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I went this morning and deposited the rest of the 'spare' money into the account for the new vehicle downpayment. It's very exciting that this goal is only two months old and I am already at 48.8% fulfilled.

I am very fortunate to have that money to add to things and make it move faster. I will feel so much better knowing that WHEN the time is right/necessary to buy a new (to me) vehicle, that the downpayment is there.

I am also fortunate nothing OMG unforseen has come along (knock on wood) to change my plans. This goal will be met by end of June and at that point I will be putting that money towards my Lump Sum Payments.

woo hoo

a bit of a nerd

I've been having a grand time on google docs playing what if with scenarios for meeting the downpayment goal and working towards the lump sum goal. Plug in such and such and oohhhhh look at that total. Plug in this over here and juggle this money and ohhhhh watch that number change. Or what if my snowflake could be THIS much instead of THIS much.....how would that change how quickly I could take care of things?

lol
sadness

I think....

...that I will go ahead with putting all of the $700 plus any snowflake down on the new vehicle downpayment.

Barring any unforeseen events and basing it on $700/month disposible cash and a hypothesized $100 a month snowflake (which I was able to meet last month), I would have the $2500 downpayment done by end of June paycheck, leaving some left over that month to begin my Loan Lump Sum Payment.

I guess I just worry that WHEN I get/need the new vehicle, I may not have that cash there ready for the downpayment. I'm almost 40 and I've never had a downpayment to use when I have bought a vehicle. Time to grow up methinks.

Of course any extra snowflakes would speed things up and more of the June money could go towards the Lump Sum. It will be exciting to watch that one go down.

anyhoo...that's what I've decided.

Rethinking the plan

Ok for my end of March pay day I had decided that I ws going to take the $700 I had to put towards debt and savings....divide it in two...and put half towards saving a downpayment towards a new vehicle..and half as lump sum towards my personal loan.

I am really torn on what to do for a vehicle. Mine could probably last until the end of the calendar year without needed repairs, but prices are really really good right now for new and used vehicles and that is tempting too.

If I continue with this half and half...I would have the target of $2500 downpayment by the end of August and my personal loan would be somewhere just under $10,000

If I rethought this and put all of the $700 towards the downpayment target...I would have reached that $2500 target using my April, May and part of my June paycheck money. Then that downpayment would be ready to go and I could spend the rest of June's check and as many future monthly $700 plus snowflake until I decide to buy the new vehicle.

I have no idea if that made sense to anyone outside of my head. LOL

I know that logically I should be whapping everything down towards the loan as that gathers interest, but by putting some/all of my extra $ towards the downpayment, I actually WILL have a downpayment when the time comes.


Thoughts???????

I think (and I use that word loosely) that either way, keeping up with this extra $ down, I could have the loan paid off by December 31st of this year. It's hard to tell as even though my loan period was 30 months....and even though I pay $570 a month towards it..........the amount actually coming off the loan principal varies each month from low $400 to higher $400s. I will confess I don't fully understand, but I am working on learning.

CATS was fantastic

We drove down last night in part snowstorm and part fog, but not the worst we've driven in. It was a wonderful time. My younger son loves music and plays in concert band so he thought it was great. The older one thought it was just a wee bit too 'dancie' for him. "It's ok, I guess but it was nothing compared to Phantom", says he. Their father had never been to a musical before so it was interesting for him.

I, myself, cried when she sang Memory. I sang that as a child in musical theater, not truly having a clue what the whole production was about. Her voice was amazing and it gave me goosebumps. When that song was over, I realized I was crying. Tis good that something can provoke a strong reaction like that.

It was definitely an expensive evening. Tickets for four, gas there and back and fast food en route as we were short of time.

I loved it thought and hope more productions like this come to our prairie province so I can take the boys and add a wee bit of culture to their lives.

Snowflakes

ok literally it IS snowing out. freakish spring storm. argggh more winter.

I ran fast after school today and took in my month's snowflakes of $170, $70 of which came from groceries. I keep thinking 'ohhhh just 30 more and it would have been $200', and then I remember that four months ago I wasn't snowflaking ANYTHING and then I remember what a good thing it is I am doing.

This $ is going towards my $2500 goal of new vehicle downpayment.

Ok off to CATS.

meow!!

Today's the Day

We're off to the city to see CATS tonight!!! My younger son is very excited. My older is reserved but he'll love it. Sometimes it feels we do nothing but school and their activities. Actually, we don't really do anything besides school and their activities LOL

It will be lovely to feel 'normal' for a day.

Have a great Friday everyone!

slow month

It really feels like April was a non issue. It was only a week until our Easter break started and that was when I got sick with the flu and bronchitis. We just started back to work this week and this weekend is payday and the month is almost over.

Crazy.

I certainly noticed that the cuts in budgets have changed what the jars look like and limited the snowflakes I get from them. I have to remember that the money I took out of the budget IS technically going towards extra savings and extra debt repayment so it is not lost, just..................re appropriated. Yet, it feels, very very different.

I have updated my sidebar on snowflakes to add in a small return from insurance that finally came. It does not yet include whatever might be left by Friday midnight, from Groceries. I will do final updates this weekend and set plans in place for the next month.

down and out

I feel like I've been gone forever. I've been down with bronchitis and the flu since last thurs. blech. Here I was looking forward to my week off work to DO things. Not lay around. I feel out of the loop and will have to catch up on everyone's blogs as soon as I can.

Budget Cuts

In order to expidate hitting some of my targets for savings and extra debt repayment, I have cut a bit from my variable expenses from the budget I used for Jan, Feb and March. Previously I had $500 extra going to my debt/savings target which was great. I have tinkered with the budget to give me an additional $200, bringing my total to $700.

To do so, I have cut $20 a week from fuel, $10 from dining out and $20 a week from groceries. I am not sure if this is feasible in the long term but it is worth a try.

I do realize that by doing this, I am slowly down the snowflakes in those categories, which went to debt/savings anyways.

I am putting $350 a month towards a new vehicle downpayment, trying to get to $2500 by end of summer if possible. $350 will also go towards lump sum payment on my personal loan.

Any snowflakes I get will go towards the vehicle downpayment, to finish off that target faster.

If I end up getting a new (to me) vehicle this summer, then I will take whatever downpayment I have, and then have to reconsolidate my existing loan combined with the new vehicle loan. I know I won't have any trouble at the bank doing that and now that I 'know' how to get extra money down, hopefully I could get the loan paid off high speed.

It's an experiment. We shall see.

I tried making a chart on google docs to see if I could post it here and update. New territory for me.

Income Tax is here!

It's so exciting to see those cheques and so kind of the gov't to return to me, money I originally earned LOL

It came to just over $3000 and I went to the bank with both cheques this morning and put it all straight down as a lump sum off the mortgage. Interestingly enough, some of that got lost for 'interest'. I will have to investigate that as I thought Lump sum was just that. x$ in = x$ off mortgage. It works that way on my personal loan.

It's nice to see the mortgage go down as it goes down sooooo slowly.

My three month experiment - Part II

When doing this experiment I knew I needed a spot for anything that might be left from the jars at the end of each week. I didn't to leave it in the jar with the new week's money for fear I'd see more money and have less control over what I bought.

I set up two envelopes for each jar category. One said "Weekly leftovers - and the category". Below were spots for each of the four weeks to write how much was saved/spent each week. The second envelope was where they money at the end of each month would go. Month 1 $__ saved. etc.

I have to admit it was a very intoxicating feeling to slide money from the jar into the weekly envelope, and then from there to the savings envelope at the end of each month.

I had decided that each savings envelope would have a purpose or a cap on it.

Gas - all leftover money would stay in there to be put towards oil changes, my basic insurance and then my package policy. Not saying I'd have that much saved but it would be a start.

Groceries - anything left at the end of the month went as a snowflake straight to the debt/savings target.

Household - anything left in there was being saved for a sectional sofa for downstairs as that furniture is in sad sad shape.

Spending - that is like my allowance. I use it for girl stuff. I decided to cap this savings envelope at $200 and one I have that, anything left each month would become a snowflake for debt /savings.

Dining Out - This too I decided to cap at $200. That would give me some extra if we had a special weekend away or a bit towards food for camping/holiday etc.

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Ok so how did I do after three months???

Gas - I did well here. I spent far less on gas than I thought but part of that was the price of gas coming down from $1.49.9 a L. I managed to save $460. woo hoo. My package policy was due Friday so I used $280 of it and then the oil change and inpsection Friday at the garage was $50. I have a whopping $140 left in it but the point is, I had money to pay for my policy!!! Unheard of.

Groceries - Over the three months I managed to send $377 towards debt. That was very exciting to be able to do.

Household - I have saved $200. I can see that if I want to buy a sectional, I will be a longggg time waiting or I have to find a heck of a deal. Still, it's something to look towards.

Dining - I have a problem with eating out/take out. I do I do I do. I managed to save $119 here. That leaves me with $81 to 'save' until this category is capped out and the rest goes to snowflake. I am looking forward to that extra money.

Spending - I really haven't allowed myself to buy anything. No books. 1 magazine in three months. basic cosmetics. No clothes. B O R I N G. I haved $138 here so that leaves me to save another $62 before this category too could potentially become a snowflake helper.

Not a bad three month experiement. I can certainly see where this has helped me. I can also see that if I actually am a good girl and SAVE before I buy something for the house, it will take a longggggggggggggg time.

Well good news.

My husband took the van in this afternoon. He drove it and heard the sound and was thinking 'ohhhh no that's a bad sound'. The service guys took it and started their drive test and said 'ohhh that's not a good sound', and then, the sound stopped. They drove more. No sound. They took it back and hoisted it up and found nothing!!

I'm excited as that could have been a serious bill. Instead I just have an oil change and a 'peek' fee and I'm done in under $50. wheeeeeeeee

Thanks so much to everyone for their good wishes and cyber hugs. They were greatly appreciated.

I couldn't help but wander around the lot though and saw some of the vehicles that I 'might' get. I will be looking for something a year or two old, perhaps a buy back. I told the sales guy, whom I've known for yearsss, that I will start looking in July so to keep an eye out for me then. I will have to work to save up some down payment and work to pay down the personal loan.

If I get something this summer, I will have to consolidate that loan with the one I have. Not fun, but realistically, I'm going to need a new vehicle within the calendar year. May have to be a bullet I have to bite.

I spoke too loudly!

I did. I spoke loudly yesterday to myself when I was saying 'wow I'm doing so well'. My van heard me. As I was running errands at noon yesterday I started to hear a distinctive 'crunch' in the wheel well of my front driver side of the van. It only got worse. My guess is something to do with suspension. My dad thinks struts and my spouse thinks bearings. I think they all sound expensive!! I will find out later this afternoon when my van goes to the dr.

See this is why I was starting to save for a new vehicle downpayment!! This one is getting too old!

ahh the joys of two steps forward, three back LOL

Where the money stands - April 1st

Debts

Mortgage - $43 257.01
Consolidated Loan - $11507.55
Total Debt - $54, 764.56

Savings

Christmas Savings - $1000
Emergency Fund - $1000
New Van Downpayment - $350.00

My three month experiment -> conclusions - part I

Ok I have been 'trying' to budget for years now. I'd write down how much for each category I could afford to allot. I would plan and plan. I would diligently write down my purchases ...........for a few days. Maybe a week. Probably less. Then after time passed and I became frustrated again, I would start all over again.

"If you do the same things you've always done, you'll get what you've always got" - Mark Twain

For a fluffy white haired esoterical dude, he knew some stuff.

I read things on Dave Ramsey. I read Jean Chatsky's work. I skimmed Suze Orman though she wasn't my personal style. I dutifully watched episodes on Oprah on money and debt and followed faithfully the three couples she featured on Debt Diet.

I lived, and still do to some extent, the 'all the others have x, WHY not me?' I reached three conclusions:
1) some of them had husbands who made far more money than mine
2) some of them scrimped and saved for their things (though to be honest, precious few fit this one)
3) most of them must be up to their eyeballs in loans and debt to pay for the lifestyle they choose to live.

I started reading personal finance blogs 'about' a year ago. Not quite. It was more for entertainment reasons and I hadn't really found one which matched me. Then I stumbled across one, which is no longer active sadly, and something clicked. It started to resonate within me and things began to click.

Then last summer I allowed myself to get HGTV on satellite and I discovered the wonders of a show called "Til Debt Do Us Part".

I was hooked. I loved it. I've always been a 'tuck some in here, hide some in there' kinda gal. I always loved real money, how it felt, what it looked like, counting it etc. This woman was my guru. Now to be fair, I did not start her plan of money jars. It was more of a 'ohhh wow great idea! I love this show". Kinda like watching a show like The Biggest Loser while eating a bowl of icecream.

By November I was mulling. Big time. By early December I knew I was going to try, and try I did. On December 20th I made my first jar blog and off I went.

I won't say that I was a perfect success. I did slip up, but hey, if I learned from the slip up, then my bumps and bruises are not in vain. I chose my categories carefully and put what I felt was a realistic start value in them per week. Their numbers seem high compared to many folk out there, but they were lower than I usually spent with my debit/credit cards so I forged ahead.

• I learned that you need to be organized. Big time. You need to have your little jars and your little labels and have a spot to stash them.
• I learned you need to have a plan for what to do with weekly/monthly leftover money OR what to do when you are short and there are still days left.
• I learned that writing everything down, which is what I did before, did NOT work for me and that simply having X $ in the jar made me far far more successful.
• I learned to hate that bank machines only give out $20s and frankly, I wanted 5s and 10s too so off to the Brick and Mortar I had to go.
• I learned that people are shocked when you pay with cash. Almost like I'm paying for my gas with a sack of potatoes and a live chicken :-)
• I learned that I had to preplan where I was going to go and what money I would need for it as I traditionally carry my wallet with me but not $ from the jars.
• I learned my airmiles collections went down the toilet and I have to make some decisions about that.
• I learned it is possible to have a bank statement that takes up only 1 sheet of paper.
• I learned to count out how much I was spending as I put things in the cart, and that some things just would have to wait for another time.
• I found save.ca for great online coupons however the @$#@#$ site sold my addy to folks and now I'm getting spam up the wazoo on that email.
• I discovered the incredible addictiveness of snowflakes
• I learned I am a category person. Not too too many, but enough.
• I learned I get squat for interest at my one savings account and I need to fix that ASAP.
• I found jotting down how much I could put towards debt..........soothing.

During my time I had money left over each month. I paid off my credit cards. I finished my emergency fund. I finished my Christmas fund. I paid off my bank of mom loan. I started putting money down towards a new van downpayment and also to my personal loan as lump sum.

My biggest revelation is "Why the hell didn't I do this earlier in my life??????????" Lordy, what I could have done with money I frittered away. *deep sigh*

We shall see how this exploration goes. Three months in is indeed a honeymoon still.

Kids and Money Survey

Here is an excerpt from a favourite money guru of mine. Today she's asking about kids, and educating kids on finances. Below is a quote of her survey and a link if you wish to go over and comment, or just read what others have to say.

So here’s a short survey. I’d like you to pass this on to as many friends and family members as you can because I think this is important and the more feedback we all have the better. Leave your responses in the comments section, and I’ll go through them and amalgamate them. Then maybe we can come up with some ideas on how to finally slay the Money Ignorance Dragon!

1. Do you think schools should teach children how money works and how to manage it?
2. At what grade do you believe this education should begin? And end?
3 List six topics you think schools should cover when it comes to teaching money management.
4. What role do you think others (parents, bankers, community groups) should play in the education of our kids, specifically about money?
5. Do you agree or disagree with the statement: Financial institutions should be held liable for lending irresponsibly when they don’t “educate” before they lend. (Elaborate if you wish.)
6. What three things about money do you wish you had learned earlier?
7. What mistakes could you have avoided if you’d known more about how money works?
8. What do you think it will take to change The System and ensure the next generation of adults knows how money works?
9. Do you have resources you would recommend to help schools, teachers, parents, help children learn about money?
10. What else would you like to say on this topic?

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