Debt Dumpers - 2016

[amalone1013]

I really would like him to play a bigger role in everything and help me stay accountable as well. That way, it feels more like teamwork and less like me calling all the shots and carrying all the stress.

I felt the same. We have low living costs right now (living with his parents until our wedding), and DF would always be like, whatever we can afford this! And me trying to rein him in a bit. At least it wasn't debt, we paid everything off each month... But we started trying to track spending a few months ago, and then got on YNAB last month and I love it! And seeing it all added up together, instead of just spread among several credit card balances (plus he didn't see mine and vice versa) was very eye opening for DF. It had him going, Why are my student loans not paid down more? What did I spend that money on??

 

[Jen and Ashwin]

I felt the same. We have low living costs right now (living with his parents until our wedding), and DF would always be like, whatever we can afford this! And me trying to rein him in a bit. At least it wasn't debt, we paid everything off each month... But we started trying to track spending a few months ago, and then got on YNAB last month and I love it! And seeing it all added up together, instead of just spread among several credit card balances (plus he didn't see mine and vice versa) was very eye opening for DF. It had him going, Why are my student loans not paid down more? What did I spend that money on??

It is so good that you are starting now. Combining finances isn't easy. We are still just on my paycheck, but there are a lot of financial considerations that take place when you get married. It wasn't just about the mortgage and my car loan anymore. I had to start budgeting for increased food and fuel costs. We had to start taking DH's student loan into account. And last month we gave the car that DH was using back to his parents and we bought a new car for him. And that added another auto loan plus increased insurance costs. But now our finances are 100% our own responsibility, rather than owing or receiving anything from his parents or mine. I didn't want that to continue.

Without the credit card debt, our actual living expenses are really quite reasonable. We would be living well below our means and have $1500 or more each month in extra money. After the debt is gone, I plan to use that money to build up a more robust emergency fund, aiming for 6 months of living expenses.

 

[Ngwira]

Well, after 2.5 years back to work full time, I got let go today. So did my boss and several other people. Strictly financial, they said, and I believe them. We had a round of layoffs a couple years ago and I was nervous for a bit after that bc one of my teammates who did the same thing I did was let go back then. The company is a start up and on shaky financial ground. I will get two weeks severance (one week for every year) and can file for unemployment.

DH makes more than I did/do, but we were putting a lot into the kids' 529s and retirement and then just using part of my salary for bills. We do have a nest egg we've always said was for illness or job loss but I still don't want to use it unless we have to. We have areas in which we can cut back if we need to...that will really depend on how long I'm out of work. Which will depend on what we want to do about that since school is out in two weeks. The boys are teens but still need to get places and we have a vacation planned that we aren't going to cancel. We've already paid for a lot of stuff toward it.

But I worry. And feel sick. And even though they said it has nothing to do with my performance, which was great, it still feels awful. We are going away this weekend so there is not much I can do right now anyway. But now my mind will be on overtime.

I'm praying for you and your family.

 

[Gr8t Fan]

@Eureka sorry to hear that you lost your job. Hoping the right solution for your circumstances/family falls into place.

 

[PrincessKymm]

Well, after 2.5 years back to work full time, I got let go today. So did my boss and several other people. Strictly financial, they said, and I believe them. We had a round of layoffs a couple years ago and I was nervous for a bit after that bc one of my teammates who did the same thing I did was let go back then. The company is a start up and on shaky financial ground. I will get two weeks severance (one week for every year) and can file for unemployment.

DH makes more than I did/do, but we were putting a lot into the kids' 529s and retirement and then just using part of my salary for bills. We do have a nest egg we've always said was for illness or job loss but I still don't want to use it unless we have to. We have areas in which we can cut back if we need to...that will really depend on how long I'm out of work. Which will depend on what we want to do about that since school is out in two weeks. The boys are teens but still need to get places and we have a vacation planned that we aren't going to cancel. We've already paid for a lot of stuff toward it.

But I worry. And feel sick. And even though they said it has nothing to do with my performance, which was great, it still feels awful. We are going away this weekend so there is not much I can do right now anyway. But now my mind will be on overtime.

I'm so sorry! It does suck. However, i fully believe you will be ok. Try to relax and enjoy your weekend away! Maybe letting the situation bubble in the back of your mind will help you formulate a plan.

 

[Eureka]

Thanks everyone. I got this news by 10am and have been literally lying on the couch all day talking to DH (crying more like it), texting former coworkers and just reeling from the shock. We're going to visit family this weekend, so that will be good (need to call my parents tomorrow before they hear it from another source but I just can't deal with it today).

DH has already said not to worry about the money (even though he knows I will) bc we will figure it out. I worked mostly from home for most of my time at this company but last year had to commute every day (long story there; some people were taking advantage and they wanted to keep tabs on everyone, even those who did nothing wrong) and I learned that just drained me...and my kids will only be home for a few more years before college, so maybe looking for something closer to home or telecommuting would be good, even if it's less money.

It's just very surreal, and in my long work career, I have never left a job involuntarily. Anyway, thank you for your well wishes and I will keep you all posted.

 

[Dentam]

I'm so sorry to hear about you being let go from your job @Eureka. It does sound like it was simply a financial decision for them and your performance was not in question, so you should be able to get great references. I hope you have a wonderful vacation.

 

[momtosam]

@Eureka I'm sorry to hear about your job.

 

[Eureka]

How do you tag someone in a post?

 

[bcwife76]

@Eureka I'm so sorry to hear about your job loss!! I'm crossing my fingers a new one comes up for you soon. I'm glad you have so much support from your family and of course, we here are all here for you

Oh and to tag someone, put the @ symbol in front of someones' screen name (no space between the @ and the screen name).

 

[Eureka]

@Eureka I'm so sorry to hear about your job loss!! I'm crossing my fingers a new one comes up for you soon. I'm glad you have so much support from your family and of course, we here are all here for you

Oh and to tag someone, put the @ symbol in front of someones' screen name (no space between the @ and the screen name).

Thanks, @bcwife76 ! (See what I did there )

 

[Dentam]

Well, I think my car is fixed! It hasn't had any issues since I replaced the part on Monday and prior to that it was having problems almost every day. Woohoo! It still has other issues and I still want to replace it soonish but this will buy me more months to pay down more debt and save for a down payment!

 

[toystoryduo]

Well, after 2.5 years back to work full time, I got let go today. So did my boss and several other people. Strictly financial, they said, and I believe them. We had a round of layoffs a couple years ago and I was nervous for a bit after that bc one of my teammates who did the same thing I did was let go back then. The company is a start up and on shaky financial ground. I will get two weeks severance (one week for every year) and can file for unemployment.

DH makes more than I did/do, but we were putting a lot into the kids' 529s and retirement and then just using part of my salary for bills. We do have a nest egg we've always said was for illness or job loss but I still don't want to use it unless we have to. We have areas in which we can cut back if we need to...that will really depend on how long I'm out of work. Which will depend on what we want to do about that since school is out in two weeks. The boys are teens but still need to get places and we have a vacation planned that we aren't going to cancel. We've already paid for a lot of stuff toward it.

But I worry. And feel sick. And even though they said it has nothing to do with my performance, which was great, it still feels awful. We are going away this weekend so there is not much I can do right now anyway. But now my mind will be on overtime.

I'm so sorry, @Eureka. Sending prayers for you and your family. I hope you are able to relax and enjoy your trip this weekend.

 

[toystoryduo]

Not too much to report here. June and July tend to be spendy months for us, so we really need to sit down and look at the next couple of months ahead. It has been a really stressful week here, so I've been putting it off. I think we'll probably end up not going out to eat tonight like we had planned, and instead, we'll go to the grocery store and work on the budget. It's not as relaxing as going out to eat would be, but it needs to be done.

 

[PrincessKymm]

I have a friend that is extremely frustrated with her student loans. I bought her Dave Ramsey's book the Total Money Makeover for inspiration.

Any tips on how to lessen student loans? Her payments keep getting higher and higher and she officially owes less on her home than on her loans. They will not work with her and I'm wondering if she isn't asking the right questions. She's single, no kids so I know not a ton of help out there.

Thanks!

 

[Jen and Ashwin]

I have a friend that is extremely frustrated with her student loans. I bought her Dave Ramsey's book the Total Money Makeover for inspiration.

Any tips on how to lessen student loans? Her payments keep getting higher and higher and she officially owes less on her home than on her loans. They will not work with her and I'm wondering if she isn't asking the right questions. She's single, no kids so I know not a ton of help out there.

Thanks!

How are they getting higher and higher? She is accruing more in interest than she is making in payments? Or has she gone back to school and gotten more education? I would say that the only way she will get a handle on them is to make higher payments, adding additional to the principal balance each month so that she can reduce her interest payments. If she is just making minimums, it will probably never get better. If the interest rate is very high, then she could look at consolidating and refinancing her student loans which might help her get to a manageable monthly payment that will actually allow her to start making a dent in them.

 

[Ngwira]

I have a friend that is extremely frustrated with her student loans. I bought her Dave Ramsey's book the Total Money Makeover for inspiration.

Any tips on how to lessen student loans? Her payments keep getting higher and higher and she officially owes less on her home than on her loans. They will not work with her and I'm wondering if she isn't asking the right questions. She's single, no kids so I know not a ton of help out there.

Thanks!

I'm assuming she has variable rate loans.

 

[PrincessKymm]

I'm assuming she has variable rate loans.

Oh! I didn't even think of this! I will def check with her.

 

[PrincessKymm]

How are they getting higher and higher? She is accruing more in interest than she is making in payments? Or has she gone back to school and gotten more education? I would say that the only way she will get a handle on them is to make higher payments, adding additional to the principal balance each month so that she can reduce her interest payments. If she is just making minimums, it will probably never get better. If the interest rate is very high, then she could look at consolidating and refinancing her student loans which might help her get to a manageable monthly payment that will actually allow her to start making a dent in them.

Thanks! I don't know the nitty gritty but I will def suggest adding a few extra bucks to the lowest one.

 

[gracie1]

Well, I think my car is fixed! It hasn't had any issues since I replaced the part on Monday and prior to that it was having problems almost every day. Woohoo! It still has other issues and I still want to replace it soonish but this will buy me more months to pay down more debt and save for a down payment!

What part did you have to replace? Was this for the problem that your car was missing upon acceleration? I have that problem with mine - wondering if it's the same problem!