Ashley’s July Debt Update + General Life Updates

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It’s that time of month where our checks have all come in, bills have all been paid, and we’re getting to see how much progress we were able to make on debt. And – spoiler alert – it was a good month for debt payments!!!!

First, let’s get right to the debt table…

PlaceCurrent BalanceAPRLast Payment MadeLast Payment Date Original debt, March 2014
Navient$658116.55%$4383July$74218
ACS Student Loans$85966.55%$20July$8215
Balance Transfer Student Loan #2$63500% (through April 2017)$500July$7650
Medical Bills$57610%$25July$9000
Balance Transfer student loan #1$00% -Paid off in March 2016$5937
PenFed Car Loan$02.49%-Paid off in January 2016$24040
License Fees$02.5%-Paid off in April 2015$5808
BoA CC$07.24%-Paid off in June 2014$2220
Mattress Firm$00%-Paid off in May 2014$1381
Wells Fargo CC$013.65%-Paid off in May 2014$7697
Capital One CC$017.9%-Paid off in March 2014$413
Totals$86,518 (June balance = 91,058)$4928Starting Debt = $145,472

It’s still exciting to see so many empty rows, the debts having been paid off.

And can I get a virtual high-five for entering into a new first digit for debt payments? Just last month we were still in the 90k owed range and here we sit this month in the mid-80s!!! How exciting is that?! Still a heap-load of debt, no doubt, but it feels like it’s really moving at this point!

Also:  you ask for it, you get it! In response to reader comments requesting an updated break-down of my Navient Loans, I’ve made this special new table just for you!

NumberTypeAmount Owed
3/2015
Amount Owed
7/2016
APR
1-01Unsubsidized5612$08.25%
1-02Subsidized8762$86976.55%
1-03Unsubsidized6967$06.55%
1-04Unsubsidized6794$45336.55%
1-05Unsubsidized2215$06.55%
1-06Subsidized860$06.55%
1-07Subsidized7433$73676.55%
1-08Subsidized6572$65226.55%
1-09Subsidized8762$86976.55%
1-10Unsubsidized17557$183086.55%
SUBTOTAL:$71,534$54139
1-01 Federal LoanUnsubsidized08.25%
1-02 Federal LoanUnsubsidized116875.80%
TOTAL:$65,811

FYI, I broke apart my Navient (formerly Sallie Mae) Department of Education loans way back in March 2015. Please note that the original table did not include any Federal student loans, but I’ve gone ahead and included those in the updated Navient table.

Recently I’ve really started making good progress on paying down some of my student loans. They are, by far, the largest combined debt that we owe. But I’m still tackling them individually because I find it gratifying to pay them off loan-by-loan. After we buy a house, I’ve thought about refinancing to get a better interest rate, which would cause them to all be lumped into one new loan. But I’m not going to do anything related to credit until after the house deal goes down, so while the loans are all separate I continue to knock them down one-at-a-time. The next loan in my sights is loan 1-04. I’ve been doing a modified snowball method, paying the smallest loan first but focusing solely on my unsubsidized loans first.

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I feel very fortunate to be in a position where we are making a nearly $5,000 debt payment within a single month. This will probably be our highest debt payment all year, given the way our salaries work (our highest income months are June and July). Our pay was higher than usual this month, so we had a higher than usual debt payment. We also did some savings for our house down payment and a little bit of spending on back-to-school shopping, conference-travel expenses (the trip isn’t until August, but I pre-paid a hotel, flight, etc.), and a surprise birthday present for hubs (his birthday is in early August).

It’s just crazy to think how big a hole we’re dealing with due (primarily, among other things) to the enormous amount of student loan debt we had. I’m so glad that my degree is finally coming in handy and helping to give us a larger-sized “shovel” (aka: income) to get out of the mess we’re in. (credit: Ramsey for the hole & shovel analogy). I certainly do not take it for granted.

In August I don’t get paid at all from my part-time job, so our income will be a little lower but we still have a buffer since hubs still has his income and I have my full-time job income. I’ve been working hard at balance this year. We’ve spent more money on having occasional date-nights (the goal is to have one per month, though we’ve been averaging closer to every-other-month). I’m also determined to start entertaining more, especially after we are in a new house! And, to give another personal (but related to finances) update, I’ve finally scheduled an appointment for therapy. Remember when I talked about wanting to go to therapy nearly a full year ago? I made it as far as to do some internet research, find someone I liked, and then I called and she wasn’t accepting new clients. That was nearly a year ago and I’ve done nothing about it since then. But even though I feel much better now than I did at that time (things are on the ups – my dad is in an assisted living, we’re selling his Utah house, preschool starts again in 2 weeks, hubs and I have had more date nights and fun stuff  out of the house), I still feel the desire to talk to someone. I’ve experienced a lot of major life changes in the past year between starting back to work full-time, starting the girls in preschool full-time, dealing with my dad’s health crisis, recent deaths in the family, etc. etc. etc. I think it’s good and healthy to take the time (and money, if one’s budget allows. thank you generous university insurance plan!) to have little “check ins” every once in awhile. Plus, we’ve got more major life changes ahead as we begin the process of house-hunting and officially putting down roots here in Arizona (something that’s strangely difficult to come to terms with. We’ve been living here a solid 6 years now, but I always thought we’d move back to Texas to be by family so it’s odd to realize we’ll likely remain in Arizona for some time to come).

Anyway, all of this is just to say that I’m still working to add more balance back into my life. I’m now into my 3rd year of debt payoff. The first solid 2 years I was 100% gung-ho on the debt reduction train. I’m still on the train (as evidenced by this month’s killer debt payment, thankyouverymuch!), but I’m trying to add more room to our budget for normal “life” stuff. Dates, kids’ activities, entertaining friends, going to therapy. I’m even thinking about maybe re-joining a gym once the kids are officially back in preschool (for long-term readers, you may remember I bought a gym membership a couple years ago and cancelled it after only a couple months to try to save every penny and put it all toward debt).

I just want to keep it real with you all as I’m on this journey. We’ve had 2 years of solid, hard, grueling work. We still have a very, very long way to go. But this is a marathon for us, not a sprint. We couldn’t have maintained that pace forever (and it would have been unhealthy and damaging to try). I’m still trying to be reasonable – we’re not going all-out crazy spending money. But I think it’s important to start letting the girls participate in different activities (I’m still limiting to one activity at a time. Right now it’s swim, but we’ve put in a cancellation notice effective at the end of August and plan to start a new activity in the Fall). I think it’s important to put more time and effort (and, yes, money) into strengthening our friendships by having people over and hosting more get-togethers. And just generally doing more paid activities that we’ve been foregoing the past 2 years. All while trying to still make hefty debt payments that we can be proud of.

We’re well on our way to hit that $30,000 debt-reduction goal for 2016. I think our future is bright.

Where are you on your debt reduction mission? Did you go all-out the whole time, or did you add in some “breaks” and periods with more balance? How long did it take you to get out of debt? What was the #1 thing that helped you to stay the course and eventually get out of debt?


Under Contract

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We are now officially under contract!!!

Not hubs & I (we still haven’t even started house-hunting, but plan to start in August!! Can’t wait!!!) – my dad’s Utah house!

After receiving a couple competing offers, we accepted one that we felt was more than fair (it’s actually over our listed asking-price). We’ve already completed inspection and all the requested repairs are super minor, so we’re paying a handyman to get it all fixed up.

At this point, the last hurdles are in regard to the buyer’s financing. Our realtor has been in contact with the lender and believes the loan will be funded without a problem. Given that the buying price is above the list price (and above the comparables our realtor pulled), we’re holding our breath and crossing our fingers that the appraisal comes in high enough to cover it. Fortunately, our realtor is a rock star and has made up a whole list of home improvements for the inspector and feels confident that the appraisal shouldn’t be a problem.

If all works out with buyer’s financing, we are set to close on August 15th! Super pumped!

Initially, we were thinking we wouldn’t make too much off the sale of this home. Remember, both my siblings were in favor of renting it instead of selling due to this reason.

But given our higher-than-expected sale price, we should stand to net nearly $100,000!!! Not too shabby!

The next question is what to do with the money.

My dad does have a decent-sized net worth but, to date, we’ve done next-to-nothing with his investments. Everything is still in the original investment accounts he selected and has not been touched. We want to be somewhat conservative because my dad is legally disabled and will never be able to work again (if interested, read more about his condition here). His physicians have said that his illness tends to have a life expectancy of 2-20 years. If he lives another 20 years, he could easily burn through all of his savings. He’s already in assisted living and his care is incredibly expensive. So we really need to be smart and manage his money wisely so that costs of his care don’t end up falling on the shoulders of my siblings and me.

I’m a fan of pretty boring investment strategies. Mutual funds and such. My brother has talked about perhaps investing in real estate back in the Austin area (which makes it less complicated and risky than an out-of-state rental). He’s even thrown out the idea of establishing an LLC for a rental property so my dad’s other assets are protected. Depending on cost, we could possibly pay for a rental with liquid cash without needing to withdraw from current investments (the alternative would be putting a large amount down and taking out a small mortgage).

I’m open to various ideas, but I’m also a fan of EASY. Taking over my dad’s affairs has been incredibly time-consuming and, frankly, none of us has time for it. Meeting with an investment advisor once or twice a year is infinitely easier than dealing with rentals and such. That being said, in the past year that we’ve been in charge of my dad’s finances, his investments really haven’t performed great. He’s averaged about a 4% rate of return. I’d like to see closer to an 8-10% return, if at all possible. At only a 4% rate of return, we’re eventually going to eat into his nest egg. Fortunately, he had enough cash in the bank that we haven’t touched any investments at this point but eventually the liquid money will dry up and we’ll have no other option but to raid his investments in order to pay for his care.

What do you all think? If you were charged with caring for a parent’s estate, what types of investments might you make? What are your thoughts of investing in mutual funds versus investing in real estate?

Another possibility is to still invest in IRAs. My dad technically has an “earned income” because he received a generous severance package from his previous employer before having to leave due to his health issues (it’s paid out monthly for another year still). So would it be better to actually fund a retirement account versus buying mutual funds? Or is it better to keep the money more liquid than in retirement or real estate? Something like mutual funds that are easier to sell and claim the cash?? My dad is 60, by the way. I’d value any and all input you may have!


Extended Warranty to the Rescue!!!

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Back when we bought our new-to-us (then only 1-year-old) car, we added all the warranties on top of the sales price and financed it all together.

Remember, this was back before any debt-reduction mission or such. After listening to Dave Ramsey, I’ve now learned that the majority of extended warranties are a total waste of money (disclaimer: I don’t blindly believe everything Ramsey says, but I do believe this one).

Even so, when we finally paid off the car this past January I never took any steps to cancel the extended warranty so I could be reimbursed for the pricey policy. I just paid it off and went on about my life.

Fast forward to this month. Out of nowhere, we’ve experienced some random electrical issues. Unfortunately, a lot of the car’s displays are electronic. At this point, the entire dash is out. That means I cannot control A/C, we have no radio, there’s no time display, no backup camera, and more. Though most of it is just an inconvenience, some of it actually poses health and safety hazards. For instance, I’ve been driving my girls around this week and they’re crying in the backseat that they’re all sweaty (here in Tucson we’re still over 100 degrees every day). The A/C was on when the dash electronics went out, but it was set to low. Without the electric display, I have no way to change the A/C to be higher or lower and the heat is so all-encompassing that it literally feels borderline-dangerous to be driving the kiddos around without proper air.

After calling a couple shops and discovering that this is most likely a dealership issue (= $$$), I remembered that we had bought an extended warranty that specifically covers the electrical components on the vehicle.

“There’s no way the warranty is still effective”, I thought. We’ve owned the car for just at 3 years now, but we’ve already hit over 100,000 miles. I was imagining the warranty was probably nullified right around the 3-year and 100,000 mile mark.

So, imagine my surprise (and joy!) when I called and discovered that the extended warranty actually covers up to 5 years or 125,000 miles!!! We’re still under warranty, baby!!!

The other issue is that when I was calling around to shops, I was not only stressed about the money, but also the logistics. From what I was told, vehicle electrical work can take quite awhile. So either I’m stuck at the mechanics shop all day, or they can bring me back to my house. But that means it has to be a day we have the babysitter (because they can’t transport me + 2 kids in carseats). However, I’ve already determined that it’s tough to work while the kids are at home. So…stuck at the mechanics shop, then?  I know this is total 1st world problems and not really a big deal, but these are the logistics I’m grappling with. HOWEVER, our extended warranty (purchased through CarMax) includes FREE LOANER CAR while they’re doing the repair work!!!

They’ve said they may need to send the car to the dealership (which sounds likely after speaking to several local mechanics shops), but either way CarMax still provides me with a loaner. PLUS, I’ve had 2 recall-related issues pop up within the past few months that I’ve been putting off forever. So I can actually get those issues handled as well. All for $0 out-of-pocket.

My appointment is scheduled for next Thursday so I still don’t know the full amount of time it will take or even the full scope of what the issue is and what needs to be done to repair it. I’m just happy that this dumb (and super $$$) extended warranty is coming in handy! And, I may be wrong, but I believe I could still cancel at any time and receive a partial reimbursement for whatever time is remaining in the warranty. So there’s a chance I may get this stuff taken care of, then cancel the warranty in a month or so, and still end up with money leftover! I don’t want to get my hopes up (because I don’t know for sure if they’ll do partial reimbursements), but it’s an exciting prospect.

Three cheers for an extended warranty that actually came in handy and hopefully saves us some money!

What are your thoughts on extended warranties? Do you buy them? Why or why not?


Work Trip = $$$

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I have a conference for work that I’m attending in early August.

It’s a conference that I’ve heard people talking about and suggesting in the online-teaching world for over a year, but I’ve never been before. I’m super excited because I applied to be a presenter and was accepted so it’s also a nice little CV-boost as I venture more and more into the world of online education (all my previous work/conference/research has been in my actual content area that I studied for my Ph.D. Read more where I waxed poetic about work-life balance here.).

I’m also really excited because of the location! Believe it or not, it’s coincidentally located in the same city where one of my best friends moved last summer! I’ve never been to the place, but it’s supposed to be gorgeous in summer (meanwhile, Tucson is in crippling death-heat mode so I can’t wait to escape!)

But there are two things that are major bummers about this trip:

  1. The timing is far from ideal.
  2. Cost

Let me explain.

In relation to the timing – I’ll miss my girls’ first day of preschool for the year (already feeling the mom-guilt). I hate knowing that I’ll miss the first day, but I’m trying to mentally prepare for it now.  Also, my friend is due to have a baby literally the same week that I’ll be there. I hope to meet the little guy, but I won’t get to really “hang out” with my friend like I would otherwise have done if she weren’t due any minute and/or in the hospital having a baby.

In relation to the cost – I work for a major university. I know different departments do different things, but in my department we are given a small annual amount of funds to cover “professional development” type expenses (including conference travel). This year, the limit was set at $500/person. Unfortunately, this conference is super pricey, so I’m going to be shelling out quite a bit of my own money. Gulp.

To be fair, I actually received over the $500 limit because I’m a presenter (and because I asked for more. Sometimes you just have to ask!) But in total, I was given $650. The conference registration, alone, was $595. Add in airfare + lodging + food =  Cha-ching!!!

So here’s another reason why the timing is not ideal. At another time, I otherwise would’ve stayed with my friend for some free housing. But she’s expecting her first baby and their house is undergoing major renovations, and I just can’t put her in the position of asking to stay with them. I’m going to have to shell out for a hotel.

Also, I’m not in the Education department on campus, but the conference I’m going to is basically about online education. That means no one I know is going, so there’s no sharing of rental cars, hotels, etc.

On the plus side, I really do think this is an important conference for me to attend (at least once!).  I’m really branching more into this field and I plan to try to market myself as an expert in this arena for any future employment, so it’s important for me professionally and personally (and in terms of networking, etc.)

But I’m guesstimating it will probably run me a solid $1,000 or so to go. Gulp! Luckily, we have a high income this month so I’ll be putting money aside this month to cover the expense for next month. But still, it’s a big number.

What do you guys think about paying for your own professional development opportunity? How much would you be willing to spend per year? What do you feel is “fair” and “normal” for you to cover (versus your employer) in your career area?


Summer Childcare Update

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Hi guys! I hope your Monday is off to a good start!

Remember when I talked about our summer childcare plans? We ended up opting to hire a babysitter whose been coming to our house to watch the kids 3 days per week. I wanted to give a little update on how it’s gone.

First, in case you hadn’t noticed from our recent budget update, our childcare costs have been way down compared to the academic year! Part of this is because we’ve been out of town a bit and we only pay our babysitter when we need her, so we haven’t had to pay for chunks of time when we’ve been gone. The other reason, of course, is because we’ve only been using part-time care instead of full-time care. Overall, we’re paying more per hour, but less overall (since fewer hours, etc.)

I did have some concerns about the route we decided to go. First, I didn’t love that the kids were going to be stuck at home all day every day. Second, our babysitter doesn’t drive (she’s old enough, but just doesn’t have a license) and she lives a solid 45 minutes away, so arranging pick-ups and drop-offs has been really exhausting. Generally we meet her parents somewhere in the middle, but on the rare occasion we have to take her all the way home, we’re talking a solid 1.5 hours in the car for the round-trip. Far from ideal. And, finally, the time has been another big issue. Remember, I work a full-time job + a part-time job. So getting all my work done in 3 days/week (and nights while the kids are sleeping) was a big concern of mine.

Status Update…

I don’t regret our decision with the babysitter for this summer, but I don’t think we’ll do it again next year (or, if we do, we’ll probably do a mix of camps and babysitter). Most of the summer has been fine, but now that we’re nearing the start of the semester (5 weeks left!) I’ve been struggling with tension/stress headaches just about every day over the stress and anxiety of all that I’ve got to get done in such a short period of time. The struggle stress is real.

Also, I miss working at home badly! During the academic year I try to reserve one day per week to work at home. I tried to work from home with the babysitter exactly once and it was just not working. The kids are loud and make concentration difficult. Plus, when I’m home (even if I’m locked in my bedroom), they keep trying to come in and see what I’m doing, bang on the door, yell for me, etc. I also found myself coming out and helping a lot when I heard screaming/crying/fighting. Basically, I was not able to get much done. But we live a good 30-40 minutes from campus so when I physically go IN to work it’s a solid hour round-trip out of the day just for driving. Its a fast drive and doesn’t bother me during the academic year, but paying more per hour makes me realize the cost of that drive on a daily basis. And I’m just able to be more efficient when I’m home! I can start a load of laundry and meal-prep for dinner in-between emails and work stuff. It’s much harder to cram all that stuff into the nighttime hours (or on the babysitter’s off days while the kiddos are home with me).

Hubs has been stepping up, too. He’s stayed home a few days when I’ve had a meeting or something else that I’ve had to get to. But even so, I find that I’m rushing home to try to relieve him or whatever and I’m just not being as productive as I need to be.

This week, only, their school has a week-long camp. I signed them up but it’s only Mon-Fri from 8:30-12:00pm. The plan is to work from home this week (to eliminate the long drive to campus). When I pick them up, we’ll come home and eat lunch, then I lay them down for naps and (fingers crossed) get another couple hours of work done in the afternoon.

I was SO THRILLED to be taking them to camp this week! Like, I CANNOT WAIT for their school to open back up in Fall! Don’t get me wrong, I’ve loved having more time with them over the past couple months. But I’m sure other parents can relate to the feeling of being OVER summer (especially when its 10 million degrees, options for activities are limited, and I need to freaking WORK!). Here’s a picture I took (while at a stoplight – not moving!) of me taking the girls to camp this morning. To say I was excited is the understatement of the century, lol

IMG_3190

 

Oh, oh, oh!!!!

Also, we officially got my Dad’s Utah house on the market! It went live in the MLS on Thursday night. It’s had 7 showings since then and we got our first offer late last night. It was an over-list-price offer, but it’s not great because the couple is still “shopping lenders.” We don’t want to accept and tie the house up by going under-contract until we know for sure that the people’s financing will go through.

Our realtor is reaching out to the realtors of the other people who’ve looked at the house to get feedback and let them know there’s an offer on the table (in case others were on the verge and decide to put in an offer, too). We have until tomorrow afternoon to respond to the first offer so hopefully we can drum up a bidding war (though, being cautious of the fact that we don’t want to go too far above list price, as the appraisal might come in lower and ruin financing for anyone offering over-list). We’ll see what happens. Lots of moving parts. None of us siblings have sold real estate before (my bro & sis both own, but they’ve only bought once and have never sold), so it’s all new to us. Luckily, my mom is a real estate broker and although she and my father are divorced, she’s very sensitive to his health issues and has been more than willing to help navigate and guide us (the kids) through the process to make sure we’re taken care of and doing things properly. Our realtor has also been a dream to work with, so I feel lucky in that regard.

Anyway, gotta run and get some work done in the short time I have before I go back to pick up the girls from camp!

Have a great week! I’ll be back soon!


Ashley’s June Budget + 2016 Goals Update

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As a reminder, we have 3 concrete financial goals that we’re working on in 2016:

  • Save $10,000 for a down payment
  • Save $5,000 for an emergency fund
  • Put $30,000 toward debt.

Even amidst some obstacles that have caused us to have to withdraw money from our EF (for expenses related to the death of our beloved dog and a plane ticket home for my Nana’s funeral), we’ve still managed to make some progress for each of our savings goals.

In total we have now saved up: $6,000 for a house down payment, and $2,100 in our emergency fund.  In May we weren’t able to contribute to any savings at all, but in June we were able to save a good chunk and July should be good in this regard (and for debt payments), too.

Originally, we were hoping to start house-hunting in mid-summer but we decided to push our timeframe back just a tad so we can save up more money. We’re now hoping to have both of these savings goals met by August or September, and plan to start the house-hunting process in early September. I’m itching hard on this!

What about the $30,000 debt goal?

After last month’s $3500 debt payment, we’re almost exactly half-way to our overall 2016 goal of paying $30,000 toward debt! In full transparency, it’s going to be tough to hit our goal since we’re still working on stocking our savings accounts, too (we’d hoped to be done with the savings goals by mid-year). Even so, we’re currently on track and making good progress. For reference, here’s the table I made of goal debt-payments compared to actual payments for 2016:

Month 2016 GOALS 2016
January Goal: $3500 $4013
February Goal: $1000 $1261
March Goal:  $1000 $2134
April Goal:  $2000 $1521
May Goal: $2000 $1325
June Goal:  $4000 $3500
July Goal: $4000
August Goal: $2500
September Goal: $2500
October Goal: $2500
November Goal: $2500
December Goal: $2500
Total Goal: $30,000 Actual: $15770.00

 

Currently, we’ve paid $15,770 toward debt out of the total $30,000 we have planned (though it’d be great to beat our goal, too!) Right on track!

And here’s how our household budget looked for June 2016:

 

Place Amount Spent
Rent 1200
Down Payment Savings 2000
Electricity 128
Water 65
Natural gas 36
Cell Phones (2 lines) 105
Cable/Internet 100
Trash 35
Preschool (babysitting) 880
Gift-Giving 9
Restaurants 334
Kids Activities 136
Groceries 505
Gasoline 159
Household Goods 41
Clothing 74
Work Expenses 105
Rainy Day Savings 2023 (minus deductions, see below)
Savings Goals 500
Debt Payments 3500

 

Comments:

Electricity: Our electric bill from June was moderate, but I already received the July bill and it’s shooting sky-high. This is to be expected given that the temperatures are in the one-teens (as in 115 degrees!!!) and the girls have a babysitter at home all summer so we need to keep the A/C running since kids are at the house all day.

Restaurants + Groceries: I feel like you can’t consider one without knowledge of the other. Our overall food spending this month wasn’t too terrible when you consider that these figures include some of the food for the girls’ birthday party, along with the food we had to buy on our multiple trips this month (remember, I went to Austin for a funeral the first week of June + the whole family went to Utah the third week of June. Particularly during the Utah trip, we had to eat out basically the entire time since we were clearing out my Dad’s house and didn’t have the ability to cook).

Babysitting: The only perk about our travels is that we had less childcare. During the regular preschool year we have to pay a set price regardless of whether we travel or not (for instance, we still had to pay the full week of childcare when we were on cruise 2016). But with a babysitter, we don’t have to pay if we aren’t utilizing her services. So our childcare costs were pretty low in June.

Kids’ Activities ($136): I had cancelled swim lessons for about a month while we were busy traveling, but I started back up again in late June. I think I’ll carry it through the duration of summer and in early September I’ll probably cancel again and start them in a new activity. For new readers, swim lessons is the only paid activity we’ve ever done with the girls. But now that they’re 4 years old, I really want to let them start trying some new activities. We have lots in our area to choose from:  dance, soccer, martial arts, gymnastics, music lessons, etc. etc. etc. I’m committed to only having them in a single activity at a time (at least for the time being). They’ve made great progress in swim lessons so far and I’m really proud of how far they’ve come. But I also can’t wait to get to watch them in little tutus or soccer cleats or whatever the “uniform” is for the next activity we decide to do!

Clothing: This includes a mix of clothes for all 4 of us. I got a new cardigan for work, hubs got some new basketball shorts, and I got some darling outfits for the girls from my favorite app, Wish (side note: I’m still loving how cheap and easy it is to order through Wish, but I’ve seriously reduced the frequency of use. I can see how people could get addicted and overspend on crap).

Work Expenses:  This month I had several work-related expenses:  a new ink cartridge for our home printer, reordering checks and address labels, and $30 worth of gift cards for people who helped participate in a huge project I’m working on (that amounts to 3- $10 gift cards). Even though I had to pay for it personally (the department said “no”), I feel like it was warranted because these people have invested a HUGE amount of time into a project I’m spearheading.

Rainy Day Savings: I’d deposited $2023 into my various rainy day funds (though some money was also withdrawn from these accounts.) See below:

  • 3-6 Month EF: $1,000. The goal is to get to $5,000 and we currently have $2100 (note, this is down from my last budget update because we had to use emergency funds to cover my $$$ last-minute flight to Texas for my Nana’s funeral; we also had to withdraw some money for end-of-life expenses for our dog, who died last month. We withdrew money for an ultrasound, lab tests, and his final cremation and disposal. http://www.bloggingawaydebt.com/2015/12/2016-tentative-financial-goals/
  • Car Repairs: $50. I also withdrew $10 to wash it. Our overall account balance is at $113, but I know we need to add more because my breaks have been squeaky and there are a couple routine maintenance issues we need to get done soon. Why are car repairs always so $$$???
  • Birthdays: $523. I also withdrew the full $523 for kid birthday expenses. I lumped some expenses here that would otherwise have gone into different budget categories, but I included them here due to their nature. For instance, both of our moms came to town for the birthday, but we only have one guest bed. So this number includes money for a new air mattress. It also includes all of the food costs associated with the party AND a dinner out when we treated our moms to Italian food while they were in town. In addition to that, this covers the bounce house, a pop-up tent we got to shade the yard, and all kinds of party odds-and-ends (decorations, goody bag treats, piñata & candy, etc.). I’d guesstimated our party costs to be about $600, so I wasn’t too terribly far off.
  • Travel/Christmas: $100. The full account balance for this category is at $150. It always helps when Christmas time rolls around to have some of our travel and gift expenses subsidized a bit!
  • Health/Dental/Vision: $0. Generally, this gets auto-deducted from my paychecks so we can pay for healthcare out of pre-tax money (it sits in a flexible spending account earmarked for health-care related expenses.) However, I pre-pay healthcare expenses in the spring semester to cover the summer (this is normal at my university), so I didn’t add anything to the account this month since its summer time. Instead, I get a higher paycheck since this money isn’t withdrawn. : ) I did have to make a deduction this month, though. I deducted $25 from our FSA to pay for a prescription. Current account balance sits right at $2300.
  • Annual Fees: $300. Deducted $68 for vehicle registration. The total current balance is $482. I like to have it around $500ish, so we’re almost fully funded here.
  • Girls’ College Savings: $50. We save $25/each (x 2 girls) for college that’s automatically transferred monthly to designated 529 accounts.

Savings Goals ($500): This is all money that was saved for our 2016 Roth IRA. As a reminder, I have 10% of my paycheck auto-deposited into pre-tax retirement accounts, but I also like to put a little bit of post-tax money into a Roth each year. It’s never a big priority (especially since I’m already saving 10% of my income), but every little bit helps.

 

Debt:  I gave a full debt update here.

 

Overall, June was a good month! Here’s hoping July is just as fruitful!

 


Happy Independence Day!!!

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Happy 4th of July to all our U.S. readers and friends!

I wrote up a full budget update, but since my normal blogging day (Monday) happened to fall on a national holiday, I decided to push it back so it’s scheduled to go live tomorrow morning. Check back for that content post.

In the meantime, I want to wish all our American friends a happy 3 day weekend that is hopefully full of the 3 F’s:  family, friends, & food! : ) Have a safe and happy holiday!

For non-U.S. friends, have a great Monday! I’ll be back tomorrow morning with our budget update from the month of June!


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