Saving for DVC

[tinkabella627]

One thing that I do is every week, I take $5.00 and put it in my sock drawer...$5.00 from our weekly "spending" money. It is amazing how I don't miss it and how quickly it adds up for things.

When I started, the goal was to start to "save" for my daughter's prom. She was only a freshman, but figured if I did it, I would have over $500 by the time she was a junior and that it wouldn't seem like such a big deal to "splurge" for the dress, limo, etc.

When I realized that I didn't miss that $5.00, I started putting $10.00 away--$5.00 for her fund and $5.00 for my vacation spending money.

Taking it out at the beginning of the week, as soon as I took out the cash for DH and I, was key for me as it was gone before I had a chance to spend on something that I really didn't need but just wanted.

This year, it was so nice to have that fund for her!!! I got lucky and we didn't need it all, had some left, and now its building again for all those Senior year expenses we will have.

Good luck!!!

That's a good idea! We have a jar that we throw our change in so I could throw it in there. It is always so exciting to see how much is in the jar haha I usually throw my singles in at the end of the week too. hmm.. I get paid next week, I will try that!

 

[edk35]

As you are making your decision, remember, DVC has a lot of other costs other than the initial buying of the points. There's annual dues (approximately $5 per point, depending on where you buy), Disney tickets, food while at WDW, transportation to get there, etc. etc. etc.

My advise to you is to hold off for now.

Good Luck!

Good Advice............it is great to own DVC. BUT even if you pay for it with cash or pay it down quickly after buying, you have to remind yourself of the other expenses while going on these lovely trips. It does add up and fast. We let our DVC get out of hand the past 2 1/2 years and went to WDW 7 times. OUCH!!!!!!! Oh we love our DVC and we LOVE LOVE LOVE WDW but OUCH!!!!!! So we are scaling way back on trips. I have had a couple of "trip remorse" trips out of these 7 trips after they were all said and done. We all get caught up in the magic and the love we have for Disney and DVC, but we finally realized there are other things we want to spend our money on right now too and we will have many many WDW trips in our future. It took us 7 trips in our first 2 1/2 years of DVC ownership to figure it out though. Every DVC owner will probably have a different opinion on what you should do. So read them all and maybe that will help you in your decision. We have a daugher in college, a son in high school and one still in elementary school and we all enjoy going, but over the years people's vacations change as their family changes. We are starting to see this now. Just make sure you put a lot of thought into your decision.

 

[edk35]

One thing that I do is every week, I take $5.00 and put it in my sock drawer...$5.00 from our weekly "spending" money. It is amazing how I don't miss it and how quickly it adds up for things.

When I started, the goal was to start to "save" for my daughter's prom. She was only a freshman, but figured if I did it, I would have over $500 by the time she was a junior and that it wouldn't seem like such a big deal to "splurge" for the dress, limo, etc.

When I realized that I didn't miss that $5.00, I started putting $10.00 away--$5.00 for her fund and $5.00 for my vacation spending money.

Taking it out at the beginning of the week, as soon as I took out the cash for DH and I, was key for me as it was gone before I had a chance to spend on something that I really didn't need but just wanted.

This year, it was so nice to have that fund for her!!! I got lucky and we didn't need it all, had some left, and now its building again for all those Senior year expenses we will have.

Good luck!!!

WOW what a great idea. I sure wish I had done this with my dd who just graduated this year. I think the SR. Prom after it was all done was about 800 bucks. YIKES!!!!! Maybe I should start doing this for 10th grade son.

 

[photobob]

I am not going to give you any advice, you'll have to way all the options and decide what is best for you. It is good to see that you are carefully studying your finances and not just jumping in over your head.

I have lots of friends that rarely go on vacation and I honestly don't think I could keep my wits about me if I didn't go on vacations regularly. I grew up vacationing very often and I guess it is always been an important part of my life.

 

[caewe]

over the small stuff in the overall scheme of life.We financed for 10 yrs and will pay off in 5,added a small add on re-sale along the way.My 3 kids will only live at home for a small percentage of their total lives.The trips to WDW and other places on exchange ARE PRICELESS,can`t even try to put a dollar figure on them.(The trip to Az and the Grand Canyon was the BEST)I`m a savvy auto buyer who gets extreme value out of proper car purchases,so I don`t need lengthy car payments,and I put that money towards other things.I don`t need to keep up w/ the Jones and their Beemer!My cars do the same exact thing,point A to point B

In 5 yrs of points Ive used between renting out and using I feel I`ve more than broken even.Renting out your points for a year is always an option if payments are tough and your finance charges are tax deductible.The main driving force for buying is with over 50 yrs of ownership I can give it to my kids for a yearly rotation,for their family.

LIFES TOO SHORT,get busy living or get busy dying,is my motto!

 

[Chellymouse]

You sound like DH and me! We had wanted to purchase sooner than we did, but alas, we had the house payment, car payment and the dreaded student loans! As hard as it is, wait it out until you have some things paid down. While I'm sorry we couldn't buy in sooner, I'm glad that we waited.
one thing I might suggest is, take the monthly payment for DVC and put that into a savings account and Don't Touch it! If you are able to do that for at least one year, without a pinch, not only will you have quite a bit of money saved, but you will know for sure if you are able to handle it financially or not!
Good luck!

 

[SLM]

Have you heard that if you teach at a Title I school for a certain amount of time you can have your student loans forgiven?
As far as saving money, we found as a young couple that eating out costs too much-in money and healthwise! I really tried to plan easy things at home so even when I got home and was tired there was something we could eat at home. Even getting a pound of steamed shrimp and a salad at the grocery store (and drinking our own wine and beer) costs less than two meals from McDonalds! We still do this, even as a not-so-young couple!
Best wishes and remember, you're so young-even if you purchase DVC ten years from now you'll be only in your early 30s and have many, many years ahead of you to take vacations!

 

[tinkabella627]

You sound like DH and me! We had wanted to purchase sooner than we did, but alas, we had the house payment, car payment and the dreaded student loans! As hard as it is, wait it out until you have some things paid down. While I'm sorry we couldn't buy in sooner, I'm glad that we waited.
one thing I might suggest is, take the monthly payment for DVC and put that into a savings account and Don't Touch it! If you are able to do that for at least one year, without a pinch, not only will you have quite a bit of money saved, but you will know for sure if you are able to handle it financially or not!
Good luck!

That is a really good idea! Maybe what I will do is wait until after my best friends wedding next year and then start that up. Then by the time we are ready to buy, we will probably have almost enough in the account. Thanks for that idea!!

Have you heard that if you teach at a Title I school for a certain amount of time you can have your student loans forgiven?
As far as saving money, we found as a young couple that eating out costs too much-in money and healthwise! I really tried to plan easy things at home so even when I got home and was tired there was something we could eat at home. Even getting a pound of steamed shrimp and a salad at the grocery store (and drinking our own wine and beer) costs less than two meals from McDonalds! We still do this, even as a not-so-young couple!
Best wishes and remember, you're so young-even if you purchase DVC ten years from now you'll be only in your early 30s and have many, many years ahead of you to take vacations!

I did not know this about a title I school...where do I find out this info? I know I am at a title I school but I thought it had to be in a high needs area (ie high school math or science or something like that). If you could show me where I find out about all this I would appreciate it so much!!

 

[tinkabella627]

Oh I think I found it! I think I am only eligible for 5,000...but that is 5,000 that I won't have to pay. Actually I think the loan that that applies to is less than 5,000 but I will take what they will give me with a big smile on my face. Unfortunately... I have this year and 3 more before that happens haha... start the countdown now

 

[SLM]

Oh I think I found it! I think I am only eligible for 5,000...but that is 5,000 that I won't have to pay. Actually I think the loan that that applies to is less than 5,000 but I will take what they will give me with a big smile on my face. Unfortunately... I have this year and 3 more before that happens haha... start the countdown now

Is there a minimum amount you can pay? That is what my daughter's husband is doing-he is a guidance counselor at an elementary school and is just starting his second year-it will be a couple years before he can have his loan forgiven.

 

[tinkabella627]

Is there a minimum amount you can pay? That is what my daughter's husband is doing-he is a guidance counselor at an elementary school and is just starting his second year-it will be a couple years before he can have his loan forgiven.

If I am thinking of the right loan, the minimum a month is what I pay. I have to dig out my papers when I finish my work for the week and see if I am thinking of the right loan.

 

[sajetto]

I agree with everything crisi has posted. You really have no idea what is going to happen in the future and you need money reserved to be prepared for those things. My husband and I were fortunate not to have struggled with infertility, but I can tell you that if we had, we would have paid nearly anything to have our beautiful daughter.
While my husband and I had the cash, and were pretty young when we bought in (22 and 26) we would have taken a LONG, LONG time researching. If we could go back and change a couple of things about where we purchased points, we would. Think through anything you tie yourself down to very carefully.

 

[BEASLYBOO]

Everybody's different, I wanted DVC in the 90's but couldn't afford it. Years before I'd gotten into credit card trouble and after finally getting myself out, I vowed to never again finance my vacations. I either would save up the money for vacation or not go. I saved for 4 years, using my tax refunds, to buy my 210 point OKW resale in 2000.

Personally, it made sense to buy a reasonable amount of points w/ what I considered to be an affordable monthly maintenance. That way even when I get older and my budget is even more fixed than today, I'll still be able to afford it and not have to give it up.

 

[AirGoofy]

I think you are on the right track. Financing a DVC is definitely not worth it. I like the Total Money Makeover by Dave Ramsey, and read it at the library. It does have a lot of simple advice, which can help you get out of debt. The thing I disagreed with Ramsey about was taking vacations. I have two DDs (7,5) and have been to Disney each of the last 5 years. Per his book, I should have waited until I was out of debt. However, watching them enjoy the Disney Magic for 5 or 6 days in a row is like Christmas morning 5 or 6 days in a row. We waited until we paid off credit card debt, still have our home mortgage, purchased vacations OOP for 5 years, and then purchased DVC.