Sometimes I think I have it really easy. I don’t pay rent (at least not consistently), I have a good paying job (55k salary hey) and no real bad “debt”, because student loans are considered good debt… yet, I find myself having to explain to others, mainly family, why and how it’s possible that I do not have enough cash to pay for this, or that. OR why I do not want to go to Vegas IF I make money and can technically afford it.
I truly have no idea where my money goes, I don’t eat out every night, I don’t get mani/pedis every week…. so wtf right? Well, over the last couple of months I’ve thrown myself into personal finance really just trying to find ways to pay off my 24k in student loans ASAP, as quickly as 2018. BUT, after reading more and more PF books I discovered other areas I should be funding, like my 401k at work, Roth IRA, or my emergency fund SOooo my focus has shifted a bit.
I started saving $200 per paycheck for my emergency fund, and paying $300 (only $25 more of my minimum) towards my student loans. While, I now have ~3k in savings, I still haven’t contributed to my 401k, or a Roth and my student loan debt is still high as F. & that’s how I find myself thinking, “I SHOULD really be saving more”… and I hate feeling like I should be doing stuff, but because I want to become financially independent and stop living paycheck-to-paycheck. I needed a reality check.
Since this reality check, I have:
1) left my unlimited data phone plan, where I paid $100 a month, to a prepaid phone with NO data… yikes! except that my payment is only $26 and change per month. A 75% decrease… I’d call that a score and smart money move- since I’m either always at work, home, or someone’s house where I get wifi and I barely drive – data isn’t my priority.
2) started entering every single expense and created a cool little pie graph; see below
2a) as you can see my biggest expense is “Misc.” LOL … AKA who knows. This month, that miscellaneous chunk comes from my beautiful but pricey Maid of Honor dress I wore for my sister’s wedding… you can say I have my priorities straight, right??? I justified this expense as YOLO, or SOGMO (sister only gets married once) and have posted it on Craiglist, so hopefully someone thinks it gorgeous too and buys it!
2b) Char is my second highest expense. What is char? Well world, Char stands for Charlotte, my 1 year old German Shepherd (see child below), who was EXTRA costly this month because SOGMO… We needed to find a nice boarding home to send her while the entire familia from FL, ChiTown and etc. joined us for SOGMO celebrations. Sadly this was necessary because Char’s first 6 months in life were spent mostly alone>> which lead to her lack social skills>> which transfers to unpredictable aggression. Of course, before boarding little Charbooger needed to renew her shots. Hi Vet expenses -__-
2c) Beauty, my third highest….. one word. SOGMO. the end.
3) Although, it hasn’t happened yet AND I do see myself cheating on my next paycheck. I added my savings account into my direct deposit at work and asked that $1,000 out of each paycheck be sent there. Sounds drastic right? Yeah it kinda is… except
I think I WILL be able to handle this. LIKE I said, I don’t pay rent… since I live in Casa de Mis Padres and don’t have major credit card debt, or expenses.
Right now my first goal is to fund my emergency saving account with six months of living expenses… BEFORE, I do this, I need to figure out what my living expenses are. I will post about that next time… when I figure out what this number is :O … l o l