I was attempting to write out a multi-post series on the story of our financial journey, but I ran into a problem: it's a very long tale. It's really only about 6 years of story, but there have been a lot of ups and downs that I think are relevant to where we are now and how we approach all things personal finance. So instead of putting up the multi-part post right away, I'm going to summarize a bit and end with a question.
Here is where we started just after we were married:
- ~$125,000 in student loans
- ~$35,000 in credit card debt
- A home mortgage in Las Vegas (go ahead, laugh...)
- A 3 month emergency fund
- 2 cars with no car payments
- 2 incomes (with health insurance; one "real" job and I worked retail for another year)
Here are some bad things we've done:
- Slipped up with the budget. (Repeatedly.)
- Waited months to hire a property management company for our house.
- Paid for very expensive financial classes that were informative, but not immediately useful
- Waited months to adjust our spending after we moved
Here are some good things we've done:
- Adopted 2 dogs and are proactive about their health care
- Paid ahead on our mortgages
- Paid 50% of our student loans in 4 years (20% of the time allotted)
- Paid off some student loans, rather than extra payments to all of them
- Paid off all our credit cards but one (currently our pay-off focus)
- Started retirement accounts
- Increased our emergency fund
- Controlled our expenses
- Increased our income
- Used our spare income to pay off debt
- Negotiated with our credit card and mortgage companies (successfully!)
- Planned ahead for our military move (on 8 weeks notice! But this alone has paid huge dividends)
- ~$70,000 in student debt (we added ~$9k for me to go back to school)
- ~$8,500 in credit card debt (the plan is for this to be gone by the end of the year)
- A rented out house in Vegas
- A 5 month emergency fund (which could stretch a lot further)
- 1 car with no car payments (and half the insurance payment!)
- 1 income (which roughly equals our 1 income + retail job income from 4 years ago)
So here's my question: what would you like to know more about? How we cut expenses? What order we paid off debt? Where we are now?
Or, since I love swapping advice stories, what have you done in your situation?
i'd like to hear about the bad decisions: why you decided to do(or not do) them anyways, specifically how they affected you, and what you did to fix and/or mitigate them.
ReplyDeletei love this summary though. mind if i copy the idea?
Copy away! I can't wait to hear what you have to say.
ReplyDeleteAnd I happen to think that the "what we screwed up" portion is the most interesting, mostly because I know that we did 90% of it with the best of intentions. I'll see what I can do about a post on that. :-)
posted. i decided to do a series, because this is something i'm pretty passionate about and know that so many people can do better. here's the first one.
ReplyDelete