I loathe being in debt up to my eyeballs in credit cards.
I love reading about others who have managed to pay off their credit card debt.
Which is what basically inspired me to start this blog.
So to start of with lets have the numbers please!
American Express: $3,319.79
TOTAL DEBT: $20,645.46
I have decided to pay off the Citibank card first because I seem to be paying about $160 in interest (although that may be because I got my statements, they charged me for statements! WTF!) So anyways, thats getting targeted.
Now the problem is, I also get paid a pittance. Roughly $750 a week, net. Okay its not really a pittance, but its not much either. Or it could be a pitttance and I’m just ignorant, whatever. Anyways, I’ve calculated it. I pay about $1500 over 5 weeks, which equates to about 40% of my net salary.
Reading other blogs about this, most people have about 20% and “anything extra” going into their target debt. So this got me thinking, is my 40% too high? Am I not giving myself not enough flexibility? I still save about 9% into my emergency fund. I’m aiming for $1800, currently it’s at about $400. After rent, money I allocate to paying bills, and public transport costs it leaves me with about $60 a week to play with. I can usually make that $60 stretch, and sometimes if I have any leftover it goes into another account which is the gift account. Basically to buy gifts and stuff for people. Which currently sits at $60-ish. I’m hoping to get that up to about a hundred-ish before August where I have to buy at least one present.
Not too sure how often I’ll update this. Maybe daily for a while (I love looking/playing/fiddling with my budget) and maybe I’ll link to all the other blogs I’ve found that deal with this stuff.
But all in all, life is good… and getting better.