Michelle Jacobik's Blog, page 2
May 26, 2015
DON'T LET A "TREAT" SCREW UP YOUR PLAN TO CRUSH YOUR DEBT!
Sometimes, when you're working your plan to pay off debt and get to your debt free dream, you feel the need to treat yourself to something! ÌýI came across a really neat budget tool to help decipher the 'cost' of opting to buy yourself a 'treat' while you are working your plan to pay off debt.
For those of you who know my personality or work with me one on one, I'm a FACT based decision-maker.
I ask my clients to look at both the pros and cons Ìýof decisions BEFORE making them. It's easier to 'own' your final decisions knowing the impact it has on your goals/plan. ÌýIt's so important to look at the 'treat' and know HOW it will affect your debt pay down plan.
For example, Ìýif you currently are on task to pay off all of your debt within the next 46 month, a 'treat decision' can actually delay you by many additional months, maybe even a year. For example if you are currently paying down $22,000 of debt at an interest rate of 12.99%, making normal monthly payments, a $4800 Disney Vacation 'treat' would actually become a $6119 vacation!
Click the link and try it yourself�
Treating yourself occasionally can be a good way of keeping motivated or rewarding yourself while dealing with debt. This calculatorÌýisn'tÌýdesigned to convince you not to treat yourself, simply to give you an idea of the real cost!
For those of you who know my personality or work with me one on one, I'm a FACT based decision-maker.
I ask my clients to look at both the pros and cons Ìýof decisions BEFORE making them. It's easier to 'own' your final decisions knowing the impact it has on your goals/plan. ÌýIt's so important to look at the 'treat' and know HOW it will affect your debt pay down plan.
For example, Ìýif you currently are on task to pay off all of your debt within the next 46 month, a 'treat decision' can actually delay you by many additional months, maybe even a year. For example if you are currently paying down $22,000 of debt at an interest rate of 12.99%, making normal monthly payments, a $4800 Disney Vacation 'treat' would actually become a $6119 vacation!
Click the link and try it yourself�
Treating yourself occasionally can be a good way of keeping motivated or rewarding yourself while dealing with debt. This calculatorÌýisn'tÌýdesigned to convince you not to treat yourself, simply to give you an idea of the real cost!
May 15, 2015
REFLECTION LEADS TO CHANGE�
One of the most useful things we can do on our journey towards financial wellness is REFLECT. We all get in 'over our heads' for different reasons. For some of us, its childhood 'lack' and adult 'gain' that lead to our overspending. For some of us, its an emotional rise to spend money on things that make us feel better and forget about whats happening in our lives. For some of us, it's a gaining of 'status' that causes us to overspend. ÌýFor others its unexpected medical bills, loss of a job/income, a divorce. Whatever the reason, in order to change ANY situation and plan your way out, you must first reflect.
Start by creating a 'money journal'. A simple notebook will do OR get fancy and decorate a fun journal/notebook knowing your going to take this journey seriously. ÌýSpend some time over the next few days thinking about and answering one or more of these reflection questions in your 'money journal':
Name three things do you trulyÌýloveÌýto do. ÌýDo any of these cost money?Name three things that you do regularly that you trulyÌýhateÌýto do? Why do you do them? Are these in any way worth the reward you get for doing them?What things are preventing you from doing more of the things you love and less of the things you hate? How can you remove the things that stop you from doing more of the things you love?When was the last time DIDN'T feel badly about a purchase you made? Why did you feel good about it? Ìý When was the last time you felt horrible about money you spent? Why did you feel badly about it?
Jot down your answers and do some 'reflecting' on them over the next week and share your thoughts with your partner, close friend, or with me on our Facebook discussion group: ÌýBudgeting Group Sick of the Hustle Ìý
Start by creating a 'money journal'. A simple notebook will do OR get fancy and decorate a fun journal/notebook knowing your going to take this journey seriously. ÌýSpend some time over the next few days thinking about and answering one or more of these reflection questions in your 'money journal':
Name three things do you trulyÌýloveÌýto do. ÌýDo any of these cost money?Name three things that you do regularly that you trulyÌýhateÌýto do? Why do you do them? Are these in any way worth the reward you get for doing them?What things are preventing you from doing more of the things you love and less of the things you hate? How can you remove the things that stop you from doing more of the things you love?When was the last time DIDN'T feel badly about a purchase you made? Why did you feel good about it? Ìý When was the last time you felt horrible about money you spent? Why did you feel badly about it?
Jot down your answers and do some 'reflecting' on them over the next week and share your thoughts with your partner, close friend, or with me on our Facebook discussion group: ÌýBudgeting Group Sick of the Hustle Ìý
