Better Budget Challenge at Sense to Save

Sense to Save is hosting her first annual “Better Budget Challenge”
Here is my post for that challenge!

I have tried doing a paper and pencil budget and once, years ago, sat down at a spread sheet and put in how much each pay check to cover EVERYTHING—Emergency fund, haircuts, oil changes, vet visits! It was too much for me! Today I’m “reaping” the havoc I have sowed. In the summer of ’06 I did the Dave Ramsey program on a “scholarship” from a local Church. It has helped me face my money demons, but not completely. My goals for this year are simple:

Make it to the end of the paycheck with a positive balance in my checking account.
Pay all utilities in full each time.
Put a set amount aside each month for an emergency fund.
Give more at Church even if not the full 10%
No more “foreign aid” from friends or relatives
Stick to Dave Ramsey’s ZERO budget and envelope system
Pay a fair amount to each creditor each month based on the pro rata system
Keep with my “accountability” partner on money matters.
Change my mortgage to 2x month so I get home with an even amount each payday.
PRAY for guidance on money and remember just whose money it is—HIS, not mine!

I no longer have a debit card, but will be ordering checks again [I’ve been without them for several months.] In the spirit of truth I have to say I am in negotiations with creditors and, in spite of Dave Ramsey, am considering bankruptcy. My efforts at frugality are to RE-educate myself so that this situation doesn’t ever occur again. I am doing therapy about this, too, to try to conquer my poor relationship with money. My son’s past medical bills, even with insurance, are sinking me. Thankfully, he IS doing better so this year may see a reduction in my out-of-pocket medical expenses. I am also still suffering from 2 job losses in two years, a move and a job paying $12,000 a year less than I made in ’03. Friends have helped me with a reliable used car for next to nothing. My Mom has been generous with help with daily expenses, but on January 1 I went “Cold turkey”—no more “help.” I would sell the house, but in the current market that’s highly unlikely. Plus it needs thousands of dollars worth of repairs such as a new roof and new heat pump.