We take a look at our finances pretty regularly, but I have to be honest, we’ve slacked off big time this summer. I am not sure if it is the move, the inconsistency with work, or slipping back into bad spending habits, but we’re definitely not where we’d thought we’d be after a year of paying off debt. Here’s the latest debt update with detailed numbers…
One Year Debt Update
Right now, we are feeling pretty stalled. A lot has happened in the last five months that has hindered our progress a bit.
As you know, last September, I detailed my debt and broke it down. When tallied, it came to $67,999 in total debt for our family. I’m happy to report that almost a year later, we have made some progress. Last year, the numbers looked like this…
- My Car Amount Owed: $23,051
- Drew’s Car Amount Owed: $1,092
- Credit Card Total For Both: $1,748
- Student Loans (Mine): $23,852
- Matco/Snap On: $9,534
- Amount in Collections: $8,722
Here are the updated dollar amounts for August 2019…
- My Car Amount Owed: $21,333
- Drew’s Car Amount Owed: $0
- Credit Card Total For Both: $483
- Student Loans (Mine): $24,002
- Matco/Snap On: $7,543
- Amount in Collections: $679
That brings the total amount we owe down to $54,040. That is nearly $14,000 paid off in a year (not too bad). Compared to this time last year, that is definitely an improvement. Some of our biggest “wins” have been paying off Drew’s car, paying down credit card debt, and taking care of items in collections.
You’ll notice my student loan amount owed has actually gone up a bit. I asked for forbearance on the loans for a few months this year as we transitioned from North Carolina to Georgia. I will be back on track to repaying those in a short amount of time.
The move impacted our ability to attack our debt the way we’ve been wanting to, there’s no doubt about that. With deposits, the costs of moving trucks, and getting used to a new city, we fell behind on our goals a bit.
Getting Back on Track
Both of us are working on budgeting and finding a way to get back on track with our debt freedom goals. First, we’ve had to tap into our emergency fund, which needs to be padded once again. This will be taken care of this month.
Next, we are planning to find a way to cut costs and make more money. As mentioned in previous posts, I’ve been finding ways to make money on the side by selling things and grabbing a freelance gig here and there. Drew has also been looking for additional side work as he feels his way through establishing his own business.
Finally, we HAVE to sit down and work out a budget. We’ve gotten way off track with our current spending and need to refocus. Stay tuned for an update on our new budget later this month!
Readers, where do you stand with your debt freedom progress? I’d love to hear about it in the comments below!