We paid off our mortgage 7 years early on Dec. 30th, 2022 and it was the best feeling when we took that check to the bank and handed it over to pay off the balance. By paying extra each month towards the principal from the start of our mortgage and then towards the end of the mortgage my husband and I did a little side hustle in 2022 and threw all the money on the mortgage to pay it off. We are now 100% debt free and it feels great! Sending good vibes your way for paying off your mortgage early, you can do it Kate!!
I agree! I paid off my mortgage as quickly as I could ( I think 7 years). When I got my first real job and bought a house I worked an extra job, dumped every single extra penny either into my mortgage or my retirement fund. I've never regretted it! The peace of mind I have is was well worth the sacrifice!
Paying myself first was advice i got from a rich old lady when i lived in Dallas. When i started taking that advice i started saving a little money at first. Then it accumulated over time to a nice little nest egg a few years back. She knew what she was talking about and I've never regreted following her suggestions. This RUclips video from Kate keeps me on my toes, because without someone to get input from financially, I tend to slip back into old patterns. It's time well invested. Let me add, the nest egg took several years to accumulate. Takes time but time is going to pass no matter what
Paying off your mortgage is one of the best things I did. Automatically paying extra on my higher interest loans so I'm as debt free as possible when I retire in a year.
I've been mortgage free since my divorce 5 years ago. I used my percentage of the sale of the martial home to buy a small house outright. It was much smaller than I was used to and l felt really constrained by the size for a couple of years, however the house ticked all of the boxes (small front garden I could fence off so my little dog didn't run off, a porch, a big back garden, a second bedroom). I now love my little house and am daily grateful that I don't have a mortgage.
Just a general comment: I really like that you have a “here’s what this video is about” section before your musical intro and then having the succinct recap of the list at the end. That is really helpful for my brain! I watch videos with a list of things they’re covering, and by the time the host is at the end, I’ve forgotten the first couple points. So please keep using this format!
Uggg...speaking of living below your means and also saving money, just now taking a break from a re-organizing activity of the clothing. Not particularly organizing but simply going through, refolding as needed, bringing the jackets and long sleeves to the forefront etc...... Plus washing and using that clothes line as much as possible before the constant rains hit. Activities that take labor are "free", well as free as one's labor is.
@@coffeepotmommah7291 '22 had us thinking differently in terms of "economies" with spect to spending money/ resources and saving in what we do. Historically, we had been doing certain types of laundry and cleaning in the stay-at-home days of Jan-Mar. Now we've switched up the months to use the clothes line as much as possible.
Love love love this video Kate! Work is not a dirty word 😂. Doing work is a privilege that not everyone has. Abundant Blessings to all the ksquad goals! 💕☔🌻🏡🌙
Well, I worked 16 years in part-time retail job for extra money and then last year, the company closed all the stores in my area so I no longer have a part-time job. I have often thought of getting another retail job but in 2019 & before the lockdowns in 2020, I was constantly getting sick and I really don’t want that to happen again. I know that I can wear a mask but people around here frown on it. Wish I could find something else but I don’t have anything that I’m really good at and would never start a RUclips channel because I’m too sensitive and people are mean......Love your videos. Wish you had one everyday 😊
I am determined to pay our mortgage off early (definitely before retirement). I just refuse to have the mortgage when I am retired - we don't need the added stress. I've already started the auto payments with extra going on each month and don't even notice it.
We gradually crank our overpayment up as we get zny increases in money, surprising how quickly it makes z difference. My dad says it goes super quick when you get to thd last 50k....can't wait!
We had a 2.75% rate , don’t care what anyone says paid off that mortgage and we are now on a 18 day East coast/Canada trip without a care in the world. Debt free and livin the good life. Praise the Lord! ❤
Living below my means plan-I work two part time jobs. I’m going to save the money from one of those jobs. No extra spending beyond necessities. And, keeping my eyes on the prize-moving to another place at the end of Feb. I’ve already saved some toward it this month. My goal is to save $1,000-$1,500 for moving expenses and a few pieces of new furniture. LOVE YA KATE. YOU INSPIRE ME EVERYDAY. THANKS. 😉😉😉😉😉
Paying the mtg sooner saves a boatload of money that is otherwise wasted on interest. Looking at it over decades shows the true savings. We finally got there and it’s made life on retirement so much easier.
I too have heard comments such as have some fun, relax a little bit. No. I am on a mission this year. I want to get that dang mortgage pay down as much as possible ;-) that’s fun to me.
My credit union has a great deal on 7 month cds right now. $500 minimum at 5.1% interest. This is the highest I've seen them for 7 month time period. Have already invested in a few cds. For me its a great way to invest short term without fear of losing money. Happy Frugal Friday!
At least start with CDs you can earn nearly 5% currently. Hoping to increase savings to 25-30% monthly in December. And investing 50% of that for future. On social security, making every penny work is essential.
Kate you’re great ❤! Would love a video about how you keep your energy and vitality-I mean 3 jobs must be exhausting and you have a son also who needs your time.
Whoever buys a house now will never be able to pay it off early 😅 My husband is retiring from the military, and between the crazy market and the insane interest rates it's a miracle if we can even buy a house at all.... And it's actually cheaper to rent right now, the same type of 3bed/2bath home has lower rent than mortgage 😢
Slow down Stephen hahahah love that Kate!!! Great video! It is so freeing knowing you own your house out right, keep going the way you are! It will be worth it at the end!
I have a low interest rate of 2.75% on a 30 year mortgage as an employee of the credit union. Unfortunately due to increasing insurance rates and property taxes, my escrows are half my mortgage payment. Would love to pay off mortgage early but would still have half the payment to budget every month for escrows. This is getting worse for people especially in some parts of the country with the huge increases in insurance/taxes.
Also, switching companies or industries might help increase your regular income with no need to have the side hustle. I did that and almost doubled my income 🤷🏻♀️ and then you like you are still making the smaller income and invest/save the rest of the money
We paid off our house much earlier than 30 years. I am not going to lie, it is hard to do! We didn’t miss out on anything, we just prioritized! We still travelled, had friends over for dinner and games, went out etc. We just made paying off the house our number ONE priority.🎉🎉🎉 Keep up the great content! 💖💖💖
I've been getting a better handle on my finances and not doing nearly as much impulse spending. I got an extra 2 hours a week at work and am not working any more hours. I am now getting paid for some drive time that I wasn't before. My employer paid me for previous drive time with a gift card to a grocery store that has really good loss leader sales so I've decided I'm going to use that card just for loss leaders.
You think once you pay off your mortgage that you will have all this extra money, but lo and behold that money goes for something else like a unexpected bill or medical expenses, etc. It is a great feeling not to have a mortgage payment.
I bought a new to me used car at the end of July and even though my credit score is excellent, the interest rate is 7.44 (gasp!) So for the next couple of years I'm focusing on paying that off by paying double payments. At the same time I'm depositing money into a high interest savings account that lets me set up buckets so I can save towards several goals. You always give such great advice in a friendly, funny way. ❤
Make that extra payment to Principle Only and see if it's okay with your mortgage holders to split the initial payment into bi-weekly payments. Have them do a new amortization chart for you to see just how much you save in interest with these twoethods
My live below your means plan for Fall is 1. Side hustle! I have a full-time job as a web designer, recently became a birth doula and have started using my PTO to attend 1 birth per month, and also I’ve taken on some photography work. I offer birth photography to doula clients but also do local family photos, especially low-cost holiday mini sessions. Plan 2. Costco! We finally pulled the trigger and the gas alone is saving us $10/week. We are also doing 1 big stock-up trip around $400 and then only doing smaller weekly grocery shops for $100ish so our family of 4 monthly budget is way down closer to $800! It was spiraling out of control for a while so I’m thrilled with this! Thank you Costco!
Kate I LOVE this. You are so inspiring. Yes, this is my "go season" - I've been working two jobs (teaching/coaching) since 3 years ago, and that will continue until I retire in 2.5 years from teaching. Then it will be one career for me. I'm just so impressed that for you, it means your house will be paid off and that you still have time for seeing friends/family. I cannot say I've had that space/time - and because I'm in NYC, I'm not paying off a mortgage, I rent. However, having two careers means I'm able to make ends meet for my daughter and I and put a lot away in savings and will retire with a full pension. Anyway so inspiring!
Right now, we are more living underneath our means in order to stay within our means via investment purchases/ projects. I think we are more than breaking even on our clothes line system; self designed, a little hardier, but has pretty well survived winds and a couple of big branches. The rain water collection system has brought us a mix of additionsl capability and savings. The watering trailer utilizing a 35 gallon sprayer tank with on-board 12 volt water pump and riding lawn mower with broken and removed blades has added under utilized capability. Between water collection tanks and watering trailer, we did produce enough tomatoes to cover our limited expenses (outside of labor because we repurposed what we had) despite the late start; next year we should have mkre red tomatoes come mid September than green. Government shut down avoided, we plan on a second vehicle, a home diy repair all but needed, and i want some serious drapery pull rods. All paid for by living under our means so we csn live within our means. While last on the list, the drapery rods will enable serious draperies for easier, passive temperature regulation both summer and winter.
Hey Kate, this year will be my wedding but it also cost me way more than I orginally wanted. I think every penny was for a nice purchase and I really checked the prices but I realized that if you spent in one category a lot its so tempting to here and there to do some extra "little" purchases, too. I would love to see a video :) in the future were you just give some ideas and thoughts how to stick ahain to your budget AFTER a big purchase to not loose it all :D! I think the only one who could do a video like this is you.
Imagine taking all the money you would spend on ONE day for a wedding and starting your marriage with THAT AMOUNT OF MONEY in your joint bank account?! Plan a low cost wedding, have fun, enjoy the day, celebrate with the people you love. You will not regret it.
@Spot4art i was spending this money already :D.. and I dont regret a single penny. I just asked for good strategies to stay on track AFTER kind of big purchases because its so easy to fall back to bad habits
Exactly! In order for me to pay off my mortgage I paid $500 towards principle every month....also any of my tax refunds went directly to principle...any per session I earned went to principle...basically any extra money went to pay off my debt!!!
We automate our extra payment and if we feel sad that we are pulled too tight we will pause thd overpayment but so far we have only paused 2 months of the last 5 years because we dlwsys ask WHY we want to spend a big extra...most of the time we can find it for free of the reason behind the spend want can be sorted another way. I cznt wait to pay it off!
I would love to be mortgage free just for the security of it. My neighbor inherited her home. She owned it outright. She could weather some crazy difficult financial times way longer than most could because of that 100% home ownership.
My husband bought us a paid for house three yrs ago a few months after we got married he is good with money, but im not I spend every penny I make in stupid stuff, im glad not dont have our finances together because I’m not good with money yet, he is a hard working and a saver and im a spender I only work part time and he told me to keep my money for my personal necessities but o spend it all in clothing and bags I need to change.
Yeah, I dog sit on the side and I totally understand. I would just do it for free but it’s nice to have that extra money and they won’t let me do it if I do it for free.
My kids have jobs where their monthly incomes vary unpredictably. I stress budgeting to them, but can you do a video with advice on what people can do in this situation? It seems like younger generations especially, depend on service and gig jobs that make it hard to budget. How can they budget expenses if they never know exactly what heir income will be?
Dave Ramsey says for irregular incomes, make a list of bills and put them in order of priority. Whatever money comes in, you pay the bills in order of importance.
Loans/credit cards for emergency or travel ex: hotel, car rental is a necessity. Over the years I think of them like invisible money your future self may or may not be able to pay. When the bill comes in can be complicated. Unless you put the cash aside and immediately pay it off. Before taking on any debt best to budget that payment in a no matter what thought. No matter other bills and emergencies I can pay this. Now that theme parks, and many other businesses are no longer taking cash (or giving cash back) I was thinking of buying ahead refillable gift cards. Instead of paying with a CC or Debt. Or for emergencies like vet bills. Kinda of like cash, maybe safer than storing in safe at home or having on you in a fanny pack. 🙂
I am mortgage free by paying extra on the principal every month. Once the mortgage was gone, i saved the mortgage payment to myself each month but loosened up the budget a little as i was then debt free.
I don’t see it as pay yourself first. I see it as spend as little as possible on both needs and wants through the week then whatever is left over is your pay and you want that to be as big as possible.
Hello my dear frugal sister Kate,,what advice can you give me for a student loan I have $50,000+,,I understand that I should attack this debt and try to wipe it out first before my mortgage or do you have another suggestion please,,, Thank you for everyone’s advice!! God Bless to the K-Squad🙏❤🌷🌷🌷
As an already retired person, I want to add some perspective on Roth IRAs. The selling point on Roth IRAs are that you don't pay taxes on the money you withdraw from it, since you have already paid taxes on that money. Here's a different perspective from my experience. If you aren't going to be withdrawing major amounts of money from your IRA, you may not have to pay any taxes on the money you withdraw from a regular IRA. I've been retired almost 5 years. I live almost entirely on my Social Security check. My check is higher than the average check. I haven't paid any income tax to the Feds or my state in any of the years that I did not have a paycheck. NOT A PENNY! If my money was in a Roth, I would have paid taxes on that money at the rate I paid taxes while I was working when my income was twice my SS check & none of it was exempt from income tax. Federal Gov and my state haven't taxed any of my social security income. My IRA is my emergency fund, and I haven't taken enough out to trigger taxes. So unless you plan to use your IRA as your primary income, you're going to pay more taxes on your money by putting it in a Roth.
You will reach an age where you have required distributions from your IRA. At that point, you can’t control the taxes. For us, our strategy is to save in traditional 401k and IRA now, but at retirement start living off our regular savings/investments and converting from our IRAs to Roth accounts up to the standard deduction or possibly one more bracket each year.
@@juliashaw-fuller1697 Yeah, I know about required minimum distributions from my IRA. I've looked at the table for how much I'd have to take out, and it would still not push me into having to pay any taxes on my withdrawals. At the moment, I'm more concerned that my withdrawals for emergencies (like my new fridge) could push my income above the maximum income to qualify for NC's Homestead Tax Exemption. With that exemption, I only pay taxes on half the value of my home. With the rising home values around here and the recent property tax assessment on my home, that's saving me well over $1000 per year.
I'm wondering, is there a ceiling on your mortgage plan? I mean is 300 extra the ceiling, in year four just maintaining that 300 extra instead of continuing to increase? I like your plan, I'm trying to do the same thing with my car payment, I don't have a mortgage but I do have a car payment. A thought is to also put a certain amount in a high yield savings account, like maybe 200 extra toward your mortgage and 150 in a high yield account that's also on autodraft, 350 total extra a month but some of it is ??? then later if you never needed that money you could put part or all of it toward your mortgage... idk I'm far from an expert just some thoughts I had. That's what I'm doing, I'm paying extra on my car and also putting a certain amount in a high yield account, if later I didn't need that money, part or all of it will go to paying off my car. Thanks for this video, I am trying to live below my means as well, trying to keep learning and growing. 😊❤
Quick commenrt for my peeps on disability benefits.😊 Do not use an IRA CDs mutual funds or any investment options EXCEPT through your state's ABLE plan. Every state has one now and it's the only way we can save without getting our benefits cut off
My dilemma is, do I put money towards principal on my equity line or do I raise my 401(k) to the highest match level I think they’re both earning and paying the same amount of interest now because rates went up so high on the mortgage equity I just don’t know which way to go
Argument. For not paying the mortgage to be paid off early. Then I won’t be able to write that interest off on my taxes. Say I pay 5,000 in interest and my tax rate is 22%. That’s 1100 you save on your taxes. But if you cut 10 years off your taxes, because you paid your house off early you save 100% of the interest paid and 100% of the principle paid. Much better in my mind.
We paid off our mortgage 7 years early on Dec. 30th, 2022 and it was the best feeling when we took that check to the bank and handed it over to pay off the balance. By paying extra each month towards the principal from the start of our mortgage and then towards the end of the mortgage my husband and I did a little side hustle in 2022 and threw all the money on the mortgage to pay it off. We are now 100% debt free and it feels great! Sending good vibes your way for paying off your mortgage early, you can do it Kate!!
YASSSSSSS Patrice! WAY TO GO! THANK YOU!!!
Bravo!!
Congratulations
I know the feeling!
I was looking at a house in the 200,000 and when we did the math if we paid it off after 30 years we would've paid over $400,000 for the house.
I don't make alot but am in budget I'm paying an extra 40.00 a month towards the principal on my suv but 40 is better than none
YASSSS!!!!!!!!!!
I agree! I paid off my mortgage as quickly as I could ( I think 7 years). When I got my first real job and bought a house I worked an extra job, dumped every single extra penny either into my mortgage or my retirement fund. I've never regretted it! The peace of mind I have is was well worth the sacrifice!
SO PROUD OF YOU! This is amazing!
Great video Kate and it reminded me something I heard recently: "THE BEST PERSON TO TAKE CARE OF THE OLD YOU IS THE YOUNG YOU".
Paying myself first was advice i got from a rich old lady when i lived in Dallas. When i started taking that advice i started saving a little money at first. Then it accumulated over time to a nice little nest egg a few years back. She knew what she was talking about and I've never regreted following her suggestions.
This RUclips video from Kate keeps me on my toes, because without someone to get input from financially, I tend to slip back into old patterns. It's time well invested. Let me add, the nest egg took several years to accumulate. Takes time but time is going to pass no matter what
YASSSSS!!! Love this!!!!!
@@KateKaden Thank you. Have a great weekend kiddo
About your kid ?
Totally agree!
Paying off your mortgage is one of the best things I did. Automatically paying extra on my higher interest loans so I'm as debt free as possible when I retire in a year.
YASSSS!!!!
So happy I paid off my car (which was my plan) before I retired. 🙂
I’m with you Kate no debt , I’m Fucosing paying my House ( timeframe 2023to 2025 Done 2028 . Amen!!!
YASSSS!
I've been mortgage free since my divorce 5 years ago. I used my percentage of the sale of the martial home to buy a small house outright. It was much smaller than I was used to and l felt really constrained by the size for a couple of years, however the house ticked all of the boxes (small front garden I could fence off so my little dog didn't run off, a porch, a big back garden, a second bedroom). I now love my little house and am daily grateful that I don't have a mortgage.
❤
😍
That's a coulorful announcement, makes one smile!
YAYYY! Love this! Thank you!
Just a general comment: I really like that you have a “here’s what this video is about” section before your musical intro and then having the succinct recap of the list at the end. That is really helpful for my brain! I watch videos with a list of things they’re covering, and by the time the host is at the end, I’ve forgotten the first couple points. So please keep using this format!
Jennifer thank you for this! 🙏❤️
Uggg...speaking of living below your means and also saving money, just now taking a break from a re-organizing activity of the clothing. Not particularly organizing but simply going through, refolding as needed, bringing the jackets and long sleeves to the forefront etc...... Plus washing and using that clothes line as much as possible before the constant rains hit. Activities that take labor are "free", well as free as one's labor is.
That's a great idea. I need to do my blankets and quilts.
@@coffeepotmommah7291 '22 had us thinking differently in terms of "economies" with spect to spending money/ resources and saving in what we do. Historically, we had been doing certain types of laundry and cleaning in the stay-at-home days of Jan-Mar. Now we've switched up the months to use the clothes line as much as possible.
YAS!
Love love love this video Kate! Work is not a dirty word 😂. Doing work is a privilege that not everyone has. Abundant Blessings to all the ksquad goals! 💕☔🌻🏡🌙
Thank you so so much!
You are very disciplined, Kate! What a great example to other people!
Thanks so much Tressa!
Well, I worked 16 years in part-time retail job for extra money and then last year, the company closed all the stores in my area so I no longer have a part-time job. I have often thought of getting another retail job but in 2019 & before the lockdowns in 2020, I was constantly getting sick and I really don’t want that to happen again. I know that I can wear a mask but people around here frown on it. Wish I could find something else but I don’t have anything that I’m really good at and would never start a RUclips channel because I’m too sensitive and people are mean......Love your videos. Wish you had one everyday 😊
I love the flannel you're wearing! One nice thing about fall is wearing flannels.
Thank you 🙏❤️ Love flannel season:)
I am determined to pay our mortgage off early (definitely before retirement). I just refuse to have the mortgage when I am retired - we don't need the added stress. I've already started the auto payments with extra going on each month and don't even notice it.
YASSS!
We gradually crank our overpayment up as we get zny increases in money, surprising how quickly it makes z difference. My dad says it goes super quick when you get to thd last 50k....can't wait!
We had a 2.75% rate , don’t care what anyone says paid off that mortgage and we are now on a 18 day East coast/Canada trip without a care in the world. Debt free and livin the good life. Praise the Lord! ❤
Living below my means plan-I work two part time jobs. I’m going to save the money from one of those jobs. No extra spending beyond necessities. And, keeping my eyes on the prize-moving to another place at the end of Feb. I’ve already saved some toward it this month. My goal is to save $1,000-$1,500 for moving expenses and a few pieces of new furniture. LOVE YA KATE. YOU INSPIRE ME EVERYDAY. THANKS. 😉😉😉😉😉
YESSS! You can do this! I'm cheering you on!
Paying the mtg sooner saves a boatload of money that is otherwise wasted on interest. Looking at it over decades shows the true savings. We finally got there and it’s made life on retirement so much easier.
YASSSS! CONGRATULATIONS!!!
I too have heard comments such as have some fun, relax a little bit. No. I am on a mission this year. I want to get that dang mortgage pay down as much as possible ;-) that’s fun to me.
YASSSSSSS!
Oooo Kate got a microphone. Go girl!
My credit union has a great deal on 7 month cds right now. $500 minimum at 5.1% interest. This is the highest I've seen them for 7 month time period. Have already invested in a few cds. For me its a great way to invest short term without fear of losing money. Happy Frugal Friday!
Are you sure that's not 5000$ minimum? 500$ sounds a little low for CD minimum
Nice Donna!
@@jeffreyphillips4182It's 500. Partners 1st federal credit union.
At least start with CDs you can earn nearly 5% currently. Hoping to increase savings to 25-30% monthly in December. And investing 50% of that for future. On social security, making every penny work is essential.
Kate you’re great ❤! Would love a video about how you keep your energy and vitality-I mean 3 jobs must be exhausting and you have a son also who needs your time.
Thank you!
Love how dedicated you are ❤. My side hustle will never be teaching. Someone how to garden. Need me to kill the garden ? I’m your girl.
BHAHAHAHAHAHAHHA
I have the same black thumb! Lol
Whoever buys a house now will never be able to pay it off early 😅 My husband is retiring from the military, and between the crazy market and the insane interest rates it's a miracle if we can even buy a house at all.... And it's actually cheaper to rent right now, the same type of 3bed/2bath home has lower rent than mortgage 😢
Having written goals and tracking your progress are the two most important ways you can ensure you actually reach the goals.
Absolutely! It's changed my life in a big way! I love that we get to all talk about these life changing ways!!!!!
I have a couple of side hustles: Amazon Flex delivery, eBay sales and I tutor. Everything helps
YASSS!
Slow down Stephen hahahah love that Kate!!! Great video! It is so freeing knowing you own your house out right, keep going the way you are! It will be worth it at the end!
Thank you so much🤩😁❤️
Yes. Stress!!!!😢 I will be so glad when credit card debt gone.
I have a low interest rate of 2.75% on a 30 year mortgage as an employee of the credit union. Unfortunately due to increasing insurance rates and property taxes, my escrows are half my mortgage payment. Would love to pay off mortgage early but would still have half the payment to budget every month for escrows. This is getting worse for people especially in some parts of the country with the huge increases in insurance/taxes.
I did all kinds of extra gigs before moving to Austin. Babysitting, taking care of dogs. Catering
yass!!!
Looking good, Kate!
Thanks so much Joy!
Also, switching companies or industries might help increase your regular income with no need to have the side hustle. I did that and almost doubled my income 🤷🏻♀️ and then you like you are still making the smaller income and invest/save the rest of the money
We paid off our house much earlier than 30 years. I am not going to lie, it is hard to do! We didn’t miss out on anything, we just prioritized! We still travelled, had friends over for dinner and games, went out etc. We just made paying off the house our number ONE priority.🎉🎉🎉 Keep up the great content! 💖💖💖
YASSSS PENNI!!!!!!!!!!
I've been getting a better handle on my finances and not doing nearly as much impulse spending. I got an extra 2 hours a week at work and am not working any more hours. I am now getting paid for some drive time that I wasn't before. My employer paid me for previous drive time with a gift card to a grocery store that has really good loss leader sales so I've decided I'm going to use that card just for loss leaders.
Thanks so much for sharing with us!
🐈⬛ 🐈⬛ good morning Kate, thanks again for good ideas. Love seeing your kitties 🐈⬛ Peace, ❤
Than you gus:)
You think once you pay off your mortgage that you will have all this extra money, but lo and behold that money goes for something else like a unexpected bill or medical expenses, etc. It is a great feeling not to have a mortgage payment.
Thanks Lisa!
Take the time to get your heating and cooling system checked out twice a year.
Have space heaters checked, fireplace, chimney,etc.
I bought a new to me used car at the end of July and even though my credit score is excellent, the interest rate is 7.44 (gasp!) So for the next couple of years I'm focusing on paying that off by paying double payments. At the same time I'm depositing money into a high interest savings account that lets me set up buckets so I can save towards several goals. You always give such great advice in a friendly, funny way. ❤
Make that extra payment to Principle Only and see if it's okay with your mortgage holders to split the initial payment into bi-weekly payments. Have them do a new amortization chart for you to see just how much you save in interest with these twoethods
My live below your means plan for Fall is 1. Side hustle! I have a full-time job as a web designer, recently became a birth doula and have started using my PTO to attend 1 birth per month, and also I’ve taken on some photography work. I offer birth photography to doula clients but also do local family photos, especially low-cost holiday mini sessions. Plan 2. Costco! We finally pulled the trigger and the gas alone is saving us $10/week. We are also doing 1 big stock-up trip around $400 and then only doing smaller weekly grocery shops for $100ish so our family of 4 monthly budget is way down closer to $800! It was spiraling out of control for a while so I’m thrilled with this! Thank you Costco!
Thanks Kate. Have a great weekend. 😊
You too Judith!
Good morning Kate! Today will be catching up on my fave channels! Example yours!!Have a great day!
AHHHH I'm honored I'm one of them! Thank you Jan!
Kate I LOVE this. You are so inspiring. Yes, this is my "go season" - I've been working two jobs (teaching/coaching) since 3 years ago, and that will continue until I retire in 2.5 years from teaching. Then it will be one career for me. I'm just so impressed that for you, it means your house will be paid off and that you still have time for seeing friends/family. I cannot say I've had that space/time - and because I'm in NYC, I'm not paying off a mortgage, I rent. However, having two careers means I'm able to make ends meet for my daughter and I and put a lot away in savings and will retire with a full pension. Anyway so inspiring!
YASSSS!!! Go Season!!!!
Right now, we are more living underneath our means in order to stay within our means via investment purchases/ projects. I think we are more than breaking even on our clothes line system; self designed, a little hardier, but has pretty well survived winds and a couple of big branches. The rain water collection system has brought us a mix of additionsl capability and savings. The watering trailer utilizing a 35 gallon sprayer tank with on-board 12 volt water pump and riding lawn mower with broken and removed blades has added under utilized capability. Between water collection tanks and watering trailer, we did produce enough tomatoes to cover our limited expenses (outside of labor because we repurposed what we had) despite the late start; next year we should have mkre red tomatoes come mid September than green. Government shut down avoided, we plan on a second vehicle, a home diy repair all but needed, and i want some serious drapery pull rods. All paid for by living under our means so we csn live within our means. While last on the list, the drapery rods will enable serious draperies for easier, passive temperature regulation both summer and winter.
I agree it is soooo freeing.
YASSS!
Hi kate good advice thank you❤❤
Thanks Kerri!
I understand where you're coming from on the mortgage. I was debating on putting more in my Retirement or paying more on our Mortgage.
Totally! I hear that.
If in doubt put half in each!
This answers the question to my comment this is great simple
Davd ramsay says 15% of gross to retirement then rest overpay mortgage. Then can invest anything u like!
Hey Kate, this year will be my wedding but it also cost me way more than I orginally wanted. I think every penny was for a nice purchase and I really checked the prices but I realized that if you spent in one category a lot its so tempting to here and there to do some extra "little" purchases, too. I would love to see a video :) in the future were you just give some ideas and thoughts how to stick ahain to your budget AFTER a big purchase to not loose it all :D! I think the only one who could do a video like this is you.
Imagine taking all the money you would spend on ONE day for a wedding and starting your marriage with THAT AMOUNT OF MONEY in your joint bank account?! Plan a low cost wedding, have fun, enjoy the day, celebrate with the people you love. You will not regret it.
@Spot4art i was spending this money already :D.. and I dont regret a single penny. I just asked for good strategies to stay on track AFTER kind of big purchases because its so easy to fall back to bad habits
Great idea! and CONGRATS ON YOUR WEDDING!
Great suggestions
Thanks Carol!
Looking forward to your video 🌻💛
Thanks so much Lola! See you soon!
I’m with you Kate. Thank you 👍💕💡🧠❤️
Gonna tell u right now One of your best vlogs ever 🙌
Motivated me in a sweet-cute-friendly-smart-firm practical way
😍😍😍
Exactly! In order for me to pay off my mortgage I paid $500 towards principle every month....also any of my tax refunds went directly to principle...any per session I earned went to principle...basically any extra money went to pay off my debt!!!
Yasss🙌
We automate our extra payment and if we feel sad that we are pulled too tight we will pause thd overpayment but so far we have only paused 2 months of the last 5 years because we dlwsys ask WHY we want to spend a big extra...most of the time we can find it for free of the reason behind the spend want can be sorted another way. I cznt wait to pay it off!
Base level investing is good
Great advice Kate! You are killin it! So proud of and Happy for you!
🙏❤️🙏❤️
I would love to be mortgage free just for the security of it. My neighbor inherited her home. She owned it outright. She could weather some crazy difficult financial times way longer than most could because of that 100% home ownership.
Depending on ones income paying off a mortgage might result in the same yearly amount or even more being owed in taxes.
My property taxes are low
My husband bought us a paid for house three yrs ago a few months after we got married he is good with money, but im not I spend every penny I make in stupid stuff, im glad not dont have our finances together because I’m not good with money yet, he is a hard working and a saver and im a spender I only work part time and he told me to keep my money for my personal necessities but o spend it all in clothing and bags I need to change.
Yeah, I dog sit on the side and I totally understand. I would just do it for free but it’s nice to have that extra money and they won’t let me do it if I do it for free.
YASSS!
Plan for fall - stay home more. Eat at home more. Hubby will be working OT for 2 mo. Sinking fund for car upgrade next year.
Thanks Christi!
My kids have jobs where their monthly incomes vary unpredictably. I stress budgeting to them, but can you do a video with advice on what people can do in this situation? It seems like younger generations especially, depend on service and gig jobs that make it hard to budget. How can they budget expenses if they never know exactly what heir income will be?
I don't know if Kate does budgeting but you can always search for irregular income budgeting tips
Thanks! I'll do that!@@sofondadavis5028
Dave Ramsey says for irregular incomes, make a list of bills and put them in order of priority. Whatever money comes in, you pay the bills in order of importance.
Good for you!!
Loans/credit cards for emergency or travel ex: hotel, car rental is a necessity. Over the years I think of them like invisible money your future self may or may not be able to pay. When the bill comes in can be complicated. Unless you put the cash aside and immediately pay it off. Before taking on any debt best to budget that payment in a no matter what thought. No matter other bills and emergencies I can pay this. Now that theme parks, and many other businesses are no longer taking cash (or giving cash back) I was thinking of buying ahead refillable gift cards. Instead of paying with a CC or Debt. Or for emergencies like vet bills. Kinda of like cash, maybe safer than storing in safe at home or having on you in a fanny pack. 🙂
I am mortgage free by paying extra on the principal every month. Once the mortgage was gone, i saved the mortgage payment to myself each month but loosened up the budget a little as i was then debt free.
🙌❤️🤩
Are you OK in regards of hurricane Lee? Did you get a lot of wind and rain? Great video. Have a wonderful week.
Tomorrow might be a little nuts!
Not up here just yet 😊🤞
Happy Friday 🎉🎉
HAPPY FRIDAY!
I don’t see it as pay yourself first. I see it as spend as little as possible on both needs and wants through the week then whatever is left over is your pay and you want that to be as big as possible.
Do you have a video on how to use a credit card while living under budget
paying mortgage weekly knocks 7 years off the mortgage too
Just found out who much my Medicare and medical costs will be once I turn 65 this month. OMG! OUCH! Must be time for that side hustle.
Hello my dear frugal sister Kate,,what advice can you give me for a student loan I have $50,000+,,I understand that I should attack this debt and try to wipe it out first before my mortgage or do you have another suggestion please,,,
Thank you for everyone’s advice!!
God Bless to the K-Squad🙏❤🌷🌷🌷
As an already retired person, I want to add some perspective on Roth IRAs. The selling point on Roth IRAs are that you don't pay taxes on the money you withdraw from it, since you have already paid taxes on that money. Here's a different perspective from my experience. If you aren't going to be withdrawing major amounts of money from your IRA, you may not have to pay any taxes on the money you withdraw from a regular IRA. I've been retired almost 5 years. I live almost entirely on my Social Security check. My check is higher than the average check. I haven't paid any income tax to the Feds or my state in any of the years that I did not have a paycheck. NOT A PENNY! If my money was in a Roth, I would have paid taxes on that money at the rate I paid taxes while I was working when my income was twice my SS check & none of it was exempt from income tax. Federal Gov and my state haven't taxed any of my social security income. My IRA is my emergency fund, and I haven't taken enough out to trigger taxes. So unless you plan to use your IRA as your primary income, you're going to pay more taxes on your money by putting it in a Roth.
You will reach an age where you have required distributions from your IRA. At that point, you can’t control the taxes. For us, our strategy is to save in traditional 401k and IRA now, but at retirement start living off our regular savings/investments and converting from our IRAs to Roth accounts up to the standard deduction or possibly one more bracket each year.
@@juliashaw-fuller1697 Yeah, I know about required minimum distributions from my IRA. I've looked at the table for how much I'd have to take out, and it would still not push me into having to pay any taxes on my withdrawals. At the moment, I'm more concerned that my withdrawals for emergencies (like my new fridge) could push my income above the maximum income to qualify for NC's Homestead Tax Exemption. With that exemption, I only pay taxes on half the value of my home. With the rising home values around here and the recent property tax assessment on my home, that's saving me well over $1000 per year.
I'm wondering, is there a ceiling on your mortgage plan? I mean is 300 extra the ceiling, in year four just maintaining that 300 extra instead of continuing to increase? I like your plan, I'm trying to do the same thing with my car payment, I don't have a mortgage but I do have a car payment. A thought is to also put a certain amount in a high yield savings account, like maybe 200 extra toward your mortgage and 150 in a high yield account that's also on autodraft, 350 total extra a month but some of it is ??? then later if you never needed that money you could put part or all of it toward your mortgage... idk I'm far from an expert just some thoughts I had. That's what I'm doing, I'm paying extra on my car and also putting a certain amount in a high yield account, if later I didn't need that money, part or all of it will go to paying off my car. Thanks for this video, I am trying to live below my means as well, trying to keep learning and growing. 😊❤
I figure the best time to work hard is now when im fit and healthy. I want the luxury of reducing work if i get sick/immobile
I totally understand you
Thanks so much!
💖💖💖
What about when life throws us curves? Example: I’m now taking in a parent. 😅
Whoa! Gert, that is a curve!!!!!
I feel that paying yourself first is by paying off your mortgage.
One more question, what was work life like nefore Kaden and marrige, with out nameing where you worked, if thats not to intrusive in your life.
WOW! That was a long time ago! Kind of similar though. Always worked more than one job! LOL!
Just going to say it again if you made some men's/unisex March with cats on it I could guarantee you at least two sales
Oh hello there!!!
kate-kaden-ksquad-gear.creator-spring.com/listing/buns-says-hi-cat-tee-katekaden?product=2
Quick commenrt for my peeps on disability benefits.😊 Do not use an IRA CDs mutual funds or any investment options EXCEPT through your state's ABLE plan. Every state has one now and it's the only way we can save without getting our benefits cut off
I just had to renew my eyewear. Ouch.... but, im good now for a few years.
YASSS!!!! Hard hit, but worth it and will last for a bit! Awesome!
Glasses USA! Paid half of the cost of lens crafters for same frames and script.
Continue saving money. Even after the house is paid in full, there will be maintenance, taxes and insurance on the property.
My dilemma is, do I put money towards principal on my equity line or do I raise my 401(k) to the highest match level I think they’re both earning and paying the same amount of interest now because rates went up so high on the mortgage equity I just don’t know which way to go
I hope the hurricane won't affect you!
Thank you Mary!
Mr Hâmn ❤❤❤😊😊😊
My baby:)
This is true. People, in most cases, can't live with just one job. This so sad... Thanks, Capitalism!
I trust in the experts to handle my investments thru my 401K - I just can't research it - it makes my head hurt.
Recipe for disaster. They are not interested in your money only their commissions.
Almost mortgage free…3 more years 😊
AHHH! You are closing in! THIS IS AWESOME!
Same !!
Argument. For not paying the mortgage to be paid off early. Then I won’t be able to write that interest off on my taxes. Say I pay 5,000 in interest and my tax rate is 22%. That’s 1100 you save on your taxes. But if you cut 10 years off your taxes, because you paid your house off early you save 100% of the interest paid and 100% of the principle paid. Much better in my mind.
And for the love of everything when you have an IRA don't just leave the money in the deposit account!!! Make sure you actually invest it
Yesssssssssss!!!!!!!!!!!
Those who don't pay themselves first actually are working for nothing but paying others. Poverty cycle
Kick debt to the curb!
YASSS!