Thank you for the advice from my previous post on my Debt Load -
I have followed the advice of Broken Arrow and put DH's 401(k) to 6% which is what company matches up to. I've set up the additional 4% for my Vanguard IRAs(twice a month automated) -- still reducing taxable income.
As far as HELOC, once the mid-cap fund (which is taxable) goes up, I will use that to significantly pay down that debt. Once it is paid off, it is potential EF.
With the money in the checking account (from 12/28 paycheck and Christmas money), I am going to pay the insurance premium on car ($212 for a collector car), put new tires on DH's daily driver, make additional payments to HELOC and AmEx(3.99% for life of loan), I also plan on using the money to pay the January bills due prior to the 1/11 paycheck and do one big shopping trip to Sam's Club. That will then help start 2008 with a plan -
I will also use $100 of that to start a Health Savings Account, of which I will be directing $200/month because we have set up a High Dedectible Insurance Plan (I used the balance of our Flex Spend account to get all kids to the dentist, plus took DD to the pediatric pulmonologist, had her allergy testing via blood work done, and got her 3 months RX for asthma filled through Medco. So I will have a small amount of money left to stock up on cold medication, etc.
All in all, I'm feeling smarter with these few steps.
Happy 2008, new friends!
Some Positive Changes
December 28th, 2007 at 09:45 pm
December 28th, 2007 at 09:47 pm 1198878458
A PS to previous post, I was going to use that money for new carpeting in family room, laminate floors in dining room and living room, and a new entertainment center!
See an old girl can learn new tricks!
December 28th, 2007 at 10:28 pm 1198880919
December 29th, 2007 at 01:37 am 1198892246
Well, anyway, all that sounds good, but please feel free to fine-tune it to whatever you feel is best. Judging from what you have written previously, it seems like you have a very good sense of the technicals. So, I'm not worried about that part. The rest is just up to you in terms of comfort level and your judgment of the overall health of you and your family.
Doing good!
December 29th, 2007 at 01:52 am 1198893172
Yes, broken arrow, I did follow your advice. I have been rather lax on things, but with some phone calls and computer time, I've put things on automatic - the deposits to my Vanguard IRA, and State Farm's health savings account. And at least my retirement funds are seeing some improvements (I'm a SAHM and my funds are rather stagnant, shall we say ...)
It was sort of scary to decide to try the high deductible insurance thing, but I did a lot of investigating into the option and thought we'd give it a try for this one year. I am challenged to stay on top of the HSA and make deposits. I did try to get everything I could think of taken care of as far as routine maintenance on everyone, if it doesn't work out, it is only for a year and then we can go back to the traditional insurance plans.