Saturday, October 17, 2009

A New Life

I'm about to make the jump into living the cash-only life. I seriously hate credit, creditors, debt, being broke, and all of the other negative things that go along with being a lousy money manager. Here's my goals:
  • To be completely debt free including the house.
  • To cancel my last remaining credit card.
  • To spend only cash, with the occasional use of checks and debit cards, to pay bills or make major purchases.
  • To have $10,000 in an emergency fund.
  • To have a portable source of income so that I can travel more.
  • To pay cash for a nice car.
  • To have enough money in savings to cover a year's worth of bills (which should be easy once I have my debts paid off and only minimal monthly bills).
  • To develop sources of passive income.
  • To pay my taxes in full and on time.
  • To write a book and have it published.
  • To make wise decisions not only about my finances but also about my health, my future, and my life.

Here's why:

  • I have literally been in debt since I was 16.
  • I have not lived without a credit card (actually a handful of them) since I was 18.
  • I have never had an emergency fund.
  • I've never had more than $100 in savings, and I always end up spending even that.
  • I've never paid cash for a car...I've always paid years of car payments or lease payments for them.
  • I have the bad habit of juggling my debts, bouncing checks, and making bad financial decisions.
  • I have one bankruptcy, two car repossessions, and lots of late payments on my credit record. Ugh.
  • I cringe when I get a letter from the IRS...and I cringe often :(
  • I'm inspired by Dave Ramsey!
  • I hate creditors, predatory lending, over limit fees, late fees, and fees in general.
  • I want to control my money instead of my money controlling me.
  • I have always been held back because of my debts--can't travel more than a couple of weeks because I need to get back and work, can't buy the latest gadget with cash because I am always broke, can't whisk the hubby away for a nice vacation or surprise him with a really cool present guessed it, I am always broke!

So I am starting now, this minute, to get my (financial) life in order. No more debt, no more credit...I am in control. Period.

1 comment:

  1. Lawd! That sounds like the former me! I have one foot in the old world and one foot in the new world. I look back at the old Michele and want to slap her (OK, really work her over and send her to the hospital). It has been a work in progress, but I do see the light at the end of the tunnel. Good luck! I will be reading to see how you progress (and to help keep me on my toes and inspire me).

    I found Dave Ramsey in late 2004 (it must have been divine intervention). I have fallen off the wagon a few times because I am the only one living this way, but the outlook is sooooo much better than it was in 2004.

    I have 2 more debts to knock out (I knocked the IRS outta my life in October). I have to remember that it only gets me to Baby Step 3 (not total freedom).

    I totally laughed at the $100 in the savings account. Yeah, I don't even know why I would call it a savings couldn't stay in there to save its life. =o)