So they say if you do not announce it, you will not do it. I am going to look at the bright side of everything. I will embrace the unexpected and live up to the challenges that it may bring. I hope you all stay safe and may 2010 be a year filled with love, health, and happiness!
Here are my smart goals:
SO I Realized I should have money savings goals since that is what we teach around here.
We intend to buy a new to us car. We have the money to pay cash for the car already. We may take out a personal loan just in case to have cash on hand if there is an emergency. We try to make sure we have 6 months of money saved for bills in savings at all times. This is very important since my husband is in sales and I am not currently working full-time. This way we could keep the money in the bank that currently yields a higher interest rate than the loan commands. We will probably pay 50% of the car in cash and put away enough to pay for our rental house for 6 months since we currently have an unreliable renter. I am able to make the car payment with my part- time job if necessary. We currently have two working cars that are paid off so we are in no hurry to acquire another car except for comfort since this car will house a third row seat that will help for long trips and when we have company. The goal is to wait and figure out the best option for our family and not be lured into the lap of luxury of a “new” car.
The other thing we will do if we buy our car in cash is make car payments anyway. We will pay money into an account to be used when our second car needs to be replaced or repairs to other cars. PAY YOURSELF FIRST!!!
The one thing that I think you need to invest in is education. I am lucky to be in a position to have all our other needs met. I truly believe our needs are being met because we worked hard and educated ourselves to do more. I think that since our needs are being met that we need to meet the future needs of our children. This means that there are often less things given in the present to plan for the future. We limit the giving of gifts. We shop ahead for clothes to save money. We trade toys, clothes, books, and meals. We intend to continue to pay for our son’s private school and his 529 (his college prepaid fund is paid in full). We will continue to make payments for our daughters college prepaid fund. We were unable to pay the $33,000 that her prepaid fund cost in a single payment. We decided to take the payment plan knowing once I go back to work we could pay large amounts off the principle to insure that her only worry will be getting into college. I still think $33,000 is an exceptional deal for 4 years of college. I feel like we will have saved over 100k by paying now. There is no way that we could put away enough in a 529 to pay for her college that way. That is why I picked the prepaid college fund. This year we will use any extra money to pay towards the principle of the loan. We will do that by not upgrading our primary residence, using my additional income, and COUPONING.
I have to say I didn’t believe that carrying my Madame Deals Coupon Solution filled with coupons would really change my financial outlook.
It has. I am now aware of what I spend and what I should be spending. I cut 50% off my grocery bill and that allowed me to contribute to my families income because it is not what you Spend but what you SAVE. I was able to take my savings and start my daughter’s college fund, help with unexpected bills, and pay towards the principle of our home loans.
What are you going to do this year?