Debt Dumpers - 2014

[Luvdancink]

I'm ready to go into this debt reducing head on this year. I had done this before and had all of my credit card debt paid off. I spent too much on Christmas, but used several different store cards to get promotions, so I don't even honestly know how much I have to pay off?? My goal for this year is to pay off my credit cards, and my private student loan with a crazy interest rate. I just finished my masters, so I plan on trying to work as many shifts as I can to get student loans paid down. I'm looking at phd programs next year, so this year is debt reduction so I can make that happen. I save so much money buying online, but I seem to spend just as much because it is so easy to do. I need to budget so I'm not doing that this year!

 

[xCourxCorex]

I'm in for 2014! I'm just waiting for my check to clear that I sent on my car loan. Last I looked the balance was roughly $2500. I have $1550 that should be applied to that by the 2nd or 3rd. Looking to have it paid off by the end of January. Then onto building my emergency fund and start a house down payment savings account.

 

[gracie1]

Welcome everyone! I'm so glad to see how many people have joined the thread already!! I went on a little shopping spree today- and honestly I haven't really bought many clothes or shoes in over a year. I haven't even looked at the receipts yet. I know I have enough in my savings to pay for it when the bill comes in, but I just hate how much clothes and shoes cost!! I fell in love with Clark's shoes a year ago- only had 2 pair of clogs so that was my main splurge today.

Oh, and for those that followed me on the other thread with my major dental expenses- thought you would find it funny that I almost ran over my dentist shopping today! I'm hoping he didn't notice it was me driving when I go to my next visit! Lol.

 

[gracie1]

Welcome everyone! I am so glad to see everyone responding to this thread! I just typed out a big post and it cancelled me out. Sorry if you get a double post!

 

[PlaneJoy1]

The issue I have is I don't know it all goes.

Doing okay but know I can do much better.


So this year I have a spread sheet with the months across the top and 2 sets of data.

The first set of data is stuff "we need" its not all necessary to live but its the stuff that makes life well livable. Here is things like house payment, utility bill, trash bill. "luxury" things like cable and internet.

The second set is for groceries, fuel, work related and "receipts" basically anything that doesn't fit goes here.


Now the logic behind this is simple the 1st set of data doesn't change all that much month to moth. Most if not all of these things I have had for years so I know what they cost.

What I am interested in is the bottom set. How much do we spend on groceries? How about just stuff like a soda or eating lunch out its a small amount each time so it doesn't set off an alarm when done.

Lastly I totaled each line both ways so I can see what the phone costs per year and I can also see what I spent in January. Be nice to see where the hot spots are.

I used a very detailed spreadsheet for years! In fact, I looked last week and it at least goes back to 2008. For me, however, we always seemed to spend based on the balance in the account; not necessarily what was budgeted for each category. We rarely had money left over because it was there and we spent it!

About a month ago I discovered YNAB (you need a budget) and what a difference it has made in our spending! You can set up as many categories as you need but we spend based on what we've budgeted for the category. It does take some trial and error if you do not have a baseline of your spending on each category but I think it is going to be well worth the small investment. Also - if you have an iPhone or Android you can use it while you are out and immediately put in your expenses.

May be worth a look if you find the spreadsheet doesn't fit your needs.

 

[MAJPLO]

I used a very detailed spreadsheet for years! In fact, I looked last week and it at least goes back to 2008. For me, however, we always seemed to spend based on the balance in the account; not necessarily what was budgeted for each category. We rarely had money left over because it was there and we spent it!

About a month ago I discovered YNAB (you need a budget) and what a difference it has made in our spending! You can set up as many categories as you need but we spend based on what we've budgeted for the category. It does take some trial and error if you do not have a baseline of your spending on each category but I think it is going to be well worth the small investment. Also - if you have an iPhone or Android you can use it while you are out and immediately put in your expenses.

May be worth a look if you find the spreadsheet doesn't fit your needs.

Can more than one person use the app? So if I set it up and use the app to update, can my husband also input his spending on his own phone for our same budget?

 

[CuteAndFluffy]

Can more than one person use the app? So if I set it up and use the app to update, can my husband also input his spending on his own phone for our same budget?

Yes, its possible. You'll both need the app and Dropbox (to allow the syncing with the cloud).

YNAB totally changed my life. It took a little time to get a handle on how it works and how much I need to set aside for things in the future, but by May 2014 I will be fully buffered (I'll have all the money I need to pay out in June set aside by the end of May. Then I will always be a month ahead! )

One thing to note: unlike mint.com or similar, ynab doesn't access your bank accounts. I find this to be helpful in keeping money out of sight/out of mind, but it may not be for everyone.

 

[donkeyandshrek]

I bought YNAB while it was on sale. I guess I am not patient with learning how to use it - but I just don't get it ;(.

 

[sl_underwood]

I'm in. I really don't have debt but I do feel like I am cutting it close with my pay vs. my living expenses. Life threw me some unexpected curve balls and my emergency fund is back to zero. I don't make a ton of money but I do have enough to live on, just trying to figure out where to cut expenses so I can save money too. I know I will need a newer car at some point, mine is well over 100,000 miles, completely paid for but starting to have some minor issues. I also want to take my son back to Disney World but won't unless I can pay cash and have atleast a $1000 emergency fund. I am researching the YNAB software. I have always used Quicken in the past but my version is old and doesn't sync up with phone. How does YNAB compare to Quicken?

 

[PlaneJoy1]

I bought YNAB while it was on sale. I guess I am not patient with learning how to use it - but I just don't get it ;(.

It was a little frustrating at first and while I would like to be fully buffered as they suggest, I am more focused on getting some debt paid off first. I put in our income when it comes in and budget each category from there. Before I purchase something, I looked on my iPhone to see what my budgeted balance is so I know what my limit is or if I will need to move money from another category if I over spend (this happens with groceries, definitely haven't fine tuned that area yet).

Getting accustomed to how to input everything and not overthinking the process was my biggest frustration. However it has helped DH and I SEE the amount we owe and get us both focused on getting rid of debt. The feature that makes the biggest difference for us is that we can BOTH view the budget at any given time. He would never look at my spreadsheet or enter items in the checkbook log. Now he is fully aware of the budget. No excuses for either of us.

 

[donkeyandshrek]

It was a little frustrating at first and while I would like to be fully buffered as they suggest, I am more focused on getting some debt paid off first. I put in our income when it comes in and budget each category from there. Before I purchase something, I looked on my iPhone to see what my budgeted balance is so I know what my limit is or if I will need to move money from another category if I over spend (this happens with groceries, definitely haven't fine tuned that area yet). Getting accustomed to how to input everything and not overthinking the process was my biggest frustration. However it has helped DH and I SEE the amount we owe and get us both focused on getting rid of debt. The feature that makes the biggest difference for us is that we can BOTH view the budget at any given time. He would never look at my spreadsheet or enter items in the checkbook log. Now he is fully aware of the budget. No excuses for either of us.

Hubby and I have separate checking accounts. Neither of us have a set income - it fluctuates. We pay bills according to availability of funds on payday (sorta). I can't figure out how to utilize YNAB with this setup

 

[PlaneJoy1]

Hubby and I have separate checking accounts. Neither of us have a set income - it fluctuates. We pay bills according to availability of funds on payday (sorta). I can't figure out how to utilize YNAB with this setup

I understand completely. I have a "simple" paycheck each month but DH's income varies (sometimes greatly) with each paycheck. I usually have an "idea" of what to expect but I have definitely had surprises!

 

[momtosam]

I bought YNAB while it was on sale. I guess I am not patient with learning how to use it - but I just don't get it ;(.

Same here. I tried it but could never figure it out.

 

[Sagginit]

2014 is the year I kick SallieMae to the curb. Getting rid of my student loan debt will be nice now that DW & I have a little one, and we want to take her to WDW. This is the last bit of debt we have, unless you count the home mortgage payment.

i have been trying to evict her from my house for years, but she is just so stubborn on a serious note i did take a big bite out of my loans last year, i have been snowballing highest interest loans to smallest interest ones, and can really see the difference after last year.

i was on last years thread but fell off in the fall. fall is my most expensive season. i go on vacation, i have my birthday as well as my boyfriends and families all in dec., and then there is Xmas. my cars also have had this talent for only needing major maintenance in the fall. this fall it cost me just about $400 the week before i went on vacation.

the good news is january is a three paycheck month for me. so i will get 2014 off to a good start by paying down another chunk of my loans. i also intend on going on a shopping freeze for non-essentials and i got some giftcards for my bday and christmas.

i also took the step last year of when i got my raise i increased my 401K contribution by 2% instead of putting it all towards loans like i had in the past. this totally paid off as i had decent gains in my portfolio and it by far surpassed the interest i paid on loans.

 

[Sew into Disney]

Hi kind of joining in here. I am more of a lurker to the Disboards. I was looking for some info on planning yesterday and thought I should check out the budget board.

First off thank you to whomever mentioned YNAB. I spent a great deal of time yesterday reading about YNAB. I also looked at various spreadsheets. I have been using Quicken for the past year to keep track of my finances. While I love it the budget portion of it is just not working for me.

It just so happened that YNAB was hosting an intro class last night. So I took it to see what it was all about before I downloaded the trial. I really learned a lot from the class. I went ahead and downloaded the trial on my pc and my tablet. Crossing my fingers that it will help me get ahead. I will still be using Quicken for my reminders of paying bills and such.

For those of you struggling with YNAB take a class on the site. They are free. For those of you not sure about it take a class and download the trial. At the end of each class someone wins YNAB. Also if you are wanting the software Steam has it for half price right now.

As for my debt I have one CC to an electronic store that will be paid off using my tax return. My only other debt is my student loans ($15,000). Would love to get that debt paid off sooner rather than later.

I am also planning a trip to Disneyland in October for my 40th birthday. I only work 9 months a year so I also have to plan on having money for the months I don't work.

Shannon

 

[mrsbornkuntry]

I'd like to join. I'd really like to get a handle on our finances this year. The furloughs last year really hurt us, and if we had put more aside in an emergency savings then we wouldn't be in so much trouble. Instead of kicking myself I'm going to learn from it and work on building that up this year.

I have been looking for a job for a long time (like two years, retail, fast food, nothing) and I am very frustrated, but I decided to take some control there, too and went back to school last summer, I have three semesters left so hopefully after that I'll be able to find a job.

I'm not going to post numbers, I'm not comfortable with too much personal info on here, but my goals are:

1. Fund emergency savings
2. Start Snowballing car payment

Obviously this will go faster if I find a job, but until then I'm going to concentrate on saving money.

 

[gracie1]

Welcome everyone! Sagginit - you are not the only one who has every fallen off track! The plus side - you now have some giftcards so even though you put a spending freeze on your money - you can still do a little shopping I wish I had gotten some gc's - well I did but their all to restaurants and I try to watch what I eat, so I still have some left from last year

As for the Ynab users, I have never even looked at that. I think I will take a peak tonight to see what it is all about. I still feel fortunate that I have not had to carry a cc balance since May of 2013. The balance I have had each month I have been able to pay off (I thought those endless hours of overtime would be great in the savings account, but like everyone else the unexpected drained it out ) My plan is to just continue to build my savings account and just pay on the home equity loan as planned, and I do pay a little extra each month to my mortgage. Once I get to a comfortable place with my savings, then I will add to my mortgage more than likely instead of the home equity loan. Not sure yet. By adding to the mortgage I feel like it will have more of a savings in the end. Any thoughts from anyone?

 

[evansjune]

I'm in! We have to save for a move, pay off debt and plan a vacation!

 

[gracie1]

I'm in! We have to save for a move, pay off debt and plan a vacation!

Welcome! That is my goal eventually, to plan a vacation e did have one planned in May 2014 but have had to cancel and postpone. We do have tickets to go see Phantom of the Opera in March though. Definitely looking forward to that!

 

[MillauFr]

I'm hoping that 2014 won't see any unexpected expenses like the $22k bill I got for fixing our side sewer to our house. Ouch. I canceled our cable TV and started riding my bike to work to cut expenses.