Hi all,
I'm sure there are many of us that find ourselves in this dilemma. Due to some emergencies in the past 6 months, I have depleted my savings account. I subsequently charged up about $800 on my AMX credit card. I had another Visa credit card that has $1200 from car repairs and medical expenses. So i'm now $2000 in the hole and have 0 dollars in savings. Clearly, the reason why I racked up $800 on the AMX was because I didn't have enough cash saved up. So the challenge i'm facing now is how to adequately save enough cash to avoid future credit card spending but at the same time pay off this debt. I don't make enough money so I could use some guidance. Here are the details:
Take home pay per month after 401k and medical/dental: $2800
Fixed exp (rent, car payment, cell, gym, utilities/internet, renters insurance): $1720
I'm left with a little over a $1000. I keep $60 a week in cash and this INCLUDES groceries (shopping for 1, I can make this happen). I usually pay the cards $150. Let's keep $100 for miscellaneous expenses so I have $500 to work with. How would you handle splitting that up between savings, AMX and Visa?
I also want to note that my fixed expenses cannot be changed for at least a year when my car is paid off and I can move out of this apartment. So I have no room to change anything from that $1720. I do not want to cancel my gym membership ($50) and unfortunately can't move yet! But it's not like I could as I have no cash for a security deposit!
I'm sure there are many of us that find ourselves in this dilemma. Due to some emergencies in the past 6 months, I have depleted my savings account. I subsequently charged up about $800 on my AMX credit card. I had another Visa credit card that has $1200 from car repairs and medical expenses. So i'm now $2000 in the hole and have 0 dollars in savings. Clearly, the reason why I racked up $800 on the AMX was because I didn't have enough cash saved up. So the challenge i'm facing now is how to adequately save enough cash to avoid future credit card spending but at the same time pay off this debt. I don't make enough money so I could use some guidance. Here are the details:
Take home pay per month after 401k and medical/dental: $2800
Fixed exp (rent, car payment, cell, gym, utilities/internet, renters insurance): $1720
I'm left with a little over a $1000. I keep $60 a week in cash and this INCLUDES groceries (shopping for 1, I can make this happen). I usually pay the cards $150. Let's keep $100 for miscellaneous expenses so I have $500 to work with. How would you handle splitting that up between savings, AMX and Visa?
I also want to note that my fixed expenses cannot be changed for at least a year when my car is paid off and I can move out of this apartment. So I have no room to change anything from that $1720. I do not want to cancel my gym membership ($50) and unfortunately can't move yet! But it's not like I could as I have no cash for a security deposit!
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