In the same boat here with a car loan and mortgage. I don't feel terrible about the mortgage since you earn equity, but I'm dumping money into principal only payments on my car lol. We got this!
It is cumbersome writing the debt every month, but it allows me to evaluate what I want or need to do and to see my progress. It also feeds the “Where did my money go?” Page. The total debt amount will change monthly and I like seeing how much of my income is going to debt.
Take a sheet of paper and list the debts on it. Add the list and you'll know what you owe. Much simpler and cheaper than buying a bunch of budget books. The amount you save on books can be added to paying debts.
@@choosetoshine2610I bet you aren’t debt free with thousands of dollars in Savings and investments. I know this because if you did then you would appreciate someone who was INVESTING in their long-term goals in a structured way. She’s running her household money as a business and that’s how it’s done. So stop telling on yourself.
@@Lovelyone1 buying planners & markers & pens & downloadable sheets is not investing; it is shopping. I know this because I am debt free with thousands in savings & investments.
What a snarky response! People are caught up in the whole marketing appeal game when if you really can't afford all the fancy dodads you can simply get a cheap exercise book and rule it up and draw out your own challenges on paper to use. Plus buy cheap envelopes to store money in. The fancy stuff is for you=tube views.@@Lovelyone1
Miko (The Budget Mom) has a free resource library. The library has a "Overall Debt" sheet you can print out. That is what I use and I update it quarterly. Also, doing the pages each month might seem redundant but, it is to show accountability.
I was so glad to hear you recognise how often you say "i need to buy..." or "I bought ____ to help with my debt." I get it, i love a beautiful planner and it tickles the type A part of my brain, but tackling that urge to just spend "becuase its on sale" or "its only 25 dollars", etc. that will be essential to tackle and keep out of debt. I just did up my budget with a scrap notebook I found that was already missing half its pages, a pen and the calculator on my cellphone, and some googling to get free resources to answer any questions I had. Oh and a daily planner I bought at the dollar store. I mean I would use the planner since you already have it, but stop yourself the next time your brain says "I should buy xyz".
Thank you for this reminder. I also have the habit of thinking “I need this, and it’s on sale so it’s justifiable to buy this.” I have to remind myself that need means food, water and shelter. Other things are just plain wants.👍🏻
Excellent point I’m guilty of this too and resisting the urge to spend HUNDREDS on cute planners and cash binders and savings challenge envelopes etc 😢
A huge thing that got me out of debt was tracking every penny in and outgoing. Writing down the cost for everything from a washerr appliance to the dime in the parking meter. At the end of the month, placing expenses in categories: food shelter, transportation ..........bills, savings......This is where you will see the hemorrhaging of cash or not spending enough to sustain yourself. This is also where to start to get a livable budget. I spent this on this, that is an accurate number not a random ( this sounds good) number. Number keeping is also a reality check of how much unneeded/avoidable stuff a person buys. $100 worth of coffee and the month isn't over??? I don't know how old you are, but retirement is a person's biggest life expense. It is never too soo to start. The sooner you get out of debt, the sooner you can focus on retirement. The sacrifice today will save your tomorrow.
I really appreciate you being open. I am also in debt with an amount that is embarrassing. I will be ordering this workbook as well to slowly get myself out.
Tough love here Gas, eating out, miscellaneous, household needs to be in your budget Sell you expensive vehicle tomorrow Combine all you money into one acct, give each of you allowance out of that, why are you paying for baby swim lessons when clearly your hubby has more money! Everything needs to be combined or you’ll never make it, wish you the best
My advice is focus less on the budget planner format, aesthetic, layout, etc....all of that is noise and not important to paying off the debt! Simplify as much as possible. If it's simple and easy to visualize, it will be easier to tackle. Less is more.
Sell the car! Pay off the IRS like Dave Ramsey says and then re eval. No spend November!! 🎉🎉I am on my debt journey and know it can be hard but you have to think of your future self 😊😊
Congrats making your decision & I am proud of You! I know it is not easy to share our debt but it's the beginning of everything to tackle it, great debt confession video 👍
You need a calculator. Color markers. Sit with your husband to figure out debt. Cut out some of those subscriptions! It is hard but I have decided to go down to the bare minimum to get out of debt. You can do it! It might take you a month or two on how to really get the debt planner the way that works for you. I am working it and have done it at least 7 times and it is almost there. You do need your supplies to be able to do planner every month. Figure out how you want to do your planner that works for you so that you are comfortable and that it works for you.
If I understood correctly this is bi-weekly, so your monthly income is 12K? I feel like you should be able to pay off that debt very quickly with that kind of monthly income.
I don’t include mortgage on my debt list or snowball list. I don’t think it should be included in mine. It just makes it too overwhelming. Get rid of “bad” debt first.
I think it is so interesting how many in the planner community are also in the budget with me community paying off a lot of debt. I have to believe that the amount of influencing and wasteful spending in the planner community is having a real impact on people's financial wellbeing. I always thought this about JenPlans back when she was in her heyday as an example. Good luck with your journey!!
Like others have said, you should get rid of the car. I bought a small suv corolla cross hybrid toyota for the half for what your car debt is because i need it for my small business. (Cant write it off for tax) but consider getting something cheaper or something that you can pay in cash for. Dave ramsey will tell you the same. Also i know you said you dont want to write your debt down every month but i encourage you to do so. thats how i became debt free and stayed motivated. not trying to tear you down but you can only reach your goal if you stay strict with yourself. good luck
I got a cheap planner from Amazon yesterday for the next year, to really hit my debt journey hard. I plan on treating myself to a cute planner in a year or two. Trying to pay myself first, ya know?
I think a lot of people miss when they look at the budget. Mom is how long she lives below. Her means like she stayed in her smaller apartment and then when others would’ve seen the excess cash and upgraded so focusing on those goals in the big picture. make a plan you got this
Although I get why you put your mortgage in your debt confession I also think you shouldn't really put it in and count it. Alot of people have a mortgage and that will be paid off in time. So ots not much of a worry as your other debt is.
Hello!!! You are exactly the budgetary genius I needed to watch. I don’t know where to start, and I appreciate you being so transparent and taking your time to work your budget out on camera!! Helped me not feel alone!! I am so glad you are feeling a sense of control through out this process 😊!! You are going to make it, simultaneously helping so many! Thank you so much for you talking through your process on camera, even when feeling overwhelmed. Arlene (Miami) 😢😊
For your paydays, write the word "payday" then run a highlighter over what you wrote. Use the same highlighter on each page/ monthly calendar. Ideally use the same pen, or at least the same color, throughout all of the monthly colors.😊
New subscriber! I just restarted my budget as well! And it’s my 3rd year with the budget mom book. Last year was kinda a mess without the physical book! Can’t wait to go in this journey with you ❤
Good start! On the Net Worth tracker I usually group my liabilities e.g. Credit Card Debt, Loans, Moratgage, it makes more sense to me to do that. Also I have an expense tracker for each bank account I have, that way I can reconcile it back to my bank account balance. Also you mentioned the Bill Tracker, it used to be found on the page after the savings section finished. Hope that helps and good luck.
In your position, I would never have done that. You might need to sell that car, but a 10 k car cash and dig yourself out of the hole because right now you all are drowning. That interest rate alone is crushing. I'm anxious just watching this and it's not my debt. Honestly after watching the video I dont think you have hit rock bottom yet. I'm also surprised when folks didn't even take advantage of 3 years interest free payments for student loans. Instead they added debt. So you are in debt, have a live Rich Planner and ordered another planner? You aren't serious yet. One day you might but right now you aren't.
I never understood how people can be in relationships and not share finances. It’s so weird to me. It sounds so unbelievably hard to do that I have no idea how people do it. What happens if you get a promotion? Are you still going to pay for half or do you pay for a larger portion now? What happens if your car breaks down. Do the two of you pay for half the repair? Maybe I live under a rock. But I’ve seen more and more of these debt confessions where people are living with their finances completely separate. Even married people. Like WHY?!?
Some couples don't have discipline on how to spend money and work together to save. The fear of one or both spending it all in one go. So they have separate accounts in case one person messes up big time.
I will never give someone else the power or ability to use or dictate my money. You never know what could happen, and marriages/relationships don't always turn out good, despite intentions. I think that you should ideally split everything, but if one partner makes significantly more than the other and that person who makes less doesn't make enough to pay an even half, then it should be split more on percentages.
I’m sorry, I don’t mean any disrespect but I find it a bit amusing that some of the people in the debt free journey community tend to focus so much on all the planners, the pens, the calculators to actually DO the work. I get that you need some necessities to get going and track, but damn, do you really NEED desperately ALL of those pens and sticky notes? You said it yourself at 22:09. Good luck though, wish you all the best.
also go through your house and declutter and sell whatever you dont want or need, the rest that you cant sell can be donated as well and i think you can show your tax person the receipts of your donations. and whatever you sell goes into either emergency fund if you dont have the 1 or 2k together yet or use it to pay off debt. i know it sucks but it should help
The car that has the loan should also be on your net worth as an asset at the blue book value since you included the debt. But at the same time, that car debt is insane and needs to go 😮
Since marriage, our checks and money are mingled. His earning potential has tripled what mine is. So I am happy we made that decision from the beginning. He lets me control the budget and is ok with allowance even though his income is so much larger than mine. I don't mind debt. It's a fact of life as long as it's manageable. My home alone I owe 500k on. It doesn't bother me. My thing is we don't save. So that's what I am concentrating on, so we don't need to rely on credit cards 😊
i have it all :) and have been following The budget mom for 5 years.. I LOVE it.. it's become my hobby. and i love the live rich planner.. New sub here :) welcome.. & thanks for your openness!! Nice to hear you chatty.. xo pattie
I don't start debt free journey buying special binders to help lol Sorry, I just use a plain old notebook. I am not saying this to be snarky at all. We all have our weaknesses. Sometimes we can't see them if someone doesn't point it out. Good luck on your journey. If the binders help you get out of debt, it will be worth it.
Hey! New subscriber here. I have a similar amount of debt, $305,000 of debt to be exact and am restarting with more debt. It’s helpful to see people in the same situation even down to a $1000 car payment 😅
July 2026 I will be DF. Dangerous part is I got to keep that budget true and make every buck count and know where it is going for that long period of time. All my best...
At 72 I would advise you to pay debt down and save as much for the future when you are retired. It is hard to imagine retiring in 25 to 30 years but you will need money for sure. You can not save too much! I just use a student type composition notebook. I don't spend $$ on budget books. Keep things as simple as possible.
Some of my goals seem difficult to overcome... So glad 😊 that you are honest about your debt amount it is refreshing & motivates me to set goals for myself too
#1 You have to ask yourself if all those subscriptions are a want or need? Are any of those a half to have. I would hope that you can part with the wants.
You should have 1 account that you pay common bills between you for the household. I would only maintain the Vertex42 spreadsheet for debt. It doesn’t work exact for interest, but it’s close enough.
Setup direct deposit to the bill paying account from each paycheck. You can each keep the personal spending money (that you determine via your budget) and keep that as DD to your personal accounts. I use YNAB because I’m a digital budgeter and need to know how much I can spend while on the go. That app was my lifesaver in getting my act together. I have about $24K in debt (started with about $67K (not including the house).
Do you not have 0% balance transfer offers from credit cards? Did you decide how quickly you wanted to pay your debt off e.g. over 10 years, then work out what you need to be paying monthly to meet that target. Also, what is the interest of your mortgage? It looked like 36% but but that can't be right. It looks like a huge challenge but I'm sure you will do it.
Actually you ARE in the negative. If your house is worth 356,000 and you owe 179,000, that gives you an ASSET of 176,671, leaving you with approximately 69,000 more in debt than you have assets. Good luck in your long journey and hopefully you have learned from your mistakes that got you in this mess.
Why are you driving such an expensive car. I would sell and get a cheap reliable car. I would get rid of subscriptions and use that money also to pay down debt.
