. Well.... I would like to pay back to savings the money I borrowed. But I chafe at the pace of debt repayment. I want it all to be over now. I want to be debt free today. I also want to be skinny now and wanting it does not make it so.
There is a rhythm to each financial year. My spending is always higher in the summer because the child is home, then there is back to school, then Nov birthdays and then Christmas. So If I am honest with myself Aug - Dec are always slimmer then Jan - July. The BEST debt repayment months are during winter. But I have felt the power of debt elimination. I feel how wonderful it is that I can decided to pay less each month if I needed to. I am committed to paying of the remaining balances.
Each month just a little more goes to elimination and a little less goes to interest. It is so powerful to be able to make progress.
For myself the argument for savings is a big one we want to purchase a home. We will need to have money for closing costs and other expenses. I am not sure if one month's savings would make a dent so I keep eliminating debt. But that is where the tug and pull comes from. Rationally I think we will end up purchasing a home in 2 years after the debt is much lower. We'll see. If they offer the tax incentive again next year it will give us pause... again.
My actions are to debt elimination even though some times I feel the savings pull. I almost always choose to put the money into debt pay down. I just don't want to live a life with an expensive anchor anymore.
Food for thought. Enough ranting... thanks for reading
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Thursday, July 30, 2009
Well the journey continues
July was a hard month. Financially and emotionally. A lot of events happened. Two family vacations, visits from DD, visits from my mom, and a few unexpected bumps and bruises. So my blog has been quiet. There was so much going on I didnt try to control the chaos, I just went along for the ride. Thats the name of the blog.... road traveed. And this months was a doosey. So I have been bumped and bruised. Today I have picked myself up. Brushed myself off and I am ready to be back on the financial trail.
The damage:
After vacation spending through the end of june and All of July we put $1486.88 on credit card for vacation. There may be other expenses through checking but on a credit card for two vacations $1486.88 is not bad. There was a lot of pressure to go on both of the vacations. The beach vacation is a tradition we have been doing for about 12 years. My daughter would not let me not go. Financially my husband contributed a lot more this year and thank goodness he had a lot of overtime cash he spent so we did not have to run too much on the cards. He is an awesome man.
The second trip was a vacation to visit Husbands family. I did not have a lot of vacation time left so I had to drive down on a different day and so there were gas and food expenses. It was not too bad and as it was for his family I would do it again.
Time now to get back on the horse though. Over all I am not too upset with the numbers. I want to be able to take it in stride although It makes me sick to have a debt anchor hanging around my neck. I look forward to the day I do not have to write checks to the banks and I am free. It may take longer then the origional plan BUT I will get there and I am determined to be debt free. One day at a time.
As a result of being away my desk has gone to pot. Last week I organized all the papers to help make order from chaos. This week is health care focused. Next week will be how can I save money by taking lunch to work. Thank goodness I can sit at my desk one day pr week. I do not know how I would get it done if I did not have that luxery.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
The damage:
After vacation spending through the end of june and All of July we put $1486.88 on credit card for vacation. There may be other expenses through checking but on a credit card for two vacations $1486.88 is not bad. There was a lot of pressure to go on both of the vacations. The beach vacation is a tradition we have been doing for about 12 years. My daughter would not let me not go. Financially my husband contributed a lot more this year and thank goodness he had a lot of overtime cash he spent so we did not have to run too much on the cards. He is an awesome man.
The second trip was a vacation to visit Husbands family. I did not have a lot of vacation time left so I had to drive down on a different day and so there were gas and food expenses. It was not too bad and as it was for his family I would do it again.
Time now to get back on the horse though. Over all I am not too upset with the numbers. I want to be able to take it in stride although It makes me sick to have a debt anchor hanging around my neck. I look forward to the day I do not have to write checks to the banks and I am free. It may take longer then the origional plan BUT I will get there and I am determined to be debt free. One day at a time.
As a result of being away my desk has gone to pot. Last week I organized all the papers to help make order from chaos. This week is health care focused. Next week will be how can I save money by taking lunch to work. Thank goodness I can sit at my desk one day pr week. I do not know how I would get it done if I did not have that luxery.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, June 01, 2009
The good the bad and the UGLY
First the Good....
I have paid down $15,939.98 in debt. My debt total is UNDER 24 K! Just under... but still under. I like seeing those numbers drop.
Then the Bad...
I had to pay mostly the minimums this month. I took $250 out of savings to cover daughter coming home from college and to pay the back balance on the sprint bill. I have had an increase in groceries this month and Man are things tight. Although I paid $95.00 to debt over the minimums. So It was not a waste of a month but the progess is not where I want it to be and I chafe at the pace.
The Ugly
Life happens. It makes progress slower then I would ever like but I acknowledge that life happens. I do have a daughter. I cant ignore her untill all debt is paid off. I desperatley need a hair cut. I really need to get a couple of new clothes so does she. I am postponing all of those things in order not to incur any new charges to the credit cards and I acknowledge that this road is HARD. I did replace $100 back to savings. I am concerned that I need to show the ability to maintain a balance if we choose to buy a home. I need to replace the funds I took out sooner rather then later - which means financial health at home not on the credit cards. They will see progress on the cards but that wont be as important as maintaining the balances.
We are on the road to debt freedom. We will get there eventually inspite of the side trips. And Last May was a rough one too. If history is a predictor June will be tight as well. With DH's birthday coming up in June It will indeed impact the wallet. So we shall see.
There is always hope. somehow it will get better.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
I have paid down $15,939.98 in debt. My debt total is UNDER 24 K! Just under... but still under. I like seeing those numbers drop.
Then the Bad...
I had to pay mostly the minimums this month. I took $250 out of savings to cover daughter coming home from college and to pay the back balance on the sprint bill. I have had an increase in groceries this month and Man are things tight. Although I paid $95.00 to debt over the minimums. So It was not a waste of a month but the progess is not where I want it to be and I chafe at the pace.
The Ugly
Life happens. It makes progress slower then I would ever like but I acknowledge that life happens. I do have a daughter. I cant ignore her untill all debt is paid off. I desperatley need a hair cut. I really need to get a couple of new clothes so does she. I am postponing all of those things in order not to incur any new charges to the credit cards and I acknowledge that this road is HARD. I did replace $100 back to savings. I am concerned that I need to show the ability to maintain a balance if we choose to buy a home. I need to replace the funds I took out sooner rather then later - which means financial health at home not on the credit cards. They will see progress on the cards but that wont be as important as maintaining the balances.
We are on the road to debt freedom. We will get there eventually inspite of the side trips. And Last May was a rough one too. If history is a predictor June will be tight as well. With DH's birthday coming up in June It will indeed impact the wallet. So we shall see.
There is always hope. somehow it will get better.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, May 18, 2009
Well, How did I get here?
I was reading my blogs today and I saw this on Boston Girl’s blog (http://www.bostongals.com/2009/05/ny-times-reporter-personal-credit.html) about an economist who got into big big debt. Well I too was a business major. And still I hung myself on the rope that the credit card banks gave me - paraphrased from this article
(http://www.nytimes.com/2009/05/17/magazine/17foreclosure-t.html?pagewanted=print)
So I thought I’d tell a little more of the story.
I looked back through all my posts and it turns out I try not to dwell on my mistakes of the past but I have focused on the future. I deem this to be a good thing. Yet I think how I got here is worth examining. Even reading back through some old posts I found evidence of my fuzzy logic that often times was the result of chaos elsewhere in my life. Thankfully I am much more grounded now.
As I read back my blog is more stream of consciousness not a book of how to get out of debt. I think that is the part of the journey that is personal. All I really want to do is get out of debt not to become a journalist. Here are a few posts that chronicle some of my journey…
Inspiration to begin:
http://travelfarandwide.blogspot.com/2007/03/change.html
http://travelfarandwide.blogspot.com/2007/03/confession.html
Some more of my journey:
http://travelfarandwide.blogspot.com/2008/07/economy-and-personal-finance.html
I have come a long way:
http://travelfarandwide.blogspot.com/2007/04/changing-times.html http://travelfarandwide.blogspot.com/2007/04/clutter.html
So those posts have some of the history of how the big debt got started, but I know the choice I made that really started the whole thing…
It is as clear as day the moment I first dug the hole. I had my first real job. I had just moved out of my Mom’s house, where I went to recover during my divorce. I was paid an okay salary not awesome, but enough to live on. I got a one bed room with den for myself and my daughter. We needed a TV cabinet. Well need is a matter of definition. I picked one out of the JCP catalog. It was adorable. I can still see the item in my mind. I was building my cozy nest. I wanted my DD to have a nice home. Never mind that I should have saved up for it and paid cash. That is never going to happen I told myself. I can’t save money. And I need to be clean and organized. I need the cabinet. So I ordered it from JC Penny’S and I was on my way to Credit Card debt. I made monthly payments. I don’t remember if they were over the minimum. I doubt it. I carried the cabinet board by board into the house because the box was too heavy for me to carry by myself. I put it together with my friend the power screw driver. It looked pretty nice. We had a living room.
Then the hole got a little bit deeper…
I remember getting the card offer in the mail. The card was Prime Option; they are no longer in business. 0% interest. What a good idea. I'll transfer the 22% interest JCP card over to this new card and after 6 months it will be only 12% interest. I can "afford" that I thought. But then I needed gas one day. So I put that on the card too, again and again and again.
Not related to Credit but related to income, I did some soul searching about why I was not happy where I was. I was alone in PA. My friends all lived elsewhere. I was an hour from my mom. Why was I still here? So I decided to move to NC. I did some research. I had taken a Microsoft course in computer networking. My brother was getting paid $50K to set up computers, I could do that I thought. (I still have yet to make the 50K salary mark!) I am going to move to NC and take some more classes and start over.
Well, the move was mostly all on credit cards. My dad did pay for the moving truck through his business. He even offered me a job, which I accepted. I took the position of Business Manager. Great at someone else’s money just not my own. Everything went on the card.
Because I thought of myself as middle class and sliding I had a certain amount of pride about what I could afford. I was maintaining a lifestyle that no one saw... Irony of ironies I am an introverted person. I have few social interactions with the parents of my daughter. Even at our church I was never approached by other parents. I bet they could not even tell you my name. And yet I was maintaining a three bedroom apt so I could have an "Office" for myself? How stupid was I? Don’t answer that I already know.
Then the denial or magical thinking really began. Credit card bingo. It is a sign that you are in trouble with debt that you shuffle balances from card to card. I looked at it as a good money manager to keep transferring money around so that you can take advantage of offers.
In business school your studies are all about the analysis of others behavior. It is never a focus on you. It is not discussed to gain an edge by never taking out a car loan, or not having to pay credit card interest. It is implied but not explicit. The thing about that is you get cocky. I was really really good at floating money from month to month. I took that as skill at manipulating the interest rates not a sign that I would have t o pay that money back some day.
Then more magical thinking I had some money in an investment. It was equal to the amount on my cards... So I could pay them off at any time right? (or so I told myself) But I didn’t want to. And I kept thinking my career will pick up any time. I will get a job that will pay off all my bills. I will magically have a big check to pay it all off. Getting out of debt takes step by step perseverance. I never had that. I learned it mostly when I met my husband. And slowly I have improved it my ability to focus and finish a task.
Now as I move forward It is even more important to get to the goal. To finish what I have started and to live my life debt free.
(http://www.nytimes.com/2009/05/17/magazine/17foreclosure-t.html?pagewanted=print)
So I thought I’d tell a little more of the story.
I looked back through all my posts and it turns out I try not to dwell on my mistakes of the past but I have focused on the future. I deem this to be a good thing. Yet I think how I got here is worth examining. Even reading back through some old posts I found evidence of my fuzzy logic that often times was the result of chaos elsewhere in my life. Thankfully I am much more grounded now.
As I read back my blog is more stream of consciousness not a book of how to get out of debt. I think that is the part of the journey that is personal. All I really want to do is get out of debt not to become a journalist. Here are a few posts that chronicle some of my journey…
Inspiration to begin:
http://travelfarandwide.blogspot.com/2007/03/change.html
http://travelfarandwide.blogspot.com/2007/03/confession.html
Some more of my journey:
http://travelfarandwide.blogspot.com/2008/07/economy-and-personal-finance.html
I have come a long way:
http://travelfarandwide.blogspot.com/2007/04/changing-times.html http://travelfarandwide.blogspot.com/2007/04/clutter.html
So those posts have some of the history of how the big debt got started, but I know the choice I made that really started the whole thing…
It is as clear as day the moment I first dug the hole. I had my first real job. I had just moved out of my Mom’s house, where I went to recover during my divorce. I was paid an okay salary not awesome, but enough to live on. I got a one bed room with den for myself and my daughter. We needed a TV cabinet. Well need is a matter of definition. I picked one out of the JCP catalog. It was adorable. I can still see the item in my mind. I was building my cozy nest. I wanted my DD to have a nice home. Never mind that I should have saved up for it and paid cash. That is never going to happen I told myself. I can’t save money. And I need to be clean and organized. I need the cabinet. So I ordered it from JC Penny’S and I was on my way to Credit Card debt. I made monthly payments. I don’t remember if they were over the minimum. I doubt it. I carried the cabinet board by board into the house because the box was too heavy for me to carry by myself. I put it together with my friend the power screw driver. It looked pretty nice. We had a living room.
Then the hole got a little bit deeper…
I remember getting the card offer in the mail. The card was Prime Option; they are no longer in business. 0% interest. What a good idea. I'll transfer the 22% interest JCP card over to this new card and after 6 months it will be only 12% interest. I can "afford" that I thought. But then I needed gas one day. So I put that on the card too, again and again and again.
Not related to Credit but related to income, I did some soul searching about why I was not happy where I was. I was alone in PA. My friends all lived elsewhere. I was an hour from my mom. Why was I still here? So I decided to move to NC. I did some research. I had taken a Microsoft course in computer networking. My brother was getting paid $50K to set up computers, I could do that I thought. (I still have yet to make the 50K salary mark!) I am going to move to NC and take some more classes and start over.
Well, the move was mostly all on credit cards. My dad did pay for the moving truck through his business. He even offered me a job, which I accepted. I took the position of Business Manager. Great at someone else’s money just not my own. Everything went on the card.
Because I thought of myself as middle class and sliding I had a certain amount of pride about what I could afford. I was maintaining a lifestyle that no one saw... Irony of ironies I am an introverted person. I have few social interactions with the parents of my daughter. Even at our church I was never approached by other parents. I bet they could not even tell you my name. And yet I was maintaining a three bedroom apt so I could have an "Office" for myself? How stupid was I? Don’t answer that I already know.
Then the denial or magical thinking really began. Credit card bingo. It is a sign that you are in trouble with debt that you shuffle balances from card to card. I looked at it as a good money manager to keep transferring money around so that you can take advantage of offers.
In business school your studies are all about the analysis of others behavior. It is never a focus on you. It is not discussed to gain an edge by never taking out a car loan, or not having to pay credit card interest. It is implied but not explicit. The thing about that is you get cocky. I was really really good at floating money from month to month. I took that as skill at manipulating the interest rates not a sign that I would have t o pay that money back some day.
Then more magical thinking I had some money in an investment. It was equal to the amount on my cards... So I could pay them off at any time right? (or so I told myself) But I didn’t want to. And I kept thinking my career will pick up any time. I will get a job that will pay off all my bills. I will magically have a big check to pay it all off. Getting out of debt takes step by step perseverance. I never had that. I learned it mostly when I met my husband. And slowly I have improved it my ability to focus and finish a task.
Now as I move forward It is even more important to get to the goal. To finish what I have started and to live my life debt free.
Monday, May 11, 2009
Month end and looking forward...
There were not a lot of posts for April. And I now that I have done the numbers not much progress either. All things considered though it was not too bad. We did go on a family vacation and I still paid $200 to debt. I can live with that. It may make the progress slower then I would like and I know I chafe at the pace of my progress but when I look at that number I am really happy that I dont owe 39K any more. I am able to think of owning a home which 1 year ago It would not have been possible. CC#2 has a balance of 2162. I made a payment to if in May for $400.00 so I know next months numbers will be better. My DH has been paying ALL of the child care so I can continue to pay down my Credit Cards. He is a wonderful man. I will keep forging ahead. We'll see what comes. One day at a time.
Today I plan to go to the library and check out how to purchase a home for dummys so I can start getting smart about the biggest purchase of our lives. I am excited. We are hoping to be able to make a home purchase before the end of the year. It is a little ambitious but we'll never have the same low interest rates and $8,000 tax credit again. I think we can do it.
If you have any good sites for the process leave them in the comments I will be sure to check them out!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Today I plan to go to the library and check out how to purchase a home for dummys so I can start getting smart about the biggest purchase of our lives. I am excited. We are hoping to be able to make a home purchase before the end of the year. It is a little ambitious but we'll never have the same low interest rates and $8,000 tax credit again. I think we can do it.
If you have any good sites for the process leave them in the comments I will be sure to check them out!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, May 04, 2009
Debt Details
Excessive Debt is bad. I dont want to put anything on my credit cards anymore. However. I just got a letter from CC#1. I worked very very hard to get rid of any outstanding balances on that card. This bank card was a very bad one. I at one point asked them to lower the rate (24.99%) and they said "NO, you are using this like a long term loan". Well DUH If I cant get a lower rate then It will take FOREVER to pay it off. AHHH now it has a 0 balance. I transfered some of it to 3.9% offeres and I paid off the rest. If you have tracked my progress you can see that I have slowly made every effort to be out of debt. This card had a crazy available credit of $24,000. I dont need that nor was I ever going to put a single dollar onto this most hated card ever again. EVER. So When I opened my mail today It surprised me that I was sad that they have "re evaluated" and lowered my limit to $12,500.
I am actually happy that the limit is lower. I still felt a pang of "Oh no" when I looked at the paper. Isnt that silly? I have considered closing the account. If for any reason any of the banks I have cards with suddenly change how much I owe because the bank has changed hands I wanted options. I do get 8.99% offers from them all the time. Of course as I get $0 and 3.9% offers from other banks, I would not consider using this card unless one of the other banks went out of business. Like I said I want options.
So why does it bother me? Well I dont want it to look like I did something wrong. I paid off that account fair and square. I want it to be the truth, the change is a reflection of the bank's choices. BUT what will it do to my credit score? We are talking about buying a home so dont say it should not matter. It will if we were to go for a mortgage in the next few weeks. One step at a time.
All things considered this month I thought it would be tighter then it turned out to be. We made it through April and I still made payments to my debt. I will be debt free someday.
$15,236.09
Good job girl.
I have been neglecting my desk but it turns out that I am still somewhat on track. I will get out of debt. I will I will I will.
I am actually happy that the limit is lower. I still felt a pang of "Oh no" when I looked at the paper. Isnt that silly? I have considered closing the account. If for any reason any of the banks I have cards with suddenly change how much I owe because the bank has changed hands I wanted options. I do get 8.99% offers from them all the time. Of course as I get $0 and 3.9% offers from other banks, I would not consider using this card unless one of the other banks went out of business. Like I said I want options.
So why does it bother me? Well I dont want it to look like I did something wrong. I paid off that account fair and square. I want it to be the truth, the change is a reflection of the bank's choices. BUT what will it do to my credit score? We are talking about buying a home so dont say it should not matter. It will if we were to go for a mortgage in the next few weeks. One step at a time.
All things considered this month I thought it would be tighter then it turned out to be. We made it through April and I still made payments to my debt. I will be debt free someday.
$15,236.09
Good job girl.
I have been neglecting my desk but it turns out that I am still somewhat on track. I will get out of debt. I will I will I will.
Monday, March 30, 2009
Progress Update
Despite myself I have made progress. I have paid down over $15,000 in debt. Go me. I am in the middle of the journey. I no longer feel the heavy anchor so familiar to me of my monthly payments that beginning shore where I said oh if something happens I'll just use my credit card.... and the other shore where I am debt free. When you no longer see either shore the journey seems long. I know in my heart I am doing the right things. I know in my heart I will stay the path and keep pushing to be debt free. But the birth of my beautiful son and the costs of college for my daughter seem to pull at me so that I swim very very slowly to the shore where I am debt free. Had I not become pregnant and had my husband not needed to work so often on the weekends I would have taken a second job. I am still looking for opportunities to make extra money.
Today though when you break a round number like $15,000 you should stop and celebrate. I am going to treat myself to one $16.99 magazine holder for my cross stitch magazines. I dont want to spend much because I have to keep swimming. I also need to remember that the books I purchased from amazon will not have been charged to my account yet and I need to save that birthday money for when the bill arrives.
My progress from NCN. I have updated the numbers in the side bar. so Celebrate with me [ ]3 as we roll forward.
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Today though when you break a round number like $15,000 you should stop and celebrate. I am going to treat myself to one $16.99 magazine holder for my cross stitch magazines. I dont want to spend much because I have to keep swimming. I also need to remember that the books I purchased from amazon will not have been charged to my account yet and I need to save that birthday money for when the bill arrives.
My progress from NCN. I have updated the numbers in the side bar. so Celebrate with me [ ]3 as we roll forward.I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Thursday, March 26, 2009
Time
There is really little time to myself these days but I did manage to stitch a little last night. Here is an update...
Monday, March 23, 2009
Marching on
March comes in like a lion and goes out like a lamb.... Well the Lion says get some stuff done. The little lambie wants to be lazy. Sometimes people dont get blogging. But for me it helps me focus. I have to think about my progress for the week and then I can tell where I am and where I want to be.
So things I need to do to be on track:
Address health care issue
Bank (done)
Errands this morning (done)
Dr this afternoon
Balance my check book - I have not been tallying my budget for the last three months
Fill out financial info
Pay car insurance
Also I would like to do a how much does this dinner really cost. I spent $63.00 at the grocery store today. I bought the ingredients for about 5 days of food
We need to focus on two things: Cost
and Calories - I have high cholesterol and am at risk for diabetes so the meal must be healthful.
Today I saw a recipe that I adapted from A year of CrockPotting She has some awesome recipe ideas.
I am making a pork roast. Here are the ingredients list:
Pork Roast (Used 1/2 from Sam's Club, Cost 6.25)
Rosemary Used in the house ~1.00
Cumin Used in the house ~1.50
Salt
Garlic 1 bulb (Yep the whole house smells like garlic .66
Plums 3.00
Apple juice 3.79
Cinnamon stick 7.99
Mashed pots leftovers
Veg 2.29
26.48
Much less then a dinner out and we'll have leftovers for at least one meal so 26.48/2=13.24. Not bad for dinner. The cinnamon sticks were WAY over the top. But I love different spices. I will use them in another meal.
[Update: the pork was Delicious. I'll make it again. I have become a crock pot fan.]
It is really helpful to look at different costs to determine how we are doing on dinners. I am really really bad at spending money at the grocery store. I admit it. SO... If I blog about it I am then accountable. And If I am accountable I can change. I can get out of debt. I can. I can I can.
My reward should be to choose what cross stitch project I am going to bring to AZ. We are going on vacation with our family. And as you ask how can you do that??? My mom is treating us. Thats how. She paid for the tickets, the car rental, and the living arrangements. We are covering a small amount of food and whatever shopping we do there. Is it bad I looked for a cross stitch store online already? there is one there.... Maybe they have some new stash. LOL
So things I need to do to be on track:
Address health care issue
Bank (done)
Errands this morning (done)
Dr this afternoon
Balance my check book - I have not been tallying my budget for the last three months
Fill out financial info
Pay car insurance
Also I would like to do a how much does this dinner really cost. I spent $63.00 at the grocery store today. I bought the ingredients for about 5 days of food
We need to focus on two things: Cost
and Calories - I have high cholesterol and am at risk for diabetes so the meal must be healthful.
Today I saw a recipe that I adapted from A year of CrockPotting She has some awesome recipe ideas.
I am making a pork roast. Here are the ingredients list:
Pork Roast (Used 1/2 from Sam's Club, Cost 6.25)
Rosemary Used in the house ~1.00
Cumin Used in the house ~1.50
Salt
Garlic 1 bulb (Yep the whole house smells like garlic .66
Plums 3.00
Apple juice 3.79
Cinnamon stick 7.99
Mashed pots leftovers
Veg 2.29
26.48
Much less then a dinner out and we'll have leftovers for at least one meal so 26.48/2=13.24. Not bad for dinner. The cinnamon sticks were WAY over the top. But I love different spices. I will use them in another meal.
[Update: the pork was Delicious. I'll make it again. I have become a crock pot fan.]
It is really helpful to look at different costs to determine how we are doing on dinners. I am really really bad at spending money at the grocery store. I admit it. SO... If I blog about it I am then accountable. And If I am accountable I can change. I can get out of debt. I can. I can I can.
My reward should be to choose what cross stitch project I am going to bring to AZ. We are going on vacation with our family. And as you ask how can you do that??? My mom is treating us. Thats how. She paid for the tickets, the car rental, and the living arrangements. We are covering a small amount of food and whatever shopping we do there. Is it bad I looked for a cross stitch store online already? there is one there.... Maybe they have some new stash. LOL
Monday, March 16, 2009
Naughty purchase
For my birthday I have wanted the cross stitch book by Isabelle Haccourt Vautier. Her new book is called "Si la mer m'était comptée".
I love the images on the cover and I cant wait to stitch them. I was frustrated that it was difficult to find the book. Well I did a search on amazon.fr and found it. Then I did a search on amazon.ca and it was there! I was a little worried about the shipping from Canada but it turns out not to be too bad. It is an indulgence I have been wishing for this for about 2 months. I decided to just go for it. I dont spend a lot of money on myself and I really wanted this book. Amazon made it a little too easy. I used my regular amazon account. It worked on the .ca orders too. Shipping info was there ready to go. Billing was one click. Like I said a little too easy. Now I just have to wait for it to ship.
In the mean time I am going to pay my Car insurance... LOL Well there has to be some reality to my day!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
I love the images on the cover and I cant wait to stitch them. I was frustrated that it was difficult to find the book. Well I did a search on amazon.fr and found it. Then I did a search on amazon.ca and it was there! I was a little worried about the shipping from Canada but it turns out not to be too bad. It is an indulgence I have been wishing for this for about 2 months. I decided to just go for it. I dont spend a lot of money on myself and I really wanted this book. Amazon made it a little too easy. I used my regular amazon account. It worked on the .ca orders too. Shipping info was there ready to go. Billing was one click. Like I said a little too easy. Now I just have to wait for it to ship.In the mean time I am going to pay my Car insurance... LOL Well there has to be some reality to my day!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, March 09, 2009
monday musings
I have a full plate today so here goes....
I hate Daylight savings time. I always feel so tired for days until my body adjusts. The whole house is sick and that makes the adjustment LONGER. Ugh How many days do you have to be sick before you call the doctor? I would just like to stop coughing!
Financial concerns: If a bank where you have a credit card goes under what happens?I have a plan to eliminate the debt all together. Yet... I have 6 Credit cards left. I am trying to make it 5 as fast as I can. Most have under $2,500 dollars on them and I took offers of 3.9 & 4.9% to gain lower rates. But One card has a little over $12,000 on it. What would I do if they changed the terms? What rights do I have if the bank is taken over? If the bank outright fails and closes its doors would I still owe the money or would it be forgiven? (Boy would my snowball shrink then!) They would probably sell it to a collections service. Would I be able to continue making payments then? Would they want the whole amount at once? (I dont have it so forget it) The offer I have now is 3.9% till the balance is paid off. I do not want to change the terms of that deal. I get plenty of offers in the mail, even these days, to transfer my balances. But most banks have shortened the terms of the offer. 3.99 for 6 months or 0 for three mnonths. I have a plan to eliminate the debt all together. So for myself nothing has changed. I will continue to pay down my cards with no new charges going onto them until the debt is gone. It was a 3 year plan. It is a little longer now with DS in the picture. I will continue on my journey. After all I have already paid down $14,668. whats another $25,135 ??? LOL UGH my stomach hurts seeing that number. But I did it. I ran it up I will pay it off. I think the answer is that there are so many possibilities don't borrow trouble you have no control over. But with all the banking in the news its hard not to watch and wonder.
On happier news. I was able to get a little more done on the baby bib. We are going to AZ in April and I want to have it completed before the trip.
I hate Daylight savings time. I always feel so tired for days until my body adjusts. The whole house is sick and that makes the adjustment LONGER. Ugh How many days do you have to be sick before you call the doctor? I would just like to stop coughing!
Financial concerns: If a bank where you have a credit card goes under what happens?I have a plan to eliminate the debt all together. Yet... I have 6 Credit cards left. I am trying to make it 5 as fast as I can. Most have under $2,500 dollars on them and I took offers of 3.9 & 4.9% to gain lower rates. But One card has a little over $12,000 on it. What would I do if they changed the terms? What rights do I have if the bank is taken over? If the bank outright fails and closes its doors would I still owe the money or would it be forgiven? (Boy would my snowball shrink then!) They would probably sell it to a collections service. Would I be able to continue making payments then? Would they want the whole amount at once? (I dont have it so forget it) The offer I have now is 3.9% till the balance is paid off. I do not want to change the terms of that deal. I get plenty of offers in the mail, even these days, to transfer my balances. But most banks have shortened the terms of the offer. 3.99 for 6 months or 0 for three mnonths. I have a plan to eliminate the debt all together. So for myself nothing has changed. I will continue to pay down my cards with no new charges going onto them until the debt is gone. It was a 3 year plan. It is a little longer now with DS in the picture. I will continue on my journey. After all I have already paid down $14,668. whats another $25,135 ??? LOL UGH my stomach hurts seeing that number. But I did it. I ran it up I will pay it off. I think the answer is that there are so many possibilities don't borrow trouble you have no control over. But with all the banking in the news its hard not to watch and wonder.
On happier news. I was able to get a little more done on the baby bib. We are going to AZ in April and I want to have it completed before the trip.
Monday, March 02, 2009
March Money update
Well I have paid my bills for March. I was Happy with my January progress. I had a really successful pay down of debt. But starting this month the pay off will be much slower! We have started back to work and daycare. It is a big financial commitment to have the baby in daycare. But I do like this place and they seem to care for him which is a good thing. I have committed to DH that I would pay about $500 per month. 
Feb I paid 675. So I am really shy on a food budget and other things. But I want to celebrate progress for what it is. Last month I was at 34% paid. Now I have achieved 36.85% and I have paid off $14,668 of debt. Amazing as I thought I never would get out of debt. What a wonderful thing.
DH and I went to look at an open house over the weekend. To my distress I was sad to say we are not ready to buy. We need to get rid of the credit card debt first. So. to that end I am going to cancel my Yahoo space. It will give me back 15 to my debt every month. I am not using it and It is silly to pay for something I am not using. I still want it don't get me wrong its a great thing to have web space where you can post your portfolio and do extra outside work but if its not paying for itself then it is an expense we dont need. And truthfully I never have time any more. Baby just takes up too much of it.
I think the message for today is that the debt snowball works. Yeah hoo!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Feb I paid 675. So I am really shy on a food budget and other things. But I want to celebrate progress for what it is. Last month I was at 34% paid. Now I have achieved 36.85% and I have paid off $14,668 of debt. Amazing as I thought I never would get out of debt. What a wonderful thing.DH and I went to look at an open house over the weekend. To my distress I was sad to say we are not ready to buy. We need to get rid of the credit card debt first. So. to that end I am going to cancel my Yahoo space. It will give me back 15 to my debt every month. I am not using it and It is silly to pay for something I am not using. I still want it don't get me wrong its a great thing to have web space where you can post your portfolio and do extra outside work but if its not paying for itself then it is an expense we dont need. And truthfully I never have time any more. Baby just takes up too much of it.
I think the message for today is that the debt snowball works. Yeah hoo!
I am not a financial professional. If you are looking for financial advise you should seek it elsewhere. If you would like to join me on the journey, walk with me for a while and be my friend......
Monday, February 23, 2009
Forward March
I received two reminders in the mail this morning for items on my long nagging to do list. They are enroll in business school and re-invest my previous employers retirement into the current employers retirement fund. I moved to this state 2.5 years ago. I have dragged my feet in filling out the paperwork to transfer the funds. It is not worth much but the paperwork is so bad I have yet to have completed the process. UGH. Why do I procrastinate? It serves no purpose but to hurt myself.
Today is my work from home day. It is a great way for me to accomplish work. The baby is at daycare and I am able to focus as long as I need to on any given project. As I am working I also scan in the documents for my records. It takes soooo much time! but I feel more secure in having my documents backed up if I need to . I was so behind on my desk after having my baby that I emptied the shredder three times! how long do you keep healthcare information??? 1 year. 30 days?
So the dilemma - Go back to school for masters or get a job weekends to pay off the debt sooner. Dave ramsey would say job. the payoff long term is the MBA. What if we could pay off the debt in 2 years AND I could be half done with my MBA?
Undecided I am going to just leave this post with an open question. Feel free to comment.
Today is my work from home day. It is a great way for me to accomplish work. The baby is at daycare and I am able to focus as long as I need to on any given project. As I am working I also scan in the documents for my records. It takes soooo much time! but I feel more secure in having my documents backed up if I need to . I was so behind on my desk after having my baby that I emptied the shredder three times! how long do you keep healthcare information??? 1 year. 30 days?
So the dilemma - Go back to school for masters or get a job weekends to pay off the debt sooner. Dave ramsey would say job. the payoff long term is the MBA. What if we could pay off the debt in 2 years AND I could be half done with my MBA?
Undecided I am going to just leave this post with an open question. Feel free to comment.
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