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Archive for November, 2011

New Debt Reduction Plan for 2012

November 29th, 2011 at 07:52 am

Looking ahead to 2012, I have thoroughly pondered how I could possibly be completely out of debt by the end of the year.

Hmmm, as I have lost countless hours of sleep, I came across an idea. My best ideas come in the middle of the night.

What if I could just live off my income and use what my husband gives me to pay back my debt. Let's take a closer look.

My new 2012 regular income will be $1631/monthly. Here is what needs to come off that amount.

*Mortgage: $900/month
*Savings account transfer: $50.00
*Consumers Gas: $180.00 Right now, I am living off a credit of approximately $750, which will take me out of the cold months of next year.
*Electric: $163.00
*Cell phone plans: $100.00 I rounded this number up.
*Internet, cable, landline: $164.00
*Vehicle and Homeowner's Insurance: $143.00
*Water Softener Salt: $25.00
*Sewer Bill: $20.00
TOTAL: $1745.00

Leaving me $114.00 in the hole. But, I am living off a credit right now with my gas company, so that difference could be made up here. This makes consumers actually $66/month that I will keep adding to my checking account which by the time the credit balances out to when I will start owing again, I should be a head in my checking by around $300ish.

Now, for the debt part: The past few years, what my husband has given me from his income averages around $12,000 a year.

Right off the git go in 2012, I am going to get the Art Van paid off and my income tax return will pay off the Care Credit balance before the interest kicks in on that debt, leaving me around $10,000 owed. If I take what my husband gives me and completely apply it to my debt, I believe I could actually have all of my debt gone by the end of the year.

As for the rest of the expenses and unexpecteds, like groceries, gas, my new grand-daughter's baby shower, etc., I can use the money I make from my babysitting and house cleaning business to pay for those areas. I will just have to stay creative and put in a larger garden in the summer and do more canning, freezing, and harvesting next fall.

I have also started a craft business, which has made me a profit so far. I would like to just keep putting all of those monies directly into a seperate account until I can get to a point of paying myself.

And, my summer beach job money can go directly into my savings account to pay for the larger bills like property taxes, Christmas and emergencies, which is what I did last year and it worked out great.

The issue is when should I purchase a vehicle. I am still sharing my daughter's vehicle and eventually, I am going to have to get a vehicle of my own. So this is the area I am working on, but I will figure something out.

Passive Income

November 27th, 2011 at 07:27 am

Adding another $3.00 from Pinecone to my passive income total.

Previous Amount: $279.69
Add monies: $3.00
New Total: $282.69

Getting my Business of the Ground

November 14th, 2011 at 05:58 am

I have been toying with the idea of doing certain crafts throughout the year to bring in extra income. I need to have another form of income in place by January 2013.

So I thought I would put myself out there and make a few items to see how it went. Well, it went better than I could have ever expected, so I am thinking that I found my niche. I really didn't want to go back into an office enviornment, so I am going to give this a shot for a year and see what happens. So far, I cannot keep up with the demand. I have orders pending, but now it is too far into the season to get grapevines that are not too brittle. I will start sooner next year on this project.

These are some of the grapevine trees and wreaths I made, and all have been spoken and paid for.

I have sat down and made an outline as to the direction I want to take my craft business. I came up with a name "Bunny Run Cottage Treasures" and it will included handmade crafts throughout the year. Some will be seasonal and in limited quantities. I am also in the process of putting together a cookbook, which will be called "Bunny Run Cottage Recipes" and will include breakfast, lunch and dinner ideas, savings strategies, holiday entertaining ideas and lots of great pics.

Along with the crafts, I am becoming a part of the "Sisters on the Fly Club" sistersonthefly.com and will be getting my sister number soon.

I recently found my diamond in the rough, a Vintage 1968 Aloha travel trailer, but my husband seems to think it needs too much work, but my 17 year old wants to help me restore it. I have restored a vintage travel trailer in the past and it wasn't that hard, and the price was definately right, so I think my husband might loose this battle, unless he finds me something different soon and within my budget.

I can definately do something great with this travel trailer and be able to travel and make and sell my crafts out of it, similar to this:


What big fun my future holds, but a lot of work, but it is exciting work that has made me feel like I have a purpose again.

Passive Income

November 9th, 2011 at 07:12 am

Adding $3.00 from Pinecone to my passive income total.

Previous Amount: $276.69
Add monies: $3.00
New Total: $279.69

The Ups and Downs of My Debt, but Looking Forward to the Future

November 9th, 2011 at 05:30 am

Since I have only really been keeping track of my debt since 2008, because before 2008, I didn't have any debt. Somehow I got into some debt, and by the end of the 2008 year, I was:

$16,179.08 in debt.

Then my medical bills creept in and my debt total was up to $27,350.73. By the end of 2009, I was able to pay off over $15,000 in debt and got it down to $11,644.77, before my income was cut in half.

Then some dental work on my youngest child came to be and I ended the 2010 year with $13,147.87 in debt.

We are now in 2011 and we are still working on my youngest beautiful smile, but I have diligently been working on repaying my debt. We have one, maybe two more visits to the dentist, but my overall debt is down to $12,947.45. I still need to make November and Decembers debt payments, so I am not sure where I will actually be when I start 2012.

But, 2012 holds a lot of promise. My income tax return will go directly to debt payoff and I will start seeing a large reduction in my overall debt. All dental appointments will be done with. I have been able to set up an emergency fund over the past year, which has been a lifesaver for not acquiring any more stupid debt. Sharing a car with my daughter has worked out well, although, now my youngest has his driver's license, so he will be driving the neon also. But, we are gonna make it through one more year before I consider buying a car, and at that time, I will pay mostly cash. I have been putting extra money in an account earmarked for a vehicle, while paying my debt and keeping my emergency fund funded.

And, my mortgage will be under $100,000.00 starting the 2012 year. Looking forward to the 2012 year and getting much closer to being debt free.