Since I seem to be starting a new phase in my life, Trying to live on less and be more frugal, I also am working on become debt free within a year. I owe a good amount in credit cards and medical bills and want to pay it all off so that I can save for a house. The last year has been pretty tight with no extra money to pay these things down/off because I've been out of work and my salary has been cut. This past April I started using coupons and reading many blogs and articles and saving money, paying off debt and being frugal and it has really helped.
I've been cutting back so much that I was just able to pay $700 of my medical bills. It's not alot but it's a start. There's a few things that will be happening over the next month that will greatly help in my debt free mission. First, I just finished paying off a bank loan so that will give me $65 more a month. Second, I only have one car payment left :) so that will give me $377 more a month. Third, Hopefully I will be returning to work soon which means no more Cobra Health Insurance payments which will give me $400 more a month. Fourth, Returning to work will increase my salary 40% which will give me $2000 more a month.
The way I'm thinking about things is if I continue to live very Frugally with all the extra money I will be getting($2842) monthly I should be able to pay off my approx $10,000 Debt in 12 months. I am going to have to be real tough with myself and it defiantly won't be easy but it'll be worth it if I can buy a house in five years. I will continue to update my progress as I go along!
1 comments:
good luck with this! We're trying to do the same thing and it's taking us time. We hope to have all of our debt paid off by the end of the year. Seriously, I wish ya luck!! :-)
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