Bingo's 5 year plan

Yeah! The truck loan is paid! We are already starting to chip away at the HELOC, the next highest interest debt at 3.2%. It is currently at 14K. The upcoming vacation tickets are paid in full, I finally bought some clothes after not buying anything for 6 months. Mostly clothes for the vacation.

The bigger win is the change in habits regarding shopping. Lessons:
1. Budgeting totally works. Figuring out exactly what type of budget works for you is important. For me, projecting on excel my goals, and then adjusting future expenses to achieve, is the key. Instead of watching every penny of household spend, I have a total bi- weekly amount I stick to, spent on groceries, gas, etc.

2. If you put it on a cc, you pay it in full when due. Period. I know a lot more about my cc debt now. Got rid of all misc. cc, down to spend on only one, and if I spend it, I pay it. It s working!

3. Technology is your friend. I know exactly where all my money s at all times. Checking, savings, investments, bills due. I am appreciating Mint.com too.

Now it will take us a while to pay off that HELOC- but we are on our way. And we are still on point to cancel all debt except mortgage by end of year.

One note- we had to buy our vacation airline tickets early and since we pay in full, that extended the payoff date for the truck into March.

Have not been on since December but have not been slacking either. First, the pain- it has been months since I have been shopping for more than groceries. Second the pleasure- that is OK because we are getting ready to pay off the last 3300 of truck loan and paid our plane tickets for vacation off immediately, plus all other bills. In other words the plan is working!

Not that this is an easy mind shift. I have to look at our budget daily to remind me what we are working for and why I should not go buy shoes/housewares /clothes. Last week I lusted for a new computer because our laptop is so slow. Every day it is breaking out of an old way of thinking.

So truck paid off by end of March. Then the HELOC which is huge- 16k. But with the plan should be paid off in a couple of very aggressive months thanks to bonus season. I just keep thinking this is the last year my bonus goes to debt reduction.

Best wishes everyone!

Hi everybody and welcome to the weekend! I am wondering if there are any January challenges starting up (or any interest in starting one) among the members? For example I see some kind of a $20 challenge on some people's postings, not sure what that is all about. I thought of one that may be worth while, to try to one day a week being a "no spend day" in 2013. Anyone else have good ideas?

Thoughts about changing habits, which is what I am here for primarily, supporting the change, is making it fun and interesting - and celebrating small victories.

I had two victories today - cancelled and cut up my two favorite department store cc's, which had 0 balances on them. Still waiting for the holiday bonus which will pay off cc1, and then I am calling and cancelling that puppy. That will be a great day!


Back to the January challenge. Any good ideas out there? Anything done in the past to kick start the new year?

I also bought some AAPL at $515 today, through on IRA which we cannot touch yet (too young) - hoping that goes back up in 2013!

Hello everyone, my name is Bingo and I love to spend money. Like any 12 step program admitting the problem is a great first course of action. Because I like to shop and have not, in the past, conditioned myself to long range planning, I have spent more than I should. Consequently I have the following debt (married but will speak in first person for sake of blog)
Cc1 6000 at 13% interest
Cc2 8000 at 0% interest for the next 17 months
Truck 4500 at 3% interest
Car 15000 at 1% interest
Home equity 16000 at 3% interest

Income is 115k with very solid job, 150k in 401k, 60k in IRA, savings is only 1200 right now but saving 800 per month towards savings.

Luckily, there are some bonuses in my future that will greatly accelerate the playoffs

Cc1 will be paid off by 1-1-13 (bonus)
Truck by 3-1-13 (due o accelerating payments)
Home equity paid off by 6-1-13 (combo of bonus and acceleration)
Cc2 by 9-1-13 (acceleration)
Car by 11-1-13. (Acceleration)

So far in the past month I have cancelled all of my misc store credit cards- which are way too tempting to run out and spend small amounts on at a whim. If I am going to be mindful I don't need that temptation.

Lucky we have a very low mortgage and live simply. Budgeting is really helping me change my habits of mindless spending. Just looking at that spreadsheet keeps my wallet in my pocket.

Looking forward to learning and sharing on this site!