Congratulations to the Dave Ramsey team!
If you haven't heard already, Dave will be on cable soon. Too bad I don't have cable!
http://www.daveramsey.com/etc/cms/dave_fox_business_network_7703.htmlc
Thursday, September 27, 2007
Monday, September 17, 2007
Guest Post Time!
No, this is not Debra...she was good enough to let me take time from chattering about who would win, Eastwood vs. Mifune, on my blog to talk about something debt-related on here.
Anyway, we were having a discussion on the morality of debt. Is debt sinful? Is it wrong to have debt, or to take on debt? ¿Qué dice la Biblia?
This is the commonly cited text among those inclined to say borrowing is sin. It certainly states its point bluntly enough, but as KCBTers will no doubt recall, the three rules of Bible study are 1. Context, 2. Context, and 3. The Minor Prophets Are Not That Boring, Honestly. So with that in mind let's check out the context!
It doesn't appear to me that verse 8 is the beginning of an unrelated thought; in context with verse 7 it makes perfect sense. Paul is exhorting Christians to give those in authority the taxes AND the honour that they are due. Basically, don't stiff the IRS! If you owe them taxes, pay them. If you owe anyone anything, see that you pay it. Don't borrow $20 from your friend and fail to pay it. To me these seem to deal more with the idea of some extreme forms of bankruptcy, than the immorality of lending and borrowing, but that is an entirely different, and hairier, discussion. With this context I could agree that verse 8 specifies a command, disobedience to which would be sin, because the non-payment of a debt to one's neighbor is tantamount to stealing from him, just as the past promise that one would pay is retroactively turned to an instance of bearing false witness.
That said, I do think the Bible has a lot to say about the foolishness of debt. The Proverbs are packed to the sodding brim with comparative statements on how the wise man and the fool handle their respective finances, the latter being quick to waste, spend, borrow, and cosign! I think these sorts of admonitions are more principles and warnings than commandments; obviously the Bible doesn't say you should not spend money, but it warns that if you spend too freely you may end up poor, and a fool! There is no arbitrary point of what level of spending is foolish and what is within the parameters for wise money handling, but it is a general guiding principle. Likewise I believe that borrowing persay is not sin, but is a practice that can be easily abused.
As an illustration, imagine a credit card as a loaded gun. In the hands of a majority of people, it represents a grave danger, both to themselves and their family, if they are ignorant of its operation and not of a temperament such to safely own and operate it. There is a minority (police officers for example) that are able to use it properly and safely, and in their hands it poses no potential for evil. The gun/credit card is amoral in this manner; there is nothing inherently evil in either the gun or the credit card, but both are capable of great evil if they fall into the hands of either an evil person or an ignorant person. Perhaps we should have a 21 year old age requirement, background checks, and a seven day waiting period for credit cards?
The philisophical problem that brought me to this discussion was the idea of mortgages. Ramsey is on record as being in favour of buying a house in cash, but making allowances for mortgages and recommending the 15-year (I recommend the 15-year too...Laphroaig 15-year, that is)(wacka wacka). Having heard from some corners of Christendom that debt is sin, this attitude kind of broke my brain temporarily. If debt is sin, it is sin, and it doesn't matter if you borrow 50 cents for a coke, borrow $2000 for a vacation, or $100K for a house, it is the same. So take the following example:
Mr. A: Excuse me, Mr. B, could I borrow pencil my good man?
Mr. B: Well...no actually. I would find that outrageously immoral.
Mr. A: I really just need it for a second to fill in this form, are you sure?
Mr. B: Sorry, all lending is wrong according to the Bible; I'd be more than happy to give it to you, but I still need it for this afternoon.
Mr. A: Well, blast it, I've got to go back downstairs to my desk and get another then.
Mr. B: Hang on a second! Perhaps I could simply give it to you, and then you could decide a few minutes later to give ME the pencil in kind?
Mr. A: Oh, great! Thanks very much! I'll have it back to you shortly!
Mr. B: Well, I certainly outfoxed God, didn't I! He never should have made me so smart!
It's a silly illustration, but if you adopt the belief that borrowing and lending is innately immoral and sinful, you will either believe lending a pencil to a friend is sin, or you will attach a clause to that belief allowing for exceptions such as this one, which opens up a logical hornet's nest so to speak.
Pardon the lack of direction in the post, I'm flitting back and forth like a luded-up hummingbird. Basically, as I read it, the Bible doesn't say you are committing sin if you dive headfirst into the Deep End of the Debt Pool. It just says you are an idiot. I'm not sure which is harder to hear!
Feel free to discuss, chastise, take issue, rebut, agree, excoriate, or wage intellectual jihad on me in the Comments section; honestly I'm not at all as certain on these things as I sound, and I'm open to learning I had it all (or partially) wrong. It is a confusing topic and the lack of cohesiveness in my post is symptomatic of my tenuous grasp of the subject.
Cheers,
The Irascible Neufonzola
Anyway, we were having a discussion on the morality of debt. Is debt sinful? Is it wrong to have debt, or to take on debt? ¿Qué dice la Biblia?
Owe no man any thing, but to love one another: for he that loveth another hath
fulfilled the law. Romans 13:8
This is the commonly cited text among those inclined to say borrowing is sin. It certainly states its point bluntly enough, but as KCBTers will no doubt recall, the three rules of Bible study are 1. Context, 2. Context, and 3. The Minor Prophets Are Not That Boring, Honestly. So with that in mind let's check out the context!
Render therefore to all their dues: tribute to whom tribute is due; custom to
whom custom; fear to whom fear; honour to whom honour. Romans 13:7
It doesn't appear to me that verse 8 is the beginning of an unrelated thought; in context with verse 7 it makes perfect sense. Paul is exhorting Christians to give those in authority the taxes AND the honour that they are due. Basically, don't stiff the IRS! If you owe them taxes, pay them. If you owe anyone anything, see that you pay it. Don't borrow $20 from your friend and fail to pay it. To me these seem to deal more with the idea of some extreme forms of bankruptcy, than the immorality of lending and borrowing, but that is an entirely different, and hairier, discussion. With this context I could agree that verse 8 specifies a command, disobedience to which would be sin, because the non-payment of a debt to one's neighbor is tantamount to stealing from him, just as the past promise that one would pay is retroactively turned to an instance of bearing false witness.
That said, I do think the Bible has a lot to say about the foolishness of debt. The Proverbs are packed to the sodding brim with comparative statements on how the wise man and the fool handle their respective finances, the latter being quick to waste, spend, borrow, and cosign! I think these sorts of admonitions are more principles and warnings than commandments; obviously the Bible doesn't say you should not spend money, but it warns that if you spend too freely you may end up poor, and a fool! There is no arbitrary point of what level of spending is foolish and what is within the parameters for wise money handling, but it is a general guiding principle. Likewise I believe that borrowing persay is not sin, but is a practice that can be easily abused.
As an illustration, imagine a credit card as a loaded gun. In the hands of a majority of people, it represents a grave danger, both to themselves and their family, if they are ignorant of its operation and not of a temperament such to safely own and operate it. There is a minority (police officers for example) that are able to use it properly and safely, and in their hands it poses no potential for evil. The gun/credit card is amoral in this manner; there is nothing inherently evil in either the gun or the credit card, but both are capable of great evil if they fall into the hands of either an evil person or an ignorant person. Perhaps we should have a 21 year old age requirement, background checks, and a seven day waiting period for credit cards?
The philisophical problem that brought me to this discussion was the idea of mortgages. Ramsey is on record as being in favour of buying a house in cash, but making allowances for mortgages and recommending the 15-year (I recommend the 15-year too...Laphroaig 15-year, that is)(wacka wacka). Having heard from some corners of Christendom that debt is sin, this attitude kind of broke my brain temporarily. If debt is sin, it is sin, and it doesn't matter if you borrow 50 cents for a coke, borrow $2000 for a vacation, or $100K for a house, it is the same. So take the following example:
Mr. A: Excuse me, Mr. B, could I borrow pencil my good man?
Mr. B: Well...no actually. I would find that outrageously immoral.
Mr. A: I really just need it for a second to fill in this form, are you sure?
Mr. B: Sorry, all lending is wrong according to the Bible; I'd be more than happy to give it to you, but I still need it for this afternoon.
Mr. A: Well, blast it, I've got to go back downstairs to my desk and get another then.
Mr. B: Hang on a second! Perhaps I could simply give it to you, and then you could decide a few minutes later to give ME the pencil in kind?
Mr. A: Oh, great! Thanks very much! I'll have it back to you shortly!
Mr. B: Well, I certainly outfoxed God, didn't I! He never should have made me so smart!
It's a silly illustration, but if you adopt the belief that borrowing and lending is innately immoral and sinful, you will either believe lending a pencil to a friend is sin, or you will attach a clause to that belief allowing for exceptions such as this one, which opens up a logical hornet's nest so to speak.
Pardon the lack of direction in the post, I'm flitting back and forth like a luded-up hummingbird. Basically, as I read it, the Bible doesn't say you are committing sin if you dive headfirst into the Deep End of the Debt Pool. It just says you are an idiot. I'm not sure which is harder to hear!
Feel free to discuss, chastise, take issue, rebut, agree, excoriate, or wage intellectual jihad on me in the Comments section; honestly I'm not at all as certain on these things as I sound, and I'm open to learning I had it all (or partially) wrong. It is a confusing topic and the lack of cohesiveness in my post is symptomatic of my tenuous grasp of the subject.
Cheers,
The Irascible Neufonzola
In case of emergency
Okay, first off, I have to apologize - I get a little crazy sometimes and I love this subject so much that I can come across as a know it all, a crazy person, and a jerk all at the same time. I get so wrapped up in wanting to bury you with information that I forget to ask questions! Had I been thinking yesterday, I would have asked "what emergency are you worried about?" The three biggies: Medical emergencies, car repairs, house repairs.
Out of the three listed about, only one is a true emergency. Which one? Medical. Because we all know our bodies are going to break down, but the extent of our bodies breaking may not really be conceivable. You could easily rack up thousands of dollars in medical bills. Hopefully you have health insurance which transfers some of the risk to your insurance company. But even with health insurance, a 20% co-pay could mean a $10,000 medical bill. Emergency, you bet! Will your $1000 BEF cover it, not really. But guess who is awesome about settling bills and taking payments - the medical industry! Worst case scenario, you make payments to the hospital that saved your life. That's the one place I wouldn't mind making payments to!!
Car repairs - I know, they seemed like an emergency all those times you needed to fix your car and you were broke and didn't have the money to do it. Car repairs are not emergencies. Nope! If you know that you average $1200 in repairs a year, then car repairs need to be a part of your budget. You will want to set up a sinking fund of $100 a month just for car repairs. This is different than an emergency fund. An emergency fund is for unforeseeable events. Cars break down. We all know that. So therefore, not an emergency. Go ahead and save for it, but don't call it a part of your emergency fund. It's your car maintenance sinking fund.
House repairs - if you are renting, good for you!!! You are in a good position in that you don't have to pay for repairs. Thank your lucky stars because house repairs are pricey!! Again though, house repairs are to be expected. If you know your roof is old, and you will need to replace it in a few years, then yes, by all means, add that to your budget and start saving for it. But don't call it an emergency. An emergency, when it comes a home, is a fire, lightening strike, flood etc. In which case, hopefully you have good insurance to transfer some of the risk to your insurance company. If something trully catastophic happens, you will only need to pay your deductible. See? House repairs are not an emergency.
What if I don't have enough in my budget to cover sinking funds? What we did, is we didn't start sinking funds until just recently. But what I would suggest, is focus on getting one or two of your smallest debts paid off to give you some breathing room in your budget, THEN start sinking funds. Does this make sense?
For instance, if you have a snowball of $1000 a month, dude, go ahead and set up a sinking fund for car repairs! But if you have a snowball of $50 a month, then go ahead and focus on knocking out your smallest debt with that $50. Also, start selling stuff. Clothing, tv's, DVD's, furniture, whatever you can! Get that snowball up because the faster you get some breathing room in your budget, the sooner you can start saving up for the non-emergencies that will visit you!
What would Nic and I do if we had a true emergency? We would sell our stuff like crazy. Before we would ever go into debt, you better believe that we would not own much except maybe some clothing.
Here's what we would sell in the case of a true emergency:
1. Dining room set - would probably sell quickly for $500
2. Guitars, amps, pedals - I have no idea what these would go for, but we could get some money quickly.
3. Two bedroom sets, all of which were free to us but in really nice condition - probably could get $400
4. Couches - would not bring a lot since they were used when we got them, but hey, $50 is $50
5. Car - sell it, walk to work, car pool to church. Yep....we would do this. Maybe buy a beater for $500 which means saving the difference of our car which is worth more than that.
6. House - if it came down to it, we would sell and rent. You can rent a nice studio apartment in Raytown for $400 a month. Sweet!
Okay, I know this is a long post, but I had to get it out. I do not ever want to go into debt again, and I am willing to be a crazy person to not do it!
Okay, I'm done....thanks for reading!
Out of the three listed about, only one is a true emergency. Which one? Medical. Because we all know our bodies are going to break down, but the extent of our bodies breaking may not really be conceivable. You could easily rack up thousands of dollars in medical bills. Hopefully you have health insurance which transfers some of the risk to your insurance company. But even with health insurance, a 20% co-pay could mean a $10,000 medical bill. Emergency, you bet! Will your $1000 BEF cover it, not really. But guess who is awesome about settling bills and taking payments - the medical industry! Worst case scenario, you make payments to the hospital that saved your life. That's the one place I wouldn't mind making payments to!!
Car repairs - I know, they seemed like an emergency all those times you needed to fix your car and you were broke and didn't have the money to do it. Car repairs are not emergencies. Nope! If you know that you average $1200 in repairs a year, then car repairs need to be a part of your budget. You will want to set up a sinking fund of $100 a month just for car repairs. This is different than an emergency fund. An emergency fund is for unforeseeable events. Cars break down. We all know that. So therefore, not an emergency. Go ahead and save for it, but don't call it a part of your emergency fund. It's your car maintenance sinking fund.
House repairs - if you are renting, good for you!!! You are in a good position in that you don't have to pay for repairs. Thank your lucky stars because house repairs are pricey!! Again though, house repairs are to be expected. If you know your roof is old, and you will need to replace it in a few years, then yes, by all means, add that to your budget and start saving for it. But don't call it an emergency. An emergency, when it comes a home, is a fire, lightening strike, flood etc. In which case, hopefully you have good insurance to transfer some of the risk to your insurance company. If something trully catastophic happens, you will only need to pay your deductible. See? House repairs are not an emergency.
What if I don't have enough in my budget to cover sinking funds? What we did, is we didn't start sinking funds until just recently. But what I would suggest, is focus on getting one or two of your smallest debts paid off to give you some breathing room in your budget, THEN start sinking funds. Does this make sense?
For instance, if you have a snowball of $1000 a month, dude, go ahead and set up a sinking fund for car repairs! But if you have a snowball of $50 a month, then go ahead and focus on knocking out your smallest debt with that $50. Also, start selling stuff. Clothing, tv's, DVD's, furniture, whatever you can! Get that snowball up because the faster you get some breathing room in your budget, the sooner you can start saving up for the non-emergencies that will visit you!
What would Nic and I do if we had a true emergency? We would sell our stuff like crazy. Before we would ever go into debt, you better believe that we would not own much except maybe some clothing.
Here's what we would sell in the case of a true emergency:
1. Dining room set - would probably sell quickly for $500
2. Guitars, amps, pedals - I have no idea what these would go for, but we could get some money quickly.
3. Two bedroom sets, all of which were free to us but in really nice condition - probably could get $400
4. Couches - would not bring a lot since they were used when we got them, but hey, $50 is $50
5. Car - sell it, walk to work, car pool to church. Yep....we would do this. Maybe buy a beater for $500 which means saving the difference of our car which is worth more than that.
6. House - if it came down to it, we would sell and rent. You can rent a nice studio apartment in Raytown for $400 a month. Sweet!
Okay, I know this is a long post, but I had to get it out. I do not ever want to go into debt again, and I am willing to be a crazy person to not do it!
Okay, I'm done....thanks for reading!
Saturday, September 15, 2007
3 posts in one day?
Yes!
Sorry, it was about time for some links....
This article, wow.
I haven't mentioned this yet, but for a free, awesome forum, go to www.llnoe.com
Hopefully someday I will be able to donate to the forum. It's been a great help!
Yet another month has gone by that we did not utilize Angel Food Ministries. Maybe next month. I just can't get my act together on that one. I really do want to try it out so I can review it on here. Maybe in October?
Okay, seriously, I'm done.
Sorry, it was about time for some links....
This article, wow.
I haven't mentioned this yet, but for a free, awesome forum, go to www.llnoe.com
Hopefully someday I will be able to donate to the forum. It's been a great help!
Yet another month has gone by that we did not utilize Angel Food Ministries. Maybe next month. I just can't get my act together on that one. I really do want to try it out so I can review it on here. Maybe in October?
Okay, seriously, I'm done.
Financial goals
Here are my goals for the future. God only knows if we will achieve them, but it's good to set goals even if you don't reach them. Right?
1. Buy a 2nd car with cash in November or December 2007 - and get a GOOD deal. Definately walking in with cash and we WILL leave if they don't give us a good deal. Should be super fun!
2. Finish our Fully Funded Emergency Fund by April 2008. That will be super cool!
3. Start saving 15% of my hubby's paycheck for retirement beginning May 2008.
4. Quit my full time job, work part time, possibly look into being a financial counselor???
5. Once we have kiddos, put away $500 per kid, per year for college.
6. Pay off our house by 2017. I know, sounds crazy, may not happen, but I can be flexible!
7. Double retirement savings to 30% by 2017.
8. Retire early, like 2040, and GIVE GIVE GIVE!
9. Maybe start a fun business? With cash of course!
10. Travel lots!
Sounds like a plan!
1. Buy a 2nd car with cash in November or December 2007 - and get a GOOD deal. Definately walking in with cash and we WILL leave if they don't give us a good deal. Should be super fun!
2. Finish our Fully Funded Emergency Fund by April 2008. That will be super cool!
3. Start saving 15% of my hubby's paycheck for retirement beginning May 2008.
4. Quit my full time job, work part time, possibly look into being a financial counselor???
5. Once we have kiddos, put away $500 per kid, per year for college.
6. Pay off our house by 2017. I know, sounds crazy, may not happen, but I can be flexible!
7. Double retirement savings to 30% by 2017.
8. Retire early, like 2040, and GIVE GIVE GIVE!
9. Maybe start a fun business? With cash of course!
10. Travel lots!
Sounds like a plan!
Saturday, September 1, 2007
My second job and SantaCaliGon days
Since the last post was regarding increasing income, I thought I would post a bit about my 2nd job experience. For about a 1/3 of my adult life, I have worked two, sometimes 3 jobs. I think this stems from the fact that my dad always worked a ton of hours so I thought I was being idle if I didn't work alot. So, when I graduated college in the winter of '05, I couldn't just work full time. I immediatly (like 3 weeks after graduation) got a second job. I didn't really even give myself a chance to rest. We were not at that time trying to intensely get out of debt, but we were trying to pay cash for a vacation and I had some expenses for my sister's wedding that I needed to pay for. I ended up averaging about 52 hours a week. We were able to pay cash for the vacation (with the exception of Disneyland, which also happended to be the last thing we have put credit). I was also able to pay cash for my sister's bridal shower and the gifts that go with having a sister get married. :D
Once we heard about Financial Peace (on our vacation!) we got serious about paying off our debt. After we had paid off our two smallest debts which were a credit card and a signature loan, we realized that because we were budgeting I could have quit my second job. So in November I quit. It was awesome!
I say all this to say this: If we had been budgeting all along, I never would have needed to take on a 2nd job. But since we had no idea where our money was going each month, I felt the need to generate more income. Now, and especially since we started the class, we know where every dollar of our income is going before the month begins. It's been awesome! And because of budgeting, I rarely feel the need to go out and get a second job. Okay, so I almost applied to be a online tutor a month ago, but I fought the urge!
So this is not really Financial Peace related, but KCBT (Raytown) has a booth at SantaCaliGon. I went yesterday and helped to hand out tracts. It was fun! We had a great time talking to people. If you happen to stop by, try to find our booth - we are at Main and Lexington (east side of main, just south of Lexington). You'll get some FREE throws at Goliath for some prizes. The Goliath was good at reeling the kiddos in and then we were able to hand out tracts to the parents and the kiddos. It was a good time!
Once we heard about Financial Peace (on our vacation!) we got serious about paying off our debt. After we had paid off our two smallest debts which were a credit card and a signature loan, we realized that because we were budgeting I could have quit my second job. So in November I quit. It was awesome!
I say all this to say this: If we had been budgeting all along, I never would have needed to take on a 2nd job. But since we had no idea where our money was going each month, I felt the need to generate more income. Now, and especially since we started the class, we know where every dollar of our income is going before the month begins. It's been awesome! And because of budgeting, I rarely feel the need to go out and get a second job. Okay, so I almost applied to be a online tutor a month ago, but I fought the urge!
So this is not really Financial Peace related, but KCBT (Raytown) has a booth at SantaCaliGon. I went yesterday and helped to hand out tracts. It was fun! We had a great time talking to people. If you happen to stop by, try to find our booth - we are at Main and Lexington (east side of main, just south of Lexington). You'll get some FREE throws at Goliath for some prizes. The Goliath was good at reeling the kiddos in and then we were able to hand out tracts to the parents and the kiddos. It was a good time!
Monday, August 27, 2007
Ideas for increasing income/decreasing costs
Here are some ideas I've seen floating around the internet. I thought I would list them out here for you. If you think of any more, feel free to add to the list!
Extra Income:
Ask for a raise if it's been awhile or if your job has changed! Nic has asked for 3 raises in 5 years of working at his company, and he has received one every time he asked. It doesn't hurt to ask!
Extra Jobs:
Paper Routes
Delivering Pizzas
Delivering Phone Books
Retail Jobs
Online opportunities: Associated Content (get paid to write short articles), Cash Crate (I'm not completely sure what this is, but some online people have had great success) online tutoring, and Live Ops (work from home call center)
House cleaning
Lawn mowing
Pet sitting - My sister in law does this - visits a house once or twice a day to feed animals or take them outside. She takes her kiddos with her and sometimes goes with hubby when he gets off from work.
Contract work (like if you are an IT person, build a website for someone)
Babysitting
Decrease costs:
Cable/Internet: call your provider and see if they will lower your rate or you could drop these for just a few months.
Food: Shop at Aldi's, coupon, watch for sales, get help with Angel Food Ministries.
Cell Phones: Get a cheaper plan - get rid of land line if you never use it. Or.....gasp......drop the cell phone! Letters are cheaper and you'll end up with more time on your hands! We have a trac phone for emergencies, but in the week we have had it, we never once thought of using it. Hopefully we stay this way!
Netflix - for $10 a month Netflix is our entertainment budget. We don't have cable and this is much cheaper than cable.
I'm good with the coming up with extra jobs section, I can't really think of a whole lot of ways to decrease costs. I know there are a ton of ways to do it, I just can't think of any!
Any way, that's all for now!
Extra Income:
Ask for a raise if it's been awhile or if your job has changed! Nic has asked for 3 raises in 5 years of working at his company, and he has received one every time he asked. It doesn't hurt to ask!
Extra Jobs:
Paper Routes
Delivering Pizzas
Delivering Phone Books
Retail Jobs
Online opportunities: Associated Content (get paid to write short articles), Cash Crate (I'm not completely sure what this is, but some online people have had great success) online tutoring, and Live Ops (work from home call center)
House cleaning
Lawn mowing
Pet sitting - My sister in law does this - visits a house once or twice a day to feed animals or take them outside. She takes her kiddos with her and sometimes goes with hubby when he gets off from work.
Contract work (like if you are an IT person, build a website for someone)
Babysitting
Decrease costs:
Cable/Internet: call your provider and see if they will lower your rate or you could drop these for just a few months.
Food: Shop at Aldi's, coupon, watch for sales, get help with Angel Food Ministries.
Cell Phones: Get a cheaper plan - get rid of land line if you never use it. Or.....gasp......drop the cell phone! Letters are cheaper and you'll end up with more time on your hands! We have a trac phone for emergencies, but in the week we have had it, we never once thought of using it. Hopefully we stay this way!
Netflix - for $10 a month Netflix is our entertainment budget. We don't have cable and this is much cheaper than cable.
I'm good with the coming up with extra jobs section, I can't really think of a whole lot of ways to decrease costs. I know there are a ton of ways to do it, I just can't think of any!
Any way, that's all for now!
Friday, August 24, 2007
Not really a post
I'm trying not to jump ahead to things that will be covered later on in the class. I don't want to overload anyone with info. So I'll just post a couple of random things. Hahaha....let me rephase that. I don't want to overload the Paul family and Nic with info - my faithful readers! :D
Did I tell you that the BBQ chicken sandwiches were delicious? They were! For $10, we ended up making two dinners out of it. We bought chicken, bbq sauce, buns, and fries. $10 at a fast food restaurant would have bought one meal for us and would not have been half as good. Eating out is such a money waster! This is not even a really good example of how to save money on food.
One excellent example of a meal with low cost is beans and rice. Red beans or black beans, either one. You'll hear Dave talk about this. While we were getting rid of our consumer debt, we ate a lot of beans and rice. You could not pay me to eat them now. Well, you would have to pay me a lot to eat them now. I know that they are good and tasty, but we were eating them 2 sometimes 3 times a week and now I can't stand to think of eating them anymore. We originally had planned to make them for lunch for you all on a Sunday......but the thought of them makes me shudder just a little bit and I don't know if I will be able to bring them. I guess we could still do it and you all could eat that while Nic and I munched on a sandwhich! :D WE shall see - I don't really want to even smell them anymore! We still have two boxes in our pantry and I know we will not eat them. I should bring them on Sunday! I actually wrote all of this to encourage you to try eating them or something equally inexpensive once a week, but I realize now that I probably did not do a very good job of encouraging you. But seriously! Try it! It will do wonders for your food budget.
We definately should bring recipes one Sunday with fast easy and cheap meal ideas. Everyone could contribute.
Well, that's all for now. Have a great night and I'll see you Sunday!
Did I tell you that the BBQ chicken sandwiches were delicious? They were! For $10, we ended up making two dinners out of it. We bought chicken, bbq sauce, buns, and fries. $10 at a fast food restaurant would have bought one meal for us and would not have been half as good. Eating out is such a money waster! This is not even a really good example of how to save money on food.
One excellent example of a meal with low cost is beans and rice. Red beans or black beans, either one. You'll hear Dave talk about this. While we were getting rid of our consumer debt, we ate a lot of beans and rice. You could not pay me to eat them now. Well, you would have to pay me a lot to eat them now. I know that they are good and tasty, but we were eating them 2 sometimes 3 times a week and now I can't stand to think of eating them anymore. We originally had planned to make them for lunch for you all on a Sunday......but the thought of them makes me shudder just a little bit and I don't know if I will be able to bring them. I guess we could still do it and you all could eat that while Nic and I munched on a sandwhich! :D WE shall see - I don't really want to even smell them anymore! We still have two boxes in our pantry and I know we will not eat them. I should bring them on Sunday! I actually wrote all of this to encourage you to try eating them or something equally inexpensive once a week, but I realize now that I probably did not do a very good job of encouraging you. But seriously! Try it! It will do wonders for your food budget.
We definately should bring recipes one Sunday with fast easy and cheap meal ideas. Everyone could contribute.
Well, that's all for now. Have a great night and I'll see you Sunday!
Thursday, August 23, 2007
One more thing
Okay, 2 posts in one day. Go me!
Something just dawned on me.
For some, doing this budget thing might be hard. The decisions you have to make will be really difficult and you may not like it.
This may be painful. Really painful. Maybe it's not - maybe it's a piece of cake. But if I remember correctly, our first attempts were not super fun.
Just keep in mind - it's not the budget that is hurting you. It's your debt. Every time you make a decision that is painful just remind yourself that the pain you feel is not because we are making you do a budget - the pain is from the bondage you are in. If you are debt (and Nic and I are, mortgage debt) the Bible says you are a servant. You have a master, and it's not a benevolent one.
The budget makes us painfully aware of our condition. Nic and I and some in our class have loosened the chains, and it feels wonderful! We can move again, we can BREATHE again. But we are not yet free. Mortgage debt is debt nonetheless and we intend to attack it with a vengence. Our heavenly Father wants us to be free - but it will take hard work and determination on our part. With many prayers, and many tears, He will get us through.
Okay, sorry, that wasn't the lighthearted post I intended it to be, so Iwill end with this. My husband is the greatest and he made us BBQ chicken sandwiches which I am now going to devour. Yummy!!!!
Okay, seriously guys, I'm not posting again........have a good night!
Something just dawned on me.
For some, doing this budget thing might be hard. The decisions you have to make will be really difficult and you may not like it.
This may be painful. Really painful. Maybe it's not - maybe it's a piece of cake. But if I remember correctly, our first attempts were not super fun.
Just keep in mind - it's not the budget that is hurting you. It's your debt. Every time you make a decision that is painful just remind yourself that the pain you feel is not because we are making you do a budget - the pain is from the bondage you are in. If you are debt (and Nic and I are, mortgage debt) the Bible says you are a servant. You have a master, and it's not a benevolent one.
The budget makes us painfully aware of our condition. Nic and I and some in our class have loosened the chains, and it feels wonderful! We can move again, we can BREATHE again. But we are not yet free. Mortgage debt is debt nonetheless and we intend to attack it with a vengence. Our heavenly Father wants us to be free - but it will take hard work and determination on our part. With many prayers, and many tears, He will get us through.
Okay, sorry, that wasn't the lighthearted post I intended it to be, so Iwill end with this. My husband is the greatest and he made us BBQ chicken sandwiches which I am now going to devour. Yummy!!!!
Okay, seriously guys, I'm not posting again........have a good night!
Yes! It's Thursday!
Only 3 more days left until another installment of Financial Peace University!
Due to the overwhelming response (hehehe, okay, one person) I am posting something else. Someone from our class sent a funny link to my husband today regarding debt, but unfortunately I can't get the link to work! Hmmmm.....
This article details the top ten money drains. It's not the big things, it's the little things. My two traps - vending machines and eating out! We only eat out on average once per week now, but if I had my way it would be every day! Thankfully, the logical part of me won't let me spend a fortune on this, but I do spend my small amount of blow money on eating out. Also, it doesn't help that my office is litterally surrounded by vending machines. Ooooohhh..the temptation! I try not to carry change or dollar bills on me - it's way too tempting to get a Coke and a Snickers!
Speaking of blow money - trust me - you need blow money! Even if it's a small amount. My blow money is usually just like $20 a month - if that. But it helps me when I want something and I can take it out of my blow money. Don't say to yourself, I don't need that category, I'm disciplined. You WILL overspend in this area if you don't have a set amount before the month begins. Blow money helps alot - it helps you to keep up the intensity over the course of your journey. Blow money is what kept us going - if we didn't have that we would have lost steam months ago! I don't think this category is on the quickie budget, but when we do our zero based budget next week it will be.
I'm too tired to post much of any substance, so instead I'll leave you with some links.
Click here to read a success story with a bitter sweet ending.
Click here to watch a video that inspires me to keep on going! Just think of what we could do if we were free to GIVE like no one else!
Alright, some dishes are calling my name. Have a great day!
Due to the overwhelming response (hehehe, okay, one person) I am posting something else. Someone from our class sent a funny link to my husband today regarding debt, but unfortunately I can't get the link to work! Hmmmm.....
This article details the top ten money drains. It's not the big things, it's the little things. My two traps - vending machines and eating out! We only eat out on average once per week now, but if I had my way it would be every day! Thankfully, the logical part of me won't let me spend a fortune on this, but I do spend my small amount of blow money on eating out. Also, it doesn't help that my office is litterally surrounded by vending machines. Ooooohhh..the temptation! I try not to carry change or dollar bills on me - it's way too tempting to get a Coke and a Snickers!
Speaking of blow money - trust me - you need blow money! Even if it's a small amount. My blow money is usually just like $20 a month - if that. But it helps me when I want something and I can take it out of my blow money. Don't say to yourself, I don't need that category, I'm disciplined. You WILL overspend in this area if you don't have a set amount before the month begins. Blow money helps alot - it helps you to keep up the intensity over the course of your journey. Blow money is what kept us going - if we didn't have that we would have lost steam months ago! I don't think this category is on the quickie budget, but when we do our zero based budget next week it will be.
I'm too tired to post much of any substance, so instead I'll leave you with some links.
Click here to read a success story with a bitter sweet ending.
Click here to watch a video that inspires me to keep on going! Just think of what we could do if we were free to GIVE like no one else!
Alright, some dishes are calling my name. Have a great day!
Monday, August 20, 2007
More budget stuff
Can't....help.....myself.......must....post. This is my first attempt at a blog, and I have to admit, it's quite addicting! Actually, the addicting part is that I love talking about this topic! If I were to write about my daily life, I would not be able to think of anything to write about. But since this blog has to do with personal finance I tend to have too many things to write about!
I hope you all are at home working diligently on your budget! Who am I kidding, most of you did not (like me) RUN home yesterday, read the 4 chapters in the book, fill out the quickie budget, and then go on with your day. I have a feeling that some of you will be filling out your quickie budget on Sunday morning before class! That's okay - most of you are not as nerdalicious as me! I really, really love this stuff!
Back to budgets......remember - it won't be perfect, and for some, it may not be pretty. But it's a start - and that's what this class is all about: Giving you the tools and the know how to get a jump start on changing your finances for good. So just give it a try! You don't have anything to lose!
One thing. Maybe some of you have variable incomes. I want to go over that because I did not do a great job explaining on Sunday. If you have a variable income, you will need to write out a list of priorities. For example, here's what one list might look like:
1. Giving ($25)
2. Food ($250)
3. Electricity, water, gas ($125)
4. Mortgage or Rent ($600)
5. ......
6. ......
7. Credit Card 1 ($25)
8. Credit Card 2 ($35)
9. Baby Emergency Fund ($100)
10. Clothing money ($40)
11. Blow money ($20)
So, with a variable income, here's how this thing works. As you get money in, ALL of it goes towards number one until you reach $25. Then all of the next amount of money you get goes towards number two - you have to eat! Eating needs to be a priority! Once you hit your food budget for the month, then you move on to number three. After that, if there is money left over, it immediatly goes towards number 4 - Rent. Then on down the list. Some months, you will get farther down the list than other months. Somewhere on the list will be a spot for whatever step you are on. If you are working on getting current and setting up your Baby Emergency Fund then maybe number 9 your money goes towards that.
Clear as mud?
For you all fixed income people, well, yours will be different as you know what you bring in each month.
We'll work on a zero based budget next week, and that's when we will really get into the budget. Right now, all you have to concern yourself with is the quickie budget. Have fun!!
I hope you all are at home working diligently on your budget! Who am I kidding, most of you did not (like me) RUN home yesterday, read the 4 chapters in the book, fill out the quickie budget, and then go on with your day. I have a feeling that some of you will be filling out your quickie budget on Sunday morning before class! That's okay - most of you are not as nerdalicious as me! I really, really love this stuff!
Back to budgets......remember - it won't be perfect, and for some, it may not be pretty. But it's a start - and that's what this class is all about: Giving you the tools and the know how to get a jump start on changing your finances for good. So just give it a try! You don't have anything to lose!
One thing. Maybe some of you have variable incomes. I want to go over that because I did not do a great job explaining on Sunday. If you have a variable income, you will need to write out a list of priorities. For example, here's what one list might look like:
1. Giving ($25)
2. Food ($250)
3. Electricity, water, gas ($125)
4. Mortgage or Rent ($600)
5. ......
6. ......
7. Credit Card 1 ($25)
8. Credit Card 2 ($35)
9. Baby Emergency Fund ($100)
10. Clothing money ($40)
11. Blow money ($20)
So, with a variable income, here's how this thing works. As you get money in, ALL of it goes towards number one until you reach $25. Then all of the next amount of money you get goes towards number two - you have to eat! Eating needs to be a priority! Once you hit your food budget for the month, then you move on to number three. After that, if there is money left over, it immediatly goes towards number 4 - Rent. Then on down the list. Some months, you will get farther down the list than other months. Somewhere on the list will be a spot for whatever step you are on. If you are working on getting current and setting up your Baby Emergency Fund then maybe number 9 your money goes towards that.
Clear as mud?
For you all fixed income people, well, yours will be different as you know what you bring in each month.
We'll work on a zero based budget next week, and that's when we will really get into the budget. Right now, all you have to concern yourself with is the quickie budget. Have fun!!
Sunday, August 19, 2007
Day 1 - Super Savers
I can't wait until all of you get your Baby Emergency Funds of $1000 or $500!!! I got excited about the BEF (baby emergency fund) all over again today!
Budgets - if you have a question, feel free to post - you can post anonymously if you like. Remember, your questions and the answers to them will help anyone who reads this.
Speaking of, Joel mentioned in class today his testimony about how their A/C broke and how they are NOT going to use credit to fix it! AWESOME! Read more about this at Joel's blog here.
We forgot to get accountability partners - (buddy system) - so I will e-mail all of you this week the contact information so that we can get this set up.
Have a great day!
- The Debtoneufer -
Budgets - if you have a question, feel free to post - you can post anonymously if you like. Remember, your questions and the answers to them will help anyone who reads this.
Speaking of, Joel mentioned in class today his testimony about how their A/C broke and how they are NOT going to use credit to fix it! AWESOME! Read more about this at Joel's blog here.
We forgot to get accountability partners - (buddy system) - so I will e-mail all of you this week the contact information so that we can get this set up.
Have a great day!
- The Debtoneufer -
Saturday, August 18, 2007
Preparing for tomorrow, today
First off, I am super tired. We went down to the lake yesterday to visit my mom and dad. You may remember them - my dad was the one who brought the pontoon boat last year for our Midtown camping trip. Captain Bob is his name. Well, I am super tired. But we had lots of fun! It was a good time.
After we returned from the lake, we had to head to the store. We went to the ATM and got our cash out for the store trip, and what do you know? We only used half of it. Using cash rocks!
Tonight, I am mentally preparing myself to be ready for tomorrow. We will have to get up 10 minutes earlier to make our lunches (something we are used to doing M-F just not on Sunday) my hubby will need to put a Coke in the fridge for me to drink to stay awake, and I need to get all my stuff together to take for FPU. Side note, my hubby has to ration out soda for me. If he doesn't hide it and bring one out at a time, I will drink it all in 2 days. I know, temperance and all that jazz - I should have the self control to not drink it all - but I don't. So my hubby lovingly helps me in this area! It's kind of silly, but it's true.
Anyways, the whole point of this post was to 1. remind you that you need to bring your lunches tomorrow and 2. to point out that planning is going to be key for your success in FPU.
I know, I know, planning seems, so, well, boring, right? Well, it may be boring, but I also like to think of God as a planner. Some of the key verses God used to draw me to him involved ways he planned. When I read in Isaiah the prophecies of Jesus' death - and then found the fulfillment in the Gospels some hundred years later, I was awed because I never knew that any of that was foretold! God is quite the little planner eh? Seem as boring now? Granted, we will not be able to plan perfectly. That's not what I am saying. I'm just pointing out that to plan should not be seen as boring. It should be seen as something good - and of course the plan should be something that God can change if He so desires.
A good verse (imo) for planning?
Proverbs 3:6 In all thy ways ACKNOWLEDGE him, and he shall direct thy paths.
I was going to develop this more, but I am beat. Have a great night!
- The Debtoneufer -
After we returned from the lake, we had to head to the store. We went to the ATM and got our cash out for the store trip, and what do you know? We only used half of it. Using cash rocks!
Tonight, I am mentally preparing myself to be ready for tomorrow. We will have to get up 10 minutes earlier to make our lunches (something we are used to doing M-F just not on Sunday) my hubby will need to put a Coke in the fridge for me to drink to stay awake, and I need to get all my stuff together to take for FPU. Side note, my hubby has to ration out soda for me. If he doesn't hide it and bring one out at a time, I will drink it all in 2 days. I know, temperance and all that jazz - I should have the self control to not drink it all - but I don't. So my hubby lovingly helps me in this area! It's kind of silly, but it's true.
Anyways, the whole point of this post was to 1. remind you that you need to bring your lunches tomorrow and 2. to point out that planning is going to be key for your success in FPU.
I know, I know, planning seems, so, well, boring, right? Well, it may be boring, but I also like to think of God as a planner. Some of the key verses God used to draw me to him involved ways he planned. When I read in Isaiah the prophecies of Jesus' death - and then found the fulfillment in the Gospels some hundred years later, I was awed because I never knew that any of that was foretold! God is quite the little planner eh? Seem as boring now? Granted, we will not be able to plan perfectly. That's not what I am saying. I'm just pointing out that to plan should not be seen as boring. It should be seen as something good - and of course the plan should be something that God can change if He so desires.
A good verse (imo) for planning?
Proverbs 3:6 In all thy ways ACKNOWLEDGE him, and he shall direct thy paths.
I was going to develop this more, but I am beat. Have a great night!
- The Debtoneufer -
Wednesday, August 15, 2007
Envelope System - It's great!
Have I told you how much I love the envelope system? We just started using it, and so far, so good. It was a little scary taking cash to the grocery store though. What if we went over? We didn't. We spent less than we normally would have because we brought cash.
This is our first venture using the envelope system, and I can already tell it will be hit! While we worked to get out of debt this past year we basically followed Dave's guidelines, but we didn't follow everything and the envelope system was one of the things we didn't do. I'm also going to confess something else. Not only did we not do the envelope system, but we also did not balance our checkbook. Crazy! I know! Gearing up for this class, I realized that to be a good example I would have to start doing this again. So last week I did it. Oh my! It was so easy and such a relief to know EXACTLY how much we had in the bank after checks and debits cleared. Why didn't we do this before?
Our cash envelopes are as follow:
Grocery
Blow Money
Gifts
Clothing
So we only have four right now, and other than a hair care envelope I don't see us using more than 4 or 5.
We'll go over all this in class, I'm sure, so if you are wondering what the heck I'm talking about, don't worry.
But if you already currently use the envelope system, feel free to comment on it!
Have a great day!
-The Debtoneufer -
This is our first venture using the envelope system, and I can already tell it will be hit! While we worked to get out of debt this past year we basically followed Dave's guidelines, but we didn't follow everything and the envelope system was one of the things we didn't do. I'm also going to confess something else. Not only did we not do the envelope system, but we also did not balance our checkbook. Crazy! I know! Gearing up for this class, I realized that to be a good example I would have to start doing this again. So last week I did it. Oh my! It was so easy and such a relief to know EXACTLY how much we had in the bank after checks and debits cleared. Why didn't we do this before?
Our cash envelopes are as follow:
Grocery
Blow Money
Gifts
Clothing
So we only have four right now, and other than a hair care envelope I don't see us using more than 4 or 5.
We'll go over all this in class, I'm sure, so if you are wondering what the heck I'm talking about, don't worry.
But if you already currently use the envelope system, feel free to comment on it!
Have a great day!
-The Debtoneufer -
Monday, August 6, 2007
Financial Peace!
We're debt free!!!! And we want you to be debt free too!
As of July 11th, 2007, my husband and I are officially debt free (except for the house). I am excited about that, but I am even more excited about starting Financial Peace at Midtown! I am really looking forward to this class, and I hope that this blog will be a place where we can ask questions, get answers and encourage one another.
So.....those of you who have bought their kits, have you looked through it yet? Who loves the envelope system? I do! I do! Have you read any of the book, Financial Peace Revisted? It will be homework throughout the 13 weeks so don't feel like you have to read it now, but if you want to go for it! If you have read a bit, or looked at the workbook, did anything pop out to you?
Any questions? Are you ready to get started? I am!
Things to think about:
1. Sundays from 12-2 - yes, the time slot is rough - how will you help yourself to stay awake for the class? For our family, that is prime naptime!! I believe caffeine will be involved!
2. Lunches - start planning on what you will bring for lunches. There won't be much time in between service and our class, so start to figure out what you will bring. Remember that brown bagging it will save you money! This will be great practice for when you bring your lunch to school or work every day!
3. Start to think about what motivates you to get out of debt? Less stress? More opportunities? Our motivations? Well, I believe it's biblical, practical, and will enable us to GIVE like no one else! What are your motivations?
Okay, that's all for now. I'll be back with other info as the weeks go by. Feel free to post any questions you have about the class!
-The Debtoneufer-
As of July 11th, 2007, my husband and I are officially debt free (except for the house). I am excited about that, but I am even more excited about starting Financial Peace at Midtown! I am really looking forward to this class, and I hope that this blog will be a place where we can ask questions, get answers and encourage one another.
So.....those of you who have bought their kits, have you looked through it yet? Who loves the envelope system? I do! I do! Have you read any of the book, Financial Peace Revisted? It will be homework throughout the 13 weeks so don't feel like you have to read it now, but if you want to go for it! If you have read a bit, or looked at the workbook, did anything pop out to you?
Any questions? Are you ready to get started? I am!
Things to think about:
1. Sundays from 12-2 - yes, the time slot is rough - how will you help yourself to stay awake for the class? For our family, that is prime naptime!! I believe caffeine will be involved!
2. Lunches - start planning on what you will bring for lunches. There won't be much time in between service and our class, so start to figure out what you will bring. Remember that brown bagging it will save you money! This will be great practice for when you bring your lunch to school or work every day!
3. Start to think about what motivates you to get out of debt? Less stress? More opportunities? Our motivations? Well, I believe it's biblical, practical, and will enable us to GIVE like no one else! What are your motivations?
Okay, that's all for now. I'll be back with other info as the weeks go by. Feel free to post any questions you have about the class!
-The Debtoneufer-
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