Money & Frugality

Our Money Makeover Challenge #6 | A Re-Evaluation & Change in Plan

It’s been almost six months since I posted my last Money Makeover Challenge update.  A lot has happened since then.  We currently only have $347.40 total in our emergency fund and have paid $3,939.55 toward our debt since then.  In June, my husband’s overtime hours were completely eliminated (about $1,200 a month!), and then I desperately and stupidly decided to use a credit card again.  It’s time for a financial re-evaluation and a change of plan.


We had $1,000 saved in our emergency fund with our tax refund money in February.  At the end of June, I withdrew $500 to go toward our final USAA payment because we weren’t going to have enough to cover the minimum payment of $317.15, anyway.  So, I decided to go ahead and withdraw enough to pay it off.  We also had to use an additional $152.60 total for cost of living expenses.

$1,000 – $500 (USAA, etc.) = $500 – $152.60 (bills) = $347.40

My goal for the starter emergency fund is the same: $20 per week. The only difference is my projected date to have it fully funded by.  It’s going to take 32 weeks (8 months) at that rate.  So, instead of having a fully funded emergency fund in November of 2018 according to the original plan, it’s not going to be fully funded until March 2019.


Debt Snowball Ledger

Capital One Credit Card
$266.08 Start amount (August)
$0 Payment amount
$266.08 Current balance remaining
Chase Slate Credit Card
$2,279.00 Start amount (February)
$25 Payment amount
$2,036.50 Balance remaining (August)
401(k) Loan #2
$5,653.95 Start amount (February)
$105 Payment amount
$5,176.22 Balance remaining (August)
Total Debt as of 08/21/18 $7,478.80

Like I mentioned, we were able to pay a total of $3,939.55 toward our debt within the last six months.  During that time, we completely paid off our USAA loan with $435.99 as the final payment!  We went from $11,148.22 in debt during the first week of March down to $7,279.70 during the first week of this month.

My new goal for our debt is to pay $200-$250 total per month until it’s gone.  At this new rate, it will take an additional two years before we’re debt-free, but I honestly don’t expect it to take that long if we’re frugal and can increase our income again.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s