Debt Repayment Updates

January 2017 Debt Update

Debt Repayment:

In January 2017 we paid off a total of $3,794!

At the end of January 2017 our total debt remaining was $107,440.

We paid off our furnace! We celebrated with a fun night at church with tons of inflatables! It was a cheap celebration, $14 but worth it for paying off the $4,500 furnace. Last year in March 2016 our furnace unexpectedly went out. It was too cold to go without it until we could save cash so we took out an 18 month 0% loan. Some glitch happened with their financing and the company never even sent us the bill. We knew that we had to be honest and after calling the company they finally found our account and sent us the bill.

We ended paying off $466 more than we had anticipated we would be able to! Hurray!

We’re getting so excited to be so close to $100,000! I think it makes us realize that truly your financial situation (or anything in life for that matter) is so dependent upon your perspective.

If you are just starting out and had $100,000 in debt you may be totally overwhelmed. But for us $100,000 actually feels like a breath of fresh air that we can see the light at the end of this very dark tunnel.

So if you are feeling discouraged today because of your financial situation, have HOPE! You will get to a point where you will see the light at the end of your tunnel if you’ll just keep moving!

Budget items:

  • Mortgage – $1,407
  • Life Insurance – $48
  • Car Insurance – $347
    • This is a 6 month payment so you won’t see it again next month. We could sink fund it and save it over a 6 month period but we choose to have it all hit one month so we can have more money for debt the other months.
  • Groceries – $110
    • Confession time – For the last few months we have benefited from a food rescue. A group picks up donated food from grocery stores that are nearing expiration, simply bruised, or ‘imperfect’. This has completely opened our eyes to the amount of food waste that goes on in America. Yes we have to sometimes pick through a pint of squishy berries to get some good ones and have produce that is bruised, but we are avoiding so much food going in the garbage. If you keep your ears open and are connected in your community chances are there might be something going on like this by you.
    • We choose to make meals out of this food and using our cheaper pantry items like beans, rice, oatmeal, flour, and freezers full of produce still from the summer to round out our groceries.
  • Toiletries/Cleaning – $61
    • Higher than normal but we needed to buy some flu medicine that we buy online, dishwasher detergent, ingredients for laundry soap, etc.
  • Utilities
    • Comed (Electricity) – $81
    • Comcast (Internet) – $80
    • Nicor (Gas)- $130
      • This was an exceptionally high month because we turned the heat up a lot in December and used hot water to wash clothes in when we normally use cold water.
    • Ting (Cell Phones) – $33
  • Vehicle Expenses
    • Vehicle Gas – $106
  • Miscellaneous
    • Misc. – $39
      • So this is exactly the reason why I try to just avoid going into stores altogether if I can. I have no willpower when it comes to home decorating and organization products. We went over our $25 miscellaneous budget category because This included $14 for our furnace payoff celebration.
    • Homeschooling – $20 
      • I bought some organization containers for all of my daughters’ fossils, rocks, nature stuff, etc. I also bought another clipboard, $12 worth of perler beads for craft time, and some magazine files to help organize all of our books! I think we may need to be increasing our annual homeschooling budget because we’ve been going through supplies faster than anticipated.
    • Date Night – $10
      • We are starting to budget $20/month for a date night. We reserved tickets to an event in May and are taking $4.50 out of each month until then. We went to an hour long dance class at a Christian Dance studio and it was great! This has been the best investment in our marriage! You could spend so much more than that on a movie and leave not even talking to one another. We learned swing and foxtrot!
    • Commision for Kids – $7
      • We are starting to budget $8/month for commissions for our children (some people call this chore $). This month we spent the money at the dollar store getting our plastic envelopes started (a DIY Financial Peace Jr. set) and next month we will start giving them their money every Sunday at our weekly family meeting. We’ve tried variations of chore charts and places to store their money (glass jars, envelopes, etc.) with little success so stay tuned for a post on our new system!

So, February just started… comment below if you’ve done your February budget!  Ours is printed, we each sign it, and hang it on our refrigerator. 

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