I apologize for not having a November update for you. Things were just kind of crazy, and I honestly have no idea how much we saved but I assure you we did not fall off the bandwagon. 🙂
December is here and almost gone now and we are SO blessed to be where we are. This time last year was just no so great at all. (financially)
$1000 emergency fund in the bank. Completed September 2010.
Pay off all debt (except the house) using the debt snowball. Completed September 2011.
Baby Step 3-
What’s in our savings account:
|November 2011||not sure|
|GOAL AUGUST 2012||$20,000|
7 BABYSTEPS :
Baby Step #1: $1000 emergency fund ((Can be completed in 1-2 months))
Baby Step #2: Pay off all debt except the house using DEBT SNOWBALL. ((List your debts in order, from the smallest balance to the largest. The idea of the snowball is simple: pay minimum payments on all of your debts except for the smallest one. Then, attack that one with gazelle intensity! Every time you pay off a debt, you add its old minimum payment to your next debt payments. So, as the snowball rolls over, it picks up more snow.)) ((Avg time to complete this is 18-24 months))
Baby Step #3: 3-6 months expenses in savings completes your fully funded emergency fund
Baby Step #4: Invest 15% of household income to Roth IRA’s & pre tax retirement ((You do steps 4, 5, &6 all at the same time))
Baby Step #5: College funding for your children
Baby Step #6: Pay off your home early
Baby Step #7: Build wealth & GIVE!
We have exciting new goals coming for 2012! We are back to tightening up our budget so we can really finish off our baby step 3. I’m ready to get to the good stuff! Don’t worry, we are still having plenty of fun in our lives! We plan on saving for 2 vacations this next year!
We are also co-teaching another FPU class at our church starting Feb 15th! AND my parents will be attending the class! I’m willing to bet they can get their house paid off by the time they graduate FPU. (maybe) They do have some old credit card debt they need to settle on, but I think other than that it should be painless. I’ll see if I can get permission to talk about them on here. I’m so excited!
This is our Journey through FPU!