It’s official, as of this morning I’ve officially completed Baby Step #1. I now have $1000 in my Emergency Fund! (Thanks to USAA and immediate transfers for my instant gratification.)
On top of that, I officially sold my old bedroom furniture set on Craigslist for a measly $500. They will be picking it up this weekend from the warehouse that I keep it at, with $500 CASH.
Not exactly sure how I’m going to accomplish this, because you can’t deposit cash @ USAA. Maybe I’ll give it to friends and have them write me a check.
Anyway, the point is, this is the first $500 toward getting “Gazelle Intense” and paying off my USAA Amex. I will feel so much better when this account goes below $8000 - it’s been sitting there for way too long.
This time will be different though - I’ve stopped using it completely. Even for “Cash Back”. Even for auto-deduct items. Every gain I make will not be “One step forward, two steps back,” it will be permanent.
I’m also currently negotiating selling my old PC that I never use. This will clear the space out from under my desk (BIG plus) and should also net another $400 to my Debt Snowball (BIGGER plus.)
Current Debt Stands at:
Car: $12,003
Credit Cards: $18,300
TOTAL Non-mortgage debt: $30,303
Next step after this will be examining my groceries and my gas, though I have plenty of non-financial projects to work on too.
Yeah, I said it. I know. I know. I was pretty shocked myself.
To be fair - I spend about $80/week on gas to and from work and misc errands. And since I only commute 4 days a week, that’s roughly $20/day. The other $180 comes from contributing to the weekend gas to San Diego. $45 each way times 2 weekends a month (every other week.) This is my half of weekend commuting expenses in the Prius.
So to be fair - my commuting gas expenses are only $320. The rest could probably be allocated to the “Entertainment” category.
Still, I’m trying to figure out how I can maximize my $500/month in either cashback rewards or trip reductions. Citibank Drivers Edge? I pretty much buy gas anywhere, but weekend gas is always spent @ Sam’s Club.
Suggestions anyone? I’m still in sticker shock by my “gas habit.” Man - I miss the days when gas was $.99 a gallon!
That’s right folks…. the word “Budget” rears it’s ugly head!
Nah, not really, it’s more of a social expermiment. It’s been so long since I had to worry about bringing my own lunch (my last company was fully catered every day) that I’ve basically been going out to lunch every day since I got here. Now, some was Subway $5 deals, most were $7 or $8 meals, and some have been paid for by the company or vendors.
Anyway, I haven’t gone thru all of the numbers yet, but I’m guessing that’s quite a leak in my budget. So, I stopped at Target and got myself some lean pockets. (5) 2-packs for $9. I got (4) for the bargain price of $1.80 each. Since I only commute 4 days a week, that’s 8 lunches I need to account for. At $8 a day, that’s roughly $64 every two weeks. I will be posting my findings from the budget discovery as soon as I find them.
In the meantime, I will be enjoying my Lean Pockets. 
So now that I’ve paid in full for the last time my Costco American Express Business Card, moved all of my “auto deduct” expenses from that card to my debit, and changed all of the pre-populated info on my online accounts (Amazon.com, Paypal, Google Checkout), I’m really looking forward to no longer being an American Excess cardmember. Sure, the account doesn’t show up on my credit report (it’s a business account) but it’s got a high APR and never offers any balance transfer deals. They already tricked me once for moving my $11,000 balance from 2% APR to 15%. No brainer, it goes. Keep it simple stupid.
But I’m stubborn. It’s not that I want to keep the card, but I’ve “earned” $52.33 of “cashback” that shows up on February’s statement. Yeah, you heard it, my cashback “earnings” are a pittance of what that “Oops” cost me. Still, I feel like I would be atleast recouping some of that cost by waiting until I can get my $52. What do you think? Do you think I’m being stupid on this one or would you do it too?
For what it’s worth - the card is being cut up during my FPU class in the next week. I have moved all “auto charge” off of it, and have changed all the pre-populated “use this credit card on file” to be my debit. The card will NEVER get used again.
So - do you think I’m stupid for being this way, or should I get my $52?
So I was about to call into Dave Ramsey and ask him if it was OK to put my Baby Step #2 on hold to contribute the max for my newly established HSA (Health Savings Account) - when I saw this “feature” -
Apparently you can rollover money from your IRA (not SIMPLE or SEP-IRA’s) once - up to the maximum annual amount - to your HSA without getting any distribution penalties.
I’ve got about $9,000 sitting in a Traditional IRA that will be taxed when I retire and withdraw it. If I move it (without penalty) to an HSA - it’s basically like a ROTH - grows tax free and can be withdrawn tax free (for qualified medical expenses.) If I had the cash, that would be ideal, but I’m already worried about maxing out my ROTH before April 15, 2009. If I can make taxable money non-taxable money without a “balance transfer fee” - why isn’t this a no-brainer?
In other news - I am establishing my Dave Ramsey Emergency Fund. Just transferred my first $200. However, I have a meeting w/ somebody on Monday who’s interested in buying my old bedroom set. If that goes through, I will have made my $1000 Emergency Fund and can check off Baby Step #1. Look for my brand new progress bar for the Emergency Fund coming soon.
