Thursday, December 8, 2011

I have some great news!!!!

 I'm expecting!!!

Expecting to be debt free in 1 year or less that is.

We have 5 credit cards and one of them is already paid off!

From least to greatest we have:
Victoria's Secret - 0 balance
Macy's - $100.00
Cabelas - $300
Best Buy - $1500
Discover - $4000
(the numbers aren't really what our cards are at but just for explanation purposes they are close enough)

Recently Derek and I have been at each others throats because of "money issues."
I hate it. I've been listening to a lot of Dave Ramsey lately and Derek and I have come up with a plan for how to get out of debt. We're working with the "Snowball Method."  That is where you pay off your smallest debit card or loan first. Ours happens to be our Macy's card. We will pay that one off this month and then be DONE with the Macy's card. (I might keep it so I can use the coupons.) But I will definitely not use it unless I can turn right around and pay it off at the counter.

Next on our list after that is our Cabelas card. We will take what we were paying on the Macy's card and add it to the Cabela's card. That will then be paid off in about 2 months. Next on our list is the Best Buy card. We will take what we paid on both the Cabelas card and the Macy's card and pay off the best buy card in about 5 months. All the while we are paying the minimum (plus a little because I just like to make sure if we have a little extra it's going on there) on the Discover card (the ugly red headed step child that lurks in our wallet).

I'm projecting to be debt free in 7-9 months! Isn't that awesome!

I'm really hoping that we can stick to this and be debt free so we can start saving for things like:
a car for Stratton when he turns 16
college for Stratton after he graduates high school
home improvements
a new dryer
a new fridge
retirement
stocks

I'm really excited about this and if anyone has any helpful hints as to other ways to save please let me know. I've already gotten on the band wagon for the budgeting and having the money saving envelopes. Derek and I are working on the whole budget thing now. The blow money and the months bills are what is so hard right now. We will get this down pact though! I have confidence.


1 comment:

Anonymous said...

cosiviI am proud of you both and know working together will be the best way and you can keep track of things as you go along. Keep "execting" that you will do it. Love you.