Now until the end of this year we are focusing on two loans (personal and car) that we have and paying minimums on all the rest of the debt while still beefing up our savings. The reason for this is our minimum payments are the largets on these two loans. Once we get them paid off that is that will free up much more money per month we can put on our credit card debt. I am willing to risk a little higher interest rate on the credit cards to have these two loans gone forever.
After the new year we will stop putting money in savings for now and add that money to our debt repayment of our two big loans. That should let us have our car paid off next spring and our personal loan paid off the following fall. That also means no buying a house next summer. We will be waiting until summer 2010. Really dissapointed in that. We didn’t really want to own the condo more than two years.
If I spent as much time obsessing about a home business as I do about our finances I would probably be a lot further in that department. For now I plan to just follow my budget and focus on getting a home business up and running as well as weight loss and decluttering. Any extra money brought in by a home business (plus snowflaking and online surveys) will be put towards debt.
I read the 4 Hour Work Week by Timothy Ferris once but plan on going back through it to get a home business started. If you have not read the book you can get it on his website for around $12. If you can’t wait for that you can get it at Barnes & Noble or Amazon or your favorite book store.
Here’s to Lifestyle Design!