How quickly a month goes, especially when it is the month of December. Both my family and my wife’s family live in the same town we do… and we’ve got the ONLY grandkids on both sides of the family… so you can imagine how busy we are.
Plus, right after Christmas, we have three birthdays in the first week of January. They fall on January 1, 4, and 6. So we really don’t get a break from the holiday chaos until the second week of January, at least.
Anyhow, I’ve just updated my debt numbers and I’ve yet again made progress, modest though it is. Here are the raw numbers:
As you can see, I’ve paid off $845.85 during the last 30 days.
Of course, I just had to pay taxes, so that really put the squeeze on my ability to pay down my debt. I just sent the government $15,978… and I owe them an additional $5K that has to be paid when I file my personal return closer to spring.
Talk about sickening.
If you look at my outstanding debt, I could have used that money to completely pay off my two smaller loans — and I would only have the van loan left!
But Uncle Sam, he must be paid. And he’s rather indifferent to my debt, not to mention his own debt. (Wink, wink.)
On the bright side, I’ve made considerable progress since January one year ago.
In January 2008 I owed $71,607.55, and now I owe only $37,970.82. So in one year’s time (from Jan 2008 to Jan 2009), I’ve reduced my debt by $33,636.73, which is a 47% reduction in 12 months.
I owed the most debt ever in November 2007. At that time, I owed $75,286. Since then, I’ve paid off $37,315, which is a 49.5% reduction in 14 months (almost half!).
So here’s the short-term plan:
1. Ramp up income in the first quarter of 2009.
2. Use that income to pay off my debt as rapidly as possible.
3. Trim a few business expenses that are no longer necessary.
It’s a simple plan. But I think it will work. I’ll definitely keep you posted.