Tuesday, 31 January 2017

Goin’ For Broke

That is an interesting statement, as that is what could happen to me if things turn sour. 

I could end up sitting pretty, or scrambling to cover my hiney. I have been there before, so it doesn’t really scare me. 

Intellectually I know that it should, but I have developed a flair for adventure and kinda like living a tad dangerously.

I have been running the numbers and trying to answer the all-important question . . . how quickly can I pay off the Wanda Loan?

Well, the results have been encouraging, so encouraging in fact that I have decided to enact what may seem to be a wild and crazy plan.

I will leave what I have in my Long-Term Savings, keep my Mid-Term Savings funded to just above its minimum acceptable levels but the rest will go straight onto the Wanda Loan. 

Every last dime that I can spare, each and every payday (along with whatever donations . . . 

Hint, hint . . . sad puppy dog face . . . help save the children  . . . I’m somebody’s child  

. . . happens to come my way) will go straight onto that loan.

This will mean that I won’t be building up my savings at all, but it will mean paying that loan off faster (and thus freeeeeedooooooom). 

I could either be debt free much sooner or scrambling to get a job in a cratered economy, the likes of which Canada hasn’t seen since the 1930’s.

I figure that the chances latter happening because of a trade war between the US and China (thereby damaging us as collateral damage) is slim to none. 

(Famous last words I know.)

I know that this plan is crazy but I know that I just need this last part of this journey done. 

I want, no I need, to be debt free and then putting that cash into my bank as I build and work towards my future . . . I want my paycheque back!

I will keep you all informed on how things are going, but I won’t announce how close I am until the momentous day has arrived. 

As always, Keep your head up, your attitude positive, and keep moving forward!

Monday, 30 January 2017

Be Willing to Zig, When Everyone Tells You to Zag

I have previously touched on what I will cover in today’s blog entry in greater detail. As I have said, I like my job, I like the company I work for and yes I like my Boss.

Three years ago, when I started this journey towards Total Debt Freedom, and Boss found out (through work conversations) that I was downsizing my life to take care of debt, he was amused.

Boss chuckled and said something along the lines of “that’s admirable,” and left it at that. Yet over time that attitude changed.

Boss has asked how things are going and what challenges that I am facing in my journey. Part of it was genuine interest, yet part of it was entertainment. 

As each credit card got paid off and the longer I stayed out here, living in my RV, Boss’s attitude grew more concerned, worried even.

It was somewhere in the dying days of Card #3, my largest and last credit card to be paid off that something Boss said, first triggered that perhaps Boss did not have my best interests at heart. 

Boss looked at me with a straight face and said “Not all debt is bad, you should keep some.” I looked back at Boss with a puzzled and disbelieving face and said nothing, but nodded.

After that, during last year, when I was building up my savings in the bank, Boss kept talking about the merits of home ownership. 

I mean Boss, was routinely talking about how great it is to buy a home . . . any home . . . any condo . . . anything at all, just for the love of god get a mortgage!!!!

Boss even suggested that I buy a one bedroom condo! Anyone who knows anything knows that the resaleability of a one bedroom condo is not good. 

Most people buying something want a two bedroom condo at least. One for them and one for the kids (present or future) or at least an office. 

I still remember the wide-eyed panicked expression on Boss’s face when I had mentioned in passing that I had paid off the truck (over two years early).

This year, as I focus on being debt free, there is a talk at least once a week on the merits of buying something and how debt is good. 

I just ignore this as I continue towards my goal of Total Debt Freedom, this year. I accept that Boss would like me to carry debt. 

My best guess as to why this is, is because that I will be more likely to stay at work and be less likely to go elsewhere. 

An indebted employee is more controllable and will put up with more crap. Doublely so if that employee is married with children.

To be fair and balanced, I also accept that it is possible that Boss is giving me what Boss genuinely feels is good advice, and the best course of action for me to follow. 

We live in a world which has taught us that everyone has debt and that nobody is supposed to ever be debt free. This is just a pipedream, reserved only for those who win the lottery, or receive a large inheritance.

I will buy something, but I will do so whilst remaining debt free. I have credit cards and I still use them, but I will not get into a large and crushing debt again. 

If I buy something on credit, there will be an end date, something similar to a car loan. Once I buy my freedom, I will not be so willing or eager to give it up again. 

This is me, and what I chose for myself. 

As always, dear reader, make your own choices and do what you feel is best for you. Never let anyone, myself included, dissuade you from doing what you decide is best for you.

As always: Keep your head up, your attitude positive, and keep moving forward!

Friday, 27 January 2017

Self-Induced Stress, or Learning Curve?

Okay, so I will admit that when it comes to my finances, at least, I like control. I didn’t always, but I do now, I like to know exactly where my money is going and when payments are coming out.

I can measure that, I can plan for that, I can control that, or rather, I can control what impact those things have on: me, my finances, and therefore, my future.

Three years ago, I was just used to giving all of my paycheque away to everyone else, that the thought of having a savings account was a laughable dream.

Now, the thought of not having one is frightening. I got used to that steadily building savings account, knowing and dreaming of all of the wonderful things I could do with it. 

Not the least of which is to survive a massive downturn in the economy. An Oops Fund, if you don’t have one . . . get one! 

So, this year, me giving approximately three quarters of my paycheque to the bank in order to pay down the Wanda Loan, is something I have to get used to again.

It is an adjustment and yet another change in my life that I will have to make on this journey to total debt freedom. 

FREEEEEEEEEEDOOOOOOOOOOOOOOM!!!

Now that I know that the bank will take their sweet time to process these extra payments but that I can expect it to be done within a week, I’m good with that.

If I can make the payment at the bank, I will do that, because I like the control and doing things instantly, when I want them done.

They key here, is to learn, adjust and adapt in order to keep moving forward towards my goal: Total Debt Freedom this year.

FREEEEEEEEEEDOOOOOOOOOOOOOOM!!!

On that front, I am on track to be totally debt free before the end of the year, even if you don’t count the $40.00 or so that the regular payments are taking off of the Principle, every two weeks.

So, as long as I don’t stop making those payments (for whatever reason) I will be Totally Debt Free before this calendar year runs out. 

(Go on . . . say it . . . you know you want to)

A thousand things could happen to delay or prevent that. Heck, a sudden and unexpected windfall could come along and pay that off much earlier (doubtful, but technically possible).

I will choose to see the positive in life and keep focussed on my goal, and beyond. 

As always: Keep your head up, your attitude positive and keep moving forward.

Thursday, 26 January 2017

Payment Peeves

So, as you all know, I got paid this last Sunday, so that means I made another large payment on the Wanda Loan. 

Well, sorta . . . you see in order to do the extra payments I can’t just process them automatically, as I do other payments. That would be crazy-silliness; no, they have to be ‘processed manually.’

So, fine, I think, sure have someone else look them over and handle the payment. 

Yet, I put that payment ‘request’ in on Sunday afternoon and here we are on Thursday morning and it still has not been processed. 

I get that Sunday was not a regular business day, fine. Yet here we are three full business days later and ticking into the fourth and still nothing has been processed.

I don’t know how to say this but I have too much money in my account. You see, they don’t even take the money from your account until someone ‘manually processes’ it.

Failing that I will phone the bank up and try phone banking to see if that can get it done right away. One way or another I will find a way to do this quicker . . . or exhaust all of my options.

I don’t really mind that someone has to look it over, fine do that, but do it swiftly. As we all know, banks sure are quick and efficient at taking cash from you when it suits them.

Yet, when you want to give them an extra payment, they are as slow as molasses in . . . well . . . this month. 

I will talk to someone at the bank on my next payday to see if I can have someone there ‘process it manually.’ I will keep you all posted on what happens and when this payment is actually processed.

As always: Keep your head up, your attitude positive and keep moving forward!

Wednesday, 25 January 2017

Banking on the Great Bluff

I will admit that this week, for a while rather, I have been stressed as I wonder and worry about my future. 

Factors outside of my control (such as a certain individual holding a certain influential office) could, almost overnight, put me out of a job.

As I have said before I work for a company which imports stuff from China (making sure it is top quality stuff that meets North American standards) and then exports them to customers in Canada and the US (mostly in the US).

So, as you can imagine, any one of a number of options taken by the new US administration could quite quickly lock us out of our overwhelmingly largest market. (Can you say sudden downsize of a company, anyone?)

If this were last year or next year, I would be much less stressed. As with each payday, a little more cash would be going into my saving account.

I could use that to live on as I look for other work. Not so this year with large fistfuls of cash that I am giving to the bank. (It still feels wrong to give most of my paycheque straight to the bank.)

I have to take solace, however, that with the intertwined nature of the economies of our two countries that limiting or hurting trade with/from Canada would hurt the US.

This is like cutting your nose off to spite your face or shooting yourself in the foot (pick your analogy). 

I am willing to bet (my mid-term fiscal future) on the fact that this noise and rhetoric is just pre-bargaining sabre rattling as the new administration down south looks for a good deal.

Personally I am inclined to strongly suggest that we recall our ambassador, expel their ambassador and cut off all diplomatic relations and trade with them if they do anything remotely to hurt us. 

The insult and shock would make the US Congress demand that the pres make things right, thereby putting us in a stronger bargaining position. (But I digress.)

This administration or at least most of the state governments and Congress knows how important free flowing trade is to them (and us), and won’t do anything to seriously jeopardize this.

They will, however want to ensure that we, as a trading partner, lose money in any and all trade with them. (If they even suggest this, do what I said earlier).

As fun as all that is to say, I am banking on this continued trade to keep the dollars flowing back and forth across that border (and thus me gainfully employed).

So, I will keep handing cash over to the banks and slowly buy my freedom by the end of this year. I will trickle-save what I can so I have a modest amount of cash on hand, just in case.

I will do so resting somewhat easier that a trade war is unlikely (and that our Prime Minister would never do what I had suggested . . . as fun as it sounds).

As always: Keep your head up, your attitude positive and keep moving forward!

Tuesday, 24 January 2017

Not in the Budget

As I have said before, I am adjusting to these very stringent budgets that I have set for myself. 

Even as I sit here on the morning of the second day after payday, I am looking forward to the next one.

My budget is set, my expenses are taken care of and everything is on track. So all is well, right? Sorta . . .

You see, I have a practice that I typically do, which is to go to Banff (or some campsite) for every long weekend. 

Well, here in Alberta the next long weekend is the Family Day Long weekend from February 18 – 20.

Well that would cost me not only the camping fees but also the extra fuel to get there and back. This time, at this delicate juncture, I just don’t have it in the budget.

Thankfully, this winter, or at least this January, has not been that bad, so the need to go for a break in the mountains is not that strong.

I would still like to go, but I have other more important priorities. One is getting caught up on my Wanda Paydown Plan, and the other is building up my Mid-Term Savings.

I have a very lofty goal to accomplish this year, and for my peace of mind I need to build up my fiscal reserves, just in case that is all I have to live on.

After a year of steadily growing savings, I feel kinda naked without one. This is a balance that I need to strike between fiscal prudency and enjoyment.

I will most likely make a trip to the mountains the next Long Weekend. This one I have to skip, for the same reason I usually go . . . peace of mind.

As always: Keep your head up, your attitude positive, and keep moving forward!

Monday, 23 January 2017

Trump Smump

I was asked why I didn’t blog about the incoming President (now current President) of the United States. Frankly, the answer is that I don’t want to think about him.

He is the President of the United States and so he is not my leader. I never did subscribe to the whole “Leader of the free world” thing. 

I know that since he heads up the largest market for our little company (the one that I work for and rely on) that his moves and decisions could have a devastating impact on it and therefore me.

Again, I won’t go into listing exactly how he could screw me over  as I don’t want to focus on it. Or get into politics, for that matter. 

The American people voted for him, so he’s in as the leader of America . . . not Canada. I don’t have to listen to him or pay him any mind, but I do need to keep an eye on him.

So, this makes what was already a stressful and uncertain year, that much more stressful and uncertain. 

I am now back to a phase where I am handing over large wads of cash to my creditors in order to buy back my freedom. 

Last year, I was putting the cash in the bank, saving it up and in so doing with each payday, I had a slightly larger cushion in case I was suddenly unemployed.

This year, I have a much smaller cushion . . . a pin cushion by comparison. This is where the crux of my stress over this man and his potential impact on my life lies.

I know that I can’t stop this paydown plan, as it is working and I am gaining momentum on my last and largest ever debt . . . the Wanda Loan.

I have a bit of cash here and there and that unused Vacation pay which will tide me over if I am unemployed. 

Then, if the company shuts down I will have that lottery ticket known as “Unemployment Insurance” who knows it may actually pay me something.

All I can do is keep moving forward and trying to do two things at once. The first is keeping up that Wanda Paydown Plan, and the other is to trickle save as much as I can . . . just in case.

I know that I will be okay, though, somehow, someway I will survive. I just don’t have it in me to just give up.

As always: Keep your head up, your attitude positive and keep moving forward!