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Posts tagged with: no spend month

Plan #1: Pay Off Debt

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I truly appreciate everyone’s thoughtful guidance and feedback to my last couple of posts on my Current Debt Load and desire to Increase my Credit Score. I am still working through all my lists of tips and suggestions. And frankly, it is too overwhelming to me to come up with a master plan. Thus, I’ve come up with a few bite size plans that give me immediate action AND immediate gratification! The OVERWHELMING advice that stood out, as expected, is pay off debt.

Thanks to our mostly No Spend Month, I have some extra money sitting around here at the end of the month. And it is burning a hole in my pocket, let me tell you! That leads us to the first plan.

Pay Off Debt

I will be tackling three debts with everything I’ve got with the goal of $0 balances on all three by the end of this calendar year.  Here’s my plan:

  • Amazon (current balance $527) – pay in full November 3rd with $$$ saved through No Spend October. This will bring it to a $0 balance before the statement date for the month of November. Question: do I leave the account open or close it? Bearing in mind the affect on my credit score.  Guidance please.
  • Computers (current balance $2,655) – pay $500 the first week of November with $$$ saved through No Spend October. And review November and December budgets to see if I can find a way to bring it to a $0 balance before the end of the year. Maybe a modified no spend month…we’ve still got quite a bit in our pantry. This will drop the balance quite a bit before the statement date for the month of November (yes, I’m still thinking of my credit score, but only as a benefit of making wiser financial decisions.) Question: do I leave the account open or close it? Bearing in mind the affect on my credit score.  Guidance please.
  • Collection Acct (Apartment) – call and see if I can negotiate a 1) pay to remove arrangement and 2) settlement amount, effectively decreasing the amount I must pay. Again, I will attempt to close this account out by the end of the year.

What about my credit card?

For the time being, I am going to keep using my one credit card as a revolving line of credit, effectively paying it off every month so I do not accrue any finance charges and using it to pay all my regular budgeted items.

I think this plan is very do-able for me. It’s definitely trackable. And if I could eliminate these three debts over the next 2 months. Well, that would be AWESOME!!!!

If you are going through different situations and want to know how they affect your credit. Like repossessions on credit report there are plenty of great resources.


October – No Spend Month

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Ashley and I must be in sync. While she did an impromptu “No Spend Week,” the kids and I have been planning for a No Spend Month. The idea has actually been noodling around in my head for a while, but the push came with the loss of our second car last week.

The first blog I ever followed, was actually a young SAHM mom, who did no spend months quite regularly. She eventually shut down her blog, but I so admired her. Another thing that has kind of pushed me in this direction is my kids. Some of them are really struggling with shame and envy. Ok, I struggle with it myself. While I know exactly why we are where we are, they are having a harder time with it. Specifically they are struggling with seeing how other’s live and then looking at their own lives. My mom heart hurts.

I know in my head we are in the right place and I am doing my best. But as you can see from our budget, spending has ballooned since my income skyrocketed (especially compared to being practically homeless and jobless.) So we are going cutting back to the bone for one month.

No Spend Week Rules

These are the changes we are making for our “No Spend Month:”

  • I am only going to pay the minimum due on all my bills. (You will see the weekly payouts in my Friday posts.)
  • We are cutting our grocery budget to $25 a week for milk and fresh fruit and veggies and eating through our freezer and pantry which is VERY well stocked. We are looking forward to being creative with our pantry, at least for the first couple of weeks.
  • I am going to continue to give the kids allowance, but we will NOT use $200 “spending” money this month.
  • We have one exception to our minimized budget, we are going to move forward with the “clothes” money this month because frankly, the kids all NEED clothes. Because we do it in one fell swoop, we did agree that we have permission to eat out the two days we will be shopping. (Because we are down to one car, I have to take all three kids shopping, and because we live in a tiny town, the closest shopping other than Wal-Mart is an hour away.) We are going to shop this coming Friday and Saturday.

Wish us luck. I think we are prepared. We have prepped with laundry detergent and toiletries and I am confident this month will be a great learning and bonding experience for all of us. The kids have bought in. We are going to use the experience to have weekly talks about money management and making wise choices and even sacrifice.  I’m just grateful we get to choose our sacrifices this time rather than having them forced on us by job and hoe loss as we have experience in the last couple of years.

Have you helped your child deal with envy or shame regarding circumstances beyond their and sometimes your control? I would love some guidance.


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