I have lived paycheck-to-paycheck, and I know I'm not doing it now. When I refinanced my student loans on the 30-year plan to reduce the payment, and still didn't always have money in the bank to buy groceries with? That was paycheck-to-paycheck, and I'm still paying it off.
Yeah, the reason my budget is so tight is that (when I realized they automatically shifted me to a 30-year plan when I consolidated my school loans) I changed it back to 10. That means my minimum debt servicing per month is more than rent in most places, but there was no way I was going to pay all that extra interest if I didn't really have to.
Kathy - it's only 12 by the lake?
It looks like the Trib just updated the temp on their home page--it's 16 degrees, now. And, according to the radar, the precip is moving our way, so it'll be getting warmer before I get out of here.
See, I don't think I would be living this paycheck to paycheck if I hadn't lived off my credit cards for many years when doing theatre and making between 9,000 and 14,000 a year. And if I hadn't totally screwed my interest rates by getting depressed and not paying my bills ontime even when I had the money.
Now that I don't have either the expense of a car or the means to go shopping easily, I am hoping to pay off the credit cards in 2 years, and then be able to quit the theatre. However, my biggest fixable expense right now is eating at the cafeteria (I have gotten rid of cable and internet, I have no car, I have only a cell phone) and working at the theatre gives me no time to grocery shop or cook food, so it is hard to pack my lunch AND dinner.
After I get all of my money/tax refunds/rebates/Easter vacation money all settled by mid-April, I'm going to try and add $100 to each car payment and put at least $200 into savings every month, so I can have the $1000 emergency fund all set before starting Christmas shopping. Then, I'm going to try and get the car paid off early (it's due to be paid off by the end of 2010, and my goal is to shave at least six months from that).
Of course, this is all contingent on my job still being here for the next few years--with everything a bit up in the air around here, that's a big "if" right now.
I remember having a paycheck!
I am saving quite a bit by cooking at home as much as I do now that mac is here. And while making a menu this past week, I decided that I am cooking a cup of rice and a cup of beans each week to have for filler/emergency meal. It's super cheap and I am sure I will get tired of it, but I am going to try it for at least the next 4 weeks.
Speaking of money, why not consider making a monthly auto-pay to Buffistas!
OK, just kidding. But we do need some money.
get my CC and car paid off by the end of 2008. Then I want to build up a 6-month emergency fund, fully fund a Roth, max out my 401(k), and save so that I can pay cash for my next car.
I think about doing that.
And then I pass the joint.
Moving in with The Boy -- while I didn't do it for financial reasons -- has been a big help in making my debt repayment pick up speed. Otherwise, I think I'd be plodding along slowly, making small progress, but by no means able to pay off my debt by the end of the year.
