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Plan #6: Tax Debt


We survived No Spend October, extended it into November and have just returned from a fun holiday week with my family, it’s time to get serious about driving down my debt balances again. As I mentioned in a previous post, I was able to save enough to pay a good chunk towards my tax debt the week before Thanksgiving.

I did really well in the last year with my targeted plans:

Pay Off Tax Debt

I had decided before the overwhelming success of No Spend Month, that the next debt I would zero in is the outstanding tax debt left over from my marriage. While the interest rate is not as high as my credit card, the mental burden is HUGE! And I want it gone.

I have decided to take a page from the Dave Ramsey playbook and focus on it with a debt snowball. (Not sure if I’m saying that right.)

I’m going to continue to pay the minimums on all other debt (except my car payment which I will continue at $400 per month instead of $308.) And then at the end of every month, make an extra payment to the tax debt based on my income that month.

Anticipating that work will continue to be steady and continue to grow, my goal is to have this debt completely eliminated no later than January, 2019. But I hope to pay it off in December by sticking to a more frugal monthly budget as we did in October. As of now, the balance is right around $1,001.

Full debt update coming next week…




No Spend Month Success!


We are the end of 6 solid weeks of no extra spending. And we have rocked it! I am so proud of us.

And a pleasant side effect of all the time at home and reduced running around is that my work has taken off. We are really on solid ground again. I am beyond grateful!

Big Win – Debt Payment

I mentioned when we began No Spend Month that my goal was to save enough for our Texas Roadtrip, but as I mentioned, work has really taken off.

I had already decided that my next debt to focus on would be the Tax Debt. And once I was comfortable with the cash for the Texas trips and money for December’s budget, I was able to:

Pay $2,500 toward the Tax Debt this week!!!!

The balance due as of today is now $1,001. And I hope to pay it off in December.

I am so freaking excited!

We Leave Tomorrow

Tomorrow we leave on a 9 day trip. We are all excited for this vacation. It has been a long time since we really got out and had some fun like this.

Our first stop will be New Orleans for a day. (We won’t be spending the night there as the hotels are insanely expensive, but we will be hanging out for a few hours.) I’m looking forward to having Beignets at Cafe Du Monde, picking up an authentic Muffuletta and listening to some live music.

New Orleans is hands down our family’s favorite place to visit. I even got to thinking picking up some Beignet mix might be a great, frugal Christmas gift for the kids!

I haven’t decided the route we will take to come back, but I’m thinking of a stop in Memphis. We’ve never explored that city much and I hear good things. Would love to hear recommendations of must see places and unique to Memphis places to eat! Again, it would probably just be a few hours around the city as a stop along the trip back.