While there doesn’t seem to be a whole lot to report this month, we were able to bump our retirement up to 10% of our income and we’ve also been working on slowly funding our children’s educational savings accounts with the amount we’ve decided to put in them. So here’s the rundown:
1. Significantly increase our giving to needs in our community and around the world. This is an ongoing goal, so we’re keeping it uncrossed off from the list.
2. Pay cash for a replacement washer and dryer for our very used set.
3. Pay cash for a replacement for Old Blue Van.
4. Pay cash for a couch for our basement family room.
5. Pay cash for bunk beds for the girls.
6. Fully fund our IRAs.
7. Bump up our retirement savings to 10% of our income.
8. Fund our children’s educational savings.
9. Double our Emergency Fund Savings (Instead of having around six month’s worth of expenses set aside, we’re planning to set aside a year’s worth of expenses.)
10. Save for our next BHAG.
We’d love to hear about your recent financial goals and successes! You can post about it on your blog and leave your link in the comments. Or, just share about your progress/goals in the comments. Let’s all keep each other accountable to be better stewards of our resources!
God really blessed us this past month….not necessarily in extra finances to pay down debt, but in just giving us encouragement from the people around us to continue pursuing our financial goals (we…ok I….had been pretty discouraged that we’d only been making tiny steps the past couple months). Here’s our latest update: http://faithfulsojourners.blogspot.com/2011/02/monthly-financial-update.html
We’re still hoping to be debt free by this summer!
Way to go! And I’m so thankful for the encouragement God gave to you!
We are trying so hard to become debt free. I think that writing goals will really help so I will start some tomorrow. Every time I get closer to paying off a credit card then I see a $400 charge for my son’s private school. But a private Catholic school education is worth the debt in our minds.
We read Dave Ramsey a couple of years ago and it has changed the way we look at debt and money management. We had hoped to plow right through the first few baby steps, until our son began having trouble in school. When we finally got him a diagnosis and treatment plan, we were thrilled to discover that, because of our reduced spending, we could actually cover the cost of a year of occupational therapy for him. That meant paying down our debts more slowly, which was frustrating. But our investment in our children is our number one priority, and we are thrilled with how God provided for us, even if it was different from our original plan. His ways truly our higher than ours. Please don’t be discouraged if your plans go differently than you expect. Commit your plans to the Lord, and you will succeed, in His perfect timing!
We paid off my sons braces balance of $1890.00 at the end of February. In April we will have my husbands truck paid in full and will own 2 fairly new cars free and clear. We are on target to get his business credit card paid off by July. My goals are all over the place as far as having a savings plan set up and paying off the 2nd mortgage in a little over 2 years. I’m thinking we need to do both at the same time and put 1/2 of our amounts in each. We have a teenage daughter getting ready to get her drivers license so another vehicle (used) will be in the near future and there are always home improvements that need attention. Carpeting is original upstairs and its 17 years old…time for some replacing this fall…I love reading blogs about debt reduction. Its my favorite subjet!
We are working on our e-fund. Of course, as Dave Ramsey points out, the minute we start getting somewhere on that goal we have an emergency!
Hubby’s radiator in his junker car (hey it’s all we got!) cracked last week. He attempted to seal it, since it was a clean crack at the top, but that didn’t hold. So he needed a new radiator. I AM very proud of him, though. He found a connection that works for Autozone, who got him the radiator for $96 (instead of $130) and a new cap for another $9. DH was able (and very surprised at how EASY it was) to install the new radiator himself! He did not need the new cap, so he will return it. He only needed one bottle of anti-freeze and some transmission fluid and windshield wipers. He also did the oil change himself. SO while this could have blown a HUGE whole in the E-fund, it cost less than $200! I also need to convince him of what a great skill this is for him to market. He’s able to do lots of jobs to fix up cars, he should be selling it!!
We are also trying to get back home in May for a visit. I wish we would have booked the flight long ago though, bc now that oil prices are flying again so the tickets are SUPER expensive and my youngest will be turning 2 during the trip so we have to buy her a seat. We are brainstorming on our best options and looking into all of the discounts we have available to us before making a decision. Once upon a time, we would have just paid the high price and not looked back!
I suspect I am much older than many of you. My 5 kids are grown up. We pay cash for everything, except our house. I know it worked for you, Crystal. But we feel we can make more money in the stock market than in appreciation on our house. We did refinance to 4 1/8%, saving us $600/month in interest. That savings is going into our stock account/retirement savings every month. We could pay off our house, but our stock acct is growing at a much higher rate than our mortgage.
We just spent the weekend with 3 of our 5 kids because son #2 is moving across the country to take his dream job in his dream location, even though it is part-time and temporary. Part of our discussion was about the freedom they have to do this kind of thing because we paid cash for their educations. (We still have one in college and the cash set aside for her.) They have no debt to hold them back from pursuing their dreams.
We trained them all to live debt-free from the beginning of their adulthoods. We used to have family seminars on financial planning. So far, so good. They don’t have cars because they want the cash more than the convenience. So they ride their bikes or use public transportation. Living in cities makes that easier. As they get older and have families, that may all change. But for now, they live comfortably below their incomes.
So, I’m cheering for all of you youngin’s. It is possible to live your dreams and pay cash for them.
We just started the Dave Ramsey Financial Peace University (online) TODAY!! Whoo hoo!!! I can’t wait until day 90 to see what God does! It’s tough but we are finally making the most important changes, mental and emotional ones!
I am excited to report that we have 4 months of emergency savings now. We are looking into getting an IRA in addition to his 401k. We are trying to decide what to do with our children’s savings-which direction to go.
I want to encourage everyone to keep at it. It is hard sometimes to see the light at the end of the tunnel. I am a stay at home mom and do not bring income into the family except what I save from coupons, etc. We are on step 4 and 5 of Dave’s plan! It IS possible to complete these steps. Even on one middle class income. Don’t give up! 🙂
Our debt consists of mortgages on 2 homes and a small van loan. It is possible to make all the payments plus extra principal, even on one income that qualifies for government assistance! It just takes a lot of commitment, planning and patience 🙂
Here is my latest update.
http://www.thriftytexaspenny.com/2011/03/february-review-how-to-pay-2-mortgages.html
Crystal, you are truly a blessing to our family. Any time before I found your blog, if my husband and I had any extra money, it was spend on petty things. This year, when we received out tax return, we took it as an advantage to pay off our debt. We now own both of our cars, have insurance, rent, and electric paid for 3 months, our trash service paid for a year, and the doctor’s bills paid off. We went from about $8,000 in debt to NOTHING! Yay!
We are now working on having at least 50% down for a home by December 31. We are currently living in a two bedroom mobile home with our 15 month old and a good friend so space is limited. I cannot wait to finally get a home with 3 or more bedrooms and we can try and have a few more children!
Thank you again Crystal!
I’m so proud of you! Way to go!
Our debt consists of mortgages on 2 homes and a small van loan. It is possible to make all your payments plus extra on one income that qualifies for government assistance- it just takes careful planning, a lot of commitment and patience. Here is my latest update: http://www.thriftytexaspenny.com/2011/03/february-review-how-to-pay-2-mortgages.html
Reading all of this is awesome! We are paying off our minivan this month (which we bought new two years ago due to unexpected but delightful baby #3 – no room for another kiddo in our already paid small SUV – *sigh*) Now that the minivan payment is history, we will set aside that same amount monthly to save up for a new-to-us car for my husband, which will probably happen in about 3 years, or when his car completely dies. Really whichever comes first 🙂
Congratualtions to everyone who is meeting their financial goals!
Great job, Marlene! Thanks for sharing!
Last month we were able to fully fund (6 months) our emergency fund, we upped our amount to 15 % of our income to go to retirement, and set up a college savings for our daughter!
We are debt free except for our house and we are paying a little extra to the mortgage each month.
I started a anti-aging/nutritional business (NuSkin) and will hopefully be able to bring in some extra income so we can pay off our house faster and be able to give more freely!
Oh and we are currently saving up to buy a second car! I am due to have our second baby in june and hopefully soon after we’ll be able to buy a used car!
We are on track to pay off our second mortgage by our 7th year wedding anniversity in June. March is a really tight month d/t all 3 of our kiddos birthdays but I am really trying to tighten our belts.
We have a friend living with us to work on her debt and last night she paid off her credit card!! She is making awesome progress and it is so awesome to witness. 🙂
On my site I always do financial updates. Right now we are saving money for our wedding, after that, our basement (finishing it), after that, a HUGE addition to our house after we pay off the house (90,000 to pay it off!)
We just threw $1,000 at our student loans! So ironic to receive a big tax credit for being “poor” only0 to turn around and give it back to Uncle Sam!
Here is our update – thanks for the link.
http://wonderwomanimnot.blogspot.com/2011/03/financial-update.html
Here is our update: http://thedollarholleringhomemaker.blogspot.com/2011/02/update-2011-financial-goals.html We are finally credit card debt free!
Crystal, I have been so blessed by your site, and love your financial updates! They give me so much inspiration!
Because I heard about him through you, my husband and I signed up for FPU, and after doing the written budget, we not only completed baby step 1 in 1 month, we found out I will be able to leave my job to be a WAHM (I’m a licensed Real Estate agent) without missing my income for a while! I’m tracking my journey here: http://sabrina-lifeasmom.blogspot.com/search/label/Finances
I agree that it keeps me accountable when I share with my readers…here’s how we did – http://www.thriftytstreasures.com/2011/03/month-in-review-february.html
Here is our update:
http://www.momsplans.com/2011/03/february-2011-financial-goals-update/
My husband and I set a goal to have my car, Brittanica and my credit card paid off by time he returned from the Middle East. As I crunched the numbers, I also wanted some money saved uped by time he came home. I set a goal date of 1 March to have those 3 debts paid off. I beat the date by about a week!!!
I got a call from my husband earlier this week, telling me he would like to pay his truck off when he gets back. Pay off is about $10K. I was in a financial class on Thursday and asked the counselor about it and he said look into a CD to help grow the savings. I told my husband and I’m awaiting his response.
Our (or at least my) goal date is 1 August to have it paid off!! Then comes my student loan. After that we are COMPLETELY debt free!!! We see the light at the end of the tunnel, we realize what we did and have vowed if we can help it to never get as deep as we were again!
Way to go!!!
While my husband and I were away for our anniversary last weekend, we crunched some numbers and set a goal for paying off our house in five years. We’re so excited!
With baby #3 on the way, we had thought seriously about moving to a bigger house a year or so from now, but this is no time to try to sell. Instead, we’re staying put and really working to pay this one off while making it work better for us. I just got rid of my desk in our bedroom and replaced it with a la-z-boy off Craigslist, for example. I’d always wanted a reading nook in our bedroom but assumed our current room was too small. I love the change, and so does my husband because I’m spending less time on the computer! Yay! Next thing to go: the wood-burning cast iron stove in our living room. That thing is a space hog! 🙂
Thanks for encouraging and inspiring us, Crystal! It truly has made a difference in the financial state of our family!
Love it; thanks for sharing. And I hope you all had a wonderful time away!
We did have a lovely time! Praise God!
We’re making big progress! Last month we were at square one in DR’s plan (again.)
This month, I’m happy to report we have an initial emergency fund established, are sticking to our new budget, using the cash envelope system successfully, are not late with any bills, and are no longer over limit on any accounts.
Even better…we paid off 4 credit cards in full! That’s right, 4! We still have a VERY long way to go, but we are finally seeing the light at the end of the debt-free tunnel. Snowball is definitely rolling. So excited!
You can do it! It took us four long years, but it was totally worth it!
Thanks! I know it will be a journey, but I also know you are right to say it is worth it. Congrats on becoming debt free!!!
Great Job, K!! It is a tough road, and even harder when bad things get in the way. Makes it difficult to get back on track! Keep going!
Crystal, I love that you share your progress here for us to see 🙂 It’s encouraging!
I just shared our budget categories/envelopes today: http://likeabubblingbrook.com/2011/03/thinking-through-your-budget-categories/
A couple of my readers had some great ideas! So thankful for them!
I just want you to know how much you have inspired us to get our next house paid off as soon as we can. We sold our house last December, after FOUR years trying to sell it. We were hesitant to jump into a contract on another home until we knew for sure we closed on the old house.
We are living in an apartment for 6 months while we search. Our payment here is less than we’ve had in years plus the utilities are lower. We’re also spending less than we have in years so there’s a good bit left over each month!
I know that we can’t pay for the next house outright with the equity from our old house but we are searching for a great deal. We are thinking about ways to apply more money to our payments to pay off the next house before our first starts college (5.5 years from now). It’s the main reasons I started a business – to pay off our house debt faster and save money for cars, college, and weddings. We want to be able to help our children avoid student loans, pay for car insurance, a third car (this one is for me – I am ready to have another driver in the house), and have a decent fund for their weddings. We also want to make sure our retirement is funded so we are not a burden to anyone later in life.
Our two oldest (11 and almost 13) are learning more by watching us than I ever imagined possible. They are now careful with their money (gifts and allowance). They think over purchases. They use coupons. It’s awesome. My son, 11, has already purchase a Wii and a Mac computer (used but still – it was $300) by saving his money for a specific goal. My daughter started a blog last fall but sadly had her feelings hurt because of the name she choose (which was awesome). Anyways, she is starting a “teen” blog this month when she turns 13. I love that she is looking for a way to start her own business at a young age.
I’ve always been frugal and was doing the whole coupon match-up thing long before the websites/blogs made it easier (thank you). Now, we are taking this saving mentality to a whole new level!
How exciting and encouraging. Thank you for sharing, Reesa!
You know, we had one great real estate experience the first time around, followed by a complete nightmare that we are still dealing with!
I am SO reluctant to buy again! I’m perfectly happy to rent something, but hubby is convinced that we need to buy again. I am just scared of getting burned and also, even when the house is paid for, so much can go wrong!! It’s a big responsibility, that I am just not interested in taking on again!
Our goal update is here: http://mylittlebitoflife.com/?p=930
Glad to say that we will be paying off our van when we get our tax return and my husband changed his tax info so that we won’t be getting as big of a return next year so that we can start saving more! Baby step #3, here we come!! 🙂
We just finished paying cash for our son’s college tuition for the spring semester, $5600! We also have a 12 month emergency fund. Woo Hoo! /
What’s a BHAG?
Big Hairy Audacious Goal! 🙂
The link is broken.
Here’s my update:
Elevate Your Finances in 2011 – February update
Great goals and progress. We have had to re-arrange our financial plans due to unexpected job news and I know this will all be a blessing in the end. With the exception of our home we are debt free and have been for 7 years and this just goes to prove to me that being debt free is more than just a good idea..it’s essential. Here’s our plan:
http://www.savingwithaplan.com/2011/03/february-financial-update/