Not sure how good it'll look on me, but I want to grow a mustache.
Hi all. My name is Lisa and I live in South Texas where it's very hot and (surprisingly) more expensive than other more popular places in Texas. I am 36 years old and I work for the Government. I'm single, own a house (and a mortgage), a car (and a car payment), have a law degree (and the student loans to prove it), and am a slave for my two dogs.
I grew up in a house with a spender (Dad) and a saver (Mom). As a kid I knew the value of saving money, but I also never had to do it. My dad made (and still makes) good money, and their savings are pretty substantial, so while he spent freely, they're not in any trouble. The reason my Dad still works at 65 is because he's just that kind of guy. He likes his job and, frankly, I'm not sure what he would do with himself if he fully retired.
But, again, I didn't have to think about money or saving growing up, and I went to school first on my parents dime (college), then with scholarships (MBA), and then with massive student loans (law school). I wasn't cognizant that there was another way. After law school and a year of judicial clerking, I moved back home to live with my parents and work in private practice (note: where I grew up was VERY expensive, and I lived with them to help me save and pay back my private loans--it worked and I did). After 4 years of private practice, I decided that it wasn't for me, and I switched to a Government position. With it came a job that I now like and a big cut in salary. I also had to move to a new state.
For the first time I realized I was spending more than I actually made. Plus I still had $120,000 in Federal student loans. I bought the house a year ago after having enough of my apartment complex and, well, because at 35 it seemed like the thing to do. I drained more of my savings on building a fence and getting grass for my backyard (specifically for my dogs, which, honestly, I would do again--it's invaluable to help keep the dogs happy). I bought the car two years ago because that's what everybody I knew did--you bought a new car with financing.
This past month I decided to put a stop on what was clearly heading towards a bad place. I started budgeting and tracking my spending. I started realizing that I was spending on things that were, in hindsight, unnecessary. Thankfully, I am not in credit card debt. I always pay off my credit cards in full each month. But I knew that if I kept spending the way I was, I wouldn't be able to do that much longer.
Funny thing is, it didn't seem like I was spending a whole lot. But check out what I was paying:
Cell phone: $120 per month (!)
Satellite TV: $120 per month
Doggie Daycare: $400 every month and a half (!)
Long-term care insurance: $60 per month (why did I have this?)
Restaurants: $50 per month (not that bad, but I really didn't need to go out that much)
Add that to the car payment ($353) and mortgage ($1200) and student loan payment ($462) it's a wonder I didn't get into more debt.
My early mustache attempts are thus:
-Canceled my long-term care insurance
-Got my cell bill down to $86 per month (I know, it's still high; I'm grandfathered into unlimited data on an AT&T iphone and my whole family is on AT&T; I haven't taken the plunge to actually switch carriers)
-Downgraded my satellite to $80 per month (I'm still under contract with Dish; although I can finally get rid of a $7 protection plan this month)
-Severely cut down doggie daycare
- Canceled my landline telephone
- Haven't eaten out in a month
Doggie daycare--let me explain. I live with two dogs age 2 and 1. They are extremely active and it's extremely hot here. I can't take them for a run (one has bad knees anyway), and I would use daycare to expend their energy. Now I take them once every two weeks or so. I can tell the difference in that I spend most of my nights playing in the backyard with them (after the sun goes down). It's tiring. They're still very young. But there's no reason why I should have been spending that amount of money for what was a mere convenience.
I realize my initial attempts barely grow a fuzz. I'm trying to mentally prepare for more reductions. I want to eventually get rid of Satellite TV. But I'm such a TV lover that it's just going to take me awhile. And yes, I know that my cell phone plan is too expensive.
I'm hoping that MMM and these forums can give me the strength to make more changes. My plan is to get an emergency fund going, put more into my TSP per pay period, pay off my car (about $6900 left to go, and then I'm keeping the dang thing for at least 10 years), pay extra to my loan payments, and eventually start paying extra on my mortgage so I can get rid of my PMI.
If anybody got to the end of this post, I commend you! See you in the forums. :)
