Month 6: Debt Repayment Update

Month 6 between March and April was a really good month for debt repayment in this household! Toward the end of March we got our tax return which put us down to $56,000.   Since then, we're down another $1,494 (!) which brings us to:

$54,506

6 months in, we're down about 10K ( approx. 15% of our total debt has been wiped out). Double digits feels nice! This month DH started getting some overtime and my raise kicked in. We also did some very small and inexpensive renovation projects like caulking, screen replacement, and spruced up the outside of our house a wee bit. 

This month we passed a significant milestone which was having a positive net worth. This gives us a huge sense of relief and added financial security and means if we sold all of our assets we wouldn't actually owe anything - we'd have cash in our pocket. So... if we both lost our jobs tomorrow, we could feasibly get minimum wage jobs and rental accommodations and be just fine! We also realized in looking at the adjustments that we've made to our budget that we could maintain our current standard of living (with all the frills of 2 cars, 2 cellphones, cable tv, internet, etc.) on just DH's salary. The costs we incur currently beyond DH's paycheque are things like childcare expenses and additional fuel costs which would be eliminated if I wasn't working. This also makes us feel more comfortable with our financial situation. 

In analyzing all of this, I've come to realize that we could actually commit more money/month toward debt repayment... about $2000/month without much sacrificing on our part. Actually... since the start of this journey, we haven't really given up much at all. With both of the boys birthdays coming up, I am anticipating not as good of a month 7 in terms of debt repayment but you never know.