We're now on baby step #2!!!! We've decided to modify the plan a little bit as well. First, we saved $1000, now we're on to paying off the credit cards. After thats done, we're going to save another $500 or $1000 (haven't decided yet), then move on to DH's student loan, then save another amount, then move on to my first student loan, then save, then pay off my other student loan and we're done!! Its gonna take a few years but we'll do it. I like the idea of saving in between because well, were we live, we've had our car broken into several times and I don't want to keep having to dip in and build up our EF constantly. We haven't been broken into for a few months now, so maybe we're safe for a while. Anyway, I anticipate getting our credit cards paid off by the end of the month, maybe even sooner!!

Congrats Rachel!!! Woohoo!! Step 2 here she comes!! :D

Are the cc's in your signature line the totals owed?? If so, I bet you knock them out in no time! :thumbsup:

There are quite a few people that have bigger emergency funds. Whatever works for you. ;)

We are planning on doing something similar, but are starting over with our BEF due to a very large car repair bill last month! Sounds like a good plan to me!

We no sooner got our EF in the envelope and MURPHY Arrived! Our computer blew a fan, our emergency generator blew a gasket with Ernesto on the way and the IRS called! AHHH!!!!!!
But we managed to get computer and generator fixed without going into ef and we are waiting for paperwork from Uncle simple. So we paid 2 cards off and are planning our attack on the next debt!

Laurie in Bradenton

Welcome to BS2. You'll have those credit cards paid off in no time!

Happy dance for everyone! :dancing: Stick with it and you'll be surprised how fast you're going to get through all the steps. Love Dave's books, but if you get a chance and you want a little extra inspiration, check out Oseola McCarty's book Simple Wisdom for Rich Living. She's the laundress who gave $150,000 to the University of MS. Sadly, she's passed on, but her words of wisdom are eternal.