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.