Archives for category: help me internets!

In the process of figuring out how to get rid of debt, I have totally gotten caught up in the tiny house movement! I was really inspired by this mom who when she said that she sleeps well at night because they no longer worry about money. I want that!

So I have started a list of stuff to sell, donate, and give to friends. Also over pizza and beer last night with the husband, we have decided to rent out the whole basement! That means major declutter and simplification. I think it is going to be awesome and hard work. When we were first married we lived in a tiny shack by a lake, it had to be about 500sq ft max. Even though the wind blew through it and the roof leaked, we were no less happy there then when we were in a HUGE loft or in our house now. To be honest I think we were happier, life was simple. That is what I really want simple, peace, zen…and to not have to wash tons of dishes. Do we need more then 4 settings? Not if we go tiny house style!

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Denial, it is a beautiful and painful tool. We used it with our student loan debt. 4 years ago when we were done with school we calculated what we racked up. We had that figure in our minds but didn’t factor in interest that was accumulating on the loans we had to put in forbearance or lower the payment to just interest payoff, if you have had bills and no $$$ then you have danced that dance.

Time passes, jobs improve, and we start paying them all, even throwing extra money when it comes in. But we never went back to figure exactly how much accrued during that rocky period. Well I did it yesterday. Approx $152,100. Major F (censored just in case the kids are reading… Not my kids, they can’t read yet but ya know…anyway).

So what now? I’ve hit up a few calculators some are more positive then others. The government says at $2000 a month we could payoff in 5 yrs. CNN is not as nice. They are saying about 8 yrs. Both suck to me. But that Harvard dude paid $90000 7 mons. Of course he didn’t have two kids and was making six figures. But there has to be away for us to do it!

So we have about 1.5 the amount of debt × 7 mons × 2 kids = 2 years. So can we really get rid of this debt in two years? I think we should at least try.

My phone screen is cracked, and thinking I was being smart with two tiny destroyers grabbing for the magical glowing screen when ever it appears, I got insurance.  Wrong.  Total rip off. I am not sure how much it is, like 8 bucks a month?  Well it has been 7 months that is $56 bucks, and when I went to get it replaced it will be a $100 deductible.  Um..that is more than what the phone is worth.

But then I found this fabulous article! http://www.mrmoneymustache.com/2013/05/30/republic-wireless-19-for-an-unlimited-everything-smartphone-plan/ BUT the phone company whom we hand over $100 each month for our two phones says it will be $350 per line to cancel. Ok math time.  Let’s say we cancel the insurance because it is crap, so that drops us down to $84 per month for the next 17 months = $1428. Crap that seems like a lot of money…ok keep computing…. Republic would be approx $44 after tax x 17 months = $748 + 700 for canceling = $1448.  So I guess we would save $20 sticking with what we have.  Unless I have done my math wrong.

And I still have a cracked screen…oh well.

This is awesome! We’ve got crap to sell, I could try once again to get a job (the last few attempts have been far from fruitful, but if at first…), and flasks are cool!

No More Harvard Debt

Day 214 | $90,717 paid | $0 till freedom

On August 29th, 2011, seven months ago to the day, I went online to check the balance of my student debt. I graduated from Harvard Business School with my MBA and $101k of student debt in May 2009 and I had made 21 monthly loan payments of $1,057 since then. I was expecting to see a balance of around $80k or so.

I had failed to take interest into account; the balance actually stood at $90,717.

Feeling trapped, I challenged myself to pay off my student debt within ten months.

I had no idea how I was going to do it. I didn’t have a huge stockpile of cash, my 12-month salary after tax was less than the balance of my loans, and the ten-month timeline was completely arbitrary. I had a mortgage on my house and two cars and a…

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