Hi all, 31yo Norwegian male here.
I've struggled with financial ignorance for a few years, but things finally started changing last year.
I managed to shave off $10,000 during 2008, and this year should prove even better.
I have three lines of debt/credit
Student loan: $30,000 @ ~6% APR
Car/motorbikes loan: $9,300 @ 11% APR
CC: $13,600 @ unknown rate (
In total: $52,900
Monthly income after taxes:
I'm not going into a detailed description of my monthly expenses apart from the debt (well, maybe if it seems necessary)
Student loan: $315 (minimum is 238)
Car/motorbikes loan: $685 (which is minimum)
CC: $430 (at current balance minimum is a healthy $330)
Total monthly debt expenses: $1,430
My goals are as follows:
Eliminate Car/motorbikes loan by December 2009 (two months early w/help from tax return and other windfall).
Eliminate CC by end of 2010
Eliminate Student loan by no later than 2015 (the issuers payment plan suggests finalizing in august 2028, with the current payments I'm already looking at paying it nine years early).
I get a lump sum once a year of 12% my annual groce (sp?) income, which will be split between debt and savings.
I also hope to get a tax refund, although that can swing both ways.
Like I said briefly, I already am paying more than suggested on the student loan, saving me nine years running time (and $13,000 in interest!).
The plan is however to keep spending the same total amount on debt payments, which would allow me to chunk in a monthly $1,430 in 2011.
That should speed things up a bit
When one debt is gone, that amount goes to the next debt.
All payments are automatic, and I have a savings account (@6% APR) which also gets its automatic $150 a month (not much, I know).
In addition I have automatic transfers from checking account to a "periodic bill" account at the same amount as my savings.
I have no EF (if you don't count my parents, haha).
All other periodic expenses are auto as well, car/bike insurance etc.
All of this does not leave me with much at the end of the month, but I do not have many expenses (rent would be no.1 at 500).
The job pays for DSL and cell, I do not have a TV, and I'm single (my ex was frugal, but not with my money. Bet she has savings from living with me).
A few principals I follow, and have for a while:
No new debt until I buy my own home.
No more personal CC's (I have a company CC for travel expenses).
I will not touch my savings.
Thanks for reading, I do realize my post is a mess and you may not feel the wiser when you get down here
Putting all this in writing for you all to see is a big psychological boost for my frugality, though.
ETA for my own sake, $1=7NOK (ignore this, it's just to make sure I use the same exchange rate consistently through the thread)