Skip to main content

Total Money Makeover

EEKS!  I finally decided to read The Total Money Makeover by Dave Ramsey.  I'm not seeing the end result being one we can achieve unless I go back to work.  Mark and I have worked our way to zero car payments, we have been and continue to be credit card debt free.  We refinanced the house for 15 years and are actually saving money monthly but paying off the house faster.

I can dig the step 1, step 2 (because I don't need to do them) Step 3 is taken care of, Step 4 is not what Dave says it should be but we are making contributions to 401k and we have a Roth IRA and saving for retirement.  Step 5 is a thought we have on occasion, saving for the kids college fund.  Step 6 is more appealing than the college fund, paying off the house.  Step 7 is give, give, give which I can totally dig.  

After reading the book I am feeling pretty good about our financial state.  Mark and I are NOT normal.  Weird is okay for me in this area.  The statistics blow me away.  I can't believe Mark and I have managed not going into more debt other than new cars and a very, very small student loan that we paid off before I even graduated college.

We budget, we follow it, we have very little left over.  What are we doing wrong?  We own both our cars so we have zero car payments  We feel like there is not a whole lot of wiggle room to do other than survive. We are a little over in the house payment vs income ratio.  Which he says to stay at 25% of you income.  Although we are not in debt and do have money left over it is not what Dave Ramsey would consider Step 4, 5 and 6.  I guess you do what you can and stay out of debt.  My kids are going to have to stay home and go to community college.  Unless they can get a scholarship or I go back to work.

Don't get me wrong I am trying to cut costs in many areas.  I have tried consignment shopping for the kids without much luck.  I have sacrificed cable TV for years.  Although I don't consider it a sacrifice anymore.  Blessed to not have a billion channels to surf, selling me things I can't afford or even need.  I do have my first ever "smart" phone but canceled the home phone. We pay more for the cell but not bank breaking.  I feel like without two car payments that we should be able to afford this luxury in life.  Maybe my attitude of being able to afford the luxury is what gets us to break even and not get ahead.

Stay at home mom or college?  Stay at home mom or retirement fund?  Stay at home mom or house paid in full?  Bottom line is this, is being a stay at home mom more important to my kids or financial stability. The only way I see us getting ahead is for me to work.  I'm I wrong?  If I am wrong, someone show me the error of my ways.  I love being a mom but I want to be 100% debt free too.

Comments

Popular posts from this blog

Thank You 2010

I try very hard not to base my life on my location, size of house, materials I possess, new cars or the latest fashions. It is not something that is easy for me or something I don't have to work on everyday. I have chosen my life to be about Christ and not this world. I try to understand this world in the point of view of Christ. This world is not about what, but who. Even if you are not a Christian it is nobel to do for others. I have chosen in my life to follow Christ. Not perfect, just forgiven. I chose to help organizations that are centered on the love of Christ. My main point this holiday season is to remember the who and not the what. I always thought it would be cool to start a Thank You Card movement. Not that I do things for a thank you. A thank you card just shows me that I did something for someone else that was nice, meaningful, worthy. Kinda like a report card. So my challenge to you is to get a thank you card in 2010. It doesn't have to cost you mon...

Southern Charm

We made an offer (low), the owners countered (expected) and they countered exactly what I thought they would. So, unless the inspector says the house should be demolished we will be the owners of a 1965, full brick, colonial style, bi-level house the second week of July or earlier. It is on a golf course, 6th fairway. It has a pool, fireplace, an original 60's kitchen (redo), hardwood floors, two car garage and much more. We know the process is long when buying a house in this condition. It's not in deplorable shape, livable in need of some updates. It is 44 years old and has not had major updates. This house is 10 years newer than our last house. It has character and southern charm. Not perfect, but perfect for us. Photos on the web are copyrighted. Not sure If I can post them here. I will try and do a link instead......

Dogwood

On our 13 hour car ride to our new dwelling place I had to drop Mark and Delta off at the Chattanooga airport to get his truck. He flew from Chattanooga to St. Pete to come home to drive with us to our new digs.  Chattanooga is the closest airport other than Birmingham (1.5 hours away) that flies directly to Tampa/Saint Petersburg.  The Chattanooga airport is two hours from our new house.  This meant that I got to drive by myself with the kids for the last two hours of the very long trip.  Of course all the kids fell asleep, which is not good when you are leaving your hometown of almost 30 years. First time on the trip it was quiet.  Most days that would be a blessing, but this Sunday was not the case.  I needed noise to keep my mind from thinking about all that was happening.     So what does any girl do in a time like this?  I called my mom. One of the few times I am thankful for the invention of the cell phone.  The drive from Chattanooga to our house is so pretty and there are so m...