Tuesday, November 16, 2010

My big picture list

I just read an amazing post on All Things Fluffy, Fashionable and Famous about Dave Ramsey! If you don't know what I'm talking about she does a great job describing his Financial Peace University baby steps here. It reminded me of our list that I have named the big picture. I carry it with me in my iPhone and look at in when I need inspiration to live like no one else so later I can live like no one else.
Dave advises that when you are on a 100% commission job to make a list of items to purchase in order of priority, when you have enough money you pay off the item on the top of your list. This works great for us on the extra items because my husband's income goes to our living expenses and anything I make will go to this list. I am a planner and love to be ahead in our finances. We had our entire Christmas budget set aside in cash by the middle of October this year as well as enough cast to cover two bills coming up at the beginning of the new year because they were at the top of our list. No one likes big bills that are due the week after Christmas.
Below I have pasted a copy of our big picture list in order of priority. I've taken off the amounts and I also have it in two phases with totals for both and an overall grand total.

Big picture

Credits cards
Health insurance deductible
Pay off car

Add more to retirement monthly from Hubby's take home pay
6 months of hubby's income
Down payment for new house
Start saving to pay cash for a new car
total $xxxx
Dave would not advise taking a vacation before we save six months of income but we really need a beach vacation before we have kids. We haven't been to the beach since our honeymoon over 4 years ago.
I'm curious do any of you use a list like this?

1 comment:

Elizabeth said...

I heart Dave Ramsey with a big puffy heart!! He's awesome, if he ran for president I'd vote for him. We've been following Dave's plan for almost 4 year.....yes, we've done some stupid things that he probably wouldn't like to well a couple of times, but the plan really does work if you follow it. We are saving up for new windows, then a vacation, then another car. Who knows the vacation may come first as we haven't had one in almost 6 years! best of luck!