manage my finances better

My savings are now such that I have enough money to move out of my parents’ house (woohoo!). I’m only 19 and I’m in college, so it’s not entirely weird that I’m still living at home…but I’ve been supporting myself otherwise for a few years now, so it’s definitely time. So, within the next month or two I’ll be getting a house with my boyfriend. The rent is cheap and we’ll be working weekends at an organic farm to get free produce, so groceries will be cheap too. It feels good to know that independence is finally within my reach.

I gave good ol’ Citibank a call and had them shut down my credit card until my balance is paid off. I’m paying them $200 a month and after July my interest rate will be going down significantly. My other credit card is stuck away in storage, although I’m keeping the account open in case of emergency.

I think it’s safe to say I’m back on my feet, but I won’t mark this goal done until I’ve proven to myself that I can maintain responsible spending habits over time.

That sounds so cheesy but it’s true! hehe

I got my tax returns back, and instead of treating them like extra spending money as I’ve done in the past, I did direct deposit and had both of them (federal and state) put right into my savings account. Out of sight, out of mind.

On top of this, I haven’t bought anything unnecessary in quite a while. I figured out that a lot of my spending happens when I’m bored and go shopping to cure that boredom. So, I started volunteering instead, and now I have less downtime to shop with. Turns out this financial responsibility thing is making other areas of my life better too. Maybe being an adult isn’t so bad after all!

One month ago I had a zillion bills to pay and was living to the point where I would have mere cents left in my bank account for a few days—“living paycheck to paycheck” was actually my life. On top of this I never used to balance my checkbook or keep track of what I bought. I’m embarrassed at how many overdraft fees I’ve had to pay in the last couple of years. It’s amazing how quickly everything can spiral down into a really dire situation.

Since then I’ve consolidated most of my credit card bills into one monthly payment. I got my student loans deferred until after I graduate and I even started a savings account that I don’t let myself touch (this money will go towards rent when I’m able to get my own place). I’m still in debt but at least my payments are manageable and I don’t have to worry about being able to afford gas and food anymore. I’d say I’ve got a good start towards a less scary future :)