Since you all asked for it, I thought I’d update you all on the budget.
October is the first month of our new budget…as a recap:
-pay cash for everything (except online bills which come directly out of the account).
-only spend money that has been accounted for in the budget.
-maximize debt payoff (car and student loans).
-set up and establish our emergency fund ($1000).
Some things are much harder than others. Before, if I wanted to treat myself to something (we’re not talking huge here…a pumpkin spice latte, a treat, etc), it was no big deal. Now, I only have $20 blow money this month, so I can’t just do that.
Also, all of our cash is divided up into envelopes. So, each trip to the grocery store or out to eat, for example, must be accompanied by the corresponding envelope. It’s tough to remember. This week was the first week Mr. Serious forgot the grocery envelope. He used the debit card and we will reconcile our envelopes.
Target trips are such a serious temptations. Like brutal and borderline unfair. For example, when my sister was here, we went to Target for her birthday present, Natalie’s and Isabelle’s birthday presents, laundry detergent and diaper rash cream. I walked in and saw the $1 cookie sprinkles. I touched them. I had to have them. Then I realized that I didn’t have a $1 for them, and I sulked and put them back!
Once it was time to pay for everything, I had to use three separate transactions. Diaper rash cream went on the flex spending account, laundry detergent came out of the “cleaning envelope” and the gifts came out of the “birthday/gift envelope.” Fortunately, the cashier was super nice and understanding (she actually thanked me for my patience!)
We’ve also had some other unexpected things, like two electric bills due this month. I tried to call and change the billing date and they wouldn’t have it, so we had to figure that out, too.
Otherwise, I think we are on course. We might even have a little extra money left over at the end of the month. If we do, we are going to pay it towards the van. We hope to have it paid off by mid-2010 (if not earlier).
On the student loan front, we are only paying the minimum as we hope to get the rest of the debt cancelled or significantly reduced because I have been teaching at a Title One school for 5 years.
And, the second mortgage has been paid off. WOO HOO! We got the paper work earlier this week and it is now hanging on our fridge.
So, there you have it. The mid-October 2009 update.
Thoughts? Opinions? Ideas? They will be greatly appreciated!
(And, I’m still looking for more sources of free Starbucks gift cards…I love those PSLs and my $20 will only buy 4 of them!!)
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