Time for the mid-month update.
February sure has been a good month thus far. Thanks to an unexpected check, we were able to pay off a decent amount of debt. We cruised right past our monthly goal of $1,500, and with this update, have paid off $2,768.76! Our total debt payoff for 2018 now stands at $4,463.29. Looking ahead, by the end of the month, we should see over $3,000 in debt reduction. It could be even more if we receive our anticipated escrow refund.
Now that we have knocked out our two smallest debts, the question we had was what to snowball next? Hubs and I tend to go back and forth with this. While the math doesn’t make sense, we both understand the rationale behind paying off the debts smallest to largest. Seeing a debt paid off in full is extremely motivating! We also know that we are dealing with balance transfer rates that will at some point expire, which is another reason we go back and forth on this. For now, since our next smallest debt feels well within reach at $2750, we will continue working our debt snowball the Dave Ramsey way.
How have you been doing with your goals so far this month? Even though this journey of getting out of debt is far from fun, I keep telling myself that it will be so worth it!
That’s some unexpected check you got. Woohoo! Yay for nice surprises!
Dear Husband and I have been spot-on budget wise. Well, okay, we went over our weekly grocery shopping budget by ONE dollar yesterday, but still. I haven’t done very well with my time this week, though. I have kept the TV off all week, and got extra work and reading done, but I’m still behind. No matter, the weekend will help me catch up, and next week will be better.:-)
Good job staying on track with your budget! I know this isn’t always easy to do. Hope you were able to catch up on things. Gotta love weekends!
Way to go on your debt payoff for the month!! I really like the Dave Ramsey snowball method. It worked well for me.
Thank you! I agree with you about the snowball method and at this point, it just makes sense for us to work it this way.
That is an INCREDIBLE payoff amount for 2018! Wow! Congratulations.
I hear what you’re saying about the order of payoff. Every calculator we’ve used shows that we should pay off our larger student loan ($40K) before the smaller student loan ($10.5K). But it would feel so amazing to get that smaller loan out of the way first… It might be worth it for us.
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Thank you! Yeah, it doesn’t always make sense, but there sure is something psychological about crossing the line through a debt.
I think that I am doing pretty good on my goals. Each day, each payment gets me closer and closer to being debt free.
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As difficult as this journey is, the journey isn’t without excitement. I know you are as pumped up as I am to dump the debt once and for all! Good for you for staying on track with your goals.