Saturday, June 21, 2014

Actively Looking...

Sorry for the lack of posts as of late.  I just submitted the first draft of my freelance project this week, which means I'll have more time to read blogs and write on my own!  Yippee!  :D

As for an update, not much is new in the debt repayment department.  I am currently thinking about slowing it down, as I'm not sure how long my current employment situation will last.  Things are really slow at work, which worries me.  I am now actively seeking new work opportunities and will be dedicating much of my free time to that.  Fingers crossed that something good works out.

My current situation is probably a good reminder to myself and some of my readers out there why an emergency fund and multiple streams of income is so important, and why you need to tailor financial advice to yourself.  Having an emergency fund and having a freelance consulting gig both make me feel way more secure than I would have felt if my day job was my only source of income and if I only had $1,000.00 emergency fund, as some financial gurus suggest.

Paying off debt won't help you in emergency situations, but having liquid cash will.  Balancing your different interests, priorities, and goals, and tailoring advice to your unique situation is the most important thing when it comes to personal finance.

Monday, June 2, 2014

June (Negative) Net Worth Update: $-118,744.63 [Up $7k!]

Here's my June net worth update, up by almost $7k:

Cash $13,683.23$11,667.40$2,015.83
Total Assets$40,754.14$38,244.83$2,509.31
Student Loans$158,036.78$162,744.62-$4,707.84
Credit Cards$1,461.99$1,111.34$350.65
Total Liabilities$159,498.77$163,855.96-$4,357.19
Total Net Worth-$118,744.63-$125,611.13$6,866.50

Slowly but surely inching upwards!  My previous goal was to increase my net worth to -$115k.  My new goal is to increase it to -$99k by the end of the year and to be in the black by early 2016!  That might be a pretty bold goal, but it's nice to see things change over time.  Even if I don't meet those goals, I think I'm headed in the right direction by trying to pay down my debt.

Here's my debt repayment update:

Student LoansAmount OwedAmount Paid OffInterest RateMonthly PaymentPayoff Date
Federal Loans$119,166.13$5,000.005.75%$1,093.65
Private Loan 1$11,344.155.00%$0.003/7/2014
Private Loan 2$9,916.893.01%$81.18
Private Loan 3$11,545.693.21%$84.77
Total $158,034.33$31,354.72$1,399.57

I paid a total of $6,399.57 towards my debt during the month of May!  That's including my regular monthly payments of $1,399.57 + a $5,000.00 chunk from my savings towards to my highest interest debt.

I have now paid over $32k towards student loans in the past 4 months!*  I was only able to do so because I had a head start with a large amount of cash in my savings in the beginning and because of my freelance work which is helping me make payments in large chunks at a time.  I'll admit it's really hard to see $5,000 just go with seemingly nothing to show for it, but I consider it an investment in my future.

What are your financial goals?

*That's including my minimum monthly payments.