Our Money Blog
A Goal Without A Plan Is Just a Wish
Friday, March 1, 2024
February Snowflakes
The Payback: February Progress
We are paying ourselves back for the car we helped our daughter purchase. The goal is to return $11,000 back to our savings account by the end of 2024 or sooner! These payback posts are to track that progress.
Thursday, February 1, 2024
The Payback: January Progress
We are paying ourselves back for the car we helped our daughter purchase. The goal is to return $11,000 back to our savings account by the end of 2024 or sooner! These payback posts are to track that progress.
January Snowflakes
Extra funds and income earned in January 2024!
Wednesday, January 3, 2024
December Snowflakes
Time to make a concise report of the extra funds found and earned in December
Thursday, December 28, 2023
Setting Goals for 2024
I made two savings goals, beyond retirement, for 2024.
1)Return $11,000 to savings for the car debt we recently paid off. I have a plan that will use regular income, $917/month. I will also send found money here as well. Always good to fatten the cash reserves!
2)Save $400 a month towards a vacation. The where and when are still to be determined and my hope is that we won't spend that much, but I'd rather oversave then under save. If we take a vacation before fully funded with current income, I will use current savings, but then keep filling in monthly to pay ourselves back.
We also have some debt to pay.
We have a loan on our 2023 Honda Odyssey. We have been paying it faster than required. I believe it was a four year loan, which we are 16 months into. The goal is to pay it off by June of 2025 half a year before my husband retires. I have the payments set as $600 twice per month.
I'd like to sweep extra funds into both the savings repayment and the car. I might have to do a little of both depending on what I have to work with. I guess after thinking about it a little. I will consider credit card rewards towards van loan. I will keep interest earned in savings, but not necessarily counted towards my two goals above.
The other thing that I'd like to buy is a new sofa and loveseat for our family room. Our 'fake' leather is peeling and the cushions aren't as firm and comfortable. If I buy in 2024, without specifically saving for it (we already have a good savings account) I will probably pay ourselves back for that in 2025.
Tuesday, December 26, 2023
Paying Off A Car
We helped our daughter buy a 2013 Honda CRV earlier this fall. At the time, she didn't have income, nor much credit, so my husband cosigned a loan for her. The interest rate was a horrific 10.24% because of her lack of credit. Apparently it would have been higher if he wasn't on the loan. The plan since then was to pay it off within 15 months to reduce the interest rate.
Our daughter now has a job and has moved to another state where she will need title to register the vehicle. The process seemed a little cumbersome with a lien on the title between our state and her state. Today, I decide to pay it off in full to get the lien removed for easier transfer.
The downside, less cash in our savings account. The plus side is saving thousands in interest, plus the gap insurance will be prorated and returned to us as well. And no debt on that car.
I will be making a plan to pay ourselves back the money we moved from savings over the next year. This is in alignment to have the loan paid off by the end of 2024. It feesl good to pay off this debt!