Diaper Swappers

IsaacsMom2009 · 10-29-2012, 08:44 AM

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

IsaacsMom2009 · 10-29-2012, 08:56 AM

Just stopped by to start the thread. Be back later to update.

IsaacsMom2009 · 10-29-2012, 10:06 AM

Paid off a credit card last week. I also became a 31 bags consultant since it goes well with my organizing business (that I started earlier this year and haven't been able to do much with).

I either get paid next Friday, or the Monday after. Since the 10th falls on a Saturday, I don't know if we get paid the day before or the day after. Looking forward to getting that check so that I can pay off CC3 and throw a chunk at CC1.

STBXH and I are splitting the cost of a gift for FIL. It's pretty pricey, but I have Amazon gifts cards and credit card rewards saved up, and since we are buying it from Amazon, my half of the gift will be cut in half

I normally don't spend so much on one person for any holiday, but FIL has been wanting one of these things for years, and I really wanted to get him something nice in appreciation for everything that he does for me and DS.

MotherMoonPads · 10-29-2012, 10:08 AM

Good morning ladies. I met all of my goals last week (yay!) and am ready to take on this week.

Computermama · 10-29-2012, 10:28 AM

Seasonal layoff is a go - DH just found out that they want to lay him retroactive as of this past saturday - he didn't work this weekend because of the lousy weather. Time to duck and cover and really watch the pennies.

joeslittlewoman · 10-29-2012, 11:04 AM

Quote:

Originally Posted by Computermama

Seasonal layoff is a go - DH just found out that they want to lay him retroactive as of this past saturday - he didn't work this weekend because of the lousy weather. Time to duck and cover and really watch the pennies.

((HUGS)). It is great that you guys prepare yourself every year. How long do layoffs last?

Computermama · 10-29-2012, 01:58 PM

Quote:

Originally Posted by joeslittlewoman

((HUGS)). It is great that you guys prepare yourself every year. How long do layoffs last?

Well it's either prepare or panic, and believe me I am so done with panicking! He usually, weather permitting, will go back in early March. He may also get hired on by a larger golf course to help them shut down for November - the one he manages is quite small.

We have our FFEF, which is over 10k, and our christmas savings for the rest of our christmas gifts. We also have our grocery points from our mastercard which is over $300, and our grocery club order is coming in early december. It should only be 6 weeks before the employment insurance kicks in, and it'll catch up all but the first two weeks. This part, the waiting for EI is the scary part. after that we have to watch what we spend, but we're ok.

slimy72 · 10-29-2012, 02:48 PM

Quote:

Originally Posted by LadybugMonkey

Well not a very DR update but my sister and I started planning our trip in the spring! I am sooooo excited! We decided on the end of April and a bit into May. I've been wanting to go visit her since she moved to England.

All my debts are paid off, I will have my full emergency fund (10k+) saved and I will have cash for my trip. I have travel points saved up for the flights so that will help too.

THAT IS A DR UPDATE!

The whole point of the plan isn't to live poor forever, the whole point is move through the steps and then enjoy life a little. You've done the work, now enjoy the trip. Then when you get back, get right back at the next part of the plan. Save for retirement, college, ect... no where does it say that you MUST wait until retirement to have some fun. Just that while you are paying off debt you shouldn't

Enjoy your trip!

happysmileylady · 10-29-2012, 10:45 AM

I am here! We are looking to move into BS 2 in November! By Thanksgiving

Sooner if I can get some more income coming in. I have a photography purchase going down this week WOoo Whoo, so that will help. Some of the money is going right back into the business to pay for website and some new advertising, but the rest is going to savings.

MotherMoonPads · 10-29-2012, 10:54 AM

I decided to get my MBA. I am so clueless with everything, and I'm a little scared, but I'm starting the research for it today.

10-29-2012, 08:44 AM	#1
IsaacsMom2009 Registered Users Join Date: Jun 2010 Location: Orange, CA Posts: 4,416 Ratings: 407 Feedback: 100% My Mood:	Dave Ramsey Support Thread Oct 29 - Nov 4 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 am a 31 Gifts Consultant! Ask me about this month's specials Please check out my ISO/IHA. 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 .

10-29-2012, 08:56 AM	#2
IsaacsMom2009 Registered Users Join Date: Jun 2010 Location: Orange, CA Posts: 4,416 Ratings: 407 Feedback: 100% My Mood:	Re: Dave Ramsey Support Thread Oct 29 - Nov 4 Just stopped by to start the thread. Be back later to update. __________________ Kearson: Mama to DS (03/09). I am a 31 Gifts Consultant! Ask me about this month's specials Please check out my ISO/IHA. 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 .

10-29-2012, 10:06 AM	#3
IsaacsMom2009 Registered Users Join Date: Jun 2010 Location: Orange, CA Posts: 4,416 Ratings: 407 Feedback: 100% My Mood:	Re: Dave Ramsey Support Thread Oct 29 - Nov 4 Paid off a credit card last week. I also became a 31 bags consultant since it goes well with my organizing business (that I started earlier this year and haven't been able to do much with). I either get paid next Friday, or the Monday after. Since the 10th falls on a Saturday, I don't know if we get paid the day before or the day after. Looking forward to getting that check so that I can pay off CC3 and throw a chunk at CC1. STBXH and I are splitting the cost of a gift for FIL. It's pretty pricey, but I have Amazon gifts cards and credit card rewards saved up, and since we are buying it from Amazon, my half of the gift will be cut in half I normally don't spend so much on one person for any holiday, but FIL has been wanting one of these things for years, and I really wanted to get him something nice in appreciation for everything that he does for me and DS. __________________ Kearson: Mama to DS (03/09). I am a 31 Gifts Consultant! Ask me about this month's specials Please check out my ISO/IHA. 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 .

10-29-2012, 10:08 AM	#4
MotherMoonPads Formerly: KeepYourBabyClose Join Date: Jun 2008 Location: Medford, Oregon Posts: 20,211 Ratings: 280 Feedback: 100% My Mood:	Re: Dave Ramsey Support Thread Oct 29 - Nov 4 Good morning ladies. I met all of my goals last week (yay!) and am ready to take on this week. __________________ Denelle, WAHM to Gwen (15) Ezekiel (4) Eleanor (my homebirth baby) Reusable Cloth Menstrual Pads, Restocking Daily, Quick Shipping! Saving your body & the Earth, One cycle at a time Blog Etsy Shop, MotherMoonPads Facebook Friend Me!

10-29-2012, 10:28 AM	#5
Computermama Registered Users Join Date: Mar 2008 Posts: 12,876 Ratings: 30 Feedback: 100% My Mood:	Re: Dave Ramsey Support Thread Oct 29 - Nov 4 Seasonal layoff is a go - DH just found out that they want to lay him retroactive as of this past saturday - he didn't work this weekend because of the lousy weather. Time to duck and cover and really watch the pennies. __________________ Becca, Wife to B (10/31/09!) and busy WOHM (on mat leave) to E (10/17/07). and C (04/26/12) I've earned over $450 in gift cards by searching with Swagbucks! Probably nak or fighting autocorrect on my iPod, excuse the typos!