Debt Dumpers - 2016

[bcwife76]

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.

I absolutely agree! So DH and I discussed this again last night. Turns out he actually has $500,000 on his insurance policy (not sure why I thought it was less). I told him that is all well and good but yes, if I die then right away he needs to find childcare for our children because nothing in his life will change (except for the fact I am GONE!!!) and he still needs to work, the mortgage still needs to be paid and so on.

So I went online and found a page I had bookmarked re: life insurance and being an alumni of my university so I got a quote online and premiums would start at $7 a month! Awesome, so I'm going to set that up today.

 

[BSwest]

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.

Is there someone that would need supported if you pass away? If yes then you should look at level term life insurance. My husband has 500,000 for 20 years and I have 750,000 for 30 years, we pay $96 a month. We also have a little more through my employer. My husband hates the idea of getting life insurance but I want to make sure my son is taken care of if anything happens to either of us.

 

[stayhomemom77]

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.



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?

I wish! No wiggle room in the budget for an extra $20 a week...if there was I'd be going on vacation a heck of a lot sooner! The field trip may be that far away but they always collect the money a lot sooner so they can book it, arrange for the bussing, etc. He's going snowshoeing next month but that permission form came home early last week. That one's free <whew>. If I'm lucky, the money won't be due until the end of the month, giving me more time to scrape it together. I've got $10 in a jar right now, he can sacrifice another $10 from our date night if he wants (we can do something free and I can make cookies or something for our treat) and later this afternoon I'll see what I can donate from the grocery and gasoline change. Best I can do for this week, I'm afraid.

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.

He will be packing a lunch, so no further costs on that front, but thanks for thinking of that.

I WISH he would earn the money himself. He's 10 so totally could do something to raise it but DH doesn't believe in the kids having to pay for field trips. So he wouldn't go for that. Plus DS is an odd duck. He wants things sometimes only as long as Mum and Dad are willing to foot the bill. If I ever tell him that it's something his allowance should cover...he suddenly doesn't want it anymore. And DH is really hoping DS has a fabulous time skiing so that they can go together in the future. Our kids aren't really into playing sports so DH is hoping this is the one! LOL The fates are against me getting DS to be responsible for the costs but I'm hoping if I can get him at least HALF the way there, I'll have a case for getting either him or DH to step up and help me finish going the distance. I am the "make things happen" person in this family...but I do need help SOMETIMES!!

 

[Eureka]

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 $25K through my work (paid for by my employer) and then we both have it through DH's work. It's twice his salary amount for each of us; his employer pays for his and we pay I think $6 or $10/week for mine. Basically, because we have a mortgage and kids, we wanted to make sure if something happened to one of us, the other would be OK to pay for the house and the kids' upkeep and schooling with the loss of one income.

 

[gracie1]

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.

Of course you can join! It's hard when you lose your job - sounds like you have a good plan in order and want to be as prepared as possible should it happen again.

 

[gracie1]

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!

I know what you mean - I'm getting ready to put mine in the shop to do an over haul check on it! I know there's going to be some issues but I didn't have to put a penny into it in 2015. I'm expecting at least a $1500 bill this year but it's better than a car payment. My car is 13 years old with 156k miles but I plan on keeping it for a few more years at least!

 

[gracie1]

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.

Why is your husband not on board to get out of debt?

 

[gracie1]

I wish! No wiggle room in the budget for an extra $20 a week...if there was I'd be going on vacation a heck of a lot sooner! The field trip may be that far away but they always collect the money a lot sooner so they can book it, arrange for the bussing, etc. He's going snowshoeing next month but that permission form came home early last week. That one's free <whew>. If I'm lucky, the money won't be due until the end of the month, giving me more time to scrape it together. I've got $10 in a jar right now, he can sacrifice another $10 from our date night if he wants (we can do something free and I can make cookies or something for our treat) and later this afternoon I'll see what I can donate from the grocery and gasoline change. Best I can do for this week, I'm afraid.



He will be packing a lunch, so no further costs on that front, but thanks for thinking of that.

I WISH he would earn the money himself. He's 10 so totally could do something to raise it but DH doesn't believe in the kids having to pay for field trips. So he wouldn't go for that. Plus DS is an odd duck. He wants things sometimes only as long as Mum and Dad are willing to foot the bill. If I ever tell him that it's something his allowance should cover...he suddenly doesn't want it anymore. And DH is really hoping DS has a fabulous time skiing so that they can go together in the future. Our kids aren't really into playing sports so DH is hoping this is the one! LOL The fates are against me getting DS to be responsible for the costs but I'm hoping if I can get him at least HALF the way there, I'll have a case for getting either him or DH to step up and help me finish going the distance. I am the "make things happen" person in this family...but I do need help SOMETIMES!!

So maybe ask your son if he is willing to pay half the costs out of his allowance. If he doesn't think its worth spending some of his money towards then maybe it's not that important to him?

 

[dayvewc]

I wish! No wiggle room in the budget for an extra $20 a week...if there was I'd be going on vacation a heck of a lot sooner! The field trip may be that far away but they always collect the money a lot sooner so they can book it, arrange for the bussing, etc. He's going snowshoeing next month but that permission form came home early last week. That one's free <whew>. If I'm lucky, the money won't be due until the end of the month, giving me more time to scrape it together. I've got $10 in a jar right now, he can sacrifice another $10 from our date night if he wants (we can do something free and I can make cookies or something for our treat) and later this afternoon I'll see what I can donate from the grocery and gasoline change. Best I can do for this week, I'm afraid.

Somehow, when I read your original post, I thought you were budgeting by the week. Cause I was thinking the same thing. If there is $20 extra each week that can go a long long way on stuff!! (Vacation, dumping debt, etc.)

All the field trips here, they collect the money "day of". I think because it became a bigger hassle than was worth to try to figure out who (and how much) to refund if someone doesn't go last minute, or to charge for new people that move in also last minute.

 

[bcwife76]

Just so you know I do follow through.....lol.....I signed up online this morning with Manulife through my university Alumni association and applied for $70,000 worth of life insurance (enough for a funeral and for my hubby to start the kids on before and after school care) and it will be $4.80/month. Just need to wait for the underwriters to approve it and send me the forms to sign.

So this is thread is far more invaluable than just debt dumping!

 

[stayhomemom77]

So maybe ask your son if he is willing to pay half the costs out of his allowance. If he doesn't think its worth spending some of his money towards then maybe it's not that important to him?

I would but then DH would be put out. He wants him to be able to go! He thinks we should foot the bill. I am outnumbered. LOL

 

[stayhomemom77]

Somehow, when I read your original post, I thought you were budgeting by the week. Cause I was thinking the same thing. If there is $20 extra each week that can go a long long way on stuff!! (Vacation, dumping debt, etc.)

All the field trips here, they collect the money "day of". I think because it became a bigger hassle than was worth to try to figure out who (and how much) to refund if someone doesn't go last minute, or to charge for new people that move in also last minute.

I'd prefer that but they don't do that here.

I managed to scramble together $35 for him today. I had to sacrifice some vacation savings and I came in under budget on FOUR birthday presents, so I made a good dent!!

 

[gracie1]

I'd prefer that but they don't do that here.

I managed to scramble together $35 for him today. I had to sacrifice some vacation savings and I came in under budget on FOUR birthday presents, so I made a good dent!!

That is great! So $15 more dollars and you will have the field trip covered. I'm sure you will be able to do that! How much additional is the rental fee?

 

[stayhomemom77]

That is great! So $15 more dollars and you will have the field trip covered. I'm sure you will be able to do that! How much additional is the rental fee?

Yep! I was pretty jazzed about it and tried NOT to think about how much of that money should have gone to the vacation fund.

We don't have any official documentation, so I'm not sure yet about the rental fee. The teacher told them he figured around $5. I assumed this is per day (going twice) so I figured it will be $60-70 all told. I can do $20 no problem, it was the other $50 I had to scrounge.

Almost there!!

 

[Dentam]

I don't think Turbo Tax is going to cut it this year for filing my taxes. I sold my house last June and had been renting it out for 3 years. Lots of losses in that time, hence my current debt issues. Anyway, apparently I can file to show that I lost money both in the sale and in the 3 years I was renting it out. In trying to go through it using Turbo Tax, I'm already confused and have no idea what I'm doing. So... it looks like I might just have to break down and have a tax professional help me this year. Next year I'll get to go back to a very simple filing - hooray!

 

[dayvewc]

I don't think Turbo Tax is going to cut it this year for filing my taxes. I sold my house last June and had been renting it out for 3 years. Lots of losses in that time, hence my current debt issues. Anyway, apparently I can file to show that I lost money both in the sale and in the 3 years I was renting it out. In trying to go through it using Turbo Tax, I'm already confused and have no idea what I'm doing. So... it looks like I might just have to break down and have a tax professional help me this year. Next year I'll get to go back to a very simple filing - hooray!

Several years ago I did almost the exact same thing. Sold my house at a loss after losing money trying to rent it out. Turbo-Tax actually worked for me to capture all the losses, except that I had to enter them as negative numbers. It literally would read as "I had a loss of -$1200" which just really offended what little grammar I know.

 

[Dentam]

Several years ago I did almost the exact same thing. Sold my house at a loss after losing money trying to rent it out. Turbo-Tax actually worked for me to capture all the losses, except that I had to enter them as negative numbers. It literally would read as "I had a loss of -$1200" which just really offended what little grammar I know.

Oh boy, my head is spinning just looking at that, ha! I will probably give Turbo Tax another try on a day that I have had a bit more sleep.

 

[hollybearsmom]

What is he proposing otherwise?

Pay the high interest rate cc and buy a new car instead of sinking more money into our old van. Grrrrrrrrrr.

 

[hollybearsmom]

Why is your husband not on board to get out of debt?

Just the way he wants to start with high interest rate cc and not do the snowball method.

 

[gracie1]

Just the way he wants to start with high interest rate cc and not do the snowball method.

Does he realize the financial debt? I'm going off of memory here - but if I recall correctly you have items in collections - right? If so and your credit isn't that good how does he plan on getting a new vehicle?