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Financial Peace University: Baby’s First Budget

It’s me again! So the hubs and I are 1/3rd of the way through Dave Ramsey’s Financial Peace University system and we’ve created our own budget. (How embarrassing is it that I’ve never stuck to a budget? Look, I have no qualms about who I am. But I’m glad that I’m making this change in my life.)

 

Also- I secretly like that our first official budget month will be February because it’s the shortest month of the year! HA! Moving on….

 

We’re using “the envelope system” from Dave Ramsey which essentially directs you to put cash in envelopes for things like groceries, restaurant outings & “fun money” (i.e. Target runs for me). This is meant to make it hurt a little and create more mindfulness about how much we actually spend.

 

We are abiding by the envelope system and being more mindful of our spending.

 

The setbacks:

Realizing what a pain in the side student loans are. Yes, we’ve had them for awhile, but writing out a budget and seeing the percentage of how much we spend towards them is not fun.

The triumphs:

The system is like changing to a healthier lifestyle. You can go as fast as you like, with as much intensity as you like. Some people go to a drastic level and cut anything and everything extra for 12-18+ months. I’m using the same philosophy I use for my healthy eating; 70-80% healthy eating, with 20-30% of the indulgent stuff in-between.

What does that mean, financially? We are cutting some things, but we’re keeping a bit too:
1) we budgeted for a nice dinner out (for either Valentine’s Day or the hubs’s birthday, which is this month)

2) we are keeping the cable bill for now because it’s only about $20 extra/month, and my husband loves his sports!

3) we don’t plan to eat less, grocery-wise. We plan to buy our meats at Sam’s Club (which saves us 50% right there), our vegetables at Target and Aldi (which, again, I’ll explain soon), and use other money-saving techniques in-between. I can’t say we’ll be the “beans-and-rice” couple, but we’ll be mindful!

 

The next steps: 

Sticking to a budget for the month, especially for groceries! Will it be tough, or will it be do-able? Time will tell! Stay tuned!

 

Interested in following Dave Ramsey’s Financial Peace University? Click here and find a local class near you! (and no, this is not a paid advertisement for Dave Ramsey’s Financial Peace University. I’m just a normal person who wants to document the journey and hopefully inspire others!)