Glad I’m a nerd… Going back to basics sort of
so being completely freaked out about being at the end of the month with no idea where the money has gone, i decided to go back to the basics.
Here’s what I’ve learned about me during this get out of debt process.
1. Just pay it off. I love the debt snowball concept, but I really just need to take a breath and pay stuff off in one fell swoop (versus little bits of money). Not saying one shouldn’t put bits of money toward, but for me, it’s better that I just pay something completely off.
For example, we are still playing catch up. With what I put towards “getting us current” this month? I could have paid off two whole credit cards ($3k) and kept us current on car insurance. So now everyone is “current,” but I’m not any closer to debt free.
2. So now I’m “current.” I need to put the BEF together. For us, that’s going to be $3000 (not $1000.) Too many uncertainties (like DH telling me he’s going to quit his job in the near future. Do not get me started.)
3. I spent the last few hours recategorizing our spending after downloading the transactions from Mint.com. Some, I’m pleased with: like we only spent $245 in gas for the car, but we spent (hold my breath): $1130 in groceries (I thought it was only $700 from this last paycheck) plus another $370 in eating out. OUCH. Ok, that’s got to come down. We spent $1500 supporting DH’s job. That’s actually at budget, but it hurts to see it, especially when he doesn’t really get reimbursed properly like he should or he spends it on stuff he shouldn’t (don’t get me started.)
4. Or like adding up our car/motorcycle insurance. They are from two different companies, so I didn’t pay close enough attention. It’s about TWICE what I thought it was. Granted, DS20 is kicking in $150 a month towards it (since that’s what it costs just to insure HIM), but OUCH!!
But I feel better knowing where the money has GONE this month, so I can start telling it where to GO.