Spending Fast 2014...

Anna Newell Jones, went on a spending fast for a 15 month in 2009 and got out of debt…And I need to be more like her.

In July of 2011 I tried this and in 2012 I was (briefly) out of debt.

But then I needed a new car so my daughter had my old car to use, and I fell away from my saving habits and ran up some medical bills … I hit the maximum salary in my current position, so there are no more cumulative raises, only bonus money, which is taxed higher… Property taxes and insurance costs increased... Gas and food prices are soaring…

I am sure it is all a familiar story to many of you…

For a little while, I was considering selling my house and moving to be closer to work… Short commute… Older homes with character…

But…

I need to be real about money. And with each realtor walking away with more of my money than I would, selling just is not an option.  I can’t lose all the equity I have in my house and start all over. This little ranch isn’t much but it is something. And it is beautifully finished. Yes, I could upgrade to a new heating and cooling system and the electric panel, and one day I would love to have a tankless water heater and a covered patio, but we are good for now.

I need to focus on limiting what I spend money on  and a spending fast will get me back on track.

To that end, my house came off the market. I have 25 years of payments ahead of me and cannot go back to having no equity in a new home.  I will look into  a 20 mortgage refinance to see if I can save money by doing it, but I have to see if the costs involved eliminate my savings from a lower interest rate.

Starting today and for the next six months, until November 8, 2014, there will be no unnecessary spending.

Today. I begin by listing the things I will and won’t spend money on.

Items I need to spend money on:

Mortgage/Home Insurance/Escrow: Not optional! And now includes flood insurance since they redrew the lines for the flood plains- Bah humbug, FEMA! The Miami River didn’t get any closer to my house.

Urgent Home repairs… but hopefully there won’t be any… Please God...

Debt repayment and emergency fund...

Utilities (keeping lights and water off as much as possible; keeping the thermostat at 65 in the winter and wearing a sweater when the cold comes and at 75 in the summer- we have ceiling fans after all!)I already had Duke connect the cycle on/off meter so they can rotate my a/c on and off during peak hours, which lowers my bill a bit.

Basic Cell phone service- no smart phone for me. If it is good enough for Warren Buffet...

Internet/TV - because as much as I need to pay my debt, I need  internet for working from home, and TV for my kids so the next six months does not kill them.

Pool expenses: with summer and the heat, it is the luxury I can’t live without.

Food (store bought and only when I run out of stuff in cupboards and freezers)

School fees (like death and taxes- unavoidable!)

Allowance for John- cause he works so hard

Fairfield Community Center Zumba for me- the exercise is essential to my health plan

Belly Dancing - again invoking the exercise clause

Doctor, Dentist and Medication co-pays- because healthy is happy

Fast Track food and supplements for my post sleeve life- but I can’t buy more till I finish all that I already have.

Essential clothing for work needed due to weight-loss- I will limit myself to used clothing stores and I will buy no item that costs more than $10.

Car payment and full Car insurance with an Umbrella policy- better safe than sorry

Gas for commuting, oil changes, and other car maintenance stuff- but I have already replaced two of four tires and just changed the oil so I should have a couple of months with only gas costs.

Life insurance

What I'm NOT spending money on:

Books… I own enough that I haven’t read… and I can get  free books on Kindle

Cards & Gifts - truth be told, I probably have enough cards in the house to last a year

Shoes – I am amazed at how many shoes I own.

Trinkets…AKA crap...There is a great deal of stuff that fits in this category...

New make-up, hair stuff- bands, elastics etc… This may belong with trinkets...AKA crap...

Eating out- it isn’t healthy anyway

Movies/DVDs/Gaming… with Prime it should be okay- I will have plenty to watch for free.

Bed linens/Towels/Houseware items… I actually need to edit down what I have.

Decorative house stuff- Since my house just got paint and carpet and staging we should be good here

Cafeteria food… I spend too much money in the cafeteria… It is healthier to bring it from home anyway.

Poker

Anything I left off the list that I do not actually NEED.

Here goes nothing!