Is it just me or are the months flying? I honestly feel like I just posted our March Debt Payoff Report and here it is already April. The way time goes is a constant reminder to me that we will soon be out of debt. We’ve given up a lot of life’s pleasures to focus on paying off our debt, and it will be nice to get some of those things back. Admittedly, I miss being able to turn to HGTV or watch the latest drama on Housewives. I also miss going to sit down restaurants. While we have date night worked into the budget, going out to dinner can still be expensive if you don’t watch it. So instead of us having a date night out we order food in and watch a movie. We can do this two to three times a week depending on what we order, and it’s still cheaper than going out.
This month Broke on Purpose was also featured on the His and Her Money Show! Talaat and Tai are a huge inspiration to Marcus and I as they’ve paid off all their consumer debt and student loans and are working on paying off their mortgage. If you haven’t, make sure to take a listen to some of their podcast or a youtube video. Trust me they’ll inspire, and you’ll be hooked.
We’ve also launched a new product here at Broke on Purpose! Money Envelopes. I mentioned above that Marcus and I don’t go to sit down restaurants but we still dine out. There have been a few instances where we’ve spent over what we budgeted in that category and so we’ve decided to start using money envelopes to keep up with that category. The Broke on Purpose Money Envelopes are available in two colors, black or white, and cover nine different categories. You can order a bundle of five which features your main categories like groceries, gas, and self-care, or you can pick up the mega bundle which features all nine envelopes including categories like latte loot and entertainment.
Alright now let me get to the April 2016 Debt PayOff Report! This month we were able to throw $2500.00 at our debt. For the past three months we’ve been able to pay over $3K a month so it kind of hurt to see that this month we fell short. We incurred a few extra expenses like having to pay for unexpected travel due to a family emergency as well as paying for hosting a dinner party (which I don’t regret at all). We could have used our emergency fund to pay for the travel, but we didn’t see a point since we knew we always had money left over from not spending everything we budgeted out.
This month we also paid off the remainder of my Navient Student Loan and got started on knocking out the interest on my AES student. Before we can even touch the principle, we have to pay off $3,366.99 of interest that has been accruing while my loans have been in deferment. This is why you should always pay the interest on your loans even though they are in deferment or forbearance. We were able to pay $2101.00 towards the interest bringing the final amount due to $1265.99. We must pay this before anything we pay starts to bring down the principle amount, which currently sits at $38,399.21. I’m excited that we’ll be able to knock out that last bit of interest with our debt snowball payment.
In total, we’ve paid off $12,519 for the year 2016 and a total of $41,925 since we’ve been living Broke on Purpose. If we keep up the momentum we’ll be on track to pay off $48,000 for the 2016 year though our goal is to pay of $50,000.
How as your month living Broke on Purpose? Share your stories with me in the comments and don’t forget to visit the Broke on Purpose Instagram and Facebook where we keep the conversation going on all things debt, money, and finances.