OT: Allen's testimonial . . .

[vdituri]

Not off topic at all.
It's right on topic for this thread.
Thanks for sharing.

[BigAl07]

Originally Posted by TanksNStuff

I'd like to tell my lil story here if you all don't mind.
......Sorry if this was a bit off-topic. I don't know the first thing about the OP's plan or book or whatever. However, I do know what someone in debt is going through, and I survived it in my own way. What I can agree with though is that if you are getting into financial trouble... don't fall into the credit trap. Hold off on buying anything you "need" (unless it's an emergency) until you actually have the cash to pay for it. Believe it or not, you can survive a few weeks or months longer without it... heck, you have probably been surviving a few years without it already.

Thanks for reading my story. I hope it helps some of you stay out of trouble.

Not off-topic at ALL! Thank you for your story. I happen to BE the "OP" and appreciate your input. You've hit upon the KEY to success.... have a budget and LIVE by it. No money = no buy! The only thing I can add is with just a little more "work" you can avoid the "Emergency" situation all together. (I may have already posted this next part but I'll risk it and do it again).

When my wife's mother became VERY sick she was placed into the "Liver Transplant Program" which meant she could get a call anytime day or night and have to go 5 hours to the Transplant Center immediately. We were REALLY tight on money but we were following the "Plan". Well one morning when I was on the way for a "Root Canal" she got the call. Off the family goes "Down the road". I survived the R/C and we soon followed suit. Here we go on a "Road Trip" with NO credit cards and living on a tight weekly budget. On the way down there the "Satellite System" with our banking institution was temporarily down and our Debit Cards wouldn't register (They HAD $$ but they gas station couldn't contact the "Network" to verify anything). The ONLY thing that saved us was we had saved and created our "Emergency Fund" (per the plan) and had CASH in our pockets. I opened up my wallet, pulled out the cash paid for the gas (and probably snacks too) and we were back on the road again without as much as a worry about $$$. Because of this we were able to travel for her family, stay in a hotel, eat and miss work without having ANY financial worries at all. If this had been Pre-Plan talk about a slap in the face . I don't know HOW we would have done it because we were "Un-Loanable" even in THOSE "Loan Happy" days. We took the week off from work, stayed in a hotel, ate out and actually had a good time (with all things considered) without causing ANY debt. I'm telling you once you have your Emergency Fund good ole Mr Murphy doesn't enjoy coming around any more. It's not nearly as much fun for Murphy if you're prepared and don't even blink an eye!!!

TanksNStuff you said it perfectly when you said

can honestly say that it's not hard at all once you get used to it. You learn to budget yourself, spend only what you can, and try to save a little for a rainy day

and if you take it only one small step further you can save for your OWN rainy day and that of your family too. Once you get the plan started you make money work FOR you instead of against you. Money is fluid... it goes one of two ways... A) Path of least resistance (out the window) or B) Where it's directed! Once it starts working for you it's like getting a HUGE pay-raise.

Without debt in your life imagine what you can do... imagine how GREAT it is to not pay interest to someone else.. that's YOUR money.... don't give it away!!

***climbs down from soap-box***

Thanks TanksNStuff for your input and testimony!!

[TanksNStuff]

Originally Posted by BigAl07

Thanks TanksNStuff for your input and testimony!!

My pleasure Al. I may have given too many personal details and made it a long-winded story, but I wanted to make sure everyone understood that it wasn't all "careless" spending that got us in that spot. Sometimes things out of your control can cause major financial problems and ruin your life if you don't plan ahead and keep things under control.

Sure, I have things under control now, but that long period was a time for which I would like to have a "do-over" that's for sure. I lost my marriage and my credit is horrible because of it. Luckily, I found another person to share my life with that had/has a plan and is very responsible in that regard. She had her own house, a great job, and credit cards (which I try to keep her from using). This makes my credit problems even less of an issue for me and my life is much less stressful now.

I thought it might be a bit off-topic because simply filing bankruptcy was my solution, not having a plan... but my story should help people realize that debt is a monster and it can destroy your life if you let it.

I still don't have a clue about what your "plan" is all about, but anyone that is starting a new life on their own or with a family should find out what you have to offer. Not doing things right the first time is something I regret.

[mbdave]

If this is Dave's way IT WORKS!

[BigAl07]

Originally Posted by mbdave

If this is Dave's way IT WORKS!

That it is and THAT it DOES!!

[sam the clam]

Hello,
Just read all the blogs and am in debt like the rest of the united states and feel like there is no way out.I thought that it was an endless pit and no way out, no help, all m fault. I am willing to try anything so please send me all information and heard a mention of a book. Hope to hear from you soon.
Sam the clam

[BigAl07]

Hiya sam the clam I hear ya buddy and know what you're going through. I'll drop you a PM and please if there is anything I can do don't hesitate to let me know

Allen

[bluespotjawfish]

Hi'a Al! This Friday is the day! Debt free except the house~!

BTW, if any of you are having a hard time getting your spouse on board - try giving him/her the Dave Ramsey program for Christmas! Mine got the gift for Valentine's Day!

[BigAl07]

Originally Posted by bluespotjawfish

Hi'a Al! This Friday is the day! Debt free except the house~!

BTW, if any of you are having a hard time getting your spouse on board - try giving him/her the Dave Ramsey program for Christmas! Mine got the gift for Valentine's Day!

That's AWESOME!! I'm tickled for you. I remember what a tough time you were having there for a while!

So tell me... how does it feel? Honestly and frankly tell us how it feels to have "Killed Debt" out of your life?

Very smart idea on the "Valentine's Day Gift". It takes both of you on the same page but there is so much power in working as a TEAM! If I had to bet I'd say once you get "on the program" it was like getting a raise. You found and used $$$ that you didn't realize you had!

Please tell us ALL About it if you don't mind

You have MADE MY DAY!! I'm so excited here in the office I can hardly contain myself! YEEEEEHHHHAAAWWWWW~~~~

:d

[BigAl07]

PS Are yall gonna "call Dave LIVE and give the SHOUT OUT?"

If so PLEASE let me know when so I can download it to share with my family and friends!!!! I'm so proud of yall I can't even put it into words!

[bluespotjawfish]

No, I don't think we will call Dave. I'm too shy!

What was the key for us? We budgeted each week for the entire year all at once so we could see how it was going to happen. Our initial budget had it so we would be debt free except the house November 2009, but we were able to make some further changes and did it this year! I got a swift kick in the pants with a threat on my job, which really gave us incentive to make it happen, and now!

I watch Dave Ramsey on TV most days! Record it with my DVR. It is a good reinforcer of making this a habit and helps me realize how fortunate we really are. There are so many people in much more difficult situations than us! We are truly blessed.

My husband is the best grocery shopper in the world and even uses coupons! We still spend too much on groceries, but we spend MUCH less now using cash and a calculator.

Getting our adult teenagers on board was a challenge. But they soon saw we were serious. They still haven't started the program with their own debt, but I hope some of this will rub off eventually. My daughter's 1993 Subaru broke down and we decided not to put more money in it. We matched her down payment (and then got our money back when the car was sold), but she was on her own after that. We had told her when she was 16 that this day would come and that she should plan for it, but of course she hasn't. We offered advice, but let her make her own decisions. She now has a cute car payment that has a high interest rate because of her bad credit, and she is responsible for her own insurance and repairs. My son's car broke down shortly after. Fortunately it didn't cost much to repair, but I think it woke him up.

I feel guilty every time I buy something for the tank, but I pay for everything within my fun money or by selling frags/equipment. I have also built up my tank's own little emergency fund with money I saved from not eating out at lunch.

I really struggled trying to establish what categories to use and how to track expenses. Everything we spend is written down (I use an excel spreadsheet).

These are the categories we use now:

Food/Cleaners/Pet Food (Dogs, Rabbit, Fish, Birds) - All one category! Cash Envelope. If we want to feed our pets, we have to make sure we don't spend all the budget at the grocery store. We love our pets, so this is good incentive.

Car Maintenance, Home Repair, and Medical Expenses - Budgeted and spent separately, but I only have one envelope with cash on hand for all of them since they are unpredictable. Most of the budget balance is kept in the bank.

Vacations, Gifts/Giving, Tuition - Periodic expenses like these are also budgeted separately and kept in the bank. For major events like a trip or Christmas, I set up sub-budgets and a cash envelope. We had a trip to Arizona planned when we started the program and doing this really cut our expenses (we came home with extra cash!). Needless to say we cancelled our dive trip to Grand Turk and our regular trips to Yellowstone the rest of the year! We do put our change in a bucket (just spend in whole $$'s, rounding up). This change will be our next dive trip!

His and Hers Gas/Lunch Food/Clothing/Fun Budgets are Separate - Combining it like this gives us flexibility on how we spend it. For example, when gas was high, it really interfered with the rest, but no adjustment to this budget was made to accommodate increased prices. And, we don't have to ask each other if we could have some fun. I record all my expenses so I can see where I spend my money, but he doesn't.

How does it feel? It's wonderful! But, I will feel better when the house is paid for! That will be 4-5 years from now as long as our income stays where it is at.

How does the program work? It's like any addiction -- the program only works when you are ready for it to work. I was ready when I got the PM from Al!

[BigAl07]

To shy? Ha ha ha! I can respect that but WOW what a rush it would be to hear someone I've actually talked to about this to be able to shout "We're debt FREEE!" I still get goose bumps each and every day when I get to hear people call in and shout that out!

Lorraine as you already know this is going to make a HUGE difference in the rest of your lives. Just think what leading by example could do for your kid's lives. "Hey Mom's a lot more happy without debt maybe we should try it to!" Imagine what their lives will be like in 20 years if they kick debt to the curb NOW! Talk about building some serious personal wealth!

Thanks for sharing your "plan" in such great detail. I'll be the first to admit it's hard to talk about your personal and private stuff like this but you've kicked it so well I'm honored you shared it openly. I probably just about AS happy as you are. I know what a GREAT feeling it is to pay off debt and each month write "THAT" check for the last time. Can you imagine what it's going to feel like to make your LAST mortgage payment REALLY have your OWN house? OMG!! Talk about chill bumps.. I am officially ONE large chill bump right now!!

Kudos to you for working your "fun/tank" stuff into the plan. That's the ONLY way to make it work. It's called being realistic and putting EVERYTHING in there. Working a budget doesn't mean you stop living but you ACCOUNT for everything. I think that's the hardest thing to comprehend is that you don't STOP everything you just make sure it's IN the plan and you stick to the plan. Most people are so "Against" a budget" because our society has made it into a "4 Letter word" but it's a GREAT thing. Wouldn't you agree?

Again thank you Lorraine for keeping me in the loop! I'm riding on Cloud #9 here all because yall have "Killed it" and in a BIG kind of way! Congratulations!


What you said about "When you're ready". Those words are SO true! Unless you're at the point in your life where you're ready to try something "un-conventional" then it's going to sound like a scam/gimick. It's NOT! It's just common sense ideas and principles like "Grand Paw & Grand Ma" used to do it. It's YOUR money why give it to everyone in INTEREST

Again THANK YOU & Congrats! My hat is off to you BOTH!!

[bluespotjawfish]

It's very ironic that about noon today, I got a call saying that some 30 state-funded projects have been placed "on hold" due to the slowing economy. My project was one of these, and many others we were chasing were also affected. Looks like there are many more challenges ahead. So, looks like I don't get much of a chance to celebrate! Not selling my Bluespots yet, but they are worried!

[BigAl07]

Just imagine how much WORSE that would be if you were still buried in debt.

On a similar note I recently had the responsibility to sit and watch a "sister" company to ours being publically auctioned off on the internet. Over the last couple of years they weren't thinking about a "rainy day" and instead of putting some back they were busy acquiring more debt and investing in places they had no business investing. 4 weeks ago the employees came to work and they couldn't get in. The doors were locked and the power was off. I had to sit and watch every piece of the company go up for auction including the opened and partially used cleaning supplies in the closet. The owner was "Eager" to get more and be the biggest in his area and built up a lot of debt. Now they are no more! The company I work for has ZERO debt. All we have to do is make enough $$$ each week to do business and make pay-roll. All of our vehicles and buildings have been bought with CASH and we don't have any loans or leases.

Hang in there Lorraine. It will come back around again

Allen

[Mya]

Hey Al,

I read 30% of the post. Sorry I wasn't going to read threw all 8 pages of it. I just don't have the patience. I saw the book title and I am going to go to the local bookstore and see if I can't find the book that was spoken of.

As for debts, I really don't have THAT much but of course we would all like to have more money, less debts, and something there for those "just in case times" of life.

I'm also going to pm you to get the rest of the details as well.