Dumping Debt and Building Wealth with Dave Ramsey February - Page 5

[Sarah8Jane]

Originally Posted by LilyGrace

I also found good use for all those bank books I never use (we do our banking right online). I'm not good with extra money in the account, even if it's been allotted elsewhere. So I took one of those bankbooks stuffed in a drawer and divided it into sections like Christmas, Gifts, Car repair, School, Charity.. things we need to have money for but can only put aside a bit each month. I can put the money into savings where we can't touch it easily but jot down the info in the book so we keep running totals.
Maybe a bit OCD of me, but it was something I needed. We don't use a lot of cash here so the true envelope system wouldn't work for me.

If it's OCD, I've got it too. I use an Excel SpreadSheet to keep running totals of all our sinking funds. It's getting really long.

[thenaturefreak]

We finally made it past baby step #1! I am so glad to know we have that emergency fund. And during the time it took us to get that socked away, we also paid our last car payment. So besides the one credit card, we have no other debt. I cannot wait to keep the momentum going and get rid of all debt.

[Sarah8Jane]

Beth - Keep up the good work!

Today is payday!

BS1 mini-Emergency Fund: Done
BS2 Debt Snowball: Done
BS3 Emergency Fund: $4225/$9000
(BS3b Down payment for house: Done)
BS4 15% of household income to retirement: Done
BS5 N/A
BS6 N/A
BS7 Not yet

[A&L+1]

I am new to DR, and new to budgeting and managing finances effectively in general. I requested the book from the library, so I am waiting for that to come. I am hoping it makes all this seem clearer and that this process can finally be a way forward for my family. I am not much of a guru follower, but you all seem to be taking the parts that work for you and running with it. I am encouraged!

[LittleBirdy]

Alright, someone convince me that this a justifiable expense:

My husband and I are currently living 700 miles away from each other. This has been going on since November and will continue until July. He came at Thanksgiving and at Christmas for a week both times and then he came the last weekend in January for the weekend. The plane tickets for both Christmas and in January were free (they were a gift). I am about to purchase a plane ticket to go see him in March. It's $350. I'm paying cash. I'll still have some money left over to snowball for the month, but I feel so guilty about this expenditure! I think I am on DR overload.

[dex_millie]

Originally Posted by LittleBirdy

Alright, someone convince me that this a justifiable expense:

My husband and I are currently living 700 miles away from each other. This has been going on since November and will continue until July. He came at Thanksgiving and at Christmas for a week both times and then he came the last weekend in January for the weekend. The plane tickets for both Christmas and in January were free (they were a gift). I am about to purchase a plane ticket to go see him in March. It's $350. I'm paying cash. I'll still have some money left over to snowball for the month, but I feel so guilty about this expenditure! I think I am on DR overload.

Purchase the ticket since you can afford it and will be paying cash. The relationship with your DH is more important.

[mtm]

Littlebirdy, if you don't go in March will you see your dh before July? If not and you have the cash I would go. I think 6 months between visits is too long if it can be avoided.

Welcome A&L+1! I really like his first 3-4 babysteps and don't think you can go too wrong following them.


thenaturefreak, congrats on making bs2!

[Sarah8Jane]

Littlebirdy

[LittleBirdy]

Thanks all for the reassurance. Six months IS too long to go without seeing each other... I just need to let myself spend the money.

[cheerma]

I have not checked in for a few days. I've been working tons of overtime trying to get ready for DH's surgery. I'll be off for 12 weeks. So I'm trying to get as much money now as I can. I just got Total Money Makeover and I'm about half way through reading it.

BS1 = $350.00

[annethcz]

Little Birdy- I'm glad you decided to go visit your DH. Long distance relationships are hard, and 6 months is such a long time to go without seeing your DH.

As for me, I'm just sitting here twiddling my thumbs, waiting for our tax refund to change from 'pending' to 'cleared' so that I can put it towards the credit card. We're *so* close to being done with BS2, I can almost taste it. Only a few more weeks, and it will be gone. Hooray!

[FillingMyQuiver]

Originally Posted by annethcz

As for me, I'm just sitting here twiddling my thumbs, waiting for our tax refund to change from 'pending' to 'cleared' so that I can put it towards the credit card.

nak
this is me. it'll be nice to see the balance lowered

[p1gg1e]

Originally Posted by FillingMyQuiver

nak
this is me. it'll be nice to see the balance lowered

LOL me 3!

I'm hoping dh still gets a bonus this year We might be able to knock out 1/3 of our debt and get that snowball rolling fast :

I wanted to comment about a PP saying they aren't a guru follower. Neither am I ( I know what it looks like ) there are several things about what DR says ( esp about gold) BUT my DH and I needed a SIMPLE and EASY plan that we didnt have to think about that got us motivated and where we needed to go.

DH told me the other day he was going to a bass maker here near us and I got all nervous. When he did this before he would order something on the CC and then hide it. So I told him " you better not bring anything home" he said " I cant! How would I pay for it?" I could not believe what he said I gave him a big pat on the back and said " that's right! have fun then!"

[Denvergirlie]

Well I got paid today so made another deposit into my growing FFEF of BS3.

I am offically at 75% full, but I have "hidden" money in my checking account, I try not to count it, so I am telling myself that I am in fact only at 65% full.

At least I was finally able to add to it, not much if anything was added since October as we had a few larger one time repairs/stuff come up that we put off for a long, long time while we were in BS2.

Progress is good

[hollytheteacher]

Hi!

I am BRAND NEW to this group. I was bored yesterday and went reading all through these d.r. threads and now i'm hooked!

I talked it over with DH and he is on board. So today I brought my paycheck to the bank and deposited 300 into our BS1 savings account:

BS1 300/1000

[LilyGrace]

Middle of the month check-in..
I had dh convinced of the program enough to go along with it, but his attitude was more of a "yes, dear, anything you like" than roaring support. Last week he brought me home a small, green, handy-dandy l'il notebook for our vacation* so I took a few pages in the back to make out a budget for a year and SHOW him how it all plays out.
He was amazed. Until now it's only been monthly, and the "$100 for Christmas" or "$50 for school supplies" haven't registered in his brain as this lump sum by the time we need them. We absolutely have to buy a car next year and I was stressing about affording that, but not anymore.

Anyhow, I showed him the book the other day when he got home from work and said, "look. This is where we're at. But if we stick to the plan, not even scrimping at all, this is where we'll be in one year. Here's your money for your team trips, here's the money we need for school, here's where the card gets paid off..." He was stunned. I could only show him three months at a time before with my Excel sheet so seeing it all laid out end to end was very helpful. He is now so fully on board he thinks he's the conductor! Every extra penny he wants to throw toward our debt, to start next year with nothing being paid out but lots available for a home, car..and regular vacations. : I'm so happy. We used to be so reluctant about our finances and now we're on top of the world!







*the vacation we're going on this year was planned pre-dave, and also acts as our semi-yearly shopping trip to get the Kid new glasses, clothes, and some random things for the house. It is very needed as we live in the middle of nowhere and don't shop for most of the year.

[p1gg1e]

Originally Posted by hollytheteacher

Hi!

I am BRAND NEW to this group. I was bored yesterday and went reading all through these d.r. threads and now i'm hooked!

I talked it over with DH and he is on board. So today I brought my paycheck to the bank and deposited 300 into our BS1 savings account:

BS1 300/1000

Welcome!

[annethcz]

My tax refund cleared. Our cc balance is now $561 :
ALMOST done!!

Originally Posted by p1gg1e

I wanted to comment about a PP saying they aren't a guru follower. Neither am I ( I know what it looks like ) there are several things about what DR says ( esp about gold) BUT my DH and I needed a SIMPLE and EASY plan that we didnt have to think about that got us motivated and where we needed to go.

I'm not a big DR fan either. But this group is very supportive and most posters seem to be willing to discuss his ideas (rather than rigidly adhere to them). I see this as my "making smarter decisions with money" support group

Originally Posted by Denvergirlie

Progress is good

Progress is good!

I'm so glad that are are posters on this thread who are in BS3 and beyond. We've been in and out of debt for our entire 10+ year marriage. There have been times we've had 10K in CC debt, and other times when we've had 15K in the bank and no debt (other than mortgage). Getting out of debt doesn't seem so "hard" to me, but staying out of debt and regularly socking away money is where I have trouble. I think I've grown up enough that I'll continue to make good choices in the future, but it helps to have others as an example.

[MCsMom]

Getting out of debt doesn't seem so "hard" to me, but staying out of debt and regularly socking away money is where I have trouble. I think I've grown up enough that I'll continue to make good choices in the future, but it helps to have others as an example.

I totally agree. For me it is seeing the 'big picture' and continuing to make progress for the goals that we want to accomplish that I find difficult. And sticking to the budget when in reality you know that you don't 'have' to stick to the budget. When you have the cash to pay for things when maybe you really shouldn't and not getting swayed by the 'buy, buy, buy' mentality.

[mamabain]

I am in Baby Step 2 now!

BS1: $1,500/$1,500
BS2: $3,000/$41,000 Student loans
YAY!