Almost 1-year, am I meeting my repayment goals?

November 24, 2009 at 9:42 am (debt stats, goals)

I began this blog, and a budget, in Oct. ’08, but I didn’t begin paying down debt until the start of 2009. As the year comes to a close, I decided to do a check-in to see if I’ve stuck to the plan and am on track to pay off all my debt within my planned 5.5 years.

I originally planned on my debt repayment journey taking a full 6 years, but thought I could do it by my birthday in May, instead, so I shortened it to 5.5 years, as an arbitrary, but hopefully realistic goal.

If I divide my initial debt, $45,765, by 5.5 years, that comes out to $8,237 per year, or just over 18%.

It’s funny, I recently updated my No Credit Needed chart, and thought, hmm, looks like I’ve been doing pretty good so far – the pie wedge shape that is “paid” seems pretty large (it is 16.18%), which is completely opposite of how I thought I’d been doing! I had fallen off the budget bandwagon for 2 months earlier this year, so thought I was seriously behind. I’ve only paid off $7,500 so far this year and had been thinking how poorly I’ve done.  

Turns out I’m pretty darn close to where I should be. I’ve done better than I had realized.

I don’t know that I can completely pay an additional $737 (the remaining balance I need to pay to meet my 18% goal) off before the end of December, but I will be very close! I could always raid some of my mini-funds/emergency fund to pay it all and reach my goal, or maybe I’ll just let it slide. There’s a chance I might actually get a small bonus from work (we’re on the edge of making it!), so I may be able to make up any lost ground in January.

I’ll do a follow-up post beginning of January to fill you all in on my progress and the final result.



  1. Money Funk said,

    Great job! But did you calculate the interest accrued while paying off the debt? (this is an error I made while calculating my progress)
    Try Whats The Cost for a true picture. Hope the move went smoothly.

  2. debtmaven said,

    Hi Money Funk! Happy post-Thanksgiving. Move is now 99.9% done. Whew! We’re exhausted. No turkey and lots of exercise, I think I lost more calories than I gained.

    The $7,500 is a flat reduction in principal. I spent way more than that if I include interest. I know later on in my debt-repayment cycle I’ll be paying it down even faster, as the interest amounts are reduced and my money goes more towards principal. So on a flat scale (not thinking about how snowballing works), I’m behind. If I consider the concept of snowballing I’m doing just fine.

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