I started all over with our budget. Instead of trying to "fix" one, I just started all over. Some interesting things came to light.
2) As much as I would love to not count either my job or G-man's second job....the number simply do not work. I know that in theory we should be able to cut things back to make it work....but these numbers are using MINIMUM payments (we haven't even gotten to a real debt snowball yet). If someone figures out where to find $800-$1000 to cut....let me know.
3) We get paid 26 times a year from our main jobs. This is a budget based on 12 months, 2 paychecks a month (G-man's second job is weekly). Counting those "extra" paychecks, we have an extra $3800-ish per year. In theory....that should all go to debt repayment, in addition to our monthly minimums, and any extra we have.
4) As the budget stands, we have less than $100 extra per month, assuming I haven't forgotten something major. If I don't account for the irregular expenses (car tax, water bill, trash bill), and just take that from the 3-pay check month....it gives us about $168 to snowball.
5) Which brings us to our "savings" account. We put $75/paycheck in "savings" which may or may not get moved around. I am considering redirecting it from the get-go....which gives us another $150 to snowball, or a grand total of $318. With this idea....Student Loan 2 would be gone in just over 2 months (or by the end of the year if I push it). Then I would be able to increase the next victim on the list by just under $400/month.
6) Gifts....this current version of the budget doesn't include gifts. Here's why....A) we have been selling stuff on Craigslist to cover gifts, B) I am considering a slight revamp once we get further down the debt road to include an ING account for this, or possibly C) Use "Savings Goal" as the gift fund (currently $60 a month).
7) The Mortgage.......I am strongly considering a refi now that we are no longer underwater. A 30-yr fixed would yield another $350-$400 a month in cash flow. A 20-yr is about $200. And if we did a 15 year....our payment would almost stay the same, and we would be shaving almost half of the life of the mortgage right off the bat!
This is by no means perfect. For example.....the income amount includes medical reimbursement, which has run out for this calendar year. And some months a ton of stuff clears and we get huge reimbursement, and other months, it is less. Also, the income stream will change when the retirement loan is paid off. Some of the $105 per paycheck will continue to go towards retirement....some might enter the main cash flow.
Life Insurance and saving for college....no where to be seen yet.
I condensed the categories for simplicity.... but if something seems out of whack....ask me about it!
Other than that....how does it look, my bloggy friends???????