My budget (for October)

[nidena]

I put this up over on the YM thread; figured I'd give you guys a look see too.
1st of the month 1886
aug10 promotion 213 (this is separate because I said I would utilize 100% of my promotion to pay towards debt)
mortgage 1032 (~$137k @ 6.375%)
water 40
gas (auto) 100
groceries 100
Mastercard 628 (balance is about $12k at 8.9%)
gym 99 (I pay this much to make sure that I go; anything less and it really is just that much easier to sit on the couch)
misc 100

15th of the month 1886
aug10 promotion 213
HEL 306 (~$32k @ 7.99%)
gas (auto) 100
groceries 100
gas (natural) 100
electric 108 (budget billing so it's the same every month)
Mastercard 766
insurance (car/home) 70
insurance (life) 15
car mx 350 (two new tires coming up)
cable/landline/inter. 102 (this is definitely on the chopping block if I can reduce it to just internet and not have to pay too high of fees to do so)
cell 69
misc 100
All my credit cards and insurance are with USAA so I save a bit there. The credit card payments are where all the leftover money gets allocated so they vary. They will never receive less than the amount of my aug10 promotion.
On a side note: www.zillow.com puts my house worth about $102k.
This is transferred from my Excel product where I "spend it on paper first."
If you want to read the few comments over there, here's the link:
www.notmsnmoney.proboards.com/index.cgi?board=finance&action=display&thread=14470

[mizbear]

nidena- May I ask a question to make sure I am rading correctly-
This is breaking everything between 2 pays correct?

I think you are definitey on the right track with trying to cut the cable/landline/internet- but you may find that if it is a bundle pack it won't be that great a deal. You may be better to go to a less expensive for the cell phone. Or if everything is with the same company, can you bundle that in too?
As I recall, you coupon some, and I don't remember how large your family is- so I don't know how close a $200/month grocery budget is.

Great job racing those credit cards down!
Is anything going into savings?

[nidena]

I called Verizon about the bundle yesterday--I can go to internet only for about $50/mo. My cell will go down again when I revert back to a smaller messaging plan. I had to bump it up while I was out of town and "conversing" with the man who is now, without a doubt, my ex BF--it was iffy while I was gone.
My family is me and three furbabies.
I'm not putting anything to savings right now. My EF is sitting at $1000 and I have $6000 in TSP. Until the CCs are gone, I'm focused on that. After that, I move on to Baby Step 3/Fully Funded EF.

[mizbear]

Is it possible to bring your grocery bill down then?

Also, is anything over the monthly being applied to the principal on your debts? I know that I used to need to write a separate check and note in the memo- Apply to principal.

Sorry about the BF- but furbabies are extremely loyal.

I would suggest that anything you don't use in your monthly categories (car mx, groceries, etc)- stick it in your EF- it will help increase it a little at a time. You figure if you always put $350 in car maintenance and don't use it- that is $350 every month you don't use it.

[nidena]

I don't plan on increasing my EF until my CCs are paid off. My job is pretty secure (one good thing about military) so $1000 is pretty sufficient and should due for another eight months or so. My grocery bill includes all things that I buy at the Commissary. I buy almost nothing in civilian grocery stores. They're too expensive. lol. Nothing above the principle on the home debts...yet...that'll come after the Fully Funded EF. I will look at what I actually spend at the grocery store. I'm sure I can carry over from one paycheck to the other and take out less each subsequent check.

[salserabarby]

I think your budget looks great. I don't think your grocery bill is too high at all. You might be able to maybe reduce it a bit considering that your shopping at the Commissary.
Are your credit cards amounts the minimum due or is that what you plan on paying? If I do the math correctly you still have over $900 left over. What's the plan for that?

[nidena]

I take it with a grain of salt. I know they're gonna be difficult so I just go with the flow and don't argue. I know what parts I'm firm on (gym) and what parts I will adjust (misc, groceries, cable).

[twinmama85]

if you are following the Baby Steps by Dave Ramsey then you are on the right track, everything looks good...may i ask, are you in the military (kind curious since you have a TSP) or are you a federal employee?if so, and you are on a military installation, cant u use the gym on base?that would save a ton of cash, almost $1200/year! i am active duty btw

we only have a $1000 EF and its staying that way til we are debt free...we are following Ramsey's plan to the T...i dont know if u are following that or not

[lilyofcourse]

I have an idea and I know it isnt a popular one but you might try it. Stop using credit cards. Just dont use them at all. If you havent got the cash for it then you dont need it. I havent had a credit card for 15 yrs. I have no debt. I have a debit card that sometimes has cash on it if I am going out of town and need the card to hold a room or something like that. But no credit card.

I just dont get the dependence on credit cards.

[lilyofcourse]

And 99 bucks to go to a gym? That's $100 a month for what? Walk or jog. Exercise at home. Plus the gas and probably parking fees for using your car to go someplace and do something you can do in your own neighborhood.

[CarolinaKat]

Oct 11, 2011 7:23:19 GMT -5 lilyofcourse said:

I have an idea and I know it isnt a popular one but you might try it. Stop using credit cards. Just dont use them at all. If you havent got the cash for it then you dont need it. I havent had a credit card for 15 yrs. I have no debt. I have a debit card that sometimes has cash on it if I am going out of town and need the card to hold a room or something like that. But no credit card.

I just dont get the dependence on credit cards.

I can't speak for everyone, but I think really really hard before I spend anything on a CC. There is also a charge sheet online that helps me catagorize my spending. If i'm using cash, it'll just disappear and I have no idea where it went/how it was spent. Keeping up with recipts is really really hard for me.

[twinmama85]

i agree with lily, we dont have CC anymore, they are gone and we will never have a CC again, they are too much trouble and even if you are "good with credit cards, pay them off monthly" you end up spending more money than with cash. you can use cash, you just need to be disciplined with your money, i.e., right it down in a check register or something ;D

[CarolinaKat]

Oct 11, 2011 8:56:44 GMT -5 twinmama85 said:

i agree with lily, we dont have CC anymore, they are gone and we will never have a CC again, they are too much trouble and even if you are "good with credit cards, pay them off monthly" you end up spending more money than with cash. you can use cash, you just need to be disciplined with your money, i.e., right it down in a check register or something ;D

It's great that works for you! What I'm doing works for me. That's why it's called 'personal finance.' I was just offering my reasoning to lily and other as to why I use them as I do.

ETA: 'Fun money' is in cash as a general occurance

[lilyofcourse]

Oct 11, 2011 7:31:26 GMT -5 CarolinaKat said:

Oct 11, 2011 7:23:19 GMT -5 lilyofcourse said:

I have an idea and I know it isnt a popular one but you might try it. Stop using credit cards. Just dont use them at all. If you havent got the cash for it then you dont need it. I havent had a credit card for 15 yrs. I have no debt. I have a debit card that sometimes has cash on it if I am going out of town and need the card to hold a room or something like that. But no credit card.

I just dont get the dependence on credit cards.

I can't speak for everyone, but I think really really hard before I spend anything on a CC. There is also a charge sheet online that helps me catagorize my spending. If i'm using cash, it'll just disappear and I have no idea where it went/how it was spent. Keeping up with recipts is really really hard for me.

That's just it. It makes you hyper aware that you have to hang on to your money. If you dont have the cash you dont get the goodie. I know it's very money in the mattress but really when you've gone for two months eating nothing but cereal and bologna sandwiches because you didnt plan and save properly in the beginning then you get the point.

Needs before wants.

Needs= I must have it to maintain living on the planet.
Wants= I can live without it.

[lilyofcourse]

It's great that works for you! What I'm doing works for me. That's why it's called 'personal finance.' I was just offering my reasoning to lily and other as to why I use them as I do.

ETA: 'Fun money' is in cash as a general occurance{/quote]

Well sorry to say then but you'll be one of those paying cc bills for all eternity and never see the end of it.

And if you have money for "fun" you have money to use instead of a cc. That charges interest. Cash doesnt charge interest.

and what are all the electronically dependent people going to do if the power goes out for more than a day or two? It did that here for over a week one winter. It was sad and scary going to the store as the only transactions that could be made were cash. Couldnt get any from the ATM either.

[CarolinaKat]

Oct 11, 2011 12:46:30 GMT -5 lilyofcourse said:

It's great that works for you! What I'm doing works for me. That's why it's called 'personal finance.' I was just offering my reasoning to lily and other as to why I use them as I do.

ETA: 'Fun money' is in cash as a general occurance{/quote]

Well sorry to say then but you'll be one of those paying cc bills for all eternity and never see the end of it.

And if you have money for "fun" you have money to use instead of a cc. That charges interest. Cash doesnt charge interest.

and what are all the electronically dependent people going to do if the power goes out for more than a day or two? It did that here for over a week one winter. It was sad and scary going to the store as the only transactions that could be made were cash. Couldnt get any from the ATM either.

Cash disappears when my wallet is stolen. CC's get called and cancelled and a new one arrives in the mail with no money lost to me. (Actually, they were very nice about it) A credit-card means I don't have to give out banking information to vendors when I order medicine for my pets my vet doesn't stock/a piece of replacement wedding china (discontinued) for my mom's birthday/set the phone bill on autopay so I don't have a late fee. I don't have panic attacks when I can't find a CC that I know I had yesterday but can't find today, if it doesn't turn up call and freeze it and get a new one. I don't need the stress of worrying 'where' the grocery money is.

I have a purpose for both cash and CC in my life. I understand you don't, it's great you have a system that works well for you. Unfortunately you don't understand that I do as well. I apologize if what works for me offends you, it was not meant to offend, only to offer a different point of view.

(And when the power goes out, we go to the family member who has power, which was ME after Irene. Most people I know have a 'bad weather stash of cash' for just the event you describe; lots of us also have food and water and generators and gas on hand. Welcome to Hurricane country)

ETA: Where did is say I paid interest? I do on my car and my Student loans, but not groceries and gas

[lilyofcourse]

You use a cc card for groceries and gas? Oh Lord.

No it doesnt offend me I just dont understand the leash of cc's.

and you dont any interest on your cc's? that's hard to believe.

[CarolinaKat]

I pay in full before the end of the grace period. There's interest if I let the grace period expire. I don't spend money before it's in the bank so I've not had a problem there.

[42er]

Did I miss something? You are spending $200/month on groceries? I only dream of that. We are averaging $180-$225 a week. A few years back I would have thought $160 was excessive. Groceries have gone up SO much!!

[42er]

I pay in full before the end of the grace period.

Seems a lot of people do that. The whole months expenses are listed in one place and they write one check to pay it all. I have thought of doing it - but I've been to scared to actually try it. I'm afraid I wouldn't keep a running tally and at the end of the month run low on cash. Somehow I feel like I need to see the pile of cash dwindling daily so I always know exactly where I stand.

[twinmama85]

as dave ramsey would say, "he has never talked to a millionaire who said he became a millionaire because of the free hats, shirts, and points from their credit card" and i follow that so we are cash/debit only here ;D

[twinmama85]

Oct 11, 2011 13:39:01 GMT -5 CarolinaKat said:

Oct 11, 2011 12:46:30 GMT -5 lilyofcourse said:

It's great that works for you! What I'm doing works for me. That's why it's called 'personal finance.' I was just offering my reasoning to lily and other as to why I use them as I do.

ETA: 'Fun money' is in cash as a general occurance{/quote]

Well sorry to say then but you'll be one of those paying cc bills for all eternity and never see the end of it.

And if you have money for "fun" you have money to use instead of a cc. That charges interest. Cash doesnt charge interest.

and what are all the electronically dependent people going to do if the power goes out for more than a day or two? It did that here for over a week one winter. It was sad and scary going to the store as the only transactions that could be made were cash. Couldnt get any from the ATM either.

Cash disappears when my wallet is stolen. CC's get called and cancelled and a new one arrives in the mail with no money lost to me. (Actually, they were very nice about it) A credit-card means I don't have to give out banking information to vendors when I order medicine for my pets my vet doesn't stock/a piece of replacement wedding china (discontinued) for my mom's birthday/set the phone bill on autopay so I don't have a late fee. I don't have panic attacks when I can't find a CC that I know I had yesterday but can't find today, if it doesn't turn up call and freeze it and get a new one. I don't need the stress of worrying 'where' the grocery money is.

I have a purpose for both cash and CC in my life. I understand you don't, it's great you have a system that works well for you. Unfortunately you don't understand that I do as well. I apologize if what works for me offends you, it was not meant to offend, only to offer a different point of view.

(And when the power goes out, we go to the family member who has power, which was ME after Irene. Most people I know have a 'bad weather stash of cash' for just the event you describe; lots of us also have food and water and generators and gas on hand. Welcome to Hurricane country)

ETA: Where did is say I paid interest? I do on my car and my Student loans, but not groceries and gas

ok thats goofy, how many times are you gonna get mugged? its not liike you have to carry around $2000 cash all the time and debit cards work the same as credit cards but it takes it straight out of your acct....what will happen if one month, you have something happen and you already have expenses on the CC and decide to leave it there because you need the money to pay for your problem???im hoping you have an EF at least and not using a CC as an EF.

for us, we follow dave ramsey's plan 100%, we are not dave ramsey lite or otherwise. we made a commitment to become and stay debt free and not use credit so that is why we dont have CC anymore and my debit card works just fine. i can rent a car, buy online, and so forth. the visa/mastercard debit cards have the same protection as the CC.

good on you for playing the bank's game and i hope it works out for ya

[CarolinaKat]

Oct 11, 2011 22:59:44 GMT -5 twinmama85 said:

Oct 11, 2011 13:39:01 GMT -5 CarolinaKat said:

ok thats goofy, how many times are you gonna get mugged? its not liike you have to carry around $2000 cash all the time and debit cards work the same as credit cards but it takes it straight out of your acct....what will happen if one month, you have something happen and you already have expenses on the CC and decide to leave it there because you need the money to pay for your problem???im hoping you have an EF at least and not using a CC as an EF.

for us, we follow dave ramsey's plan 100%, we are not dave ramsey lite or otherwise. we made a commitment to become and stay debt free and not use credit so that is why we dont have CC anymore and my debit card works just fine. i can rent a car, buy online, and so forth. the visa/mastercard debit cards have the same protection as the CC.

good on you for playing the bank's game and i hope it works out for ya

Something DID happen this month. I was in a bad car wreck. Hospital copays, x-ray bills, and car insurance deductibles are a total pain but they are no reason not to pay my CC in full. This is why you have an EF. This is why you don't spend money you don't have. This is why savings is a line-item in the budget. Newsflash, I'd still have to pay all of those things and my groceries and my electric bill if I didn't have a CC, but it's a hell of a lot easier to swipe a credit card when you're being evaluated for a head injury than to worry about not have enough cash in your checking account to cover the copay. Forget getting to a computer/bank to get the money transferred over from savings before you've been evaluated. No $15 overdraft fee if you're short $10.

No thanks on cash/debit only. I agree with Daphne, it's much less stressful FOR ME the fewer places I have my bank account information out in the world. It's wonderful the DR works for you. Just because I chose something different doesn't make either of us wrong.