Reply Hey Mom! Learn more about the Gerber Life Insurance Grow-Up Plan!
 
Thread Tools Display Modes
Old 10-01-2012, 08:43 AM   #1
IsaacsMom2009's Avatar
IsaacsMom2009
Registered Users
sitesupporter
seller
seller
 
Join Date: Jun 2010
Location: Orange, CA
Posts: 4,919
My Mood:
Dave Ramsey Support Thread Oct 1 - Oct 7

We are here to support each other now while we live like no one else, so that in the future we can live like no one else.


The Baby Steps:

Pre-Step 1: Get current on your debts and do a budget
Before you begin the baby steps, you must be current on your bills and, if you aren't doing one already, begin doing a monthly budget.

Baby Step 1: Save $1000 cash in the bank
Start your emergency fund. If your income is less than $20,000, make that $500.

Baby Step 2: Get out of debt
With Gazelle intensity and using the debt snowball, pay off all your debts.

Baby Step 3: Finish the emergency fund
With the money you were paying towards debt, now with no debts, you can save 3-6 months of expenses into a fully funded emergency fund.

Baby Step 4: Save for retirement
Saving 15% of your income didn't seem possible before, but with no payments, you'll be ready for retirement and not have to take a job as a Wal-Mart greeter.

Baby Step 5: Save for College
Instead of taking out student loans, your kids will be eternally grateful you thought ahead and had a plan for their higher education.

Baby Step 6: Pay off the house

Baby Step 7: Build Wealth and Give It Away

---------------------------------------------
Expanded Baby Steps:
0.1 Commit to NEVER borrow $$$ EVER for ANYTHING other than possibly a house
0.2 Talk with spouse and get him/her on the same page as you concerning finances
0.3 Do a written budget
0.4 Temporarily stop all retirement contributions
0.5 Get current on the basics (You MUST have Food, Utilities, Shelter, Basic Transportation)
0.6 Amputate "toys" (bikes, boats, ATV's etc) if they will keep you from completing the snowball within 12 months
0.7 Cut lifestyle (Cut CATV, Cellphone, Regular phone "extras", Internet, Eating out, etc) and/or take a second job if $1000 EF will take more than 30-90 days. (depending on income)
0.8 Get current on ALL bills.
1.0 Save $1000 in Baby Emergency Fund (EF)
1.1 Chop up CC's. (You have an EF now, no NEED to keep those CC's!!!)
1.2 Get Health Insurance NOW (chances of getting sick w/major medical bills are larger than that of death), especially if you have children.
1.3 Get Life Insurance NOW if you have debt/your family couldn't make it financially if you died. Especially important if you have children! Social Insecurity only provides a small amount of coverage if you have dependents.
1.4 Amputate cars that you can't pay off within 24 months (you have an EF to fix "bondo buggy" if something should happen)
1.5 Consider raising insurance deductibles to $500 or $1000 and dropping full coverage on paid for "bondo buggy" (you have an EF ya know)
1.6 Draw up a will.
1.7 Get Long-Term Disability Insurance.
2.0 Do debt snowball, paying all your debts from lowest BALANCE to highest.
2.1 You can take your first vacation since finding Dave if you can pay cash for it. (no using the EF!!!)
3.0 Save 3-6 months EXPENSES in EF (FFEF)
3.1 Start replacement car fund.
3.2 Save up 20% for home purchase OR pay down existing mortgage to the point that you can drop PMI.
3.3 Start furniture or other non-essential stuff replacement fund.
3.4 Move up in car if you still feel the need to (must pay cash for it!, you can only buy NEW if you have a net worth over a million dollars)
4.0 Start contributing 15% of your paycheck to retirement.
5.0 Save for kids college fund.
6.0 Pay off the house early.
7.0 Live like no one else since you have lived like no one else! Give, Build Wealth and Have Fun!

Here's a link to some of Dave's budgeting forms - check them out if you need a place to start with creating a written "zero based" budget.
http://beta.daveramsey.com/tools/budgetForms

Some good quotes for motivation...

"If broke people are making fun of your financial plan, you’re on track." -Dave Ramsey

"Whenever you find yourself on the side of majority, it is time to pause and reflect." -Mark Twain-

"What can you do when you have no payments? Anything you want!" - Dave Ramsey

"Debt is dumb, cash is King, and the paid off mortgage has taken the place of the BMW as the status symbol of choice" - Dave Ramsey

"People often say that motivation doesn't last. Well, neither does bathing—that's why we recommend it daily." — Zig Ziglar

"We buy things we don't need with money we don't have to impress people we don't like." - Dave Ramsey
__________________
Kearson: Mama to DS (03/09). I leave feedback if it is left for me first, due to my issues with people doing it incorrectly. Can't stand those yellow notepad icons .
IsaacsMom2009 is offline   Reply With Quote
Old 10-01-2012, 08:43 AM   #2
IsaacsMom2009's Avatar
IsaacsMom2009
Registered Users
sitesupporter
seller
seller
 
Join Date: Jun 2010
Location: Orange, CA
Posts: 4,919
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

Another week, woo-hoo! How is everyone doing?
__________________
Kearson: Mama to DS (03/09). I leave feedback if it is left for me first, due to my issues with people doing it incorrectly. Can't stand those yellow notepad icons .
IsaacsMom2009 is offline   Reply With Quote
Old 10-01-2012, 08:51 AM   #3
KiltedKingdom's Avatar
KiltedKingdom
Registered Users
seller
seller
 
Join Date: May 2008
Location: UT
Posts: 2,694
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

We're going to be behind this month, I think. DH's income is hard to predict, but based on what he's been making, we'll be behind on some credit card payments. I've paid less than $50 in credit card interest over our married life (11.5 years) and I refuse to pay more. Hopefully things will start looking up soon.
__________________
Jennifer, homeschooling mom to 7
Ravelry
KiltedKingdom is offline   Reply With Quote
Old 10-01-2012, 10:02 AM   #4
IsaacsMom2009's Avatar
IsaacsMom2009
Registered Users
sitesupporter
seller
seller
 
Join Date: Jun 2010
Location: Orange, CA
Posts: 4,919
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

Quote:
Originally Posted by KiltedKingdom View Post
We're going to be behind this month, I think. DH's income is hard to predict, but based on what he's been making, we'll be behind on some credit card payments. I've paid less than $50 in credit card interest over our married life (11.5 years) and I refuse to pay more. Hopefully things will start looking up soon.
That's impressive about the CC interest. I wish I could say the same
__________________
Kearson: Mama to DS (03/09). I leave feedback if it is left for me first, due to my issues with people doing it incorrectly. Can't stand those yellow notepad icons .
IsaacsMom2009 is offline   Reply With Quote
Old 10-01-2012, 09:24 AM   #5
sweetgrace's Avatar
sweetgrace
Registered Users
seller
seller
 
Join Date: Nov 2009
Location: Oregon
Posts: 2,850
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

I think we sold our sandrail!!!!! A guy traveled 1.5 hours to come and look at it and gave us a $200 deposit for it yesterday. I really hope the deal goes through next weekend!!!! This would be huge for us! We would be able to pay off our car, treadmill, all our medical bills & some leftover to put either in savings or towards one of our CC's Happy dance!
__________________
Tawny - wife and helpmeet to Gabriel SAHM to DS1 9/9/08 and
DS2 4/1/10 AND Expecting someone new in September!
sweetgrace is offline   Reply With Quote
Old 10-01-2012, 10:03 AM   #6
IsaacsMom2009's Avatar
IsaacsMom2009
Registered Users
sitesupporter
seller
seller
 
Join Date: Jun 2010
Location: Orange, CA
Posts: 4,919
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

Quote:
Originally Posted by sweetgrace View Post
I think we sold our sandrail!!!!! A guy traveled 1.5 hours to come and look at it and gave us a $200 deposit for it yesterday. I really hope the deal goes through next weekend!!!! This would be huge for us! We would be able to pay off our car, treadmill, all our medical bills & some leftover to put either in savings or towards one of our CC's Happy dance!
Fingers crossed for you I hope it pans out.
__________________
Kearson: Mama to DS (03/09). I leave feedback if it is left for me first, due to my issues with people doing it incorrectly. Can't stand those yellow notepad icons .
IsaacsMom2009 is offline   Reply With Quote
Old 10-01-2012, 09:26 AM   #7
krispy79's Avatar
krispy79
Registered Users
seller
 
Join Date: Apr 2009
Location: Bangkok, Thailand
Posts: 1,912
My Mood:
I'm one day into the month and I already feel it will be a bust! D
Sigh, I want to throw in the budgetting towel... And just last week we paid off a small loan.
Hope everyone else has a good start to their loan

Sent from my (not so)Smartphone using DS Forum
__________________
Kristy~ISO: Sleep!

Is Someone Hurting you? You can talk to me 1.800.838.8238
krispy79 is offline   Reply With Quote
Old 10-01-2012, 09:40 AM   #8
emilyrebekah's Avatar
emilyrebekah
Registered Users
seller
seller
 
Join Date: Aug 2011
Location: Sioux Falls, SD
Posts: 3,733
My Mood:
Have a huge hit to my budget with unplanned visits from my side of the family My mother and sister will probably eat me out of house and home. Sold one of the diapers I listed, hope I can sell another soon. That PayPal will come in handy.
__________________
Christian wife of Scott (m. 4/2010) Mama to Alex 12/11... w/TWINS ETA 8/2014...Ebates...Swagbucks
emilyrebekah is offline   Reply With Quote
Old 10-01-2012, 10:06 AM   #9
IsaacsMom2009's Avatar
IsaacsMom2009
Registered Users
sitesupporter
seller
seller
 
Join Date: Jun 2010
Location: Orange, CA
Posts: 4,919
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

Quote:
Originally Posted by krispy79 View Post
I'm one day into the month and I already feel it will be a bust! D
Sigh, I want to throw in the budgetting towel... And just last week we paid off a small loan.
Hope everyone else has a good start to their loan

Sent from my (not so)Smartphone using DS Forum
Hang in there, mama. Revel in the successes and try not to let the other stuff get to you

Quote:
Originally Posted by emilyrebekah View Post
Have a huge hit to my budget with unplanned visits from my side of the family My mother and sister will probably eat me out of house and home. Sold one of the diapers I listed, hope I can sell another soon. That PayPal will come in handy.
I hope the family will at least pitch in to help with the food I can't imagine randomly showing up to someone's house and expecting them to feed me I always show up with food... and sometimes toilet paper too.
__________________
Kearson: Mama to DS (03/09). I leave feedback if it is left for me first, due to my issues with people doing it incorrectly. Can't stand those yellow notepad icons .
IsaacsMom2009 is offline   Reply With Quote
Old 10-01-2012, 11:35 AM   #10
emilyrebekah's Avatar
emilyrebekah
Registered Users
seller
seller
 
Join Date: Aug 2011
Location: Sioux Falls, SD
Posts: 3,733
My Mood:
Re: Dave Ramsey Support Thread Oct 1 - Oct 7

Quote:
Originally Posted by IsaacsMom2009 View Post
Hang in there, mama. Revel in the successes and try not to let the other stuff get to you



I hope the family will at least pitch in to help with the food I can't imagine randomly showing up to someone's house and expecting them to feed me I always show up with food... and sometimes toilet paper too.
I wish my family was like this. They are nuts. My mother and sister have a tendency to arrive with little/no notice and expect food and shelter. My sister came in May and stayed for a week. She just bought the bus ticket without consulting us. I have alot of problems with my mother, and we basically speak once and a while and then it is just about DS. Neither one of them drive and will expect to be chauffered around. They are coming here with a friend, who I hope is getting gas money. I'll probably be expected to feed that person as well. Not to mention that this eats into the time I would have used to edit photos (which means me getting paid) and helping my SIL with last minute things for the wedding. I will have NO break this week. I love providing hospitality and having guests, but this is ridiculous.
__________________
Christian wife of Scott (m. 4/2010) Mama to Alex 12/11... w/TWINS ETA 8/2014...Ebates...Swagbucks

Last edited by emilyrebekah; 10-01-2012 at 11:37 AM.
emilyrebekah is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Copyright © 2005 - 2014 Escalate Media. All Rights Reserved.