25 January 2011

Debt Free? Savings Account?

So I've mentioned before that we have some very unexpected financial things come up that put is in the hole in a big way and two months later we are still behind and can't seem to pay our bills. It's frustrating to say the least! I wish we could just have one month free rent :) That would help a lot! Rent where we live is so expensive even though we actually got a good deal on our house...it's just the state and city. But we are saving about $100 a month by not living on base so that is a good thing.

We have debt which I'm sure many of you do too. I wouldn't say we have as much as some considering we didn't spend four years in school(although we both do have some school loans) but between credit cards, our car, and student loans and other misc. debt we definitely have a lot to pay off. I was looking into the Dave Ramsey Total Money Makeover and am debating about getting it. I also would love to find a legit debt consolidator in the area. I'm just sick of having the burdens of our debt hanging over my head and stressing me out. I am also so sick of being broke. With the big tax return coming up it gives me motivation to tackle our finances. We are still waiting on my W-2 to come in the mail from the short time I was a hostess last year so as soon as that comes we will by filing and I'm hoping we don't have to wait long for that money.

So my question to you...How do you manage your budget? Are you working towards being debt free and if so how are you doing it? How do you get out of tough financial holes when unexpected things come up?


  1. Personal finance is one thing that I am super passionate about, and I am sure that my husband wishes that I was a little less passionate about it... I have Dave Ramsey's Total Money Makeover book...It's awesome. SUPER inspiring and lots of information. It will make you want to never have any sort of debt again. We are still working on it....Every month is a work in progress!
    First and foremost, everyone will tell you that you need a budget. You need to know where every penny of your money is going, and that is SO true. Just keeping track of every dollar will help you know where you need to cut back.
    Also, automating savings...even if it's $10 a month was huge for us. The hardest part is treating savings as a bill.
    Let me know if you would like help with your budget or just where to start. Like I said, it's something that I am passionate about. Debt doesn't go away over night, but you can do it!

  2. We got super lucky because I got a very high-paying job after graduation and was able to pay off my student loans and car before we got married and moved. (Go ahead, ask me how much I miss that job!) However, even when you don't have debt, those little expenses still come up and seem to bite you in the bum! Like the $700 car repair we just had right before Christmas, of all times of the year! We stick to a budget and put a good amount of money in savings every month (retirement, travel and emergency, using automatic transfers). That emergency fund really comes in handy.

    That said, I have a friend who had a decent amount of student loans and car debt, along with a little bit of credit card debt from when her husband was laid off. She did the whole David Ramsey program--cash system and all--and raves about it. They paid off all their debt in record time, built up their savings and then even saved enough extra to go on an amazing trip to Greece. So because of her, if you're thinking about buying the book, I say go for it!

  3. Hey Heather! Just found your blog. Hope you don't mind that i follow you! :) Living on military pay can be a little hard, but it will get easier! I don't know how long your hubby has been in but it wasn't until Keith hit his 6 year mark did it get a lot easier. We have always had an automatic deduction set up for our savings account, which allows us to save quite a bit. Just remember that everyone goes through hard times financially at some point in their life, but going through those tough times makes you appreciate it so much more when it gets better! I would definitely recommend buying the Dave Ramsey program, I have a lot of close people in my life that have swore by it.

  4. Hey girlfriend.

    The Dave Ramsey total money makeover is the best I've heard of. Jon and I read the first couple pages and just didn't make it all the way through haha. I'm sure it would have saved us alot of money since then though. I hope all works out. Us military families really god it good but should get paid what we deserve. Hope all is well and congrats on the little one! I had no idea! Such a blessing:) Love ya girl!