**Sorry about the spacing. I couldn't get it to line up**
Mustachians,
Super Short Bio - 32yo, married, 1yo son, live in Indianapolis, IN.
I've known for a while that I am terrible with finances. Only recently have I stumbled across blogs such as MMM & Mad Fientist, which really opened my eyes. I wanted to jump right in and say, "HELP ME!!", but resisted for the past two months to get a clear picture of my spending habits.
My first step was to sign up for Prosper, so I could easily track my spending. It's very efficient, and I highly recommend it!
Now that I can see just how bad it really is (and it is really bad), I am ready to take the next step. I am ready to put it all out there, and learn from the masters. I'm envisioning this as the first post of a journey, which hopefully will lead me into the black, and beyond.
I titled this "Always Forward", because I can't change what I have done in the past. But I can change what I do moving forward.
My case my be difficult for the feint of heart. Please take a Pepto tablet in anticipation for the heartburn you're about to experience.
Budget Item Sep-16 Oct-16
Income $4,692 $4,779 Income Fluctuates, but a "safe" income estimate is $4,200
Mortgage ($807) ($807) Could get a smaller house.
Utilities ($664) ($531) Includes Cell Phones ($190) & Internet/TV ($75). Sep includes HOA ($100)
Car/Uber ($542) ($545) Car payment is $491, I usually pay even $500.
Car Insurance ($82) ($82) Reasonable
Fuel ($279) ($279) I drive a lot for work, but get reimbursed. The reason why income fluctuates so much.
Student Loans ($248) ($248) I would have to pay ~$800/mo to pay off in 10 yrs, on IBR (Ironic for my income)
Groceries ($159) ($212) We definitely need to cook more.
Clothing ($229) ($5) Sept - 1st clothes I purchased for myself all year. Oct - shirt for my 1yo's costume.
Household ($137) ($62) Generally diapers, wipes, soaps, etc.
Business $0 ($93) Printed packets for interview (more money maybe, though it shouldn't be necessary)
Pets ($60) ($55) Dog Food, etc.
Fun ($256) ($279) Golf, Day Trips, etc. Went to Chicago for a 3 day weekend for Wife's bday.
Eating Out ($275) ($359) I typically eat out for lunch, and $15-20 for a dinner isn't uncommon.
Health ($20) $0 Dr Appt CoPay
Hair Cut ($58) $0 Wife nervous to cut my hair
Gift/Donation ($10) ($44) Birthday for friend's kids, or other
Total Expense ($3,826) ($3,601)
Betterment/Acorns ($326) ($416) Acorns is typically withdrawn every few months to pay towards CC
Leftover $540 $762 Goes towards CC
Invested This Month
401k (PreIncome) $457 $305 3 Pays in Sept, 7% of Base Pay (Employer matches 2%)
Betterment $326 $297
Total Saved $783 $602
Investments
401k $8,258 $8,437
Betterment $1,336 $1,746
Investment Total $9,594 $10,183
Debt Balance (CC)
Amazon ($2,022) ($1,965) 18.9%
Discover ($5,850) ($5,150) 0% until July 2017 (Used for Wedding)
Roomplace $0 $0
Lowes $0 $0
Debts (Big)
Car ($25,305) ($24,839) Upside Down, and must drive for work
Home ($114,700) ($114,263)
Stdnt Loans ($62,485) ($62,547) Average interest ~5%, Growing since I pay less than accrued interest
FYI - My wife pays Daycare, her car payment, car insurance, and her student loans. She doesn't invest in anything but 401K, and isn't currently open to discussing money. It "stresses her out". She struggles with money more than I do. My goal is to get my own finances on track, then help her do the same.
Obvious targets of attack:
1 - Credit cards: Should I withdraw my "Safety Net" from betterment (~$1,400) and pay off the Amazon card, even though it'd leave me with only a few hundred dollars in my bank savings? (Bank savings not listed above, but only $300) I know the Discover will become important, but at least I have some time to pay it off interest free. Of course, I won't touch 401k.
2 - Grocery vs Eating Out: I've seen a lot of people talk about brown-bagging work lunch, and cooking at home, but it's truly a foreign concept to me. I don't have really complicated tastes, so I'd love some simple lunch ideas. Dinner ideas/resources welcome as well!
3 - Fun: Change "Fun" habits to be less costly.
4 - Earn extra income? I've considered driving for Uber, or trying to finish one of the many short stories I've started, but struggle dedicating time. I also considered reenlisting in the Air Guard. It could mean an extra ~$300/mo for drill weekend, and bonuses. I've already done 6 years, 14 more and I've have a bit of extra retirement down the road.
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OK. Now I'll say it. HELP ME!!
Best Regards,
Vin