SOOOOOOOOOOO I come to you with fantastic news today. A few weeks ago I said it was important to set mini goals to accomplish a larger (and what feels like unattainable) goal. So I set two mini goals this past month. Save $1200 and pay off a credit card.
I accomplished both.
It is a serious feeling of accomplishment. I now have enough to cover my pre-trip expenses & I have wiped away another debt I no longer need to worry about.
This accomplishment came at a great time because I was starting to go through a bit of discouragement with my goals. Some days I feel as if I will never get out of debt and I will NEVER get to go on my trip. Once I paid off that card & once I saw the 1200 in my account I knew that I can make this happen & I will make it happen.
This is why I said it is very important to set mini goals, because once you accomplish a mini goal it really does feel like you can accomplish anything.
So what are my next three goals?
I have another credit card I am hoping to get paid off in the month of May… I am not 100% sure if I will be able to get it paid off this month but it will be close. I think I will be able to pull it off but I do have some expenses I need to consider this month. We will see. If I can’t pay it off this month I do know it will be paid off next month.
I am also hoping to pay off a 401k loan that I took out a few years ago. I do not owe much on it so I am planning paying it off either this month or next month. Once this is paid off I will get an extra $40 a check… which goes directly into my next goal.
I want to save $4025. I suspect this number will take the rest of the year, depending on how my debt pay down goes. Since I just paid off a card I am increasing my direct deposit into my savings account. If everything goes according to plan I should hit this goal anytime between Oct-Dec. Why this number? It is my pre-trip budget plus my month one budget. I still do not have a full trip budget, but it has been fun planning and sharing with you what I “think” I will do while on my trip.
Fun fact: while playing with the interest calculators on Ally’s website I realized that once I save $4000 I will earn $40 in interest a year. Not much??? Well according to my research that is pretty much 8 nights of dorm accommodation in Laos. I know I said I wasn’t planning on dorms when I travel… but it is nice essentially earning that “free” money to help accomplish my goals.
It is all about perspective.
Feel you can’t do this??? I promise you can. I am writing extensively about my saving and debt because I can assure you I know what it feels like to have no hope & feel like you will NEVER be financially free. Trust me I am not out of the woods yet, but I can assure you with a will & determination YOU can do this too.
Have questions? Comment below or contact me @ TheCubicleEscapee (@) yahoo (dot) com
You can do this, before I came up with a plan I over drafted every paycheck period & did not have a single penny in savings. You can do this with a few lifestyle changes. I promise.