Pay Day 16

Total applied to LOC:                          $1364.40

LOC Balance as of today:                   $5678.72

Can I tell you how tightly my fingers are crossed that nothing will happen in the next 6 weeks to slow my progress? They are TIGHT.

I’ve been working on taking 5 minutes-or-so a day to send out positive vibes to the universe for advanced gratefulness for all the goodness that I am working on and will be coming my way. It’s something that I heard/read in Jen Sincero’s book (and e-book)

Hokey? Maybe, but I’ll be honest that I think it might just be working. And trust me, this is no organized super-spiritual thing going on – in fact, it sounds a little like this:

“I am grateful for everything coming my way this week – grateful for the offer we will be able to put in on the property this week- grateful for the help from X to put the offer in this week”.

Over and over again, sometimes while driving in the car. Yep, I turn the radio off and just thank the world for all that is coming my way and all that I have.

And so this week, I’m working on this pseudo-meditation. If all it does is focus my efforts, then it has to be a good thing. Being grateful for having the luxury of enough money to work with and provide a good life is definitely part of that. And yes, I’m on a high after regrouping from Februarys steps backwards (and, truthfully, the weather change and move to bare feet helps).

It might be the change of seasons, but I’m feeling more positive and optimistic about all that is yet to come this year than I have in some time. Yay!

So, here’s to a spring full of blooming opportunities..and tulips!

 

 

2 steps back yadda yadda yadda (+a net worth update)

Let’s get this started.

The numbers:

Total applied to LOC:        $7208.82 – this is since the last update in October 21

LOC Balance as of today:  $7999.99

Car Loan:                               $0 – the car loan balance was moved to my line of credit..no, not for the interest (because it’s going to sit there for so little time the interest doesn’t matter, even though it is lower than the loan), but because making random payments is easier to my LOC as it is with my bank and easily accessible via online banking.

This is a disappointing post to me for two reasons:

  1. It’s been so long since I’ve updated and I have made amazing progress since then.
  2. That progress has been hampered by a $2600 bill for car repair  in the last week

I had myself scheduled to be 100% debt free at the end of March, and now if I push it’ll be the end of April. Yes, that is great, but I still feel a little disappointed. But, at 215,000kms my Ford Edge has treated me well and so it’s about time I treated it well since it is the last debt and I’ll be keeping the car for as long as possible.

My net worth is still tracking along, but took a hit with the extra car costs too. Thank goodness for emergency funds, rental house income and health benefit returns!

Drum roll please……

Networth as of today: $128,961

This is more than $50k above my last posted networth. Badda BING!

And this is why I should have been writing all along. Seeing the numbers in black and white, the progress in black and white, makes the small step backwards this week just a little less painful.

So, I guess that means you should see me here more often in the coming weeks and months!

 

 

 

 

 

Pay Day 14. (the one where the balance is ZERO)

Yeah, you read that right. ZERO. Holy wow have I ever day-dreamed about this day, the riches I’ll have! The things I’ll be able to accomplish! The weight that will no longer be there!

The numbers:

Total applied to LOC:        $2929 – Not all in one shot, mind, but this amount has been            applied since Payday update 13.

Current LOC Balance:       $0 BABY!

Progress on LOC to date:  $14,607 – in the past, done, evicted.

Car Loan:                               $13,133.33 -Less than the debt paid so far, so we know that it can be tackled.

There’s a sense of momentary relief, of accomplishment…. and then a slight weight when I think about digging into the car debt.

It’s like when you’re running a series of hills, and think you’ve reached the top and only at the top do you see the next hill. You have to do it to get to the end, but you’re sure not excited about it.

What I have to recognize is that, coupled with the credit card date paid off in the first few months of this year, I’ve paid over $17,607 in debt this year. That’s a lot of hills climbed, right?!

Have I ever told you how where I live is the flattest area in Canada. No hills. So, I don’t like running  hills, and I’m not that good at it. But I do them anyways.

Same for paying off debt, I guess.

The next couple of months will be a challenge, if only to stay on budget during the run up to the Christmas season.  Slow and steady, I’ll get to the top of the hill and coast on the way down – it’s got to be easier on that side, right?

Pay Day ep. 12 (I’m still alive!)

So, hi! This month has been awesome. With a full week on the boat, and a mini-girls weekend this past weekend, I’m feeling (somewhat) rested and relaxed. Summer reading list was attacked, sleeping in was achieved, swimming with kids and being a general goof all check-marked off the to-do list.

AND – I’m still paying off debt. Did you think I forgot? I really didn’t! I missed the last update, but progress still happened!

Total applied to LOC:        $750

Current LOC Balance:       $5279.90 -Not quite the progress I wanted, but I pulled back a little on this payment to make sure I had enough for our holiday. And we did – all paid in CASH.

Progress on LOC to date:  $9,328 – double digits are coming with the next payment. Yeah, baby!

Car Loan:                               $15,662.64 -It’s still there, it’s still in the cross-hairs.

With school, September and everything-pumpkin-spice looming, I’m all gung ho to get rid of the LOC, clean up house, purge what we don’t need, eat healthy etc. etc.

Here’s the drop date on the LOC  – October 7th.

It will mean some serious focus on sticking to the budget, finding fun in the free stuff, and keeping the goal in mind.

4 payments of $1250 each. And then  – BAM- no more line of credit.

My payment this week is a little delayed, as I have been putting my rental property income towards the debt and this doesn’t’ come until after the 1st of each month. To keep honest, I’ll update when it’s applied.

I’m considering taking just a one-paycheque break after the LOC is cleared as some celebration breathing room. Can I do that? Did you do that?

Till the next updated, I’m enjoying the last few days of summer – hope you are too!

 

Pay Day (ep. 10) – double digits , baby!

Does it count as a celebration when I reach 10 pay day updates? I feel like it should. 10 Pay Day updates is 10 very deliberate steps towards paying off the dumb debt, 10 very deliberate days of planning for the future, 10 very intentional moves towards being in control of my finances.

10!!

I’m excited, can you tell? I think I can see the faint glimmer of light at the end of this particular dark tunnel. And while the light will be brief, as I dive into paying of the car next, even just a little sunshine can keep me going.

Total applied to LOC:        $750

Current LOC Balance:       $7,206.69  -totally flew by the $8000 numbers and dove into $7K(and change). I don’t know why, but this feels like a milestone to me.

Progress on LOC to date:  $7,333 – over half-way!

Car Loan:                               $15,662.64 -your turn is coming, car, don’t get comfy.

 

Pay Day (ep 3)

Hallelujah , after a long week of being on the road for work, pay day is more welcomed than ever. I can’t remember the last time I got to the end of the week and felt so relieved to sit down for just a few minutes. I’ve been planning for days (again) on where my dollars need to head for the next 2 weeks.

Here’s the summary:

Total applied to LOC debt:          $857

Current LOC debt balance:         $13,613.62

Progress on LOC to date:                   $756 – if you’re wondering why progress isn’t more than the $857 applied, welcome to the dark, dark world of interest. Blech.

Car Loan:                                          $16,424.01 -no change, but I haven’t checked the balance in the last 2 weeks since I’m paying the standard regular payments until the line of credit is dead

I’m so happy that I’m below $14k on the line of credit, let’s have a little happy dance. I was really hoping to be able stretch my pennies a little further and get below the $13k mark, but sometimes a girl just needs to get rid of the grey and a car needs an oil change. It is what it is.

The car loan progress will remain slow as I pay just the agreed amount for the loan until I kill  line of credit.

I’ll admit that I cheated a little bit to make the extra payment – in that I worked hard over the last 5 years and just got a nice little raise for a move to a new role last year. I haven’t increased my spending in the last 6 months so the additional income gets added to debt repayment.

Wondering where I have penny pinched in order to make an additional $857 towards my debt?

  • Called my insurance agent to review both my home and car insurance
  • Stopped my magazine subscriptions – I didn’t really have time to read them in full anyway
  • I haven’t purchased any clothing since January – no new running gear, work clothes, or (gasp!) shoes. Something switched in me in January, and new clothes just became extra clutter around the house.
  • I cancelled my auto-reload Tim’s card – this alone saved me $340 over 3 months!!

This doesn’t add up to $857, but it sure helps.

The big change is  in my own home, which is now a rental property. April is my first month with tenants, and by May I’ll have my first profit cheque. It’s not much, but it’s a positive return. Last pay cheque saw me paying the last of most of the utility bills, which were higher than average given some of the ‘closing costs’. I budget for utility bills every 2 weeks, whether they are due or not, so without those there was a little more cash in the bank this week.

I’m already counting down to next pay day, and writing the list of things I need to do before then. I need a side-hustle, running doesn’t pay squat when your’ as slow as I am!

How a 2-hour run clarifies the mind

If you haven’t noticed yet, I run. Right now, I’m training for a 30km race in April which means long weekend runs. I was lucky with the weather during my latest long run, managed to swindle a ride to my start point to ensure that I had the wind at my back, and ran 22km home in sunshine and increasingly warm temperatures.

Just before my long run, I had opened the Mint app on my phone to double check my cash flow situation. It’s becoming a daily habit, partly because I’m obsessed with moving forward and partly to see whether I’ve been dinged for charges I didn’t expect. Yesterday, I got hit with a $131 finance charge for the stupid Mastercard debt. $131!! That’s like TWO race entry fees! OUCH. That made me mad and frustrated. I was dollars away from that balance hitting $6k purely because I was carrying a balance and paying the ridiculous interest rate.

I started the run, frustrated at myself for letting that balance grow, for getting hit by another finance charge, and not having control over the situation. I thought about it for over an hour while listening to podcasts (I listen to Budget and Cents, Dave Ramsey, M.O.N.E.Y., Tim Ferris. Pretty much anything that will inspire me to think, learn and perhaps act a little differently.) And then I hit a wall…but not the runners wall. The wall of OBVIOUSNESS.

Here’s the thing, my line of credit has a 3.7% interest rate. My credit card has a 19.99% interest rate. I have $12k of room in my line of credit. And $5,900 of credit card debt.

HOW DID I NOT SEE THIS?

Another hour later (an hour of lamenting my lack of vision) I got home. Before I even untied my shoes, I transferred the Mastercard balance to my line of credit.

Did I pay the Mastercard off? NO. But I did save myself a little bit of interest payment for the next 30 days, while I work on building that emergency fund.

What’s your opinion on short-term moves to save cash while you work on a bigger goal? Have you done that? Did it work out for you?