We were so glad to see the year 2010 come to an end – it still holds the record for the worst year we’ve ever endured financially. Everything seemed to go wrong that year, and it ended in the worst possible way – our beloved dog died. In spite of that, we managed to pay off nearly 40% of our debt, an amount that stuns me now. I’m still not sure how we accomplished that.
We kept going. Emergencies and other problems still reared their ugly heads in 2011, but nothing at the pace we endured in 2010.
2010 End of Year Reflections
Can I say again I will be so glad to see the last of 2010? I had hoped to be back online a couple of days ago, but our little guy, Tag, became sick again last Thursday evening and died this past Monday (the day after Christmas), and we have been grieving mightily around here. Tag was a dog happy to be where ever he was. Every person and every dog he met was a friend. To say we miss him doesn’t even begin to describe the depth of the sorrow around our home right now.
2010 will be remembered as the year of the emergency expense. Looking back, I just cannot believe everything that went wrong or needed to be fixed during the past year. We had to replace our washing machine and had both our oven and dishwasher repaired ($$$). Brett had three expensive dental emergencies, although the last one, with our new dentist, cost considerably less than we expected, and has us thinking we were perhaps being way over-charged by our previous dentist (actually, we did catch them padding the bill once . . . hmmm.). We sold one of our cars, but necessary repairs on the other turned out to cost double what we had budgeted along with some other unexpected maintenance. On top of everything else, there were all the trips to the vet and their accompanying costs. And, Mr. Losing It’s laptop gave up the ghost in November; we have yet to deal with that expense. We added up all that we spent on these emergencies this year and figured out that we could have had paid off two more accounts if not for having to cover all this other stuff.
There were positives this year as well. Brett got quite a large pay raise at the end of the year and received a nice end-of-the-year bonus from his company as well. We’ve paid off an incredible $26,317.75 of our debt, just a little over 40% of what we started with last year. We still have a long way to go, but three accounts were paid in full last year and closed and we are close to done with two more. Best of all is that we did not add any debt in 2010, and that makes me feel better than anything. I am so proud of the whole family because in spite of everything no one has complained, or whined, or did anything but contribute to our effort to get rid of debt.
Here’s what we accomplished in the last quarter of 2010:
- Debt Paid: Total debt paid during the last three months of 2010 was $4031.71. One overdraft account was finally paid off, and we are now zeroed in on the other. As an added incentive to not use the overdraft account, our credit union now charges a fee if you have to use it (they want us to close it and switch to a credit card account – NO WAY).
- Emergency Fund: What fund? Brett asked the other day, “What’s the point?” because it appears that as soon as we get something into it, something else happens to drain the account. Still, replenishing and building this account is a priority.
- Meet the Grandson Fund: It’s a boy! We currently have $1,334. 50 saved for our trip to Japan next May. That will cover at least one plane ticket. Actually, fares are starting to drop now, and we should have enough for both tickets by the first of February. Both Brett and I need to get our passports renewed, but that expense has been budgeted in for January. Lodging and food while we’re in Tokyo are taken care of, but we plan to save an additional $1000 for other expenses (although this will not be a sightseeing/shopping type vacation).
- Purchases: Other than Christmas presents, we bought nothing else this last quarter. I spent over an hour in Goodwill one morning and saw several things that were a good deal and would have been nice to buy, but we didn’t need them so I left empty-handed. What a change from the beginning of the year – I would have rationalized reasons to purchase everything. We spent just $600 this past Christmas and stayed within our budget. We still have to get Brett a new laptop but decided to wait until we get our tax refund for that as it will give him lots of time to shop around for the best price. The good deal from his company for buying one apparently ended earlier this year, but just as a fun point of reference, his old laptop, purchased a little over seven years ago, cost nearly $3000. These days he can get one with more features and more memory for around $800. Technology is the only thing that gets less expensive over time these days!
- Groceries: I have been easily able to stay within our weekly budget of $140 this past quarter. I’ve pretty much gone back to bi-weekly shopping trips though, leaving some cash set aside for milk and produce shopping.
- Meals Out: We had only one meal “out” this past quarter, and only because I felt so miserable one evening I couldn’t get up to cook and asked Brett to order some pizza. I have gone out for coffee a couple of times, but those were “business meetings” (school auction planning), and were paid for out of extra from the grocery fund. I received a Chinook Book for Christmas, and there are lots of great coupons for dining out, so I am hoping to get out a little more next year. Brett and I will be having breakfast at Bob’s Red Mill on Friday, for example – two breakfasts for the price of one!
- Savings: Our annual summer camping trip is now fully funded! Beginning in January, the amount allotted for that fund will start going into an account for WenYu’s school trip to China in 2012. After our trip to Japan, funds that currently go into the Meet the Grandson Fund will go into building up the emergency fund.
- Swagbucks: I used almost all of the ones I earned this past year for Christmas presents, but I’m saving again for some more Pyrex storage pieces. All of my referrals have maxed out, so earning Swagbucks will go more slowly this year.
- Miscellaneous: Braces in 2011 for WenYu will be an added expense. I had originally wanted to pay for them with our tax refund, but since the payment plan offered by the orthodontist is interest-free, we’ve decided to stick with the monthly payment for the time being and use our 2010 tax refund to pay off an account that does charge interest!
Reading this post, one thing comes especially to mind: I recall how we lived in fear back then that Brett would be laid off (he worked in aerospace and layoffs happened more frequently than you might imagine). We were very lucky, and his job provided good benefits as well. What’s going on now because of the COVID-19 pandemic makes our predicaments look like child’s play, and my heart goes out to those who will struggle to cover daily expenses for themselves and their families and those having to postpone savings, retirement, and dreams of the future, let alone live with the fear of catching the virus.