Thursday, October 16, 2008

Money Makeover- Chapter 4

Financial Thursday- Every Thursday I'll post my financial challenge book group comments for The Total Money Makeover by Dave Ramsey.

Highs:
First weekend without cable! I started a new craft project to make kennel covers for the dogs. Normally when I start a new project I feel the need to buy lots of stuff to go with it. This time I managed to show some restraint. I’ve only bought the materials I need for one piece of the project and will buy the other pieces when I am ready. So often I dive straight in and buy everything I need right away and never finish the project- like my wedding scrapbook- and the money and materials go to waste. I refrained from buy a sewing machine and will continue to needle and thread it until I can prove I actually need one. I also realized I could use some of our extra spare room bed sheets instead of buying more fabric.

I successfully managed to avoid Target all week (It’s been 16 days Target free!). It was tough as a co-worker is having a baby shower tomorrow and they are only registered at Target
(it's the only decent store around here) but I got brave and went to a store I never go to and found stuff 50% off! Woohoo!

Lows:
I realized best case scenario DH and I could pay off 3 out of 5 of our existing debts (2 cars, 2 school loans, and 1 mortgage) in 3 years but more likely 4. Ramsey calls for a Total Money Makeover that requires a complete commitment to being debt free which means trading your car in for a cheaper one if you have a car loan, getting a second job, and selling items for extra cash. But the plan only works if both are committed to this extreme way of living. Unfortunately there is no way in hell DH would agree to sell back his truck for a cheaper car. It’s just not his money philosophy. He has made other sacrifices to tone down our spending and I feel a ton more comfortable with our spending habits than I did 4 months ago. Marriage is about compromise and while it would be great to get rid of the truck to reduce our debt, the reality is we are not that desperate to fight that battle- yet. I’m a little bummed but I did tell DH that if I lost my job during this global economic crises, his truck will be the first sacrifice. Some how that made me feel better.

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