Budget

**treeluva** · 07-10-2008, 02:07 PM

Here is my budget, with only minimums for debt payments...

Income: (with Child Support, using average weekly earnings)
2719.00

Expenses:
Mortgage: 350.00
Electricity: 150.00 (its summertime in Oklahoma)
Water: 60.00
Gas: 67.00 (on the yearly average plan)
Cable/Internet/Home Phone: 105.00

Car Insurance: 105.00

Daycare: 150.00

Cell Phone: 80.00

Maurices: 20.00
Target: 20.00
HSBC: 16.00
Chase: 60.00
Furniture: 50.00
Discover: 120.00
Providian: 162.00

Gasoline: 160.00
Groceries: 160.00

Tuition: 400.00

Total: 2235.00

**Greebo** · 07-10-2008, 02:12 PM

Is that income net or gross?

**Greebo** · 07-10-2008, 02:13 PM

Car is paid for?

**Greebo** · 07-10-2008, 02:16 PM

And - tuition is a monthly expense? A savings goal? Just making sure its a monthly.

**treeluva** · 07-10-2008, 02:23 PM

The income is net, tuition I pay every month (my school caters to Active Duty military and GI Bill Recipents, so I can pay monthly instead of having to pay a lump sum) (also about income, some months it can be a few hundred more than that. The numbers I used were low average figures)

Right now, my mother is paying the car note. I am not overly fond of this, but she has declared that she is going to pay it because her precious grandchildren will NOT be driven around in a car that she deems questionable.

For the record, my mother has zero debt. Zero. Even the house is paid for. She is the most frugal person I know. I was taught how to manage money properly, I just refused to use the education I had, I suppose. She is quite upset at my level of debt and at first wanted to just pay it off and have me pay her back so I wouldn't have to pay interest, but I refused. As a compromise to get her to stop calling me every 5 minutes, she decided that she WILL pay the car note. In some crazy way, she has decided that this is perfectly fair because I am paying for my college tuition and she has never spent a cent on college for me, even though she saved money to send me to college.

**Greebo** · 07-10-2008, 02:30 PM

Take the help from your mom on the car note, say thank you, hug her, and leave it at that. Do not go into debt owing your mother anything - thanksgiving dinner tastes awful when you owe family money.

Now - here's a plan of attack for you to consider:

Code:

Starter Snowball				484
EVERYONE ELSE GETS MINIMUMS IF NOT LISTED BELOW				
July 2008:	Maurices: Pay off in full.			
	Target: Pay off in full.			
	Close Maruices and Target Cards.			
	Debt Snowball increases to $506.00			
August:	Pay HSBC $522.  ($506 + $16 min).			
	Balance:  $990			
September:	Pay HSBC $522.			
	Balance:  $468			
October	Pay HSBC $468.			
	Close HSBC			
	Leftover Snowball: $54.			
	Pay Furniture $104 ($50 + $54)			
	Furniture bal: Under $1449			
	Why under?  You were paying the mins so the balance will already be lower.			
November	Snowball increases to $572 (Prior plus Furniture Minimum)			
	Pay Furniture $572			
	Furniture Bal: $877			
Dec	Pay Furniture $572			
	Furniture Bal: $305			
January 2009:	Pay Furniture $305			
	Close furniture			
	Remaining snowball: $267			
	Pay Chase $267			
	Chase Balance $2601 (less, actually)			
February	Snowball increases to $632			
	Pay Chase $632			
	Chase balance: $1969			
March	Pay Chase $632			
	Chase balance: $1337			
April	Pay Chase $632			
	Chase balance: $705			
May	Pay Chase $632			
	Chase balance: $73			
June	Pay Chase $73.			
	Close Chase			
	Snowball left: $559			
	Pay Discover $559			
	Discover balance $5154 (less)			
				
Proceed as above				
Months to pay Discover: 8				
Months to pay Providian: 9

You are 29 months, MAX, from Debt Freedom except the house and the car.

**LexTysMommy** · 07-10-2008, 02:52 PM

Wow greebo that is nicely written out, and I can even understand that! I want to add in do not forget if you get any taxes back to put that toward debt..

Good luck treeluva with however you tackle this.

on another note the $105 for car insurance seems high to me, I dont know your area or details but how long has been since you called on that?

Also cable/internet/phone? anyway to drop home phone and use cell and make cable basic for while?

just ideas!

**peanut** · 07-10-2008, 02:53 PM

Hey Greebo! Excellent job! I've been very blessed to have a bean counter husband who kept us out of debt as much as possible over the years. And I've been very strict about not going into debt over vehicles...his one weak area. It's worked for us.

A lot of people just see the big picture and get so overwhelmed. But it often is manageable if you take it in bite sized pieces like you've shown Treeluva above.

Jean

**treeluva** · 07-10-2008, 02:58 PM

Originally Posted by LexTysMommy

Wow greebo that is nicely written out, and I can even understand that! I want to add in do not forget if you get any taxes back to put that toward debt..

Good luck treeluva with however you tackle this.

on another note the $105 for car insurance seems high to me, I dont know your area or details but how long has been since you called on that?

Also cable/internet/phone? anyway to drop home phone and use cell and make cable basic for while?

just ideas!

The insurance is the lowest I found in this area with the amounts I am comfortable with having.

Since I work nights and the babysitter comes to my house to watch the children, I feel that a home phone is a necessity in case of an emergency. I sorta "need" the internet at home for school, I take some online classes and I usually have the time to work on those classes after I get home from work, when the library and all computer labs are closed on campus. I can, however, lower my internet package to the bronze package, which can save me $18.00 a month. In order to have the cable internet, I have to have expanded basic. I would love to just go to dial-up, however, my online school sessions would time out and that would become a very ugly situation.

But, starting next week I am going to run a trial run and see if I can manage to swing by the computer labs to get my work done for my online classes while they are open. I am open to getting rid of the internet and cable as long as it is feasible that I can complete my schoolwork.

**FrugalMomof3** · 07-10-2008, 03:04 PM

Wow Greebo, even I understood all that. That plan is great.

Now about your car insurance, that is a bit high, is it because of any previous accidents? Your age?

Also, I would cut cable atleast if you cant cut home phone since you have kids, maybe you can cut down on specialties like caller ID, call waiting, etc.. every little bit counts.

Believe me you CAN do this, it actually get's easier after the first few snowball payments

**treeluva** · 07-10-2008, 03:09 PM

My cable, internet and phone are all through the cable company. I only pay $20 for the home phone in the bundle service.... but I have to have the internet to have the phone and I have to have expanded basic to have the internet.... blah.

I will call and look into getting just a regular land line and see what the costs would be.

I have zero accidents, zero tickets, and I am almost 30 years, so I dont know if I am really affected by age. Even though I have a lot of debt, my credit score is acutally really decent so I dont think it is a high rate due to a low credit score, either. It is probably because of the cost of the car and my deductibles, which are at $250.00. I will also call and see what rates would be if I upped my deductible.

Oh.... life insurance is also tied into the auto insurance. But my life insurance is only $14.00 a month.

**Luv2BeFrugal** · 07-10-2008, 03:13 PM

Looks like you've gotten some great advice! You're gonna get that all paid off before ya know it!

I have family in Lawton (I was just there visiting in April)...cute little town...sure do enjoy it!

**Mom23boys** · 07-10-2008, 06:21 PM

I think you received some great advice already and Greebo did a great job of laying it all out there.

Just stick to your budget and before you know it, you will be debt free!

**heartofmine** · 07-10-2008, 06:22 PM

Good luck. Looks like Greebo has come up with a good plan for you to work with. Hope it works out for you.

**McD** · 07-10-2008, 08:47 PM

Originally Posted by Greebo

Take the help from your mom on the car note, say thank you, hug her, and leave it at that. Do not go into debt owing your mother anything - thanksgiving dinner tastes awful when you owe family money.

Now - here's a plan of attack for you to consider:

Code:

Starter Snowball				484
EVERYONE ELSE GETS MINIMUMS IF NOT LISTED BELOW				
July 2008:	Maurices: Pay off in full.			
	Target: Pay off in full.			
	Close Maruices and Target Cards.			
	Debt Snowball increases to $506.00			
August:	Pay HSBC $522.  ($506 + $16 min).			
	Balance:  $990			
September:	Pay HSBC $522.			
	Balance:  $468			
October	Pay HSBC $468.			
	Close HSBC			
	Leftover Snowball: $54.			
	Pay Furniture $104 ($50 + $54)			
	Furniture bal: Under $1449			
	Why under?  You were paying the mins so the balance will already be lower.			
November	Snowball increases to $572 (Prior plus Furniture Minimum)			
	Pay Furniture $572			
	Furniture Bal: $877			
Dec	Pay Furniture $572			
	Furniture Bal: $305			
January 2009:	Pay Furniture $305			
	Close furniture			
	Remaining snowball: $267			
	Pay Chase $267			
	Chase Balance $2601 (less, actually)			
February	Snowball increases to $632			
	Pay Chase $632			
	Chase balance: $1969			
March	Pay Chase $632			
	Chase balance: $1337			
April	Pay Chase $632			
	Chase balance: $705			
May	Pay Chase $632			
	Chase balance: $73			
June	Pay Chase $73.			
	Close Chase			
	Snowball left: $559			
	Pay Discover $559			
	Discover balance $5154 (less)			
				
Proceed as above				
Months to pay Discover: 8				
Months to pay Providian: 9

You are 29 months, MAX, from Debt Freedom except the house and the car.

Greebo--can you do that for me?