Dave Ramsey with Financial Peace University
My small group
-------------------
I have always tried to be supremely real on my blog. So here goes.
My small group has started in a 13-week study on financial matters by Dave Ramsey called Financial Peace University. I had already read one of his books...and had some understanding of what was coming.
Neal does amazing at his job...and so far...there have been only a few times for us to really be wondering where the money would come from to pay our bills. But...I don't work. Do the math for the average American family...and you can quickly deduce that we aren't rolling in the dough and most certainly live from pray-check to pray-check. And since staying home with our kids is the top top top priority and value for our family...we have had to work hard to make that happen. And sometimes we have made poor choices...and sometimes life is hard.
Dave Ramsey's first tip for financial freedom and peace is to save $1000 dollars as fast as you can for emergencies. Because emergencies will come. And then if you have that money...you don't have to whip out the credit card to save yourself...which ends up not really saving you.
I tried to share with our group...and I am not sure they believed me...that this will be a real test for Neal and I to get this fund. We are so careful with our dollars...knowing we don't have much to work with. I feel like we have already "cut the fat" out of our lifestyle. We don't have pets, we don't have a car payment (and one car has a vicious crack in the windshield we refuse to fix), we don't have cable, we almost never eat out anywhere more expensive than taco bell (and when I'm not in the middle of grief work...I usually make everything from scratch), I don't color my hair, I don't get mani/pedi/facials, we rarely go out to bowl or the movies, we almost never get a babysitter for anything, we don't have our kids in lots of extra activities, I'm careful about running the AC (I confess to being terrible about leaving lights on), we don't have a home phone, we use Netflix instead of renting movies, we don't make expensive purchases on clothes or electronics or furniture. Our cars and computer were the big purchases of the last two years...and we payed cash for both. It's really hard for me to know where to cut back.
I am, however, determined. I am going to be making an effort to find some houses to clean...and doing my best to find the hidden ways to cut back. I have come up with two ways so far. Number 1: Give up my deep-seeded need for lots and lots of Diet Dr. Pepper. I just bought a case of coke...and after its gone...every 12 days that goes by...I'm going to add 7 dollars to the fund. We have an ice maker in our fridge...so I'm planning on making a lot of tea.
Number 2: This is where it gets scaryyyyy. I asked Neal this morning if I could get a hair cut. My hair needed a trim soooooooo badly and my bangs were getting so crazy long. He of course said yes...but I was really struggling with the 20 bucks it would cost to get it done. I considered calling Jill--who is amazing at hair...and probably wouldn't charge me a thing...but I know she is sooooo busy. (Hi ya!) I spend 30 seconds thinking about this post by Laura...and I picked up the scissors and CUT MY OWN HAIR!!!!!!!!!!!!
I can't say I'll be cutting anyone else's hair for a living...and all I did was trim up the bottom...cut my bangs...and cut off the crazy long angled front hair that was driving me crazy. The back is still layered all cute from a professional. Still...its not bad...and I'll have Neal double check the back when he gets home. Its not that hard. Woo-hooo! 20 bucks for the fund!!!!!!!!!!!!! And here is the picture...which was harder to get than to cut my own hair!!
We can do this. So...all you pray-ers out there...pray that we can get our fund together quickly...and that I can find some houses to clean to help out!!!!!!!
I think you are extremely brave for taking on this challenge, and Smart! (Notice I put a capital S, for emphasis) I know you can do it, and I'll send any cleaning inquiries your way. PS, I'll always cut your hair if you show up on my doorstep with scissors.... ha! But I think you did a great job... I've always thought it was harder to cut short hair than long, there's not much room for mistakes! Way to go!
ReplyDeleteJust LOOK at YOU!!! You are adorable...the hair looks great! (Which is a really good thing, because if you cut your own hair, and then hated the results...you might have hated me forever...) Way to go!! I'll be praying for your fund...sounds like you're doing a great job already!!! Oh, and I'll be sure to pray about the Dr. Pepper thing too...cause THAT'S the hard one!!
ReplyDeleteI know exactly how you feel. EXACTLY because I've been there, just without kids. Dirk was in school and it was my salary keeps us afloat. But I'm living proof that YOU CAN DO IT!!!!!! YOU CAN DO IT!!! YOU CAN DO IT!!!!!
ReplyDeleteThings that we did to help raise the cash:
I sold lots of things on ebay. LOTS. In fact I sold so much that i have nothing left to sell. clothes, books on half.com, kitchen utensils I never used, anything i thought had value. I would search for those things on ebay and see how much they were going for and sold it.
Dirk sold firewood one winter.
I did a lot of freelance (which I realize everyone can't do.)
We ate the pantry. I hated it but i also hated buying more food. So sometimes we'd have spaghetti noodles, canned pinto beans and rice.
Budgeting really helps too, which I'm sure you've covered.
I know it seems hard and daunting, but once you get the debt snowball rolling and more wiggle room it gets better. YOU CAN DO IT!
Your hair looks great! There's no way I'm brave enough to do that!!
ReplyDeleteI can't believe you're giving up Diet D.P. !! Maybe you can keep an eye out for great sales and only buy it then, as a treat (I'd say if you can find it for less than $4/24-pack, you should get some!)...or buy the 2-liters. They're WAY cheaper than the cans.
Dave Ramsey encourages us to NOT buy things because they are on sale. Its better to not buy them at all. :) (I can do this ... I can do this ... )
ReplyDeleteIt's me again.
ReplyDeleteBut after reading this I was thinking back on how we were at first... so here's some more encouragement:
The actual PAYING IN CASH for everything made a big difference. For a while we even paid for gas in cash, (now we just use the debit card at the pump). So many times when I was at the grocery store I'd totally put something back just because I didn't want to part with the dollars for it.
Another thing to do is give yourself a tiny bit of "fun" money. Even if it's just five bucks, you should totally use it. If you don't you burn our REALLY fast ... and it's hard to fight that.
But after we started and got things going, it was like God said "Oh Ok if you want to be smart with money, then I'll give you a little more." We got a totally unexpected tax return, then Dirk got a raise, and so on.
I'll stop spamming your post now, but financial peace is SUCH a good feeling and I'm so excited that you guys are on board. Welcome to the party! BEANS AND RICE WOO!
Good for you! And your hair looks amazing! I would never have the courage, my hair would just get long and messy again before I worked up the nerve. We've both wanted to do the D.R. plan in our house, but we've never been motivated at the same time. It really does make great sense to me though how he has it all laid out and I think you will benefit immensely from it if you stick to your guns - I think you will!
ReplyDeleteRach...thanks so much for the half.com tip...Neal spent a huge chunk of time tonight putting on books!!!!!!! You rock...and thanks soooooo much for all the encouragement...I soooo NEED it!!
ReplyDeleteHI! I totally have my own blog now, can you believe it? I love that you are doing the Dave Ramsey thing. It's a hard program but it's also encouraging to find out people I know are doing it also.
ReplyDeleteYou are already on track more than many I know. More than I was even after we went through FPU.
ReplyDeleteI love the hair. I need someone to trim the back straight for me, but I trim my bangs every couple of months (saves me $10 or more each time); I cut DH's hair all the time. That $20 clipper set was paid for in two haircuts. I asked for an allowance of sorts, we pay me small amounts of $$ every time I cut his hair. Way cheaper than at a shop, and I get blow money for ME.
You can do it, I know you can! And that debt snowball can really surprise you.
i've listened to dave ramsey on the radio before, and he IS very inspiring.
ReplyDeleterice&beans, rice&beans.
your hair looks amazing!!!!
I just may take on this challenge!
ReplyDeleteWe are going to try cutting back on things and see how much we can save!
However, Diet Pepsi is not ssomething that I can give up at this point! It's the only thing keeping me sane!
your hair looks great! i stay home too, and we took a tremendous paycut to get there...There is a book called "miserly moms'" at the library. if Yours doesnt have it, get it through interlibrary loan. I have cut 300 dollars a month from my grocery budget with this book. Keep going. God is going to bless you and provide. (by the way, I cut my own hair on a whim and it looked better than the hairdresser!..if you need tips, I also color my own hair too.) take care!
ReplyDelete