Welcome back to another debt payoff report. I skipped August debt payoff report because there was not anything to update you guys on. I was still focusing on getting my emergency fund to $1000 which I was hoping to reach this month. Unfortunately, I will not be hitting my goal of $1000 in my emergency fund this month. I’m going to be short about $200. Dave Ramsey mentioned in his book, total money makeover, that ones you hit $1000 for your emergency fund to no longer put money in it. You can check out my review on this book by clicking on this link. Personally, I do not think that is a smart idea so I will continue to deposit $25 of all checks into my savings account. So my emergency fund will eventually turn into a hefty amount of savings. More importantly, I’m just ready to start paying down these debts before next year comes.
RELATED POST: July Debt Payoff Report
I have gotten a lot better about my money since my last how I trashed $300 dollars update. Unfortunately, though I have been running across so many unexpected expenses that sometimes I take three steps forward to get pushed back two more steps. This month I made the decision to put my bar loan in forbearance. I learned that I was only paying $30 towards the actual debt and $70 towards interest. I figured I mine well use that 100 dollars to help me pay down my smaller debts.
RELATED POST: June Debt Payoff Report
I also plan on doing the same for my student loans. My first payment is supposed to kick in November and right now I can’t afford to pay 260 dollars a month. I won’t be able to pay down any debts or let alone eat. But I will worry about that when the times come.
SEPTEMBER DEBT PAYOFF REPORT
Debt Payoff Plan:
- Baby Steps One: Complete (Savings/Emergency Fund $800/ previous $400)
- Baby Step Two: Up Next
List of Debts
- iPhone – $502 ( previous balance: 590.78)
- Best Buy – $582 (this is not a new debt but a debt I did not want to list because I wanted to keep the account. But now that I’ve learned more about debts I know in the future I wanna pay cash for everything and if I can’t I should not purchase it. So I decided to list it because I will be closing the account)
- Mattress Firm – 962.22 (previous balance: 1,032.22)
- Rooms to Go – 1,368.13 (previous balance: 1,368.14)
- Discover – 2, 792.49 (previous balance: 2,792.49)
- Capital One – 4,819.14 (previous balance: 4,819.14)
- Bar loan – 8,563.50 (forbearance)
- Car Loan – 31,198.82 (previous balance: 31,568.50)
- Student loans – 152,728.0 (previous balance; 152,728.01) – I have not started making payments on my student loans.
RELATED POST: Snapshot Into My Monthly Bills & Income
- Oil Change $45 ( I had not budgeted for an oil change this month it was in October budget but then the oil light came on)
- ROSS – $78 ( I went shopping because I thought I was in a good position that it wouldn’t affect my goals and budget, but then my oil light came on)
I learned this month that I’m still not quite in the position to use spending money. Had I not went shopping I could have used that money to pay for my oil change.
- Primary: 2638.92
- Secondary: 394.00
- YouTube: 138.
OCTOBER DEBT PAYOFF GOAL
- Start Using the Envelope Method – The Budget Mom
- Put 100 dollars towards vacation
- Start Sinking Funds