Finding A Way Out of Debt

An idea occurred to me over the holiday break re: how I can get myself out of debt. I've opted to take money out of my 401K, once I pay off my bills with that I will increase the amount taken out of my check going toward 401K. I will put an additional $100 a month in my 401K and with my company's matching program my job will also put an extra $100 a month in. So basically my job will be helping me pay myself back for the money I took out to pay my bills. Not only will doing this rid me of the hastle of paying bills every month but I won't be paying their APR rates.

With my bills paid off I will have a decent amount of money to live off of and there will be no temptation to charge on the cards I paid off. My desire to not have to pay a bunch of vendors ever payday far outweighs my potential desire to buy things. And now I am in a good place in my life where I have a decent amount of clothing that I actually like - so no temptation to clothes shop when I don't have the money available. I've got my apartment decordated and to the point where I really have to stop no matter what I want because then it's going to start to look 'over' decorated. So no temptation there - and those are my primary temptations.

There's an old SNL skit where the mother bought this new financial budgeting book that is one page long. All it says is - don't spend money you don't have. Everytime a family member wonders aloud whether to take a loan out for a boat or whatever they refer to the one page book, "don't spend money you don't have". OK, not the most funny skit you ever saw but it's extremely sound financial advice - advice I plan to take.

Most of miy debt was really incurred when I was broke and not necessarily because I couldn't resist the urge to shop. But having my bills all paid off - I won't be broke and thus, I won't need to go into debt and have to pay off credit/store cards again. In a way I feel guilty about withdrawing money from my 401k account but on the other hand I have also made plans to pay myself back. So as long as I stay on the plan of paying myself back it will be all good!
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No Money, No Fun

I hate this time of year - I am always broke. First it starts with the school supplies, uniform and school shoes. Then the school wants a $200 general fee - don't know why they don't just spread it out in the monthly tuition. Then when I finally recover toward the end of October - it's time to start buying Christmas presents for Jazzmin. I always want to make sure she gets plenty of presents so that Christmas is as special for her as it was for me when I was a kid.

I hate being broke. :(

The Tax Refund Cometh....

My federal refund was direct deposited on Friday! Yea me! I went to this furniture store (Levitz) on Friday night to scope out couches since the whole franchise is going out of business and they were having amazing sales. When I got to the store I had to dodge tumbleweeds blowing through the showroom inbetween the scarce odds and ends of furniture. Needless to say, my venture was fruitless. Then I went to the near by Jennifer Convertables - and while they had nice couches, they weren't cheap enough to fit what I'm willing to pay.

After the "sticker shock" set in - my inner-cheap skate reared it's ugly head and I then decided to get a replacement futon mattress for my couch. I decided that I'd be just as happy with a replacement for my futon mattress, preferably one like Dawn got this summer. So today I purchased the futon mattress as well as a new box spring/mattress set for my bed from 800-Mattress to be delivered next week. I already have Tuesday off 'cause Jazz is out of school - so they'll be delivered then. Now I just need to get a a cover for it.

I bought a few things over the weekend that were on my list of things I wanted, such as those storage bags you vaccum the air out of. Could really use them for my winter blankets and clothes when I put them away during th warmer weather. Got Jazzmin new shirts at Old Navy (all at 40% discount) - they actually came in her size of 'string bean'. I couldn't believe how narrow the shirts were - feel bad for parents with average to husky children. Will be hard to fit them in Old Navy. I also got her sneakers at Payless. And, lastly, I got new pillows - part of a never ending quest to find a pillow that stays firm and doesn't flatten out after a month of use. I have to have my head propped up to a certain level, otherwise I don't sleep well and sometimes even get headaches. I know these pillows must've been good because I was in such a sound sleep that I slept through my alarm this morning! Fortunately I still had time to get ready for work.

And, yes of course, I am spending plenty of $$$$ on paying bills. :)

Tax Refund on the Way!

I finally got my W-2 from my job on Saturday. I'm really excited because this means I will be getting my refund soon. What's great is my job let's us use Turbo Tax for free and this year e-filing will be easier since last year's return is already saved in the Turbo Tax system. I'm not sure how fast e-filing will get the money to me - but it's gotta be better then anything else.

Most of my money is going to go toward paying off bills. I am also going to buy a new box spring and mattress. I inherited the bed I have now from my daughter's grandmother - and when I got it 8 years ago it was already 25 years old. Will be great to get ride of the saggy, creeky old thing.

I will buy some things fun for myself - I need new clothes, both for office and for home. Jazzmin needs clothes too. She also needs a new taekwondo outfit - the one she has now looks totally like high waters. Maybe next year I'll get a couch. We'll see.

*************UPDATE***************

Mon., 1/28/08

Just e-filed my taxes this morning (didn't want to risk doing it at home with my unreliable dial-up connection) and it turns out that I should get my refunds by NEXT FRIDAY (2/8/08)!!! Yeah me! Broke days are over (for now)!!!