Sian's Money Matters

Over two years ago I posted in the debt forums (

what 2 do w/the extra $100/mo in my pocket???) about what I currently had in debt that I was paying on. Then, I had a about $18,000 dollars in debt. At that time, I had another $25,000 in student loans that were deferred which I wasn't counting because I was in school. And also I had an additional $13,000 in medical collections that I didn't know about at the time.

Looking back, I've realized that I've paid off both Mastercards, job loan, 401k loan, verizon, and the library. I've paid down the old apartment and the sallie mae loan.

If it wasn't for the medical collections I actually would have paid off everything by the end of my deployment except for the car loan that I started in May 2012 and the student loans, therefore being about $45,000 in debt. But that's how things are. At least I've gotten rid of about $5,000 from when I posted over two years ago and the $13,000 of medical collections debt that I had.

That means I've actually gotten rid of $18,000 of debt so far in about two years. Now I can't recollect all the debt that I have right now but I know that it equals at about $60,000 if not more (counting the school loans) (also I'm estimating on the high side on purpose). I'll have a clearer picture when I get home. I still have the old apartment complex to pay off as well as about $10,000 of the sallie mae loan and one credit card left.

Two years ago I only had $1000 in savings and living paycheck to paycheck and worried about losing my job if they decided to downsize because my company had just been bought by another one. And I was financially frustrated because I felt I couldn't do anything that I really wanted to moneywise. I would worry about gas money for going to work much less visiting my parents even if they were less than two hours away.

Right now, I have more than $5,000 in my accounts, and I'm more than able to afford my lifestyle. I don't need to worry about gas anymore or buying groceries. It's been a huge relief having money in the bank. I will still be frugal but this time it's because I WANT to be frugal, not because I HAVE to be. There is a HUGE difference in those two words.

My current plan, I believe that I'll be debt free in about seven to ten years. Depending on what I have left to pay off. My parents are doing an awesome job with my finances. I just need to keep up the momentum. Plus when I get back I'll then be paying rent, renter's insurance, cell phone, utilities, gas and food. That's just what I know from the least.

I'm hoping that I have about $3,000 more in my savings account (which I should depending on if I pay anything else off or not) when I get home. This is my emergency fund (EF). I'll start a separate savings account for my other savings for things to buy and another for saving for a home (although my plans will include having a VA loan).

My plan is to pay off everything but leaving the federal student loans last. At that point I should be contributing fully to my retirement fund, paying off the student loans, at the max for my EF, putting money in my house savings fund, and have my home improvement fund half-funded as well. (when I buy my home I want my home improvement fund to already be set up which I'm thinking is at LEAST $5,000 although I'm thinkin it will be more).

With YNAB (you need a budget) I hope that it'll take me less than 10 years. I stop paying alimony in 3.5 years so that will help a lot. I'm looking forward to that date.

As of right now, this month I have a credit card that is approximately $650 which I'm paying off THIS month because my paycheck got fixed. My parents will probably have my other card paid off if I didn't touch it other than making the minimums. But I want to feel as if I'm doing something as well. This was of my own making and I want to feel as though I'm doing something (other than making money) to get out of it myself.

I feel a lot better about myself. More self-confident. Happy. Not financially stressed.

Free.

I feel free.

It's such a simple word but I feel it. Even if I am in Afghanistan and I still have debt to pay off...

Financially... I'm free.

My pay got fixed!!! So now I have approximately more than $3,000 coming to me in my next paycheck. My BAS (basic allowance for subsistence) has been messed up for a year. They fixed it pretty quickly, which surprised me.

I'll pay off my fourth credit card this month instead of next month. Also I've asked my parents to call the medical collection and make a settlement with them. So by the beginning of 2013 I'll have ALL of my medical collections paid off and 4 out of 5 credit cards paid off. I'll pretty much have loans left to pay.

Depending on my living situation I'll either pay off the last card by the end of March or August. I'll at least be putting $135/month towards it in March.

My credit report can start recovering and then my score can go up as well. I'm wanting to buy a house in about seven years and the collections were the last negative things on it.

YAY ME!!!

So I'm wanting to save up for home toys. I know that I will constantly be saving up for things throughout my life. Currently there are two things that I know that I would like to save up for:

$500 - $1600 - flat screen smart tv (50" at least because I plan on having this tv for at least 4-6 years) I'd prefer plasma but will get LED if I find what I'm lookin for in one.

$335 with tax - PS3 with some accessories (I've been wanting this game system for several years)

There are things that when I get back home I will purchase like a new battery and tires for my SUV. That should run me at LEAST $500. Since I already knew about this when I left I have the money for it already.

I realize that I will always have a "Fun Fund" to save for things. Even if I don't have anything to save for at the moment that will be for fun I know that sooner or later their will be something that I want. And no it won't be bought as spur of the moment if I already have the funds for it because I'm a researcher and I search for what I want and then I search for the lowest price.

I really haven't settled on a tv yet. I'd REALLY like to have a 3D Smart tv without glasses but i will settle for just a smart tv. i have netflix and hooking that up to my tv is a must because i will not pay extra for cable.

So I'm wanting to save up for home toys. I know that I will constantly be saving up for things throughout my life. Currently there are two things that I know that I would like to save up for:

$500 - $1600 - flat screen smart tv (50" at least because I plan on having this tv for at least 4-6 years) I'd prefer plasma but will get LED if I find what I'm lookin for in one.

$335 with tax - PS3 with some accessories (I've been wanting this game system for several years)

There are things that when I get back home I will purchase like a new battery and tires for my SUV. That should run me at LEAST $500. Since I already knew about this when I left I have the money for it already.

I realize that I will always have a "Fun Fund" to save for things. Even if I don't have anything to save for at the moment that will be for fun I know that sooner or later their will be something that I want. And no it won't be bought as spur of the moment if I already have the funds for it because I'm a researcher and I search for what I want and then I search for the lowest price.

I really haven't settled on a tv yet. I'd REALLY like to have a 3D Smart tv without glasses but i will settle for just a smart tv. i have netflix and hooking that up to my tv is a must because i will not pay extra for cable.

Well I'm trying to come up with ideas now so that I can have extra income later. I'm more than willing to sell some of my items. I'm not sure how I'll sell them yet.

My ultimate goal is buy a tv. After talking with some people the best idea is to buy the tv that i actually want NOW instead of upgrading from time to time. I'll save more money that way.

That's why I'm doing little things here to have enough cash to pay for half of it. That's my goal. Whatever money I earn here will be the 50% that I'll need to pay for the tv. So if I earn $500 then I can get a $1000 tv max. Unfortunately the ones that I've been looking at are about $800-$1500. But that only means that I'll either have enough to pay for it cash
(I can actually do that right now) or pay half of it upfront.

BTW, I do NOT have a television. AT. ALL. I want a 3D Smart LCD TV with WIFI. I'm not sure how big. I'm thinkin 50" though. That way whenever I upgrade where I live (such as moving to a house) I won't feel the need to get a bigger tv. Also I'm a gamer (no I don't have any systems right now) so when I save the money to buy a system I won't feel the need to get a bigger tv.

All and all I just want to buy a tv once and be DONE with it for a few years at LEAST.

I need to get both my tablets fixed (yes, I have two. one stopped working while overseas so i bought another.) So I'm going to get both fixed (one just has a cracked screen) and sell the smaller one. I only used it for three days before it stopped working.

That'll help some with of my savings for things that I want. My new "thing" is to save money for whatever item that I want.

So first thing is a sweet tv. Approximately $1500. I'll count up my monies saved here in about a week or two so that I can have a middle point. If I save more than I need then I'll just put that towards the next thing.

I do need to have a christmas fund. I'd like to have enough to give my two older daughters, my son-in-law, my granddaughter and my new grandchild that'll be here in May 2013-ish. Also I'd like to get my parents and my youngest brother and my sister-in-law presents also. I just want to get my grandchild a present for christmas this year. So I'll be shopping online for her and my kids. I plan on buying them something soon so that it'll get there before the middle of december.

Well I've been looking for a personal finance software that would allow me to budget for the present and the future. I use to have Microsoft Money but I didn't really like the way it would try to get you out of debt although I did like the look of the interface that was used with it.

Well after much searching I've found what I'm looking for because when I get home I'll need a budget that will get me out of debt as well as plan for the future: youneedabudget.com otherwise known as ynab.com

I'll have to purchase it just before I get home so that it's waiting for me and ready to use. It's one of the reasons that I can't wait to get home because I'll start a new chapter that is about getting me out of debt, saving money, and buying/building my own home.

I want to be an independent woman and proud of where I am financially. Don't get me wrong, I'm proud that I have four less collections to worry about. I'm proud that I've paid off three credit cards and I'm proud that I'm going to continue to pay off other bills while saving money.

I'm especially proud of the fact that I've saved about $3,000 and counting.

But I wouldn't be able to do all of this without my parents. I've only been able to do this since I've been in the military which has been one year now. My parents have basically been solely taking care of my finances.

I didn't have access to them and still really don't while I'm here. When I get back home I'll have to dive into my finances and continue the awesome job that my parents have done.

Because of them I've been able to afford higher rent for my apartment and a new-to-me car. Yes, my rent is higher ($600) but it includes a 24/7 gym, 24/7 computer room, internet for my apartment, wood floors, furniture, my own laundry room and cable (HBO, etc). Water is $10/mo and the electricty is less than $40/mo so far. Renter's insurance is about $15/mo. So I can pay as little as $650/mo for my apartment.

I DID have to buy a new vehicle because my car wouldn't have made it to my duty station much less 5 miles down the road.

My new vehicle is a 2004 Sorento. It already has a tow package and roof rack AND it was in my favorite color!! It only had 75,000 miles on it at the time and I found it. Of course I asked my parents if it was a good by ($10,000 loan approximately) and they agreed especially since it's an SUV compared to the 1995 Altima that I had.

I do pay on it bi-weekly so that I don't pay that much interest. I already have a high rate on it already and I'm looking forward to refinancing it to get a lower rate and my parents off as co-signers ASAP.

My youngest brother (I'm the baby of six kids) has also helped me out whenever he can. I always ask him for advice about men and money and anything else that I think he can help me with.

Without my family I don't know where I'd be. I know not in as good a position of where I'm currently at. I'd be living paycheck to paycheck. But now I don't have to worry about that anymore. There has been a HUGE relief for me.

I love my family! THANK YOU!!!!

Currently I'm deployed in Afghanistan and I'm working on reducing my debt. I currently have approximately $8,000 in medical collections. I've already paid off some medical collections already but I saved the biggest one for last. I know that they'll settle for less than the amount that's owed altogether.

Since my pay has been messed up for a year I will be receiving a sweet little backpay amount. Exactly when I'll receive this, I don't know. But when I do my plan is to pay off the medical account and be done with it.

I haven't looked at my credit report since last year since I've been in the military. Why you ask? Because we don't have access in basic training and there was limited access to the internet when i was in AIT (job training). I then went to my unit and within a month I was deployed (a lot of prep goes on while getting ready to deploy). So I'm working on looking at my reports while I'm here.

But last time I looked at my report, there were only medical collections that reflected negatively. Hopefully I can get the last of it paid off while I'm deployed and by the time I get back home my points will have increased and my report will pretty much look a LOT better.

So far since I've been deployed and since I started on debt reduction over a year ago, I've payed off:

4 medical collections
3 out of 5 credit cards (I closed two of them because they had annual fees)

What I have left is:

1 medical collections
2 credit cards
1 private student loan
approximately $25,000 in student loans and counting (hopefully I have less then 2 years until I get my BS)
1 car loan (HAD to buy a used car because my car literally wouldn't run)
Alimony for ex (I actually have it stipulated in the separation papers that I can "pay it off" early).

I have been saving monies as well as paying things off. I currently have approximately $3,000 in savings and by the end of the deployment I'll have another $2,000 added to it at the least.

I took the opportunity to add monies to a Security Deposit Plan (SDP) which you can only do when you're deployed. It compounds 10% interest with a maximum amount of $10,000 that can be contributed to it. I add $250 each month so I know that I'll have $2,000 in it and whatever interest that it would have earned by then.

I know that I'll have to pay taxes on the interest earned but I'm hoping that I can roll that monies over into a CD or something like that so I won't have to pay taxes on it.

I really don't have any money saved for retirement although I have monies here and there even though I'm older. But my plan is to have those monies when it's time but to also have a little side business goin on so that I have my assets working for me (passive income).

By the end of this year I should either have one more credit card paid off or almost paid off by the end of the year. My last credit card won't be paid off by the time I get back home but I'll have it close to halfway paid off so that'll make my minimum payment lower and therefore I'll be able to put more towards the interest.

By the time I get back home I'll have a better credit score. Which is my ultimate goal so that I can refinance my auto loan (it's currently 11.5%) for a lower interest and eventually get my parents off my loan as co-signers.

My ultimate goal is to be mostly debt free in another 6 years because I want to purchase a house.