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URL:  http://boards.fool.com/the-deep-question-of-why-we-are-in-debt-my-25871330.aspx

Subject:  Re: Advice? Pay what first? Date:  9/5/2007  2:41 PM
Author:  AkGirlsRock Number:  260148 of 308349

The deep question of why we are in debt.. 
My hubby is not involved in our finances at all and I avoid all
conflict by not bringing anything to his attention and never saying no
to any purchase.  That part probably will involve a marriage counselor.
(seriously).  A contributing factor is that I have never budgeted for
the reoccuring occasional expenses (clothes, medical, car maint,
licensing, etc.) When considering a new payment I would make a list of
current payments and a budget for food and then say sure to the new
payment.  Then all the "other" stuff would end up on a credit card. My
hope is to reduce our minium payments to a manageble level so that we
can put money in savings to cover those things and stop using credit
cards and to somehow fix my marriage communication issues.  This finally
came to critical mass with me this year when I got a new job making a
ton more money.  We now gross over a $100,000 a year and I am still
bouncing checks.  I have finally realized the problem is not and never
was HOW much we make.

Fico: 585

Net Income				
		            Annual 	 Monthly 	
		         85,280.00 	 7,106.67 	
				
Household Expenses				

Mortgage		 25,812.00 	 2,151.00 	
Utilities		 6,924.00 	 577.00 	
Auto Insurance		 1,920.00 	 160.00 	
Life Insurance		 780.00 	 65.00 	
Food		         9,100.00 	 758.33 ($175/week)
Non-Food		 1,200.00 	 100.00 	
Gas	     	         3,120.00 	 260.00 	
Childcare/camps/lessons	 3,000.00 	 250.00 	
Medical		         1,000.00 	 83.33 	
Vet Bills		 500.00 	 41.67 	
Clothing		 1,800.00 	 150.00 	
Auto Maintenance	 500.00 	 41.67 	
House Maintenace	 500.00 	 41.67 	
Entertainment/Recreation 5,200.00 	 433.33 	

	Total Expenses:  61,356.00 	 5,113.00 	
				
Income after Expenses	 23,924.00 	 1,993.67 	

Debts
		                 Balance         Minimum
Wa Mu  - Credit Card	22.00%	 2,350.00 	 72.00 	
BOA - Credit Card	33.00%	 4,306.00 	 150.00
AK USA - Credit Card	13.50%	 7,645.00 	 230.00 
AK USA - Sig Loan	14.90%	 3,620.00 	 211.00 	
Cap One - Sig Loan	7.00%	 25,000.00 	 595.00 	
ACPE - Student Loan	8.00%	 12,135.00 	 308.00 	
Home Depot        	21.00%	 1,516.00 	 50.00 	 
Lowes           	21.99%	 571.00 	 13.00
CitiFinancial           22.00%	 1,200.00 	 85.00 	
GESA - Car Loan	         5.85%	 18,696.00 	 386.00 	
AK USA - Car Loan     	 7.40%	 11,700.00 	 245.00 	
	TOTAL DEBT:              88,739.00 	 2,345.00 	
				
                                  Annual          Monthly
Income after Debt Payments	 (4,216.00)	 (351.33)

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