Due to the unexpected 180-degree turn my life took a couple of months ago, I have not yet implemented my debt reduction plan to pay off $305,000 of in just 2 years. However, even though my life got flipped, turned upside-down (you know you just sang that as you read it), I have managed to stick to my original debt reduction plan to continue to pay as much extra as I can. This is barely a drop in the very large, overflowing bucket, but progress nonetheless.
Parent PLUS debt down: $1691.10
Mortgage lowered: $791.49
Overall debt reduction: $2,481.59
In addition to sticking to my original plan, I also paid cash for the balance of my son’s senior year of college after scholarships and grants, which was $2,752. Yay for no new Parent PLUS loans! I still have a hefty savings, which I want to throw at Parent PLUS loan #7. The thought of doing this makes me sick to my stomach – I like seeing that big number in my bank account – but the thought of not doing it frightens me even more.
The right thing to do is to fully, finally, and wholeheartedly commit to Dave Ramsey’s plan. I need to take myself down to a $1000 emergency fund and throw everything else at reducing my debt. I need to trust the process. What I don’t trust is my budgeting skills and my lack of sinking funds. It’s scary. It’s supposed to be scary. I need to remind myself of what I tell everyone else – it’s not fear – it’s excitement. Like when you’re on Top Thrill Dragster at Cedar Point. You’re scared to the point of panic and you want to get off after you’re strapped into that seat waiting for the lights to catapult you to your death. But that’s not really fear. That’s excitement. You’re going to be ok! Just trust the process…right?
It's not fear - it's excitement! #debtreduction #personalfinance Click To Tweet