Wednesday, April 15, 2009

Getting too comfortable?

I think I am getting a little too comfortable with my finances again.

The more bills that we pay the more room we have to "breathe". I know I am overspending, but it isn't really causing a big problem right now because I have the money to do it. However, I am using money that could be snowflaked to my debt.

  1. Snowball- using money from a paid off debt toward your next debt. You continue paying the minimums on all other debts and just work on one at a time this way.
  2. Snowflaking- bits of money you save from other areas in your budget which are then added to the monthly snowball amount to pay debt off faster.

For instance... this month we charged an additional $40 on our gym account! We have to charge $25 a month that is built into the monthly fee, but we went WAY over. Yikes!!

Then I bought some additional supplements that I could have done without... we won't talk about how much those were. So, you KNOW it was too much!!!

If I honestly looked at this month's budget and last month's I could probably find and easy $100 or more that could have gone to my snowflake efforts.

One thing fueling this is that DH gets a lot of overtime some weeks. I LOVE when that happens naturally, but I give him extra pocket money and a lot of times some of the rest goes to cover our overspending. (I feel he deserves the extra money for working the extra hours, but I sure don't!!)

I am going to start really working on this for the rest of this month and next. I want to try to actually track it and see what happens. I will let you know soon!

Oh, and I haven't been TOO bad. I paid an extra $100 on my car this month, I have $200 to add to the snowball payment at the end of this month, and I hope to add to that on Friday. BUT, think about how much I could have added to that if not for the overspending!! I probably could have made an entire car payment with the money I have overspent with!

I am going to do better though!!

No comments: