View Full Version : The balance between paying down debt and savings
Tradd, you think it is worth paying for the non-free version? I use the free one and wonder about the advantages.
Tradd, you think it is worth paying for the non-free version? I use the free one and wonder about the advantages.
Well, you can connect your bank accounts so you don’t have to enter transactions manually. Plus you can budget per paycheck, if that matters to you. Those are the big ones.
Well, you can connect your bank accounts so you don’t have to enter transactions manually. Plus you can budget per paycheck, if that matters to you. Those are the big ones.f
Thanks, I prefer to put them in by hand for now, anyway. I guess I will think about it some more.
rosarugosa
6-24-24, 6:37am
IL: It's funny, because a budget makes me feel like I am in control, especially when I adhere to it!
iris lilies
6-24-24, 9:05am
IL: It's funny, because a budget makes me feel like I am in control, especially when I adhere to it!
Well, I did not think about my comment carefully. I suppose if I were doing a budget, I could think of it as the directive for telling every dollar what to do.
see, I’ve never budgeted, ever. I’m one of those “budget ps don’t work” people. There’s a book with that title and there’s a contingent over on the Mr. money mustache forum that do not budget.
rosarugosa
6-25-24, 6:45am
Well, I did not think about my comment carefully. I suppose if I were doing a budget, I could think of it as the directive for telling every dollar what to do.
see, I’ve never budgeted, ever. I’m one of those “budget don’t work” people. There’s a book with that title and there’s a contingent over on the Mr. money mustache for him that do not budget.
Like so many things in life, one size does not fit all.
Diving rebreather is finally sold. Payment has been received via PayPal and the $5100 is on the way to my bank account. I’m going to stash it in savings first. My biopsy is Tuesday and I want to make sure I don’t have any medical bills before I put it on credit card. I have a $6K deductible per year.
ToomuchStuff
7-14-24, 9:02pm
Good luck Tuesday!!!!
Good luck Tuesday!!!!
Thank you!
iris lilies
7-14-24, 9:36pm
Thank you!
Let us know how it turns out.
Let us know how it turns out.
Will do.
Hoping for quick resolution and good recovery!
happystuff
7-15-24, 5:30pm
Wishing the best for Tuesday, Tradd!!!
Goodness. I guess I missed it. I hope you get good news after tomorrow’s procedure.
frugal-one
7-15-24, 6:41pm
Will be in my thoughts and prayers tomorrow Tradd!
Well, the procedure to get sample for biopsy effing hurt. Two weeks to results. Doc said ultrasound wasn’t that concerning but it looked weird enough that it had to be checked out.
rosarugosa
7-17-24, 6:27am
I'm sorry that you have to wait so long for the results. That is always stressful.
Ugh--two weeks--that is a very long time, so sorry.
happystuff
7-17-24, 7:11pm
May the two weeks fly by quickly and bring you positive results!!!
Well, the biopsy was negative but it turns out doc wasn’t able to get any uterine lining. Have to go back for a procedure at the hospital wit me under. Waiting for hospital to call me to schedule.
Shipment volume has gone down at work. They had been looking for a third person for my department, but that’s on hold now. A major customer is on the verge of shutting down. They had been bringing in stuff from India that China is now undercutting them on in a big way. I’m sacking cash away. My job can’t be cut because they need my brokers license in order to do customs clearances. So unless I screwed up in a big way, my job is safe. It’s just do your work and keep your head down time, which I tend to do anyway.
Sorry to hear that you have to do yet another procedure. Keeping fingers crossed that you get more good news from that one.
Thank you! I have to have a D&C on 8/22.
How are you folks doing with the
Every Dollar system? I now listen to Dave Ramsey a lot and so hear about the Every Dollar Program.
How are you folks doing with the
Every Dollar system? I now listen to Dave Ramsey a lot and so hear about the Every Dollar Program.
So funny--we've swapped financial podcasters. I listened to Dave for years, and now I'm into Ramit.
I used to do the EveryDollar System but years ago I switched to YNAB. However, my frustration with certain aspects of my financial life is making me think about returning to EveryDollar.
iris lilies
8-2-24, 10:47am
So funny--we've swapped financial podcasters. I listened to Dave for years, and now I'm into Ramit.
I used to do the EveryDollar System but years ago I switched to YNAB. However, my frustration with certain aspects of my financial life is making me think about returning to EveryDollar.
Oh I still listen to .ramit but he does only a weekly podcast Dave Ramsey’s team does it dailey.
I consume a lot of podcasts.
IL, I have been using the free version. But there are drawbacks, like you can only do one plan. And I like to run possible scenarios, so that won't work with the program.
Am thinking about Money Grit for $17 a month. Hate to spend the money when I like Everydollar for its simplicity.
I enter my numbers manually; don't like to link to banks.
I actually stopped using EveryDollar. Tracking stuff, even with the paid version hooked to my accounts, just didn’t work. I want to know what I have to the penny and the lag time with pending stuff over weekends just drove me bats! LOL.
I have one checking, one savings, two retirement accounts, and two credit cards. My finances are simple. My issue is watching my spending on fast food and books. Other than that, stuff is simple and I’m saving $$ by not diving this year.
D&C tomorrow. When I pre-registered with the hospital online today, I was told I owed $3500. That’s the rest of my deductible this year. I have a high deductible PPO. I had to charge it. Not enough in savings to cover it.
Go back to work Monday. Had to bust my butt to get work stuff done or pre-entered through Tuesday so coworker could submit to Customs Friday (can’t submit clearances more than five days in advance). I at least get two days off. I’ll veg Friday.
iris lilies
8-21-24, 9:12pm
D&C tomorrow. When I pre-registered with the hospital online today, I was told I owed $3500. That’s the rest of my deductible this year. I have a high deductible PPO. I had to charge it. Not enough in savings to cover it.
Go back to work Monday. Had to bust my butt to get work stuff done or pre-entered through Tuesday so coworker could submit to Customs Friday (can’t submit clearances more than five days in advance). I at least get two days off. I’ll veg Friday.
Take it easy, those procedures affect everyone differently.
Sending good thoughts your way!
Take it easy, those procedures affect everyone differently.
Planning on it. A retired friend from church is taking me tomorrow and getting me home, too. My apartment is clean, bedding all freshly washed, dishes all done tonight, and all clothes in the dryer. I’ve got easy food, plenty to read, and I’m going to be lazy.
rosarugosa
8-22-24, 6:37am
Wishing you good results, Tradd.
Home. Tired and groggy. Wonderful friend not only drove me, but also made me some soup - chicken broth with carrots, celery, and small pasta, plus some bread rolls. Waiting for Walgreens to take their good old slow time to finish my Rx so she can pick them up.
Doc cleaned me all out and removed a few polyps.
Glad your friend is there for you! Rest and relax. Enjoy those books and get well soon!
I’m feeling pretty good. I hurt a wee bit (crampy), but that’s it. Heating pad and Motrin did the trick. I’m ignoring the stronger stuff doc prescribed. I don’t need it. Waiting on biopsy results.
happystuff
8-23-24, 5:38pm
Late on this, Tradd. Hope you feel 100% soon and sending positive thoughts for good biopsy results!
Waiting is the worst! Hang in there and take it easy.
I’m not that worried about the cancer diagnosis. Doc previously said she wasn’t that worried, but it had to be checked out due to the very slight bleeding episode, plus the thick uterine lining. I’m doing very well, just some mild cramping. Hair appt today that couldn’t reschedule. Not sure if I’ll be going to church tomorrow.
Biopsy results from last Thursday’s procedure are NEGATIVE! Yay! Happy Snoopy dance time!!
Biopsy results from last Thursday’s procedure are NEGATIVE! Yay! Happy Snoopy dance time!!
Wonderful news!
iris lilies
8-26-24, 7:36pm
Great news!
happystuff
8-26-24, 8:00pm
Wonderful news, Tradd! Congrats!
That's great. A huge item off the worry table.
Yes! Wonderful news, Tradd!
That's great. A huge item off the worry table.
Yep. Sure is!
rosarugosa
8-27-24, 6:32am
So happy for you, Tradd!
I was having an interesting discussion elsewhere about the size of TEMPORARY emergency fund while paying off debt. DR has recommended $1K for decades. Given the current inflation that is not going down, I think MORE than $1K is better, if you can swing it. The temporary emergency fund is supposed to take care of emergencies so you don't put it on a cc. There are too many things that can cost a lot more than that $1K emergency fund. I had $4300, but since I've had a lot of medical bills due to my surgery, I've taken $1K and thrown that at cc.
iris lilies
9-8-24, 3:46pm
I was having an interesting discussion elsewhere about the size of TEMPORARY emergency fund while paying off debt. DR has recommended $1K for decades. Given the current inflation that is not going down, I think MORE than $1K is better, if you can swing it. The temporary emergency fund is supposed to take care of emergencies so you don't put it on a cc. There are too many things that can cost a lot more than that $1K emergency fund. I had $4300, but since I've had a lot of medical bills due to my surgery, I've taken $1K and thrown that at cc.
Most cars repairs will be more than$1,000 so if one has older cars yeah, keep more than $1,000 as emergency fund. And if one owns a house, for sure $1,000 is not enough to cover a sudden repair.
I had always heard have 6 months of funds available for emergencies. Can be pure savings, CDs, accessible credit cards (but they have to be repaid consitently), etc. Could be total job loss, serious medical issue or accident, major unpredicatable expese, etc. We have never been in a situation of need but we always talked about the what if's.
I had always heard have 6 months of funds available for emergencies. Can be pure savings, CDs, accessible credit cards (but they have to be repaid consitently), etc. Could be total job loss, serious medical issue or accident, major unpredicatable expese, etc. We have never been in a situation of need but we always talked about the what if's.
This was not about your PERMANENT emergency fund, but a smaller one while paying down debt. BIG difference.
This was not about your PERMANENT emergency fund, but a smaller one while paying down debt. BIG difference.
I know the thinking that he is using, but personally I would feel better, even with debt, with a larger temporary emergency fund, so that I wouldn't have to put as much on credit cards. Personally, I would try for an ef of $10,000 if I were you--I think when we were getting out of debt I worked on the ef like it was a debt until I had $5000 in there and then when out of debt keep it at $10,000, separate and apart from the six months thing.
Yeah, $5Kish is what I’m aiming for.
Yeah, $5Kish is what I’m aiming for.
I also think the DR 1k is too little nowadays--I would consider the inflation-adjusted amount to be around $3k, but it's great if you can do 5k and feel comfortable about your debt-reduction.
Doc has cleared me to dive. Yay!
Doc has cleared me to dive. Yay!
Yay!
rosarugosa
9-11-24, 6:35am
Great news, Tradd!
happystuff
9-11-24, 9:10am
Great news, Tradd!
I also think the DR 1k is too little nowadays--I would consider the inflation-adjusted amount to be around $3k, but it's great if you can do 5k and feel comfortable about your debt-reduction.
Savings at $5K now so I’ll be aggressive with debt repayment again.
Savings at $5K now so I’ll be aggressive with debt repayment again.
That's excellent!
Dave Ramsey did a really interesting about 2 hour interview with Tucker Carlson a few days ago. Forget about the politics crap, this was really good. DR talked about Americans being debt slaves, etc. You can find it on Apple Podcasts or here is the YT video.
https://youtu.be/KwZG7QlfVe8
iris lilies
10-24-24, 2:17pm
Dave Ramsey did a really interesting about 2 hour interview with Tucker Carlson a few days ago. Forget about the politics crap, this was really good. DR talked about Americans being debt slaves, etc. You can find it on Apple Podcasts or here is the YT video.
https://youtu.be/KwZG7QlfVe8
I will listen to that. Dave has been doing interviews recently. He did his Trumpy interview. He did an interview with Ben Shapiro. Ramsey’s operation and Shapiro‘s operation both work out of the Nashville area. In fact, had I known that when I went to Franklin, Kentucky (where the Ramsey studio is) last year I would’ve stayed over a day to be in their studio audience,
Most people are not gonna believe this when I say that I didn’t know what Tucker Carlson looks like until he left Fox.
See, I never watch news TV. Now that Carlson is off Fox he does podcasts and interviews and etc., and those are showing up on my YouTube feed, not I’ve listened to any of his stuff.
Don’t know about the Trump or Shapiro interviews. Will have to look for those.
Cancelled my Apple credit card. No balance. Want using it anyway. Don’t care about the hit credit score will take. I still have the Chase card I’ve had for ages.
happystuff
10-28-24, 1:37pm
Cancelled my Apple credit card. No balance. Want using it anyway. Don’t care about the hit credit score will take. I still have the Chase card I’ve had for ages.
I have two credit cards - period. Don't need or want any others. I really like keeping my finances simple. Hope it carries over to retirement.
I just said eff it and threw $3900 from savings onto cc. I hope to have it paid off by end of year.
catherine
10-28-24, 5:26pm
That's wonderful, Tradd!
iris lilies
10-28-24, 5:31pm
Good jon, Tradd.
happystuff
10-29-24, 10:01am
Nice, Tradd! You are definitely making positive progress!!
I am trying to get past the very uncomfortable feeling of only having $1100 in savings. The credit card balance showing the much smaller balance is a comfort, though!
I have two credit cards - period. Don't need or want any others. I really like keeping my finances simple. Hope it carries over to retirement.
I’m down to ONE. Everything - checking, savings, cc - is at the same big bank.
Been listening to DR a lot lately. Needed that push.
Woman I saw online was complaining about needing to spend money to follow DR’s method. What money? You can get the book free from the library. You can listen to the radio show/videos online for free. There are FB groups for support and questions. The basic version of the budgeting app is free. There are calculators and other tools on his website to help figure out how long to pay off debts and such. She was surprised at my answer. I’m not sure why.
catherine
10-29-24, 3:24pm
I would say that the cost of the Total Money Makeover is an investment with a big ROI if she follows the program. Other than that, as you said, Tradd, what money is there to spend? He's all over theh place free on YouTube and on his site. She clearly has some signals crossed.
iris lilies
10-29-24, 3:35pm
I would say that the cost of the Total Money Makeover is an investment with a big ROI if she follows the program. Other than that, as you said, Tradd, what money is there to spend? He's all over theh place free on YouTube and on his site. She clearly has some signals crossed.
Some people see Dave Ramsey as “selling “his advice. Which he is, of course, but it’s all over the place free.
On Nextdoor’s forum in my old neighborhood somebody was starting a Ramsey financial support group at a church. Oh my God, the outcry about that because Dave Ramsay is religious and he’s also making money on his advice. There was a modest fee for people in this group to buy materials. People love to hate on Ramsey. Very narrowminded.
Tradd, have you ever been without debt in the past two decades? When you stop paying that regular fee for interest, you’ll find you have a whole lot more money to spend on stuff. You can cash flow everything.
soon you can go to Franklin, Kentucky and get on the Dave Ramsey show to shout “I am debt-free!!!”
Nope. Never without debt. Either had car payment or credit card debt. Once cc is gone then I’ll attack car loan.
I won’t go to TN for the debt free scream. I’ll just do it here!
catherine
10-29-24, 6:34pm
Nope. Never without debt. Either had car payment or credit card debt. Once cc is gone then I’ll attack car loan.
I won’t go to TN for the debt free scream. I’ll just do it here!
Yes!! I've always wanted to know someone with a debt-free scream!! Looking forward to yours Tradd.
ToomuchStuff
10-29-24, 10:19pm
While I do wish he had a non church meeting places for his stuff, he freely admits it's from the bible, so easy of a book to get.
He's religious, I am more of a Christopher Hitchens type of guy.
Work owners gave an update that business is much better the second half of the year so far. So there’s hope we will get our year end bonus. That’s equal to one paycheck. Hope we get it!
Just threw another $1K on cc. Just under $3K now.
rosarugosa
11-3-24, 6:46am
Wow - you're almost there!
happystuff
11-3-24, 10:08am
Way to go, Tradd!!!!
Woo hoo! Got a $880 refund from hospital (paid $3500 when registering for surgery in Aug). Card balance down to $2100ish. Yay!
happystuff
11-19-24, 9:37pm
Great, Tradd!
Finally opened a high yield savings account. My big bank savings (where I also have checking and credit card) is 0.01% interest. I have. Vanguard IRA(401k rollover from years ago) so I decided on the Vanguard Cash Plus account. FDIC insured. No min balance or transfer amount. 3.9% interest. Started it with $100. Decided I’m going to keep several grand in my big bank savings account, connected to checking, for easy access in an emergency. The cash plus account will take a couple of days to transfer into my regular checking.
Finally opened a high yield savings account. My big bank savings (where I also have checking and credit card) is 0.01% interest. I have. Vanguard IRA(401k rollover from years ago) so I decided on the Vanguard Cash Plus account. FDIC insured. No min balance or transfer amount. 3.9% interest. Started it with $100. Decided I’m going to keep several grand in my big bank savings account, connected to checking, for easy access in an emergency. The cash plus account will take a couple of days to transfer into my regular checking.
This is brilliant, Tradd, way to go.
I did this several years ago and keep all my emergency money there where it does collect some interest, varying over the years, but it is a good feeling. I also keep cds there that roll over each month to replace one month's income. It just perks along, making me feel safe.
Waiting to see if we’ll get a Christmas bonus. If we do, it will be this week. They don’t say anything. The direct deposit just shows up.
Well, I got a bonus, but it’s a weird amount. It’s not the usual full paycheck. It’s more like 1/3, but it’s not even that. Driving me a bit bats trying to figure out the amount. I’m happy I got something, but amount is weird. I woke up in the middle of the night a bit ago and saw the direct deposit email notification.
Is it some random percentage of your usual paycheck? Long ago at my bead store job for my first Xmas there I got a bonus of $600 (which was amazing back then for a single parent working a low-wage retail position). It turns out the owner gave back in the bonus $1 for every hour I had worked that year. (I had started that job in August of that year). 600 hours x $1 was my bonus. Doesn't seem like anything now but I remember the feeling of getting an extra $600 tax-free at the end of the year!
Is it some random percentage of your usual paycheck? Long ago at my bead store job for my first Xmas there I got a bonus of $600 (which was amazing back then for a single parent working a low-wage retail position). It turns out the owner gave back in the bonus $1 for every hour I had worked that year. (I had started that job in August of that year). 600 hours x $1 was my bonus. Doesn't seem like anything now but I remember the feeling of getting an extra $600 tax-free at the end of the year!
Bonus was $1700 pre-tax when I looked at stub online. Turns out medical and 401K was taken out of it in error. So I’ve got about $200ish I’ll see in 12/31 paycheck.
So that $1700 is a bit less than half of regular paycheck.
I took $200ish of bonus to buy a new desk chair for home. The one I have is a cheapo I bought in 2020 when I had the remote job. It currently sells for $35 so very cheap. I want something more comfortable.
Woo hoo! Just paid off the last $1600 on cc.
iris lilies
12-23-24, 4:54pm
Oh that is big big big!
so what are you going to do to keep from using the credit card again? Do you have strategies in place, or in your mind?
Oh that is big big big!
so what are you going to do to keep from using the credit card again? Do you have strategies in place, or in your mind?
Just will use for a few recurring small things.
Some savings building next and then car loan.
Woo hoo! Just paid off the last $1600 on cc.
Hooray for you!!!
happystuff
12-23-24, 7:12pm
Congrats, Tradd! That's a huge accomplishment!
catherine
12-23-24, 9:31pm
Congratulations!! That is wonderful! As Dave Ramsey says, quoting Mel Gibson: FREEDOOOMM!
Congratulations!! That is wonderful! As Dave Ramsey says, quoting Mel Gibson: FREEDOOOMM!
Well, still have car loan, but yes, freedom not having the cc debt.
rosarugosa
12-24-24, 7:39am
That's a great milestone, Tradd!
Today is payday and there’s now a bit more than one month’s expenses in savings. Yay.
Powered by vBulletin® Version 4.2.5 Copyright © 2025 vBulletin Solutions Inc. All rights reserved.