Annual Goals 2017

I just read a blog that had listed their annual goals and I thought what a great idea.

Debt - to pay off half of my debt this year (including my car). I have a good plan, I think, so that all of the debt is paid off within 24 months. I still have monthly / yearly child care costs that almost equal my mortgage. This takes a huge chunk out of my monthly income.

Saving - I don't have a great goal for this as most of my money will go to the debt issue. I did put a chunk of my yearly bonus toward my RRSP, but it probably isn't enough. I'm starting to worry about my retirement income. I need to decide if any money I don't spend out of my budget will go to debt repayment (probably) or savings.

Vacation - Last year we travelled out west to see my brother's family, we also did an overnight at Great Wolf Lodge (not money well spent - it was so expensive), and we did a bit of a staycation and did a week of touristy things in Toronto. This year we are staying close to home, but will use some of the vacation money towards next year's trip (either Disney or Mexico). So, nothing big planned this year, but budgeting for next year. We will also do Wonderland and the Zoo, and hopefully a weekend of camping this year.

Reading - Last year was a complete fail on the book front. I wasn't taking the train anymore to work so I didn't have all of that time for reading. I don't stay up reading at night because I'm too tired after reading to my little guy. I am hoping to read 10-12 books this year. I've read 2 so far (better than last year). I'm reading at the gym (maybe not great for my workout, but makes me happy).

Knitting - This has also been a complete fail lately. I just don't seem to have any interest in it. I've started a couple of projects, but nothing holds my interest. I think back to the blanket I made for my niece and can't imagine do something like that again. I need to find a project that excites me.

Fitness - I joined a gym this year. I sit all day at work and don't really get much exercise with a 6 year old. I get to the gym most work days for a 30 min session. I'm trying out different things to see what I like, most days I just want the treadmill so I can read my book. When I was on mat leave I lost a ton of weight walking everyday.

Spending - We eat out once a week because my little guy loves it, but that's it. Which has been hard since I love take out. I miss my Indian, Mexican, and Thai options. But, seeing the debt come down makes it all worth it. Once this debt is all paid off maybe I'll splurge. I'm also stopping myself from buying any shoes (which I love). I'm hoping to only spend money on the little guys clothes this year. I spent a lot on toys last year, so I'm hoping to curb that spending as well. He has an allowance (that he likes to save, not spend). I'm saving up for his birthday, and then for Christmas, but will try to not spend anything else this year. I've cut back on my alcohol intake as well. I like beer, alot, but it was getting too expensive. I'm limiting intake to the weekends (and not when we go out for dinner), so it works out to just over 12 a month, which is way better than this time last year when it was about 12 a week. I did splurge on scrapbooks already this year (used up my whole budget for the year in fact). There was a sale so I had last year's books printed. The money came out of my bonus. We spend a lot on sports. For a not very active family, I don't know how this happens. How do other families afford it? We just have swimming and skating throughout the year and it is expensive. I'm forgoing hockey for another year to save the $400 and the little guy has decided he doesn't like Beavers anymore, so that saves me another $200 a year.

I don't understand how people can have so much money to put towards debt and saving. I feel like I'm doing everything I can to limit my spending, but still not as much as I'd like to put away. Even once the debt is paid off I don't feel like there will be as much as I'd like to put towards RRSPs. I also have RESPs to think about. I haven't been able to put a ton towards those though because of the debt, but plan to up that amount once the debt is paid off. I'm also hoping to put more towards my mortgage. So many things I want to do with that debt money! I so wish I hadn't of gotten myself into this mess. I hope my son never ends up here. Is it because of my childcare costs? My mortgage and car amounts make up 36% of my income. Childcare is about 10% of my income (which will be true for another 4 years at least).

That's my plan. If I stick to it (and I plan to), I'll be debt free (excluding my mortgage) in two years.

Debt Reduction Plan

Back when Jude was only a year old, I was on the show 'Til Debt Do Us Part'. Being a single mom without a plan on mat leave had put me in a whole that I wasn't sure how to get out of. Luckily Gail Vaz-Oxlade came in to set me straight. She had a great plan for me, but I faultered. I had a year on mat leave with no supplemental income except EI (about a 1/3 of my income) and went into about $20000 worth of debt. Then came the next couple of years where daycare costs were about $1700 / month, more than my mortgage, car payment, and housing costs combined. 

During that time I went on stress leave from my company and tried to find a company that would be a better fit. This took a few months. During that time I went on a trip (that had been planned well in advance of all this) and went into a depression hole while on the trip. Well, depression holes for me normally mean I'll spend money. I bought a vacation membership while on that trip (with money I did not have).

Luckily, I came back and found a position with an organization that fits me perfectly. Flexwork, flexplace, time off for appts, and understanding about mental health issues.

I was still dealing with expensive daycare fees so I wasn't making any headway with my debt (plus now, I had the monthly payments for the vacation property). Fastforward to last year, I switched locations with my organization (no more $250 / month for train travel) and received a hefty bonus. 

I went back to my budget spreadsheet and made a plan. I stuck to the plan! I paid off $10000 of my line of credit last year. That leaves $14000 remaining on the credit line, plus $10000 for my car, and $5000 for the vacation property.

If my calculations are correct I will have all of this paid off by the end of next year. I could probably pay it off sooner, but we are going on vacation next year (not this year). 

I look at the numbers constantly. But, it keeps me on track. I just needed to write about it because I'm excited to be on the right track.

I'm Back!

The last post was in 2012. Wow, it has been awhile. I've been spending my time on Facebook I guess. This morning I was thinking about my debt reduction plan and that I wanted a blog to chat about it, so here I am.