Hello DK Readers! I’m back! Life has kept me busy. Almost two years planning a church mission trip, a month in Africa, LOTS of time recovering from that trip and rebuilding my business (I went to part-time while working on the church project). Here’s the deal—I’m STILL working on getting debt-free. Still.
Last time we talked….
At my last update in June of 2011, I was waiting on the IRS to make a determination about my return. Turns out, I owed money (though my accountant thinks they were wrong, so he’s re-working it this year). At that time, I owed about $12,000 in credit card debt, $2,800 in a private loan, and $145,000 on my mortgage. Total was $159,800 or non-mortgage debt of $14,800
Since I didn’t get my business back up to full time until June 2012, we made slow progress. We also made a lifestyle change, and my husband took a voluntary demotion (and pay cut) which allowed him to cut his commute by more than 2/3 and increase his time with our family by nearly 20 hours per week (well worth the pay cut!).
We lost the “gazelle intense” this winter—we took two short vacations with family, but both were either gifted or cash-flowed.
Where we’re at today…
As of the end of February, our remaining debt is $2,136 in credit card debt and $133,607 in mortgage loan. We’re not counting the mortgage, since it’s on a fifteen year fixed with a great rate and just 12 years to go. So yes, our total debt is about $2,136, which we should be able to wrap up in the next couple of weeks! YAHOO!!
Yes, there’s still taxes to pay, and the planned tenth-anniversary cruise this summer, but according to our budgets, we’ll be able to cash-flow all of it.
Our budget meetings are much smoother now, and after three years of sticking to strict budgets, they’re pretty easy to work up each month. (We use the Financial Peace University budgets at our house.)
We also facilitated Financial Peace University at our church through the fall and winter. Facilitating is a heck of a way to keep one’s self accountable! I highly recommend it, and may even facilitate again in the near future.
So, how are you doing?
Diligence and persistence pays off! How is your journey going? What do you struggle with? What have your successes been?