BBP Real Life Budget | Budget Tips + Paycheck Budget + Large Family

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Күн бұрын

It's time for another Real Life Budget. We asked my readers to submit their REAL information. Real spending, real debt, and real savings goals.
I am taking those real life numbers and showing you how I would organize and budget that information using my Budget By Paycheck® Method.
In this video, I will be showing the real numbers from a reader, Alexa. Currently, Alexa is getting paid biweekly and her husband is getting twice a month on set days.
➡️ HOW I TRACK MY SPENDING: bit.ly/3aIe89I
➡️ HOW TO USE A BUDGET CALENDAR: bit.ly/2IzF2Vj
➡️ FINDING YOUR WHY: bit.ly/3aJUryj
➡️ THE BUDGET MOM'S FINANCIAL FREEDOM STEPS: bit.ly/3cfJXsp
➡️ HOW TO GET STARTED WITH THE CASH ENVELOPE METHOD: bit.ly/2vQJaO5
➡️ HOW TO CREATE A PLAN OF ATTACK TO PAY OFF DEBT: bit.ly/2wDETxF
ABOUT ME
I'm the blogger behind www.thebudgetmom.com. I have a rambunctious 6-year-old son, live in Washington, and I'm passionate about helping people with money management and personal finance. Let me know what you like to learn more about! Leave me comments and suggestions on my video and let me know!
00:00 - Intro
00:56 - The First Step
03:03 - The Budget Breakdown
25:45 - Recommendations
YOU CAN FIND ME AT:
📝 BLOG: www.thebudgetmom.com
📘 FACEBOOK: / thebudgetmom
📸 INSTAGRAM: / thebudgetmom
📌 PINTEREST: / thebudgetmom
GET STARTED
➡️Start Here: www.thebudgetmom.com/start-here/
➡️Free Email Course: bit.ly/2UYgNFf
➡️Free Resources: bit.ly/2PDmTHz
➡️GET 10% OFF my popular Budget-by-Paycheck Workbook - Coupon Code TBMKZfaq bit.ly/2CR7U9n

Пікірлер: 259

@janeybache3050 2 жыл бұрын

Lots of people are suggesting that if rent is high, just move to a cheaper area. But so much more goes in to where we choose or need to live. Family, friends, support systems, school, work, emotional ties and a sense of belonging.

@ekstn645 3 жыл бұрын

If I were them, I would look for a cheaper place to rent even if it’s a two bedroom. When my parents were getting out of debt, we were a family of 6 and lived in a 2 bedroom. My parents slept in the living room. It only lasted for 2 years and then they were completely debt free and ending up buying a house 2 years after being out of debt.

@singlemomlife2261 2 жыл бұрын

Where I am at it's illegal for you to have more then two people to a bedroom if your renting

@binabenz1 Жыл бұрын

@@singlemomlife2261 same!

@cindymae3656 3 жыл бұрын

Me and my spouse worked different shifts, he worked days I worked midnights, so we didn’t have daycare. We both went without a lot of sleep but we always wanted one of us to be with the kids. On occasion my mother would come over and help me but she lived over an hour away. I always loved tucking some $$$ in her purse and the banter would start. This is an old story, now we are retired and help our daughter, one day a week, by hanging out with our grandson and granddaughter to offset our daughter and son-in-law’s daycare cost. Our surprise last year from our daughter and son-in-law was 12 days in Maui. What a wonderful gift!

@barbaracarbone4658 3 жыл бұрын

Very Interesting. It'd be so nice if we could get an update from them to see how this is working for them. I wish them the best.

@sandyseibelhager7131 3 жыл бұрын

I'd get that $626 credit card paid off and that frees up $100. I know she is talking debt avalanche but I feel like the momentum here would really help. If she or her husband picked up a temporary part-time job it would really help. I worked at Pizza Hut part-time to pay off my credit cards. $1,000 a month really helps.

@KaysBudgetandPlans 3 жыл бұрын

I totally get why the avalanche method is preferred by some people because you save more money long term. But with Alexa's finances so tight I think she would benefit by paying off CC2 first to give herself a short term advantage. It has a lower balance and interest rate so she could free up that $100 into her budget much faster. I did that with my car payment and it really freed up more money to pay into debt every month.

@TJ-fi7cb 3 жыл бұрын

I agree! I was thinking that.

@jadiecakes3241 3 жыл бұрын

I agree as well. Sometimes its more beneficial to free up smaller loans then switch to avalanche. Especially with super tight budgets. Some peoples are so tight that i wouldnt even do 100% snowball but would say they are better off only doing like 50% to start saving for an emergency fund.

@MichelleLyn84 3 жыл бұрын

Yeah, the interest rates aren’t drastically different enough for the avalanche method, I prefer it but mainly if you have one debt that has a significantly higher interest rate.

@yessivale2642 3 жыл бұрын

I agree! This is only $626. If she cancels all of her subscriptions for at least 4 months except for Disney plus (for kids entertainment), she can possibly pay it off in 5 months. That would later by month 6 she can start putting an extra $170 to her high-interest credit card.

@cherylT321 3 жыл бұрын

Yesi Vale. Subscriptions should be the first to go. Sometimes you have to go bare bones to pay off debt!

@loe3175 3 жыл бұрын

The fact that you called the notepad (notebook) your "handy dandy notepad" made me smile, having raised my kids on Blue's Clues. 😁💙🐾

@kindredkori2916 3 жыл бұрын

Exactly what I was thinking! Lol

@MinglewithMiMi 3 жыл бұрын

I'm a single mom and my rent is about 75 to 80% of my income. As a suggestion when Alexa gets things situated and assuming she gets income taxes back, I would put about 3 to 4 months of rent up while still budgeting. That's what I do. I'm always ahead about 5 months of rent because that is the priority for any family in my opinion.

@vanessaroque4476 3 жыл бұрын

Great suggestion 👌

@michaelswami 3 жыл бұрын

You have way too much withheld and are loaning the government your money interest free.

@cm7884 3 жыл бұрын

Your Super Wise!

@cherylT321 3 жыл бұрын

MiMi Gravley. Good idea!

@leahmcdermott4189 3 жыл бұрын

75-80% of your income? 😳😳. Oh no baby, you are house poor ☹️

@ExerciseRiderMissE 3 жыл бұрын

I spend $500 per month a month family of 4! This momma is doing such an amazing job! So proud of her! I don't know how she does it! (Note: I have two in diapers and I include household items, laundry soap, toilet paper, light bulbs exc) lumping all this together helps me personally. Not saying this is the way to go, I just need simple lol. Again this momma rocks!

@amandaharris4823 3 жыл бұрын

Please please please do more of these videos. So relatable and helpful to real life situations

@Jaaked 3 жыл бұрын

Also think out of the box for 2nd income, it doesnt always have to be a job where you "clock in". There are so many work from home jobs now due to covid. Also babysitting, cleaning services, yardwork, yard sales, car washing/detailing, tutoring, selling craftwork, selling baskets of any kind, resume building. The possibilities are endless & would help a ton

@LisaMarieBudgets 3 жыл бұрын

If the couple took all of the advice (got down to one car, one of them pick up a second job and cut more expenses) they would be in good shape until they could reduce the debt. I was a single mom with young kids and little to spend on Christmas. I would have Christmas at my parents house we combined all the gifts and put them all from Santa. It’s tough not being able to give your kids the Christmas you want. 💜

@Authenticallyapril_ 3 жыл бұрын

I don’t think that is realistic for the average person. It sounds like they are both working. One car wouldn’t get them to different jobs. They would probably start spending more on day care as well.

@LisaMarieBudgets 3 жыл бұрын

I guess it depends on where they live. One car could be realistic if they have bus/train/carpooling as an option (in my area I have all of these options that would get me to work without the need for a car). It would be less than the $400+ car payment/gas/insurance they pay for one of the vehicles. A part time job for one spouse could be nights or weekends which wouldn’t contribute to additional daycare costs. They may even have family or close friends that could help watch the kids for a time long enough to get them out of the red.

@ivonafiri9269 3 жыл бұрын

I loved this video! I agree with attacking highest interest first but in this case I would attack cc2 first beacuse it is much smaller then cc1. It will give her momentum and free up extra 100 dollars for cc1

@TJ-fi7cb 3 жыл бұрын

I was just thinking that! Yes, i think it would free up $100 quicker.

@atxadri 3 жыл бұрын

Agree!

@GodSaveTheClothes 3 жыл бұрын

Yes! Totally agree! They can wipe out the two that are under 1,000 and that’ll free up 125 a month towards their abalanche.

@cherylT321 3 жыл бұрын

Hello Lollie. I think she needs us with our practical comments more than we need her!

@jamieb7 3 жыл бұрын

The Budget Mom is a true GOD SEND!!!!!!!🥰💜🥰💜🥰💜🥰

@patriciapification 3 жыл бұрын

Car pymts are crazy ...ppl forget a car pymt includes gas and insurance not just the loan amount

@cherylT321 3 жыл бұрын

patriciapification. Yep, you don’t do car payments, you save up to pay cash for a car!

@irisvargas2140 3 жыл бұрын

Also car repairs that cost $$$$

@derekandlindsey-millionair9562 3 жыл бұрын

Budgeting is all about the mindset of looking at the numbers. What you really need to do is stop looking at it personally, and really just focus on the numbers. It can feel personal, but really, it's just your life's business. Mega Corporations have budgets, so should everyone else ;)

@thebudgetmom 3 жыл бұрын

I do agree it has a lot to do with mindset. But I will never recommend to NOT make it personal. It IS so much more than just the numbers.

@vanessaturzi3281 3 жыл бұрын

Can you do follow up videos to see how they’ve gone implementing your budgets!

@teresaconner2397 3 жыл бұрын

I don't know if many have heard of Root insurance but I love it. Where I was paying over $150 a month with another company, I now pay $87 a month with the same exact coverage. I also switched from sprint(phone) and AT&T for internet and cable to spectrum for phone, internet, and streaming(I got 10 premium channels included) cutting out cable and saved over $200 a month. Unfortunately, after my divorce I had to make another drastic change and I am not recommending this for everyone but in my scenario it was best for me. I voluntarily turned my car in that was $500 a month in payment(2018). I saved what I had originally spent on the payment and got an older car(2005) at half the amount a month and it is almost paid off. Yes, my credit score declined some but I am building it up month by month. It's not for everyone but in my case it was what was best for me and my son and it gets me from point A to point B. I hope this helps some, remember these are changes are building for a better future.

@ts1358 3 жыл бұрын

Their rent and car payments are 48% of their income. That is almost 50% not including their other debts...situations like this truly concern me...something is going to have to give...I am truly concerned especially with 4 little ones...

@sandyseibelhager7131 3 жыл бұрын

I agree. The car payments and credit card payments are killing them. They probably can't get the insurance down either because if they are making payments the lender requires full coverage.

@cherylT321 3 жыл бұрын

Sandy Seibel Hager. I would have thought as someone on a budget, she would know to save up to buy a car with cash rather than doing payments which adds on more interest!

@Budgetforsuccess 3 жыл бұрын

I literally just mentioned to Verizon I have an account that I’m paying $70 a month for a line not in use and he took the phone and placed on the $15 a month line I paid off one device and got the other changed to the second line. Eventually I will pay off the second phone and get rid of that line because I only have one phone BUT just getting that done took my entire bill from $235 to $164 so I am super happy and can’t wait to pay down the rest to get my bill where it should be. Just wanted to share that talking to them can make a drastic difference.

@andrealewis1700 3 жыл бұрын

I love ❤️ that she do different family budget types. It’s a really eye opener of other people’s budgets.

@amandadepriest1801 3 жыл бұрын

I love Saturday’s because it means new BudgetMom Videos!!:)

@alejandrahigareda9346 3 жыл бұрын

Yes! I look forward to this after a looonnnnggg grueling work week. Thank you Miko!!!!

@renb.7073 3 жыл бұрын

Yay!! Been waiting for this! Thanks Miko!

@SUNSNROSES 3 жыл бұрын

she's honestly such an inspiration! love you budget mom!

@valerieguerrero8208 3 жыл бұрын

I love these videos so much. They are eye opening on how to make almost any situation/budget work.

@brittanyedwards8366 3 жыл бұрын

Yes! Love real life budgets 🥰🥰🥰🥰

@gibythankam6735 3 жыл бұрын

Real life budget 😊 I love these video. Miko, when I see you take the time work through a person's real budget and suggest area of improve and help them get better at their bugeting game.. I feel more motivated to do my budget right.

@sugarmontoya1860 3 жыл бұрын

I get excited when you post new videos. 💝💝💝🥳🥳🥳🥳🥳🥳 This is the only channel I have been watching religiously. You have helped me get through so much!

@michellegonzalez6798 3 жыл бұрын

Thank you for these types of videos! I LOVE LOVE LOVE them! It makes me feel so motivated to keep working on my debt free journey! I'm so close to finishing off with my debt!

@monacarney2689 3 жыл бұрын

These are the best kinds of videos. I much prefer these. So useful.

@madles47 2 жыл бұрын

This is how I budget! I like that breakdown 'paycheck bill tracker' a lot... We have been debt free for a while now, we used the snowball. I need to get more pro-active again about saving. This is inspiring me!! Great channel!

@rendahill7214 2 жыл бұрын

Thank you for all you do to educate us! By watching these types of videos I was able to be more flexible with my sinking funds, therefore reducing my stress every month. You are great!!!

@girlfriendsguidetofinance8874 3 жыл бұрын

amazing I loved seeing this honest break down!!

@faithlabeaud6782 3 жыл бұрын

You are so right about needing to have a "why".

@debbieescobar2203 3 жыл бұрын

I love these Real Life Budgets Videos 💕👍🏻

@luv2cook5 3 жыл бұрын

Hi miko i got my BBP workbook the other day I'm very excited and nervous ..I'm going to begin writing in it starting in jan 2021..I'm going to practice in a notebook first..i really appreciate you and ryens hard work on getting them shipped out on time..I'm very excited to begin saving..thank you miko so much 💕 from California

@JustFrugalMe 3 жыл бұрын

Great video! Thank you for all the wonderful tips. I love how you elaborate and don’t just list the suggestions. This really helped your advice to sink in.

@jenniferbatteen1794 3 жыл бұрын

We don’t have a lot of debt other than our high mortgage payment and I’ve been looking for a way to cut back working as much and still be able to have a budget that isn’t overwhelmed by that one monthly payment. This video gave great insight on how I can rearrange our paychecks to do that, thank you so much. I hope Alexa’s family feels as inspired as I do to feel confident in their money with your advice.

@deb5496 3 жыл бұрын

As a recent new subscriber ,I have been binging on all your videos,. Today you were 149 thousand , then later today you turned 150 , congrats so much. Your videos are great to watch, thank you.💐

@BrittneyLlee 3 жыл бұрын

Yess.. needed this.

@crohr4 3 жыл бұрын

You are my favorite for budgeting advice. Great job.

@turisteandoentexas 3 жыл бұрын

Great work my friend ❤️ I definitely changed a lot of things to be able to meet my goal and thanks to that, now I don't worry much about low employment rates because we did the change just in time!

@yojs17_ 3 жыл бұрын

This was great! It is a good start for the reader to see where their money is actually going. It's a great eye opener that they need to both decrease their expenses AND increase income in order to make a dent in savings for emergency AND paying off debt. Increasing their emergency fund should probably be the biggest priority because their budget is very tight and if anything goes wrong they will have to use debt. Instead of using more time to make more money they both need to find better paying jobs permanently and not just temporarily.

@ReeceCaruso 3 жыл бұрын

Great suggestions! This is such an important topic to be discussing, I really enjoyed the video!

@kathryna8796 3 жыл бұрын

What about a cheaper temporary housing until debt and cars paid off? Then start saving to purchase a home. I'm in South Texas and rent is not cheap but an apartment would be cheaper.

@kyleleesherman1201 3 жыл бұрын

The budget mom is incredible. I wish I could hire her to mentor me!!

@tarazapp267 3 жыл бұрын

I'm so glad you said trade in the cars or sell one! That was huge!

@dance042004 3 жыл бұрын

Thank you!! Thank you!! That is so helpful!! Super excited

@mishie416ify 3 жыл бұрын

Depending on there phone contract, switch to prepaid. I only pay 40.00 a month, no problems. A big difference in what they pay. I don’t know your shopping situation, coupons is a big help and using Rakuten or Ibotta.

@heatherabner 3 жыл бұрын

My husband and I use Mint mobile! $15 a month!!

@chelseawhaling1205 3 жыл бұрын

We use Total Wireless because it is a MVNO using Verizon's network (Tmobile has terrible reception here) - total bill including taxes for 2 phone lines and shared 30GB data is $64 per month. If Tmobile was better here, I'd do mint mobile because it's even cheaper.

@Virginiasmile 3 жыл бұрын

Such a great review The Budget Mom. Alexa can also look into lowering the internet bill if possible. Doesn't hurt to shop it. You can do it Alexa and Family. It's worth the sacrifices for your goals.

@SUNSNROSES 3 жыл бұрын

i would cut out netflix too, call my car insurance to see if they can lower it and phone too I swear Miko is top notch i was writing this as she was beginning saying it.

@Beautifulelsie 3 жыл бұрын

I would try to lower the electric bill also, maybe using candles at night instead of the light and making it fun for the kids, story time or something

@anniephillips2647 3 жыл бұрын

I agree we watch dvds for the kids all the time, you don’t need tv. Outside and books are good options too for mental health. Coming from a family of 6....

@cherylT321 3 жыл бұрын

Gloria Contreras. Candles aren’t a good idea around small children!

@shantedewise7345 3 жыл бұрын

You cant cut out all tv when you have kids!

@Pointschaser1 3 жыл бұрын

I love these every day budgets from other people. Wish you’d do them more not just once a month.

@maritarosander2894 3 жыл бұрын

You are amazing and so god on teaching this out.. THANK YOU

@NEVBB24 Жыл бұрын

I love your channel! It helps me stay focused!

@melissataulbee2048 3 жыл бұрын

I totally get the sacrifice. We had to use our sinking funds to live on while my husband was unemployed for 4 months. Christmas this year will be very limited for kids and grandkids.

@shantedewise7345 3 жыл бұрын

But the blessing is you had those sinking funds, bc you could of had nothing! Count your blessings even when Its hard😊

@tammmygraves4317 2 жыл бұрын

When I was single I used a similar method for putting back money to pay bills. I called it THE IMAGINARY DEDUCTION!!sounds funny but I would put back anywhere from $150 to $300 per paycheck so when next paycheck shows up I would add back to my checking account!!! Now that I am married, it's super hard to do that. Getting TBM workbook this week, look at my finances and getting a better understanding of what I can do to get a grip on my money !!!

@tnmingle 3 жыл бұрын

I don’t know how they do $400 for groceries! It’s great if they do but wow for 6 people.

@lydiah7184 3 жыл бұрын

I’m wondering that too! We have a hard time staying under our $750/month food budget!

@Sew_Country 3 жыл бұрын

Same here ! That amazing!!

@April-zh2vm 3 жыл бұрын

Same here.. No way 400 a month is doable with consumables!

@tnmingle 3 жыл бұрын

We do a $400 per month but with only 4 people. I take out $200 every 2 weeks and do meal planning and shop at aldi most of the time but it’s tight. For 6 people I just think it would be really tight and they would never be able to go out to eat. I use the money from anything I sell on FB market place to go in our fun envelope and use it for going out to eat or fun activities 😊

@sanctified1ne902 3 жыл бұрын

There is no way $400 is enough money for groceries for a family of 6.

@jonnaborosky8836 3 жыл бұрын

I love how in-depth you go to manage money well! And I love the recommendations you came up with! I also believe on comparison shopping with all insurances at least once a year. Before I call my car insurance company about potential cuts in cost, I look at what rates I can get with other companies. Then when I'm talking to my company, I can say that I can get such-n-such coverage for X amount at another company and give my company a chance to meet or match it. I do this with car insurance, homeowners insurance and definitely look into health insurance offers each year to pick the best. A lot of companies offer disability insurance for 50% of income, with the option to buy up to 66% of income. Every year needs to be evaluated and re-prioritized....do I need to pay for potential replacement of lost income or do I have a good enough emergency fund set up to cover some expenses if I can't work for a while. Is it more important to pay off some debt or save for future goals? I better stop here before this turns into a book! I really like your system. It's so thorough and complete. It identifies strengths and weakness and helps to figure out how to grow strengths and overcome weaknesses. I'm so impressed and really enjoy listening to you! Thank you for sharing! ❤

@michaelswami 3 жыл бұрын

Thanks for what you do.

@Birdmom1823 3 жыл бұрын

Love your videos 💜💙💜💙💜💙💜💙

@natashas8934 3 жыл бұрын

They should look at refinancing the cars! I got my interest rate and monthly payment down this way, without adding additional time on the loan.

@luv2cook5 3 жыл бұрын

Refinancing also makes the payments longer..the whole idea is not to have a car payment.

@kaycure8629 2 жыл бұрын

They need to get rid of those cars!

@nellie3176 2 жыл бұрын

Not know this family or their situation, I would say they need to consider selling both cars and getting a small commuter and a minivan. Both can be had for under $5k. Also, pay off credit card 2 to get $100 a month back in the budget. I'd also say look at reducing the rent. Over $1600 is a ton of rent for that income. Get some bunk beds and hunker down. Because unless you add $500 a month to that budget, you are not going to get anywhere anytime soon without making drastic changes.

@tlowe0911 3 жыл бұрын

thank you for this it is such knowledge

@CoahKaye 3 жыл бұрын

Only thing that I'd change is paying off the smaller credit card first and then swapping the highest interest rate - just because the balance owing is so low, as getting rid of it would likely be a boost to keep you going.

@keyonajordan1651 3 жыл бұрын

I was a single mom with 7 kids this couple can do it if I may suggest they use the tax return to purchase something affordable to drive i know that is not an immediate solution but thats what kept me afloat for years

@Sara-eg9uk 3 жыл бұрын

They need to go listen to Dave Ramsey about those cars. Miko is better on the actual budgeting, but Dave shakes you out of those car payments!

@loe3175 3 жыл бұрын

I totally agree. Owning a car outright is the only way to go in my view.

@ekstn645 3 жыл бұрын

Yeah, I would sell the Chevy and get something way more affordable.

@zenobiabroadnax4936 3 жыл бұрын

This video was very helpful.

@susanhernandez7290 3 жыл бұрын

A very valuable video. Thk u

@audeliarodriguez191 3 жыл бұрын

Props for making 400 work for groceries im a family of six as well and im 650 another option is shop around for refinancing if approved the gap in payment could help you with your xmas goal that way you dont need to use credit cards

@tammmygraves4317 2 жыл бұрын

That is what I just did, I refinanced my home cutting interest rate down and paid off my 2 credit cards! So now I will be saving over $200 per month!!!

@AnaHernandez-ee2uq 3 жыл бұрын

Hi Miko! I would like to know how I can submit my budget. I am a single mom, head of household, only 1 income. I love what you do and how it’s helping soo many people thank you!

@thebudgetmom 3 жыл бұрын

You can submit budget information to budgets@thebudgetmom.com

@lnel5829 3 жыл бұрын

Miko, why would you not recommend selling the cars and getting two cash cars or a lot less expensive cars? Only until they pay off their debt.

@TMcocoa 3 жыл бұрын

not realistic to expect the avg person to do that though. and the interest for the cars isn't bad at all.

@rawryomecakes 3 жыл бұрын

@@TMcocoa 6% is high, and I don't think they can realistically afford those payments

@atxadri 3 жыл бұрын

I wonder if they can refinance it and lower their payments

@amyschaub5725 3 жыл бұрын

She actually did recommend that

@TMcocoa 3 жыл бұрын

rawryomecakes 6% is not very high.

@kristimarie4655 3 жыл бұрын

The Honda holds its value. I think they could trade in and get a little car maybe 6,000 -8,000 or less and maybe make money back or break even. The Chevy might be harder but again can trade in for a used car and hopefully break even because of depreciation of the value of the car vs loan.

@juliecc3036 3 жыл бұрын

I also suggest calling the internet provider and see if there's any thing they can do to help as well. With Christmas coming up go through toys and clothes from the kiddos that aren't needed anymore ( outgrown from the youngest) and start selling them, put that towards Xmas gifts.

@yvonnejohnson2109 3 жыл бұрын

I do the same thing for our rent. I have a second checking account that I put the money for rent in and then pay rent right from that account.

@lisaharmon7691 2 жыл бұрын

Good info

@Sexiimamacita0170 3 жыл бұрын

I’ve been doing almost exactly the same thing as you been doing except I was very messy and didn’t have it organized. I would just write everything on a paper or a notebook. New follower. I love the templates. It helps me still do what I was doing but being organized. Wondering Where can we send our budget to you?

@shola7987 3 жыл бұрын

Good advice.

@adorabell4253 2 жыл бұрын

A year late but with they have lower interest Alexa should see if she can do a balance transfer and combine both credit cards thereby reducing her interest payments. Banks often also have promos where interest is waived for some months when you do a balance transfer so she could pay off a larger chunk of the principal and lower the interest even more. Or look into a line of credit. The interest rates on those are often in the single digits. More payment will go into the principal.

@helen4997 Жыл бұрын

I am interested in your theory, Kumiko, but, if you sell the car a dealership only gives you a blue book value and they always try to give you less. let's say you undersell $5000.00 don't you still have to pay that back to the loan company. And let's say you buy a 2nd hand car isn't that a risk you will have to really keep up with a mechanic constantly in the shop? How can you buy even a used car when you don't have the down payment they require? IDK but too many unknowns to me. If anything another job for her & significant other a few nights per week could help, and maybe for her babysitting along with her kids, or taking another child to school? part-time pizza delivery near home. Food for you and tips? Being a paraprofessional at the kid's school? Helping a teacher in a class or the office? Keep it up as long as you knock off the credit cards, and get an emergency fund/? I wish them the best. Even though they are doing the best they can now.

@aichakaba58 3 жыл бұрын

Thank you Mikko

@chiknlittle 3 жыл бұрын

Depending on their phone company, they will pay for Disney + or Spotify. AT&T covers my Spotify, I previously had T-Mobile and they covered my Netflix. Just a thought 🤷🏻‍♀️

@_itslesley_4727 3 жыл бұрын

Agreed! Verizon covers Disney + and Apple Music

@ShonnaKaldwellAuthor 2 жыл бұрын

Oh how I wish you could do this for me. My finances overwhelm me.

@janeybache3050 2 жыл бұрын

Alexa digital assistant is going mad in uk homes right now Miko! 😂

@kyrarichmond 3 жыл бұрын

LOVE your videos so much! How can i submit mine?

@katiethomas2170 2 жыл бұрын

What about calling the companies that the credit cards and car payments are through to change the dates the bills are due on. With rent at the end of the month and the other larger payments all due the very next week maybe push one or two out a week or so? This has helped me a ton!

@cgoinsmajor 3 жыл бұрын

They can also attempt to refinance their car loans to lower the interest and payments. Usually when you sell a car that has a loan on it, you rarely get the amount to pay off the loan which means they would be paying off the rest of the loan as well as purchasing new cars. I’m not going to pay for a car that someone else is driving. Trying to lower the interest and payments seem like a better option to me.

@mythical1374 3 жыл бұрын

Do you have to email Miko to ask her for help with the budgeting plan? I am drowning in debt and can't seem to get a handle on it. I need a Miko fairy to help me.

@lisaburmood5540 3 жыл бұрын

Sharing a car is always possible! Four kids or twenty. Walk or take husband or wife to work, get rides home from co workers, etc. And why do the kids need 50 a month? And fun money? No.

@heatherallen4964 3 жыл бұрын

I don’t think anyone needs to get a second job yet...especially when raising young kids. Sell those cars and be reasonable about what you actually need! A “family” car doesn’t need to be brand new!

@CoahKaye 3 жыл бұрын

Definitely a good reccomendation! A hard thing to do but if needed a good way to reduce costs. I think the hardest thing for people is that selling the cars often doesn't cover the loan amounts and that scares people off. It does also depend on the loan too - if it's a secured loan then you can't sell the car without paying off the loan (well in Australia anyway)

@abigailadams7819 3 жыл бұрын

@@CoahKaye I don't fully understand they whole "sell your car" recommendation, I think about it all the time, my car is one of my biggest debts. How ever, with my credit, I don't qualify for something better. and to add to it, If I sell my car, how am I going to get to work?

@acarol82 3 жыл бұрын

@@abigailadams7819 Depending on the distance, safety, weather, number of people .... your personal needs - needs, not wants - you could walk, use a bike, scooter or a cheaper car bought in cash. The idea is to sell a car, pay the loan in full and use the rest of the sell money to buy an older working car. This only works if the value of the car is more than you owe for it

@EWCIAGROBEL 3 жыл бұрын

While this “sell the cars” can work for a lot of people based on the amount of money left on the loans and the type of cars they have they will most likely sell them and break even on the loan, leaving them without extra money to purchase two new vehicles. based on where they live (Texas) and the fact that they both work they need two cars. Rather I would like to see the interest rate ( I assume it’s high based on the payments ) and maybe refinancing them with a different company and dropping the interest rate that can save anywhere from $100-300 a month for the two cars

@galato4234 Жыл бұрын

Thank you for this video. Don't you do a Monthly budget every month? Thank you.

@maiko2022000 3 жыл бұрын

Uber eats are good for 2nd job. Easy to get 300 dollars per week

@vlwbug1986 3 жыл бұрын

Normal I wouldn’t say this, but have they considered using some of their Emergency Fund to pay off the low balance debt to increase their monthly cash flow.

@atxadri 3 жыл бұрын

Would be interesting to know how much they have in savings first. If it’s more than $1000, I would say to pay off lowest CC and use that $100 to start paying off other debt. But if it’s less than $1000, I wouldn’t touch the savings with 4 little ones and such a tight budget

@vanessaroque4476 3 жыл бұрын

I think she said they had $1,000 EF but agreed, I knock out the smaller CC to free up $100

@Purpleharts 2 жыл бұрын

The cars is one thing but that rent price is crazy. I would try to jump that if possible. Moved to a two bed divided the children in the rooms. I would sleep in the living rooms. Pay off cc2 and cc1 then the cars. Christmas would be $50-80 a child they are small.They should share big ticket items. (Doll house or video games)

@wendymcgarr570 2 жыл бұрын

I just purchased both books. Is there any reason to use the personal finance page in the LRP or is that just repetitive if I have the BBP?

@amandarogers9232 3 жыл бұрын

My credit union that we have an auto loan through allows you to skip a payment once per year, most people do it at Christmas time. Maybe they could find out if theirs does.

@MonicaRamirez-ed6ee 3 жыл бұрын

I live in Texas and she can see if cricket is available in her area I have 5 phones and I pay $125 a month and the service is great , cricket is with at&t.

@MrsMillion 3 жыл бұрын

I completely agree with her maybe selling a car or down grading

@randaray24 Жыл бұрын

It's easy to see why they are "overspending". She absolutely needs a higher grocery budget as a family of 6. Their income will serve them so much better when they get rid of some debt. Temporary side hustle to the rescue!!

@nicolecurry5381 3 жыл бұрын

Also one of them should get an extra check in October. They could use that to fund Christmas and some sinking funds or extra debt payment

@samanthabeee6138 3 жыл бұрын

But why do they need $800 for Christmas? The kids are small no need to buy expensive gifts

@ericaford6887 3 жыл бұрын

How can I reach you to get help with my budget? I love your method!

@juneortiz1104 Жыл бұрын

While I agree with the avalanche method I wonder if initially paying off the smallest debt to free that monthly amount to make her budget less tight and then beginning the avalanche method.