Debt Dumpers - 2016

[MrsTurnerLovesDisney]

Just wondering - do you guys have life insurance policies? My bank asked me if I wanted to come in and look at getting life insurance. I'm really not big into the whole life insurance policy - so was curious if any of you guys have them? I have enough set aside to bury me should I drop today! I know - what a morbid post!! I just got to thinking how many of us actually have it? I know my parents don't either but they do have enough to cover their funeral expenses as well.

Thru my work I have like $20k automatically for free on myself
I had anther $20k put on myself and then $50k on my husband. THis is all thru my employer (government) so it's really cheap like $4 a month total for both. I don't even know the standard funeral costs but if something where to happen to either of us I want some outstanding expenses to be covered.

We are both really young 29 & 25 and this amount could help cover a portion of our outstanding mortgage or otherwise be put in savings/trust for our daughter.

 

[Ava]

Just wondering - do you guys have life insurance policies? My bank asked me if I wanted to come in and look at getting life insurance. I'm really not big into the whole life insurance policy - so was curious if any of you guys have them? I have enough set aside to bury me should I drop today! I know - what a morbid post!! I just got to thinking how many of us actually have it? I know my parents don't either but they do have enough to cover their funeral expenses as well.

I have a policy through my employer; they provide $20K for free and then I pay for an additional $80K on myself and $100K on my wife, so we're each covered for $100K. There is also a small policy on each child, I think $15K each, which seems really morbid but it costs next to nothing and I know if one of my children were to pass away the last thing I'd want to do is worry about not being able to pay their funeral expenses.

 

[dayvewc]

I pay for $250k at about $42 a month, get a free $10k policy through my credit union, my parents have a $15k policy on me that they've kept for 25 years, and I have small policies rolled into some if my supplemental health insurance policies. I'm probably over insured but I don't have anything saved for burial, so if something happens whoever handles my remains will be able to have options.

 

[gracie1]

Doesn't the policy only go until a certain age? And when you sign up will the monthly premiums go up as you age?

 

[potterfanatic]

My husband has $100k through work and I have $100k through AAA. Mine is a 30 year term policy, has a 20K rider for each of my children and costs $20 a month. My policy is locked in for the 30 years so it will pay out if I die in 28 years and the $20 stays the same for the whole amount of time. It's very difficult to think about locking in payments for 30 years, but I figured if I did it for my mortgage, I should do it for my family. I figured the money would get me buried and if I pass while my kids are young it would cover the costs of after school care and stuff like that.

 

[bcwife76]

So speaking of life insurance (btw my hubby has a policy as the only working spouse but I don't. Now thinking perhaps I should as well, but I digress for the moment)...got a call from the lawyer handling my late fathers' estate. He had a life insurance policy and named myself, my half brother and my step monster all as beneficiaries. So he needs me to come in to sign some papers he can send them off and I get a cheque.

So my dad didn't make a will but he bought life insurance?! Ok then.....

The lawyer is a 45 minute drive away and includes a toll bridge (ugh). Originally I was going over tomorrow morning but then realized I'm in that area this coming Tuesday (with my dh) for a dental appt so we're just doing everything that day which will save me time, money (2 bridge tolls instead of 4 and less gas) and my dh will be there to ask any questions or just give moral support. Assuming the lawyer will be able to tell me that day how much the benefits will be.

 

[gracie1]

So speaking of life insurance (btw my hubby has a policy as the only working spouse but I don't. Now thinking perhaps I should as well, but I digress for the moment)...got a call from the lawyer handling my late fathers' estate. He had a life insurance policy and named myself, my half brother and my step monster all as beneficiaries. So he needs me to come in to sign some papers he can send them off and I get a cheque.

So my dad didn't make a will but he bought life insurance?! Ok then.....

The lawyer is a 45 minute drive away and includes a toll bridge (ugh). Originally I was going over tomorrow morning but then realized I'm in that area this coming Tuesday (with my dh) for a dental appt so we're just doing everything that day which will save me time, money (2 bridge tolls instead of 4 and less gas) and my dh will be there to ask any questions or just give moral support. Assuming the lawyer will be able to tell me that day how much the benefits will be.

The lawyer should definitely be able to tell you how much you will get. I never really had an interest in life insurance - really I still don't. But I've decided to go in on Friday and meet with the lady to find out about it and the costs. I mean I know if I dropped off today there wouldn't be enough to pay off my mortgage but I have enough saved that it would be paid for a while and then the retirement account has enough money to bury me. I guess that's why I never cared about a policy. And then if I took the 30 year and live past it to me that's money I could've saved.

 

[DisneyMandC]

Just wondering - do you guys have life insurance policies? My bank asked me if I wanted to come in and look at getting life insurance. I'm really not big into the whole life insurance policy - so was curious if any of you guys have them? I have enough set aside to bury me should I drop today! I know - what a morbid post!! I just got to thinking how many of us actually have it? I know my parents don't either but they do have enough to cover their funeral expenses as well.

I have it, can't remember how much but I think 250k. I pay $27 a month for it. Honestly, it's so cheap at that price that I feel like I may as well have it.

 

[bababear_50]

My life Insurance is through work.No cost,,it's a benefit.
3x my yearly salary,,split 1/3. 1/3 .1/3. for each son.
This has always given me a sense of peace knowing I have this.
Now MTG Ins is something I don't have and have thought about.

I have made some progress on gaining knowledge about options for taking a early CPP (Canada Pension Plan) in 4 years. Actually all I had to do was look up the information on the Service Canada Web site. You can start taking it at 60 years and continue to work. I am thinking about doing this and rolling all of the pension money into paying down my mortgage each year on the anniversary date. I'm kind of looking at the pros and cons of doing this,,I plan to talk it over with my accountant when I go to file my taxes this Spring but I wanted to investigate a bit on my own. I love my home and don't want to have to move when I retire.I have worked so hard to currently own 2/3 of my home. So I guess budgeting just became even bigger in my life.
Hugs Mel

 

[Dentam]

I've decided to delay getting a new to me vehicle until I can get my debt down more and my credit score into the excellent category. I just don't want the added stress of a car payment and my car has been very reliable for me, even if it is 15 years old now.

I feel good making this decision - it's been a bit of a tight start to the year and I just want this debt gone!

 

[hollybearsmom]

Dh is not on board with snowball plan. I thought it was going to be a great year to drop some debt. Now I'm struggling with a budget. Good thoughts would be appreciated.

 

[rnorwo1]

Dh is not on board with snowball plan. I thought it was going to be a great year to drop some debt. Now I'm struggling with a budget. Good thoughts would be appreciated.

What is he proposing otherwise?

 

[myhoney]

I have a policy through my employer; they provide $20K for free and then I pay for an additional $80K on myself and $100K on my wife, so we're each covered for $100K. There is also a small policy on each child, I think $15K each, which seems really morbid but it costs next to nothing and I know if one of my children were to pass away the last thing I'd want to do is worry about not being able to pay their funeral expenses.

We have 30 year term policies. $500k on me and $250k on DH, who also has $50k through work. It costs us $100/month, which I use DH's quarterly bonus for, but we bought it thinking if something happened to me, it would go toward daycare/nanny for the kids. We went high on me because I had already been diagnosed with skin cancer. It was my one shot of getting a policy with normal rates. Two weeks after we got the policy, we found out the skin cancer returned. Even though it won't kill me, insurance companies would hold my frequent bouts against me.

If you consider it, don't think of it just for burial costs. This is a budget board after all...how will your surviving spouse survive without your income? Easily - no kids, sell the house, downsize with no problem? Or hard - daycare, house, i.e. the expenses don't change but the income does? That's what we bought it for - income replacement. Having enough to pay off your mortgage should be your base number, but think about what else you need the money to do.

Edited to add: We didn't get policies on the kids. We have cemetery plots already (bought with a coupon!) and could cover the burial costs. God forbid something should happen to them, but it would affect us emotionally, not financially. So we skipped life insurance on them.

 

[momof2gr8kids]

We have insurance policies - $350,000 each. Wanted enough to replace one of our incomes if needed, help pay for college, etc. We pay $75/mth and we have riders for the kids. Also mortgage insurance so house would be paid off should one of us pass. Have a bit through work, but my work is only guaranteed til the next election, ha ha, so don't depend on that.

BC wife, you mentioned no policy on yourself. IMO you should rethink that - your kids are young. Even though your dh is the breadwinner, should something happen to you, he will need to either cut back on his work to care for the kids, or hire daycare. I hear many sahm's state they don't need it as they aren't the ones working, however what you do for your family is invaluable. My dh was a shift worker, and I told him if something happened to me, I would want him to either cut back hours or take a lesser paying job that meant he was home, rather than hiring someone to tuck my kids in at night because of his crazy hours. Morbid...but something to think about.

 

[AllysonL]

Just found this thread, and I'd love to join. I've been battling the debt monster for quite some time now. It's nice to have other people to check in with.

We have quite a ways to go, and we always seem to have something come up. Our emergency fund has a measly $98 in it. Which isn't going to get us very far. I'm so looking forward to tax return time, where I can at least eliminate one of our high balance CC's.

So what I've done so far - I'm paying off all the low balance cards right now. $200 here, $250 there. We also had quite a bit of hospital/doctor bills come up from 2 back to back visits to the ER with DD over the summer, before she had a primary pediatrician in our new state.

I just got a new job, that I start on the 25th - with a slight bit of boost in income. DH is starting in a new role on 2/1, that his boss requested for a pay increase for him as well. So we're moving in the right direction there!

I'd like to get rid of ALL our CC debt in 2016!

 

[stayhomemom77]

I am shamefully uninformed about the benefits DH has through this university. He does have life insurance for all four of us as part of his benefit package and I knew what was what at his previous university, but I didn't look anything up for this one. I *believe* for the kids it's just burial costs, for me it's more than that but I don't know what and his is even more, but I don't know what. I suppose I should look into that pronto.

 

[stayhomemom77]

Well...

I have to find a way to magic up $50.

DS came home Tuesday brimming over with excitement. His teacher wanted all the kids to float the idea of the possibility for a skiing field trip this winter past their parents. Most field trips are under $20 (usually under $10) so he sent them home with a basic outline of the proposed plan and asked for feedback. DS has never skied before and is terribly excited to try it. From what I understand, it's two trips and includes a lesson and the hill pass. Renting skis would be an additional expense (about $5 according to the what DS claims the teacher said). The trip would be $50 and then the rental fee would be on top of that.

This is a pretty good deal. BUT, I don't have $60-$70 laying around. $20 I can easily divert from the budget, but not more than that without some area being underfunded. I am uncomfortable with that.

DH thinks we should just put less towards our savings next pay. "What's $50 less going to be in the long term?" he asks. But, I'm not interesting in doing that for a field trip. First of all, it sets a dangerous precedent. And second, I like nice round numbers and that's what I currently have. A deduction would make a mess.

Sooooo, I have to come up with about $50 some other way. I have an envelope with a bit of money in it that I was hoarding to add to my vacation account, but I guess I can give some/most/all of it up for my kid. And I'm running errands later and can put all the "leftovers" (by coming in under budget) to him instead of to the vacation fund. I don't want to do that though. Maybe I can split it with him?

No word as yet on whether or not this field trip will be an official go or when the money would be due, but I'd like to have at least half of it by the end of this week (if at all possible).

Wish me luck!!

 

[dayvewc]

None of my policies are term, if I understand the definitions correctly. The prices vary slightly year to year, and generally increase as I get older.

My sister has a term policy that is enough to pay off her mortgage and give her kids money to live on. She got it shortly after she bought her house, pretty much solely with the intent that the house will be paid for for her kids.

Well...

I have to find a way to magic up $50.

DS came home Tuesday brimming over with excitement. His teacher wanted all the kids to float the idea of the possibility for a skiing field trip this winter past their parents. Most field trips are under $20 (usually under $10) so he sent them home with a basic outline of the proposed plan and asked for feedback. DS has never skied before and is terribly excited to try it. From what I understand, it's two trips and includes a lesson and the hill pass. Renting skis would be an additional expense (about $5 according to the what DS claims the teacher said). The trip would be $50 and then the rental fee would be on top of that.

This is a pretty good deal. BUT, I don't have $60-$70 laying around. $20 I can easily divert from the budget, but not more than that without some area being underfunded. I am uncomfortable with that.

DH thinks we should just put less towards our savings next pay. "What's $50 less going to be in the long term?" he asks. But, I'm not interesting in doing that for a field trip. First of all, it sets a dangerous precedent. And second, I like nice round numbers and that's what I currently have. A deduction would make a mess.

Sooooo, I have to come up with about $50 some other way. I have an envelope with a bit of money in it that I was hoarding to add to my vacation account, but I guess I can give some/most/all of it up for my kid. And I'm running errands later and can put all the "leftovers" (by coming in under budget) to him instead of to the vacation fund. I don't want to do that though. Maybe I can split it with him?

No word as yet on whether or not this field trip will be an official go or when the money would be due, but I'd like to have at least half of it by the end of this week (if at all possible).

Wish me luck!!

If they are just now asking for feedback, I would not expect the field trip to occur for at least 3-4 weeks. Is it possible you could divert $20 a week toward the trip?

 

[Ava]

Well...
I have to find a way to magic up $50.

DS came home Tuesday brimming over with excitement. His teacher wanted all the kids to float the idea of the possibility for a skiing field trip this winter past their parents. Most field trips are under $20 (usually under $10) so he sent them home with a basic outline of the proposed plan and asked for feedback. DS has never skied before and is terribly excited to try it. From what I understand, it's two trips and includes a lesson and the hill pass. Renting skis would be an additional expense (about $5 according to the what DS claims the teacher said). The trip would be $50 and then the rental fee would be on top of that.

This is a pretty good deal. BUT, I don't have $60-$70 laying around. $20 I can easily divert from the budget, but not more than that without some area being underfunded. I am uncomfortable with that.

DH thinks we should just put less towards our savings next pay. "What's $50 less going to be in the long term?" he asks. But, I'm not interesting in doing that for a field trip. First of all, it sets a dangerous precedent. And second, I like nice round numbers and that's what I currently have. A deduction would make a mess.

Sooooo, I have to come up with about $50 some other way. I have an envelope with a bit of money in it that I was hoarding to add to my vacation account, but I guess I can give some/most/all of it up for my kid. And I'm running errands later and can put all the "leftovers" (by coming in under budget) to him instead of to the vacation fund. I don't want to do that though. Maybe I can split it with him?

No word as yet on whether or not this field trip will be an official go or when the money would be due, but I'd like to have at least half of it by the end of this week (if at all possible).

Wish me luck!!

Not sure how old your DS is, but could he help earn the money? Doing odd jobs for neighbors, selling video games he doesn't play any more... even if he just does extra chores around the house to earn the money that you are able to divert from under spending your other budget categories, I would definitely get him involved in earning his own way. It sounds like a fun trip and if he really wants to go it may motivate him to earn as much towards the cost himself as he can.

I would also try to find out from the teacher if the kids will need money for food while they're there, or if they'll be expected to bring a packed lunch. If they'll need to buy lunch, that will add a bit to the actual cost.

 

[lilysmommy]

Can I still join?


I am SO ready for the New Year and a getting our family finances back on track. 2015 was a hard hard year for us – I love my job in May and it has taken me until January to start work again, we had $1600 in car tires this year (new tires on my car and then double blow outs one morning –yikes) not to mention the holidays. And while I would love to say that this year will be better – who knows , we are already aware that my hubby will be losing his job; although they have given him a retention bonus if he stays until the project is done and there is no date yet. We have some debt but I want to get us back on the good standing we had before life took its turns.


2 credit cards - $3000, mortgage $900 a month, 1 medical bill $500, 1 car note $360 a month, plus planning for the loss of a job – have to add to emergency fund.

While it may not look like a lot – I want to get this dealt with now before we end up back at one income (which is lower than it was at my last employer)

My financial goals for 2016 :

1. Increase emergency fund by Replenish emergency fund $5,000.00 – two months of my spouses salary
2. Eliminate all credit card balances. Once they are paid off we will utilize our rewards cards doing the charge/pay off method. $3000
3. Start paying extra on car note monthly

Cut back expenses in: foods and extra category.