Hi All,
Generally I have always spent what I earn and I have started to make a budget and wanted to focus on debt reduction. I'm looking for advice on how to change the spending mentally and if the budget looks good? Or if I should make cut backs in certain areas. The problem is I have worked very hard to make this money and feel I should be able to spend it all. I always say to myself If I wanted to live like I made $50k why did I go to school and work 10 hour days.
Background Dual working household with no kids. The wife makes $54k and I'm pulling down $225k I'm 28 and she is 25. I have no savings and 10k in a retirement account. I live in a low cost of living state that shares its border with CA. This means AZ or NV (trying to not give to much away) Both are about the same cost of living.
Current Debts
$20,000 Personal Loan (15.5%) payment = $400
$7,000 Credit Card Debt (21.1%) Payment =$450
$70,000 student loans (6.5%) Payment =$1,029
$28,000 Wife Car loan (2.5%) Payment $694
$350,000 home loan (4.0%) payment $1,862
Leased high end car for me $1,526 (will be over in Dec 2018) I'm underwater and it's worth less the residual already.
The full budget I have made can be found here: http://ift.tt/2ocog5W
Inputs on the following would be great.
Emergency fund or paying credit card first?
Should I be cutting back more on certain categories?
Assuming I get though paying down this debt and only have the home loan debt left is it ok to lease a $1,500 dollar car on this income?
Thanks so much!
Submitted April 06, 2017 at 01:17AM by poolofstatic http://ift.tt/2o047ha
