No, this isn’t a post about weight loss, although i really wish it was for so many reasons. It’s about money. With the crazy economy I’m sure that this comes as a surprise to no one. Times are tough and we are all feeling the pinch. Being the la di dad de unaware person that I am, I though we were ok. In fact, I was just talking to a neighbor about this yesterday. Hubby has a steady income that, as of today isn’t in danger. we bought our house before prices skyrocketed. We avoided the lure of refinancing. all sounds very well and good, right. Well, what I forgot is that while hubby’s base salary hasn’t gone down, he hasn’t been getting those wonderful bonuses that we have become so dependent on. I didn’t realize how the little things have been adding up. About 6 months ago we decided to put our nose to the grindstone and pay off some lingering debt. apparently it was a case of too little too late because that debt, while less, is still there but now the money we were using to pay it down is going to skyrocketing gas, electricity and food prices. Living the way we are now, we can no longer afford to pay much more than the minimum payments. As any fiscally responsible person knows, that’s just treading water. In order to continue the financial plan we started we need to make several tough changes.
This is the plan we came up with
transfer all balances to one cc with a 0% transfer rate
cancel unnecessary services–lawn care, maid, cable, gym, pest control–all of these things we can either do without or do on our own
take the kids out of extended day at school-hubby works from home so he’s here but it’s just easier for him to work wihtout the kids around
apply for financial aid for me at school
eat out only once a month
get rid of our 150 gallon fish tank–noone had time to take care of it and it ups our electricity bill
absolutely do not buy anything that we don’t need unless we have cash to pay for it–that means no more mani-pedis for me and bringing my lunch to school instead of buying. forgoing my daily latte. Isn’t it funny how most of the sacrifices arw mineand not Neil’s. Of course, I tend to be the one who spends the most so this makes sense.
Finally get around to putting my laptop on ebay. I had to get a mac for school and I’ve just been holding on to it for sentimental reasons
close my etsy store–i don’t sell that much and it’s just a monthly cost
If we make these changes we’ll have close to $1000 a month accessible to pay off our bills. If we stick to it we should be able to pay off the majority of our debt within that interest free year. by then I should be close to done with school and will be able to help out financially. It’s not going t be easy to live without the little perks we’ve become accustomed to but if they economy continues the way it’s going we will be able to breathe a sigh of relief without all that crazy debt weighing us down–