posted: May. 7, 2013 @ 11:40p
Hello. I'm new here, except that I've been getting the FW Deals email for about a year now. Browsing the forums I noticed someone who had a thread like mine, so I was hoping to get some advice for myself. I had a bankruptcy when I was 20 that kind of haunted me for a long time. Always been terrible about paying my bills on time and so my credit is awful. When we got married she had New credit... not really good or bad. But it has gone down hill over the last several years. The house is in both our names and we have made many late payments and our credit took a hit each time.
She's has been with the same company since she got out of college and has a really nice job that offers pretty much unlimited OT opportunities. She always gets 15 hrs OT every week. We have insurance through her company. They offer 401k but she has not activated it yet.
I have a new job (less then 3 months) that pays well. No insurance offered. No 401k offered.
Ages: Early 30s.
My Education: HS
Her Education: BoFA
Children: Two (5 and 7 years old)
Job: Both Employed FT
My Take Home: $1,600 (Bi-weekly)
Her Take Home: $1,300 (Bi-weekly, Amount includes 15 hours OT she generates every two weeks, this is guaranteed and does not fluctuate)
Combined Take Home: $5800/mo
My 401k: $5,300 (I no longer work at the company where this 401k was started, and no longer contribute to it but I still get quarterly statements.)
Her 401k: $0 (Have not initiated her 401k yet... but her company will match 3% and contribute up to 6%)
NO OTHER ACCOUNTS OF ANY KIND
My mortgage was an 80/20 split. Recently Wells Fargo admitted to fraud and I was part of a class action settlement that netted me $300. My interest rates are 7% on each loan. House is small 2 bedroom, 1 bath, 1100sq/ft. I feel like I was ripped off when I bought this house. It had major problems with the roof, the plumbing, etc. It was a rental before I bought it and man was it dirty! But I loved the neighborhood and the house has charm. Still, I feel like a sucker for paying so much monthly on this small house. I know I am not getting any bang for my buck here. Outstanding balance on house is: $75,000
Mortgage #1: $735/mo
Mortgage #2: 135/mo
Electric: $200/mo (New Heat Pump Coming, should cut this down quite a bit.)
Cellular: $178/mo (Was able to get $9 taken off our bill.)
Auto Insurance: $75/mo (Currently we have 1 vehicle)
Fuel Expenses: $240/mo or $60/wk, sometimes more if go "for a drive".
Satellite TV: $225/mo. (We just upgraded to premium service for HBO... Game of Thrones is back on!!) (See below, cut back, no HBO now. *Sad Face*)
Netflix: $8/mo (See below, cancelled)
Child School Lunch Program: $30/mo
Other Expenses: $45/mo (Equifax Membership $20; Netflix $8; Misc Membership $15; DSC $7)
Her Student Loan: $150/mo. (Owe $12,000, we haven't been paying this for years and have been doing deferments where they carry the loan over for 6 months)
Bank of America (Closed): $600 Balance (Going on 5 years)
Hospital Bills: $1,500 (Going on 7 years)
2012 Taxes Owed: $500 (Extension filed)
No other debt of any kind.
We are all caught up on all monthly bills.
Current Spending Priority: New Heat Pump by June 1 or we have NO A/C for summer! Estimated Cost: $2800 installed.
4 Year Goal: Improved Credit, Move to Larger House!
THANK YOU FROM THE BOTTOM OF MY HEART FOR ALL YOUR COMMENTS!
--== UPDATES BELOW ==--
5/8/2013 - Cut Netflix OFF. Saving $7.99/mo.
5/8/2013 - Reduced DirecTV to basic package, $64.99/mo.
5/8/2013 - Activated Her 401k. Contributing 6%, Co matching 3%.
5/8/2013 - Having trouble finding cheaper wireless that is on par with AT&T, still checking.
5/10/2013 - Cancelled 2 Day Family Trip on 5/25/13, saving us $150 Hotel Expense and an estimated $150 in Fuel/Food/Park Fees.
5/10/2013 - We do NOT owe the House Insurance Bill, it will be paid by our mortgage company escrow account. Good break!
5/14/2013 - Was able to get $9 taken off our AT&T bill a few days ago.
--== SHORT TERM FINANCE UPDATE ==--
17 - 30 May
My Pay: 1600
Her Pay: 1700 (Anticipated, she's worked a lot of OT)
Grocery 300 (Will try to lower)
Tires for Vehicle & Alignment 350
Part for Moto (Previous Commitment to Seller) 60
Family Trip 2-Day (Previously booked Hotel, non-refundable) 300 <-- CANCELLED!
Nephews Birthday 50 (Will lower)
Brothers Birthday 150 (Will try to lower)
Amount remaining after bills: 1175
31 - 13 June
My Pay: 1600
Her Pay: 1700 (Anticipated, she's signed up for a lot of OT)
Heat Pump: 2800 (Installed)
Groceries 200 (Usually we would spend 100 more, will try to go lite for this two week period)
Amount remaining after bills: 180
14 - 27 June
My Pay: 1600
Her Pay: 1300 (Anticipated, with usual 15 hour OT)
1st Mortgage 755
2nd Mortgage 135
Renew Drivers License 60
Amount remaining after bills: 1008 <-- Probably the soonest I could begin building an emergency fund / taking care of debt / etc.
The money left over from the May 17 pay period will need to help us float all the way to June 14 pay period. So, we will see how frugal we can be and hopefully come out with some left over. Will be keep a strict eye on my spending and will keep this thread updated. Thanks for all the responses.