A Quarter Million Dollars in Debt - How Long is it REALLY Going to Take | Budget Savvy Ash Cash

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  • Опубликовано: 1 окт 2024
  • Drumroll please....... Answers to the question you all have been waiting for!!! How long is it rrrreeeaaaalllyyyy going to take. For the skippers, skip to 8:34
    I'm so sorry my camera is shaky (I'm still getting it together) lol! Here is the realistic plan of how long it's actually going to take me to get out of debt.
    As always, I appreciate you all so so sooooo much! I two videos lined up and I will post those later on today.
    I hope you all have a wonderful & beautiful day!
    ****
    Chapter Breakdown (I'm not even sure if this helps, but I think it does):
    Explaining Current Timeline: 1:10 - 2:19
    Not Using Snowball Method: 2:19 - 3:07
    Using the Snowball Method: 3:07 - 3:39
    Current Project Using the Snowball Method: 2:39 - 4:22
    What is the Snowball Method: 4:22 - 7:35
    Difference in Surplus by my methods: 7:35 - 8:34
    Realistic Timeframe: 8:34 - 10:10
    Snowball Method Time frame: 10:10 - 11:10
    Current Projection Timeframe: 11:10 - 11:43
    Why I Started Off this Way and Outro: 11:43 - end of the video
    ****
    Links to the products I use:
    Cash Holder (Amazon):
    www.amazon.com...
    Sinking Fund Clear Envelopes (Amazon):
    www.amazon.com...
    Sinking Fund Holder (Amazon):
    www.amazon.com...
    Jen Plans Font - Personal Use (Etsy):
    www.etsy.com/l...

Комментарии • 31

  • @whattheelle360
    @whattheelle360 11 месяцев назад +26

    For a 401k loan, it is due in full if you leave the company for any reason. Keep that in mind.

    • @emilymccranie7073
      @emilymccranie7073 11 месяцев назад

      My husband left his job and it's not due in full. They gave him a payment plan

    • @georgina4874
      @georgina4874 9 месяцев назад

      ​@@emilymccranie7073😅.

  • @lauraweiss7875
    @lauraweiss7875 11 месяцев назад +9

    Interest rates? You need to look at how much interest you are accruing for every debt, every month.

  • @savvybudgetgirl
    @savvybudgetgirl 11 месяцев назад +11

    Okay, I like spreadsheets as well, so this was cool to see. I have a question about your spreadsheet: did your calculations take interest rate into account so you have accurate payoff dates? I just didn't see it in the video. Thanks!

  • @jeniferbanda5981
    @jeniferbanda5981 11 месяцев назад +7

    Just having a realistic goal is a huge move forward! Congratulations again on getting out from under the Amazon card. I'm glad that you acknowledged that the original plan was aggressive (unrealistic) and reevaluated. You are doing amazing at keeping your momentum at paying everything off. Best of luck in getting out from under this financial burden!

  • @libraryofstitches459
    @libraryofstitches459 11 месяцев назад +4

    It would be interesting to see that snowball compared to the avalanche method, and how much interest you'd pay for each. It can be eye opening to see how much interest you pay in each scenario

  • @make725daily1
    @make725daily1 11 месяцев назад +2

    Your video is an endless well of motivation! -- "Each setback holds a gem of wisdom within.."

  • @TheLetamu
    @TheLetamu 11 месяцев назад +3

    Hello 👋 this maybe the last piece of the puzzle but, it’s also the biggest…..
    interest rates. I did some quick math and I think you’ve included compounding interest in your calculations, which is excellent!
    But I’m not quite sure because, for instance, if you pay $120.70/month to Costco, for 42 months, that equals $5,069.40, which is your balance (right?) and does not include the compound interest.
    Is the Costco card 0% interest?

    • @TheLetamu
      @TheLetamu 11 месяцев назад

      😬😬😬😬😬😬 take a look at the Apple Card.
      If your interest rate is 16% (guessing), and your balance is $2271, and you pay $75 a month…..the balance (including compounding interest) will be paid off in 38 months.
      That’s $583 of compounding interest that I don’t think was considered in your calculations.
      Was it?

    • @TheLetamu
      @TheLetamu 11 месяцев назад +3

      Did you accrue $3070 in student loan interest last month?
      I want to see you figure this out! You can do this. But you can ONLY do this if the math adds up.
      So I have to second guess my original comment tonight and say, I fear that you’re not taking compounding interest into consideration or apply it to your calculations.
      You can do this. 🌸

    • @budgetsavvyashcash7281
      @budgetsavvyashcash7281  11 месяцев назад +1

      Hi!!! The Best Buy card is the one with no interest. I do have a MASSIVE excel sheet that I just made (after uploading this actual video) but I'm using the Snowball method, which does not account for interest rates. I think that method is the Avalanche Method.
      Just like with all credit cards, as the balance lowers, so does the minimum payment. Because my balance is so high, I showed what my current minimum payments are now

    • @TheLetamu
      @TheLetamu 11 месяцев назад +6

      Oh gosh. Ok. Well all methods have to account for interest. All methods….
      But as you go through the months, I think it’ll be easy to see what I’m talking about. A baseline is… if you put $3000 toward your debts each month, how much does your total debt go down by in that month? I fear that you’ll see the debt going up, not down; it’s the compounding interest that has to be calculated and considered in order to defeat the increasing interest.

    • @TheLetamu
      @TheLetamu 11 месяцев назад

      @@budgetsavvyashcash7281to clarify something I said…
      I understand you’re doing snowball and therefore not looking at interest rates. The only reasons why interest rates matter to your plan, however, is because you have a timeline of when you’ll be out of debt by. The timeline would only be accurate if you included interest in your excel calculations.

  • @Holly-xu2rf
    @Holly-xu2rf 11 месяцев назад +2

    I really think you need to take the interest rates in too account as well. Im not sure how you decided what order to pay off your debt but always start with your highest intrest rate. That way you are paying less in the end and you can use that money to pay off your other loans quicker as well( I can show the math if necessary). Interest rates do matter and should be included. Sometimes you can also call the credit card companies and they will give you a lower rate if you haven't done so already. Good luck

    • @halfmoonyogi4997
      @halfmoonyogi4997 11 месяцев назад +1

      She is using the snowball method, paying down smallest to largest, as she explained in the video. What you are referring to is the avalanche. Both work, just a little differently 😊

    • @TheLetamu
      @TheLetamu 11 месяцев назад

      @@halfmoonyogi4997but the timeline will change depending on compounding interest. More interest will take more time.

  • @whattheelle360
    @whattheelle360 11 месяцев назад +2

    Always pay of a zero % deal at least two months before the term. The retailer will do a lot to ensure you pay the interest.

  • @juliana22
    @juliana22 11 месяцев назад +1

    I'm invested in your debt free journey. Having realistic goals and staying consistent is so important. Best wishes!!! 😊

  • @laurengreffe7185
    @laurengreffe7185 11 месяцев назад +1

    You did a phenomenal job describing and showing the snowball method and just how helpful even $25 extra a month can be!

  • @rebekahrobertson7671
    @rebekahrobertson7671 10 месяцев назад +1

    WE LOVE AN EXCEL QUEEN

  • @saraangel6696
    @saraangel6696 11 месяцев назад +1

    This is such an amazing sort of “projection” to have! I truly hope you can throw a lot more extra to all debt so that it’ll take even less time. I’m rooting for you girl!

  • @sml1557
    @sml1557 11 месяцев назад

    Omg this was a great video. I wish I knew excel like you did. You explained everything so well. You honestly motivate me.

  • @jj91905
    @jj91905 11 месяцев назад

    Yay! You’re back! I’m turning on notifications, I didn’t realize that you had posted a video earlier!
    You inspired me to start budgeting. Thank you!

  • @EmelynJeza
    @EmelynJeza 11 месяцев назад

    hi maybe if you start paying from lowest to highest what will should be or highest to lowest loan? hi everyone if you just need help in terms of encoding maybe i can help. since i need an online job too thankyou.

  • @unique23itiswhatitis
    @unique23itiswhatitis 11 месяцев назад

    This is a great idea and you’re going to kill it ❤❤❤❤🎉🎉

  • @Sitasbudgetingjourney
    @Sitasbudgetingjourney 11 месяцев назад

    Love your breakdown. Very well done❤

  • @shiba6810
    @shiba6810 11 месяцев назад

    I’m a new subscriber. You did a great job. Clarity in the journey is key👏🏿👏🏿👏🏿.
    I’m just starting with cash stuffing and budgeting. I wish you al the best🤗🤗🤗

  • @spf_500
    @spf_500 11 месяцев назад +1

    I have a 401k loan also but it is the only loan I'm letting ride out to the end since it's all going back into my 401k.