Well for my wife and I, we have set up a plan to pay down some of our debt. We have accumulated some debt over the past few years. It was by choice so that she could stay home with our two beautiful children. I wrote a post the other day asking you to take a moment to review your situation because April is National Financial Literacy Month.
Did you take a few moments to see where you stood? Are you going to do anything about your situation?
Our goals are to have all of this done by June 1. She has 4 payments left on her car and then it is ours baby!!!! It will be nice to receive that title and see no liens. Our approach is going to be contrary to what scholars recommend; which is to pay down card with highest interest rates first. We are taking the approach to hitting a few with moderate rates to pay them down first. We want the satisfaction of bringing down the overall amount of cards with balances on them down. The minor victories are going to give us momentum to push ahead and pay down other debt that we have.
This past weekend my wife and I sat down to formulate a plan on how we were going to do it. I am not going to get into detail right now, but this weekend I paid every bill that we had for the month. It is really nice to have a second income now to give us the flexibility to do this. Mind you that we chose to bring this all on, we wanted my wife to stay home with our kids we were fully aware of the situation we would be in. Your kids are only little once, and money was not as important as their well being.
My wife and I both have our master’s degrees and are both working now and our debt will be paid down hopefully by the end of the year. We are taking an aggressive approach to get back on track. It is going to work great for us and I cannot wait to tell you all about it!! Who ever thought paying down bills would be so fun!!