Tuesday, July 2, 2013

PANIC STATIONS- revising my options



I have to come to the concerning realisation that the other mummy blogger who has been my inspiration to document my journey, has only just started this goal after  many many years of blogging and experience in running a business, writing a book and "Just" a few other things! 

This lead me to a moment or two of completely freaking out and thinking maybe I have become a little  over enthusiastic of my goal and need to allow a bit more flexibility.....

I am still of course going to strive towards towards my original goals but, like any good plan, it should be followed up with a BACK UP PLAN.

So here are revised goals:  
                                             
GOAL 1: Get out of bad debt.  In short, bad debt is any debt that will not assist you in wealth  creation long term. Things like loans on items that depreciate over time such as cars, holiday or debt consolidation and credit cards. As of today we are sitting on $49,400 of bad debt from consolidating all our loans and finances together a few months ago.

GOAL 2: To become a millionaire by thirty (October 2016) Now there are probably some entrepreneur  types out there that think this is completely achievable. I am though,  beginning to have some self-doubt. I know this was on my list of thirty a year to thirty, not to doubt myself, but the more I research it the less likely it seems possible. If I was already earning a full time wage with no bad debt, had an established business and with a financial management background, I would absolutely believe I was in with a good chance. Coming to realise that the person who I was inspired by, has made this goal after being successful in other ways previously, had splashed a bit of water on my fire.

GOAL 3 (THE BACK UP PLAN): I have made the decision that Goal One is non negotiable. I do not want to be paying the bank for a full five years, potentially losing thousands of dollars in interest. Nor do I want to begin my thirties with any bad debt. Thirty will be a fresh start for us, if nothing else. So, if I only reach Goal 1 or a bit more by thirty i will then set a five year plan to be a millionaire by thirty five. This is still more than most people could hope to achieve in their lifetime so I hope no one reading this has become disappointed! Just remember that we realistically live on a single income and essentially will be eliminating $50,000 worth of debt without me going back to any sort of "real" job.


WHAT I AM DOING RIGHT NOW TOWARDS MY GOALS

  (MONTH 1: July 2013)


 I contacted our bank to get an idea of what it will take to get out of the debt within years.(Just before my 30th birthday.) We have to achieve a minimum monthly goal of  $501 a month, paid as an extra repayment on  top of our automatic minimum payment ($1,043)  to achieve being bad debt free by  the time I turn thirty. Anything extra is of course a bonus to get us out earlier.

Any support, subscriptions, shares and suggestions are greatly appreciated. I hope I can help inspire other people in a similar position to start taking control of their lives too!

I will edit this post at the end of the month to let you all now how far we got with raising the extra money to meet out goals!