Hi everyone!!
I would appreciate any knowledge you more seasoned folks may have about how to get rid of a car you can't afford, but that is worth less than the balance of the loan against it. I estimate from the below that my car is my primary hurdle right now... it is a 2017 Chevy Cruze that I didn't research well enough after a fiasco buying a mechanically unsound used car from a local dealership.
Also, if you see any glaring issues I may need to correct below, feel free to let face-punching ensue. I'm in a pretty big financial pickle - an "I acquired a bike, but can't afford the tubes to ride the bike" kinda pickle - so I welcome it.
Here are my deets:
I am unmarried but living with my partner, no dependents.
I have 2 jobs. I work from home for my primary source of income.
My second job is weekends-only at my discretion, and requires quite a bit of driving because it is event based. Gasoline is usually an average of $6-9 per day worked. I make $25 per hour, and work short, 2-3 hour shifts one day per week unless it is a holiday, then there can be several shifts in a row for about 6-8 total hours. So far, I loosely estimate an average of $150 gross earned per month, saving 11% for taxes, so net average $133.50.
Job 1
***Gross Monthly Pay $3,360***
***Gross Annual Pay $40,320***
Statutory Deductions
Federal Income Tax -279.88
Social Security -193.42
Medicare -45.00
Arizona State Income Tax -84.22
Voluntary Deductions
Medical insurance -240.42
***Net Monthly Pay $2516.72***
***Net Annual Pay $30,200.64***
Job 2.
***Gross Monthly Pay $150***
***Gross Annual Pay $1800***
Less 11% for state and federal taxes
***Net Monthly Pay $133.50***
***Net Annual Pay $1602.00***
Monthly budget:
Rent 500
Utilities 75 average (This factors in AZ summers, but we mostly use a dirt cheap evaporative cooler)
Cell 42
Cable 0
Internet 0 (employer pays)
Car insurance 116
Groceries 200
Gasoline 60
Savings 40-60
Dog food 25
Debt payments:
**CAR. $20,790.82 balance (worth around 13k now), 6.3% int, $369 mo payment
LOAN 1. 7,018.31 balance, 11.50% int, 208.00 mo payment
LOAN 2. 5,182.66 balance, 11.50% int, 136.53 mo payment (recently converted from 15% credit card with same balance - credit union consolidated to loan for me)
LOAN 3. 5,009.47 balance, 8.00% int, 89.50 mo payment
STUDENT LOAN 1. $23,620.29 balance, 4.75% int, $79.00 mo payment
STUDENT LOAN 2. $36,112.45 balance, 4.75% int, $79.00 mo payment
Savings:
SAVINGS 1. $2,400 ("Non-prototype" fidelity account through employer that I cannot touch in any way and cannot add to. My employer offers no other retirement options.)
SAVINGS 2. $90.87 in 1.5% APY savings account
ROTH IRA. $34.50
My problem is largely that I don't have breathing room with my cash flow... I'm not particularly spendy with what I do have, but I have a hell of a spending hangover from my early and mid 20s due to poor decision making. I recently paid off 3 credit cards so I am optimistic this can be done! My very ambitious goal is to make all of my consumer debt (not student loans) die in 2 years.
I have considered training to be a web developer to boost my salary, but I'm not sure I have the mind for it. I am very hesitant about "going back to school" for anything due to my hefty student loans.
Thanks for all of your help!!