Jun 18, 2013

Sallie & Perkins Hit a Curveball

An update on Sallie & Perkins process? They are now a week and half cable-free and doing great. They also haven't set foot into a restaurant except for a Father's Day dinner celebration this past Sunday. They write down each penny they spend on gas and groceries and other than that? They aren't spending money!!

nerd couple pays off debt

Now that they're in a place of just student loans, they have easily been able to start looking at the Dave Ramsey principles and apply them to their own debt situation. Again, you don't have to buy Dave's books or products (We didn't!) but his website alone gives tons of helpful information and can really put things into perspective for you. Getting out of debt is more simple than you think.... it's just about starting off in the right direction.

Dave basically breaks down his methods into 7 baby steps. Don't worry, Sallie & Perkins are only on Step 2 and will be here for awhile. Step 1 is just building an emergency fund of $1,000. Keep it in your separate savings account and don't touch it. It's only for emergencies. One pricey car repair and you'd be just about wiped out of that. Trust us, we know!
nerd couples pay off debt

The point is, you'll have the money there and won't be tempted to max out a credit card whenever life throws you a curveball. Sallie and Perkins have been thrown curveballs in the past, but weren't financially prepared to handle them properly and they just didn't know why. They made decent money, it wasn't like they were living lavishly… so where was all that money going each month??? With helpful free tools out there like Mint.com, Sallie and Perkins were shocked to find out…
nerd couple pays off debt

nerd couple pays off debt
OH. Those shoes that were "on clearance!" or that energy drink during a long day at work, or the temptation that is 2-day shipping via Amazon prime. Now that Sallie and Perkins were tracking their spending, they were able to easily put away $1,000 for their emergency fund and get a better look at their financial situation. It gave them the confidence to pay larger chunks of money on their debt because they now had their cushion to hit the curveballs of life.


Have you started your emergency fund yet? What small choices can you, or will you, make this week to save money and pay off debt? Be sure to stop in next week as Sallie and Perkins dive into Step 2!

37 comments:

  1. We are starting to get our savings/emergency fund together, even though its small gotta start somewhere!!! :)

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  2. Imagine our surprise, when we first started looking at where our money was going...one month...we had literally EATEN an entire paycheck! Sounds like Sallie & Perkins are off to a great start! Tim and I were actually talking about The Dave Ramsey Plan last night...we've been sitting on our $1,000 emergency savings for a while...now I think it's time to start adding to that! Thanks for the inspiration! :)

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  3. Guess who's back..back again...

    Yes yes yes times a bajillion! Wonderful S&P (Salt 'n Peppa, obviously) post once again, with such relatable and smart advice for becoming debt free!!

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  4. I cannot tell you how happy I am to see you letting Sally and Perkins out and about.. we stand to learn a lot from this topic and everyone needs a reminder that we just don't need all that 'stuff'

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  5. My gosh I love your pics! Sallie & Perkins sound like they are on the right track. We have 3 accounts, one 1 joint and our two separate still and I track what I spend and Keith hasn't gotten on that bandwagon yet and its a cinch for me when tax time comes because its all right there for me. I have a feeling I'm going to come into more issues next year, esp if green honda gives out on me so I'm hoping not though!

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  6. Welcome back friends and thanks for the advice! Rob started his new job yesterday and just found out that he will have to pay his own taxes at the end of the year-- this is a curveball. Once we get back on track, I suggested he put back $20-$40 from each paycheck in a fund for end of the year taxes. If we do that, I think we should both take the same amount out of each pay check for an emergency fund. It's REAL easy with the summer being here, to pick up a 12pk of beer or what not so I suggest we cut back on that and put that money in a "date fund"-- at the end of the month we plan a special date night and use that money. I'm trying to think of fun things for us without doing without-- PS- he loves S&P!

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  7. So happy we are in this together girlfriend ;) you guys are killin it! & you know I laughed seeing the mountain dew pic... hehe

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  8. We recently pulled up our bank statement for the beginning of this year and calculated how much we were spending on eating out every month. It made me so SICK! Anywhere from $300-$600, all just going to our gut.

    Needless to say, we are looking into the DR system as well. Good luck to you guys. =)

    craftingafairytale.blogspot.com

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  9. You guys are amazing! You need to be my financial coach. I have a spreadsheet with Dave's 7 steps on there and it's just sitting there empty.

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  10. Haha...Seriously I love Sallie and Perkins! Keep it up!!
    And yes, I sure do have an emergency fund!! Also...not sure if it's in Dave Ramseys principles, but they also tell you to start building a fund of 6 months of salary incase you ever lose your job. That way you have money to live off of for 6 months!! I've lost my job twice due to company reorganizing, so I know how important it is to have money saved up incase this happens! Otherwise you will rack up your credit card bills!!
    It takes a long time to build this savings....but it feels good when you do!
    (Although now...that money will probably go toward a down payment on a house, and I'll have to rebuild it all over again! Ahhh.)

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  11. I am SO glad you're blogging about this... love love love it! It's so helpful and something everyone can relate to! Great job putting yourselves out there!!

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  12. Haha...loving your Mt. Dew shirt. I've always wanted to check out Dave Ramsey's plan, but didn't want to pay for the book (it somehow seemed ironic, haha) I'll definitely be checking out this website. Good job!!!!

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  13. I have heard AMAZING things about the Dave plans, and how they have truly helped people. I need to do some research on this!

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  14. hahaha - this is too funny.

    i have taken the DR class and i LOVE IT! it's eye opening. but really when you look at things it's like holy smokes we spend money on DUMB SHIT! hang in there. it will be worth it!

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  15. I am so terrible at saving and I really need to start. Perhaps I should stop doing my "exercise" at Target...

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  16. Again, I LOVE this! If we could cut out fast food/eating out, we'd save a ton. I always want to pack my lunch, but I'm not always great at doing it. And sometimes, it's just easier to pick up something for dinner during the week than going home and cooking, not to mention going out for dinner on Friday and Saturday (or both), oh, and that lunch out after church on Sunday. We haven't really made a budget (bad, I know), but it's on our list of things to do. I know I waste a ton of money and it'd be nice to stick it aside in like a tropical vacation fund!

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  17. I'm so happy you guys are doing this and sharing with others. The pictures are worth looking at alone, but the advice is priceless.

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  18. LOVE Sallie and Perkins! :)
    -A

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  19. I am literally a breath away from cancelling the cable since reading Sallie & P's first post. I need to build up that emergency fund. It's way too easy to put it on a credit card.

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  20. Ohhh it all makes so much sense...Can these posts become bi-weekly?! ;) I love it.

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  21. I just started the thrilling adventure of reading every word on Dave Ramsey's website, working a budget, and not just thinking about it but IMPLEMENTING it. Finally! It's helped so much and made buying my first car a lot less stressful. Going from no car note to having one (and of course, full coverage insurance - yay) really scared the pennies out of me... but it's all doable thanks to budgeting! Next step? Emergency fund! Love these posts!

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  22. haha this is so awesome, please do this forever. so michael and I started a savings fund as soon as we got married and thank god since me falling 20 ft rock climbing cost us $14,000 out of pocket and after 6 months we are finally back to our savings again!

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  23. Love these posts! Not only are you two ridiculously funny, but the message your sending is so true! I can't even imagine how much money my boyfriend and I waste on snacks here, a pair of shoes there, etc. I'm scared to see what that extra spending adds up to, haha

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  24. Sallie and Perkins crack me up and they give some good advice! My parents have been Dave Ramsey fans since forever so I grew up on his principals and the man knows what he's talking about! It also doesn't hurt that he's kind of funny (he has a radio show and sadly, I used to listen to it..nerd alert)! Keep up the good tips, Sallie and Perkins! :)

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  25. I absolutely LOVE this!! We are currently working on Step 1 right now, but love his 7 simple steps. We were thinking about doing the FPU class, but then decided lets get through his 7 steps first. We are right there with you on step 2 for a while.

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  26. I totally crush on Sallie and Perkins! And love David Ramsey's tips to financial success! We've followed his advice for the last two years but def need a refresher and new motivation! Thank you!!!

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  27. Love this post! :) We definitely have an emergency fund.

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  28. Love mint.com, I actually have the desktop app for my laptop and then have it on my phone. Such a useful tool to see where your money is going!

    In one of my classes at UK they stressed about how important it is to have an emergency fund. You never know what curveball life will throw you so it's always good to have a backup plan!

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  29. We FINALLY just got our emergency fund built up. It took us forever, but I guess better than never doing it!! Awesome post.

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  30. Ahhhh love you guys! You're a hoot! Okay so I totally brought up the idea of doing this to KC and HE'S GAME for it! I'm like whaaaa yeahhh fist in the air style. Where do we begin? Breaking down where all of our mullah is going? ECKS!

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  31. You guys are awesome!! Sounds like you are killing it. So exciting to see progress I bet! We are definitely starting a budget now that it is baby-planning time!!

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  32. Love the emergency fund idea, we have been doing this and it's great! :-)

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  33. we have an ER savings always and it's SO nice knowing that we have that. we ALSO have it so that each of our savings and checking accts aren't allowed to go below $1000 so really we have a $3000 safety net. i am glad our bank is so strict about this, it works well for us!

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  34. You're doing SO GOOD! I really need to do this! LOL!

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  35. First of all - Sallie and Perkins = genius. I am really glad you're blogging about this, Erin. I am in the exact same boat, and don't want to let my student loan debt cause more stress than it needs to! I am going to look into this DR plan :)
    Keep up the good work!!!

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  36. I really really love this. I just started my "real job" and I've definitely gotten myself in a bad hole since leaving my college job 8 weeks ago and having so many expenses since then! I've also got a loooooot of out of state tuition loans creeping up on me that i need to save for. Seeing you do it it great motivation :)

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  37. I didn't think my obsession with you could get any stronger...but it has!

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Thanks SO much for taking the time to read and comment on my blog! I read each one and love to respond and chat with you! :)

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