November arrived with no pressing debt looming over us! We have the 401K loan, thank goodness we could borrow form our own savings and not have to involve a bank. If we wanted to just take out the money we could but then we would have to pay a large tax amount because the money you save for retirement plans are not taxed, so once you use it then the government can tax you. So we opted to use the money and pay ourselves back with interest into our own account, which we pay automatically every two weeks from Benjamin's paycheck. We plan to pay aggressively on it once we have saved six months worth of expenses.
We cheated slightly this month. Once our last loan debt was achieved the thought of waiting to buy a second car until after the first of the year was going to break me. I know once January comes we get a boost from preschool tuition. So we cheated and used a credit card that is tied into our checking account to float the needed funds to get the car. Not radical but I figure we could have two months of car independence and a car paid in full in January or we could have two more months of mooching rides and a car paid in full in January. We went with the first option. I don't think Dave would approve, but we did it anyway. I think mostly because its a slippery slope. Once you start allowing exceptions your right back to where you never wanted to return. Normally I am the hard core radicalist in our relationship but this time I was the one wanting to make an exception. Let me tell you now, we are almost two months into car independence I couldn't be more happy about it!
The hardest part of this month was knowing when it is ok to buy things. For 10 months of very little splurging it has been hard to let go a little and be ok with buying things .
Lesson learned in November:
1.Keeping a budget is an every day experience. Keeping out of debt is an everyday experience.
Monday, December 22, 2014
Sunday, November 2, 2014
Going radical 10th month!
Sweet October especially the 30th day, I have been waiting ever so patiently for your arrival. It felt like years till I would see that date. Bam! Before I knew it the month had ended and our goal had finally arrived! The 30th arrived with Benjamin's paycheck and on Halloween day Benjamin and I walked into the bank singing "We Are The Champions" and laid our money down, gave them the Mormon bird ( turkey in sign language) and walked out of there like we had dreamed we would.
I don't know how many times I would make a payment to that bank, look at our balance and have tears in my eyes wondering when would this loan be done. Thinking it was impossible. I can't express the joy I felt seeing the balance at $0. Oh the joy! In the last ten months we have put over 40% of our income on this debt, 40%!! That my friends is radical.
Lessons learned in October:
1." Don't you quit, you keep walking! You keep trying, there is help and happiness ahead. Some blessings come soon, some come late, and some don't come till heaven. But for those who embrace the gospel of Jesus Christ, they come! It will be alright in the end, trust God and believe in good things to come."
This quote is taken from one of my favorite apostles Elder Holland, he tells a story from his real life.
http://www.mormonchannel.org/video/mormon-messages?v=911029449001&cid=HPFR103114546
I don't know how many times I would make a payment to that bank, look at our balance and have tears in my eyes wondering when would this loan be done. Thinking it was impossible. I can't express the joy I felt seeing the balance at $0. Oh the joy! In the last ten months we have put over 40% of our income on this debt, 40%!! That my friends is radical.
Lessons learned in October:
1." Don't you quit, you keep walking! You keep trying, there is help and happiness ahead. Some blessings come soon, some come late, and some don't come till heaven. But for those who embrace the gospel of Jesus Christ, they come! It will be alright in the end, trust God and believe in good things to come."
http://www.mormonchannel.org/video/mormon-messages?v=911029449001&cid=HPFR103114546
Thursday, October 9, 2014
Going radical 9th month!
Sweet September wrap-up, its our anniversary month, the month where summer and fall meet, I love this time of year! No big anniversary trip planned or carried out, you don't do that on the year of the radical. We went to the Mesa temple, "renewed our vows" went to dinner and came home to an empty house, it was great!
This month we took out a loan from our 401 K plan and put it on the nasty 2nd mortgage loan, this brought the balance down to just a couple of thousand that we will pay off in October. We are getting so close! We took out the 401 K loan a month before scheduled mostly because we have been watching the market and we were thinking that there might be a crash looming and didn't want to be stuck not being able to take out the needed funds to close the 2nd mortgage loan. This unfortunately made the payments start for the 401 K loan. Every paycheck, money will be automatically taken out. Its a brutal beast, debt is.
Debt maybe an evil slave master but we believe in the one and only Master. Heavenly Father is so good. Before the first draw on our paycheck for the 401 K loan, Benjamin was called into his bosses office and was told that he would be getting a raise, one he didn't ask for and that was on their off-cycle raises, totally unexpected! So when the first 401 K draw was taken we simultaneously received the raise bump. The difference between was so minimal, it was astounding.
Lessons learned in September:
1) When Benjamin's boss called him into to tell him the awesome news, Benjamin thanked him and told him that this increase will help greatly in his family goal of getting out of debt. The boss said I know I thought the same thing for you guys! A worthy goal that others can respect makes them want to help in any way they can! (It doesn't hurt that Benjamin is awesome at what he does, he works really hard and gets along with everyone, his people skills are as great as his computer skills! He is an A rated employee.)
2) We have gone without a second car for over two months. We will never get a car loan again (knock on wood). A second car is a luxury that we hope to get soon but we understand there are other modes of transportation we will take advantage of; the bus, the bike, The Clark's thanks Joshua, and even co-workers. I think just like Benjamin's boss there will be many people cheering when we get the needed raise in number of cars we own.
This month we took out a loan from our 401 K plan and put it on the nasty 2nd mortgage loan, this brought the balance down to just a couple of thousand that we will pay off in October. We are getting so close! We took out the 401 K loan a month before scheduled mostly because we have been watching the market and we were thinking that there might be a crash looming and didn't want to be stuck not being able to take out the needed funds to close the 2nd mortgage loan. This unfortunately made the payments start for the 401 K loan. Every paycheck, money will be automatically taken out. Its a brutal beast, debt is.
Debt maybe an evil slave master but we believe in the one and only Master. Heavenly Father is so good. Before the first draw on our paycheck for the 401 K loan, Benjamin was called into his bosses office and was told that he would be getting a raise, one he didn't ask for and that was on their off-cycle raises, totally unexpected! So when the first 401 K draw was taken we simultaneously received the raise bump. The difference between was so minimal, it was astounding.
Lessons learned in September:
1) When Benjamin's boss called him into to tell him the awesome news, Benjamin thanked him and told him that this increase will help greatly in his family goal of getting out of debt. The boss said I know I thought the same thing for you guys! A worthy goal that others can respect makes them want to help in any way they can! (It doesn't hurt that Benjamin is awesome at what he does, he works really hard and gets along with everyone, his people skills are as great as his computer skills! He is an A rated employee.)
2) We have gone without a second car for over two months. We will never get a car loan again (knock on wood). A second car is a luxury that we hope to get soon but we understand there are other modes of transportation we will take advantage of; the bus, the bike, The Clark's thanks Joshua, and even co-workers. I think just like Benjamin's boss there will be many people cheering when we get the needed raise in number of cars we own.
Tuesday, September 16, 2014
Going radical 8th month!!
August is school starting month. This will be my 5th year teaching preschool and it continues to be a huge blessing. 1) I love it! I love the families that come to my school. They are all such good parents who just want the best for their children. I love the kiddos. This age brings me such great joy, they are so loving, enthusiastic, forgiving, curious and teachable. 2) It provides a huge financial benefit for our family. When we returned home after our failed homesteading adventure, I walked into our Arizona room and said I will open a preschool, a couple of months later it was up and running. My preschool has provided such a learning opportunity as well as given me the ability to watch my own little ones, Parkin and Anna grow. This year I have 32 sweet spirits that I have the privilege to nurture, what an awesome job!
Lessons learned in August:
1) When trying to get out of debt exhaust all opportunities for additional work, it will provide the needed leverage to make a real dent.
Lessons learned in August:
1) When trying to get out of debt exhaust all opportunities for additional work, it will provide the needed leverage to make a real dent.
Sunday, August 3, 2014
Going radical 7th month!
This month was a real struggle. It was rather painful for me to read the lessons I learned from last month, particularly, lesson Number 1: not to be angry over this affliction.
A day before we left for our family reunion in Utah to celebrate my grandfather's 94th birthday, I got a call from BMO Harris bank. They said that we would be getting a letter in the mail soon telling us that our Home Equity Line Loan (HELL loan) would now have a maturity date of November 17th 2014. Our loan would now be due in full in 4 months! I told them that I had called over a year ago asking when the loan was due and they had told me over the phone in the year 2017. It was now going to be due 3 years early! They told us not to worry we could re-apply for a loan with them, with interest rates double what we are currently paying.
I got off the phone and bawled. All this scrimping and going with out for what?! What of our miracles, our hope, our righteous desire of getting out of debt? I took a full day literally crying over what we were going to do and feeling like the bank was really shoving us up against a wall.
After my full day hissy fit, I had the most excited feeling of knowing that Heavenly Father is a God of miracles and knowing he delivers His children from their afflictions if they put their trust and efforts in HIM. I was excited to see how He was going to do it this time when all the doors seemed to be closing in on us.
As we were driving to Utah the thought occurred to my husband that we might have enough money in his 401k retirement plan to pull out and cover the difference of what we owe. We could cut out the need for the bank and use our own funds! The interest rate we would pay ourselves back was lower than our current rate and far lower than what they would offer us in a new loan.
The only way this new loan is possible is because of that generous gift we received in May. Without that money we would be short and unable to pay the bank in full. It is only because of that gift that we are going to be able to close the loan. Without that gift we would not have enough, that gift was the exact amount. I am so grateful that we put the entire amount on the loan not even a penny on something we wanted otherwise we would be short.
When we got back from Utah we had both cars in the shop, our AC had died, our microwave stopped working and we needed to replace carpet in my classroom. The repairs on Benjamin's car were going to cost more than the value of the car, so we sold it. We are now a one car family. Since we don't live close to our kids' schools or Benjamin's work it is going to be a challenge. It is a 9 mile commute to Benjamin's work and in the heat on a bike, it is lots of fun. But come November Benjamin's miracle request of lets be done with our equity loan in 2014 will be true, hallelujah!
Lesson learned in July:
1) Wait on the Lord, he will deliver in unusual ways.
2) He puts things into motion months (sometimes) years before you even know you need it. I can't imagine what kind of true panic we would be in if we hadn't have declared this the year of the miracle. We would have made very little headway on all of our loans. And when that dreaded call came of "you have 4 months to pay this off or incur crazy high rates," it would have been financially devastating. But because we decided in January to invoke heaven's help we are down to just one loan in a matter of months!
3) The longer you try to keep a budget the more you realize you have fewer needs and old needs are reevaluated to be wants.
A day before we left for our family reunion in Utah to celebrate my grandfather's 94th birthday, I got a call from BMO Harris bank. They said that we would be getting a letter in the mail soon telling us that our Home Equity Line Loan (HELL loan) would now have a maturity date of November 17th 2014. Our loan would now be due in full in 4 months! I told them that I had called over a year ago asking when the loan was due and they had told me over the phone in the year 2017. It was now going to be due 3 years early! They told us not to worry we could re-apply for a loan with them, with interest rates double what we are currently paying.
I got off the phone and bawled. All this scrimping and going with out for what?! What of our miracles, our hope, our righteous desire of getting out of debt? I took a full day literally crying over what we were going to do and feeling like the bank was really shoving us up against a wall.
After my full day hissy fit, I had the most excited feeling of knowing that Heavenly Father is a God of miracles and knowing he delivers His children from their afflictions if they put their trust and efforts in HIM. I was excited to see how He was going to do it this time when all the doors seemed to be closing in on us.
As we were driving to Utah the thought occurred to my husband that we might have enough money in his 401k retirement plan to pull out and cover the difference of what we owe. We could cut out the need for the bank and use our own funds! The interest rate we would pay ourselves back was lower than our current rate and far lower than what they would offer us in a new loan.
The only way this new loan is possible is because of that generous gift we received in May. Without that money we would be short and unable to pay the bank in full. It is only because of that gift that we are going to be able to close the loan. Without that gift we would not have enough, that gift was the exact amount. I am so grateful that we put the entire amount on the loan not even a penny on something we wanted otherwise we would be short.
When we got back from Utah we had both cars in the shop, our AC had died, our microwave stopped working and we needed to replace carpet in my classroom. The repairs on Benjamin's car were going to cost more than the value of the car, so we sold it. We are now a one car family. Since we don't live close to our kids' schools or Benjamin's work it is going to be a challenge. It is a 9 mile commute to Benjamin's work and in the heat on a bike, it is lots of fun. But come November Benjamin's miracle request of lets be done with our equity loan in 2014 will be true, hallelujah!
Lesson learned in July:
1) Wait on the Lord, he will deliver in unusual ways.
2) He puts things into motion months (sometimes) years before you even know you need it. I can't imagine what kind of true panic we would be in if we hadn't have declared this the year of the miracle. We would have made very little headway on all of our loans. And when that dreaded call came of "you have 4 months to pay this off or incur crazy high rates," it would have been financially devastating. But because we decided in January to invoke heaven's help we are down to just one loan in a matter of months!
3) The longer you try to keep a budget the more you realize you have fewer needs and old needs are reevaluated to be wants.
Saturday, August 2, 2014
Utah trip!
So my awesome twin was visiting my grandmother's grave for memorial day while she was there she met someone who was visiting her husbands grave who knew my grandfather. She said that when my grandfather was a young men's leader he gave her husband a silver dollar coin for his mission with the blessing that he would never grow hungry. This ladies husband kept this coin in his pocket his entire mission his sons did the same thing and now grandchildren are carrying this coin. My grandfather unbeknownst to him was apart of another families legacy. My twin asked if they would come speak to our family about this traveling coin at my grandfathers 94th birthday party. We were so excited to see and hear this story in person. It was awesome to see my grandfather to be so touched by an act of love that he did many years before it was awesome.
Thanks Lou for the pictures! http://lindseyslemonade.blogspot.com/2014/07/harold-merrell-standers-94th-birthday.html
Swim Wrap-Up
Oh what do we do in the summertime? Swim!! This year we mixed it up and changed teams so that we could swim in our neighborhood swim team. It was awesome being so close and swim lessons for the little's was free! We like to joke that when the Howe family joins your team you will win championships well this year was no exception :) Everyone did great broke some personal records despite everyone being the youngest in their age group, next year they will be the oldest so it is all good.
Bella did great even with 3 weeks off from swimming, she traveled to Alabama to visit cousins and go to girls camp. She was vital in her teams relays and made the finals in all of her strokes. I love the fly picture of Bella great shoulders!
One of the best quotes from summer time was when I asked Holman after he wins an Olympic medal would he kiss his mom in front of everyone. He said sure, but I think they will think you are my girlfriend. Yes son they will!
Bella did great even with 3 weeks off from swimming, she traveled to Alabama to visit cousins and go to girls camp. She was vital in her teams relays and made the finals in all of her strokes. I love the fly picture of Bella great shoulders!
Olivia was awesome she placed in all the finals and placed in both the backstroke, butterfly and freestyle races! Look how far she can get out of the water on her fly, that takes some killer abs!
Holman did great too, he wasn't too excited about switching teams but by the end of the season he had a "Holman fan club" which consisted of girls that were "crushing" on him. He almost broke a smile hearing this. This year he did awesome in fly and free and killed it in the back. All the other boys were doing back flip turns for their backstoke, Holman said doing it slowed him down. He was right he did a touch turn and because of it he won the race. He placed as one of the top swimmers in his age group.
This was Parkin's first swim year he did awesome!! He was worried about it but by the end of the season he was rocking it! He now crosses the pool with minimal breaths and stream lines like a champ!
Anna looking thrilled to be at meets luckily she had to go to very few. This year she too has made great strides in the pool. Swimming without floaties and mastering putting her head in the water.
One of the best quotes from summer time was when I asked Holman after he wins an Olympic medal would he kiss his mom in front of everyone. He said sure, but I think they will think you are my girlfriend. Yes son they will!
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