Journey to solvency begins tomorrow.....

**pippinyc** · 08-09-2010, 07:00 PM

Hi everyone,

Well, maybe I've already taken baby steps already in some ways, certainly find this forum is one step, for sure....

I hope to make this forum my online home to come to as I proceed with facing the ugly truth about my debt.

Not even sure where to begin here in telling my story without a writing a book......

My hands shake and I can't even bring myself to look at the documents. I have the numbers in my head, but I would wager that once everything is down on paper that the numbers (all total including the back taxes, credit cards debt that has gone into collections, 2 past due rent bills one of which appears on the Experian credit report, 2 old utility bills and then the loans from family and friends who did their best to help me in 2004 when I lost my apartment)

In June, I found a wonderful tax attorney at a free legal clinic to represent me in negotiating with the IRS & NYS. I have past tax debts and need to get caught up with filing past returns, too.

At the same clinic I hope to find a lawyer to help me address the judgments (which I could have avoided had I responded to the summons) and a notice from a marshall that I received from one of the collectors - that's for $1,000.

As I write this, I feel as if I'm coming out from the shadows - I think this is the most honest I've been with all of this and I feel as if I just skimmed the surface.

The tax lawyer who is helping me suggested that I do what I can to pull my documents together re: the judgments creditors & the marshall's notice (my records are a mess) as best I can and she'll see who may be available at the clinic.

I've been on SSD for years now - to say that all of this affects my health is an understatement. But I yearn to return to work and I plan on it - tremendous obstacles will have to be overcome, including a huge gap in my employment history. I've worked part-time in spurts while on SSD - but I am just determine to become a fully functioning member of society again, I really am......

I imagine that many of you have had your own health affected by financial struggles.

I dug myself in and I hope I can dig myself out.

I lost a second apartment in 6 years - fell behind 4 1/2 months on the rent in my current place when I couldn't work part time for a few months to supplement the SSD. So in the midst of all of this, I'm moving into a share. The rent will be $300 less than what I was paying, utilities included.

But between my heart racing and my hands shaking, it is hard - I am so scared.....

Tomorrow I need to spend the day going through 6 boxes of documents, getting it organized and pulling together as many documents as possible for the lawyer re: the marshalls notice and other judgements.

As I go through the boxes, I'm going to create a spreadsheet with the exact numbers as soon as I have everything in hand for each account.

A daunting task, but I have to start somewhere....

Thanks for being here - I really look forward to getting to know every one and hopefully I'll have some some helpful advice for everyone from my own experience.

Pip

**Russ** · 08-09-2010, 07:19 PM

You've owned up to your debt and are making strides to get rid of it and those are the first steps.

Have you looked at your monthly expenses to determine how much you will be able to put towards your debt?

Best of luck to you.

**pippinyc** · 08-09-2010, 07:28 PM

Hi Russ,

My P/T income varies - at least it does right now.

Everything is in a state of chaos - my documents, etc.

I've lived by the seat of my pants and put blinders on for years.....

So I need to transition from being vague to being concrete (like some idea of what's in the bank account, but never knowing exactly because I don't want to look).

Once everything is in black & white, I'll see what the lawyer(s) advise.

I want to do everything possible to avoid bankruptcy - I really hope I can find my way through this...

Thanks so much for responding to my posts.....

**Russ** · 08-09-2010, 07:32 PM

May I suggest some reading???

First thing to getting rid of DEBT

Also, begin writing down every penny you spend. You will be surprised how much you spend on little things and they really add up!

**tervsforme** · 08-09-2010, 08:10 PM

You have made great strides to getting yourself out of debt. Recognizing that you need to get control of your finances is huge! So many people keep their head in the sand about their money and debt. Tomorrow will be a big day for you, you can do it. Grab a cup of coffee, take a deep breath and dig in. You will find all kinds of help here, especially with your budget. If you don't mind posting your income and expenses, there are some great people here who will help you.

Best of luck.

**NikoSan999** · 08-09-2010, 08:26 PM

Wish you luck. I know several people on SSD and it's not much a month even maxed out. Really wishing the best for you. Read, post and know that there are plenty of people on your side to help. When you get scared post and hopefully you'll feel better.
Hugs

**pippinyc** · 08-09-2010, 08:41 PM

Hi Kim and Russ,

Thanks for your support....

I read the post you linked to Russ and yes, that's exactly the type of thing, I'll be doing - getting all written down in black and white....

It's not going to be easy, but I need to know exactly where I stand and then learn whatever it is I need to do so that I never hurt myself this way again.

I want to make good on the debts I incurred - I hope there's a way for me to do it - I've had a couple of friends who know my situation suggest bankruptcy - not a route I want to take at all.....

What remains of August will be life altering, hopefully for the best...

**pippinyc** · 08-09-2010, 08:44 PM

thanks so much - I really hope I can find another part-time job to supplement the SSD - there are also job training programs that I need to look into....

So much on my plate...

Right now, I need to focus on the unfortunate task of getting financial records in a chaotic mess in order....

A step at a time....

Looking forward to being a member here....

**frugalfranny** · 08-10-2010, 01:44 AM

Good luck..........it might seem like it is a slow process but I am sure you will get there.

**Greebo** · 08-10-2010, 08:37 AM

Originally Posted by Russ

May I suggest some reading???

First thing to getting rid of DEBT

Also, begin writing down every penny you spend. You will be surprised how much you spend on little things and they really add up!

The second thing you need to do to get out of debt is to create a budget for your household that puts the 4 walls first (food, roof, transportation and clothing), and then in your case, the IRS next, then all your other expenses.

Now by 4 walls, I mean *NEEDS* - not *NICE TO HAVES*. Cable TV is nice to have, not a need. Healthy food is a need - filet minion is a nice to have. Clothing is a need - new clothing from name brand stores is not. You need to minimize all expenses as much as possible to focus on paying off the KGB...er...IRS.

Suggest strongly that you read "The Total Money Makeover" by Dave Ramsey to help you understand how to get that process started.