Give Me Back My Five Bucks - Page 30 of 2806 - a quest for financial independence

Recent Posts

August 2013 Goals

Instead of trying to cut back after a bad July, I decided to be more realistic with my spending. I’m going to be driving a lot more to go hiking (and maybe trail running), spending more on food, and going out with friends. It’s the summer. :)

08 - August Budget

August 2013 Goals:

  • Run 100 km. I’m beginning to look forward to longer runs now. My goal is to be the type of runner that can comfortably go on 20-25 km runs every week. Maybe that’s not realistic. I don’t know yet. But this month will be an interesting challenge because I’ll have summer field hockey practices to deal with, as we ramp up to the start of the season in September.
  • Earn $1,500 in freelance income. I’m starting to work harder at my writing, and as a result, my posting has slowed down a bit here. I need to figure out a schedule that will allow me to incorporate writing with this blog, running, field hockey, friends, and a full-time job. This is the problem I had near the end of 2011: not enough hours in the day to accomplish everything.
  • Utilize my Questrade account. Bringing this goal forward, since I failed at it last month. My goal? Actually buy something. :)
  • Buy a bed frame. Okay, I’m serious. This month, it’s actually going to happen.

July 2013 Goals: Review

What an ugly, ugly month. I can blame my over-spending on a lot of reasons – like having to find ways of entertaining myself all month without being able to exercise (which takes up a lot of my free time), but the biggest reason? I didn’t plan ahead. I didn’t think that my sister was coming into town. I didn’t think that it was Nic’s birthday. I didn’t think that I would be booking accommodation to the Canadian Personal Finance Conference this month. I need to do a better job at remembering big expenses. :|

07 - July Recap

Over Budget:

  • Food – My weekly grocery budget stayed about the same (it went up a little bit because this was the month I started using my juicer), but it was the little things that added up. Trips to Booster Juice, grabbing something from the deli when I was too lazy to make dinner, Starbucks, etc.
  • Entertainment – Wow, I just decimated my monthly entertainment budget, eh? This represents about a million meals out with friends, birthday dinners, a bit of booze, movies, markets, etc. All of the things I love to do that are free (or relatively free) – like running, field hockey, hiking, yoga, etc. – were taken away from me this month due to my surgery. So I ended filling my time socializing with friends. It was a fun month, but I’m eager to get back into shape and back to a more regular (less expensive) routine.
  • Travel – This was entirely the $304 I spent on my accommodation in Toronto for CPFC13.
  • Car & Transportation – This category includes transportation, parking, and gas. My SkyTrain usage went up this month, I paid for event parking downtown for a concert, and this also includes gas for two trips: one north of Whistler, and one just south of Whistler.
  • Personal Care – Monthly prescription refill.
  • Miscellaneous – Field hockey insurance fee ($66), Scrambles in Southwest BC ($33), add-on for my blog ($39.99)

Net Worth Change+ $1,200 (+ 2.28%)

A nice little boost to my RRSPs, and continuing to chip away at the mortgage.

July 2013 Goals:

  • Run 25-40km. CHECK! I ran 32km this month, and also hiked 21km.
  • Make $1,000 in freelance income. CHECK! I squeaked in, earning $1,080.99. :)
  • Utilize my Questrade account. FAIL. I forgot about this. Whoops.
  • Pack a lunch every day. FAIL. I ended up going out for lunch 3 times this month. But every other day I ate homemade salads, so I still consider it a win, even though it’s technically a fail.
  • Rebalance my RRSP account. CHECK! Based on the plan my financial advisor gave me about two years ago, I rebalanced and am good to go for another year.

Spending Recap: July 22-28, 2013

Monday 22nd
No Spend Day!

Tuesday 23rd
+ $155.99 freelance income
$5.78 dinner
$9.81 groceries
$66 Field Hockey BC (insurance)

Wednesday 24th
No Spend Day!

Thursday 25th
$50 gas
$3 parking

Friday 26th
$17.72 groceries

Saturday 27th
$19.50 brunch

Sunday 28th
$5.90 Booster Juice

Freelance Income: + $155.99
Expenses- $177.71

TOTAL: - $21.72

It was a pretty good week. I kept my expenses down, and I was finally allowed to exercise again! I ran four times this week, which also included a beautiful trail run to Garibaldi Lake.

This was also a social week. I went out for dinner with a friend on Wednesday, helped Nic with a presentation on Thursday, and got to hang out with Cassie and Cait most of Saturday – brunch at one of my favourite restaurants in Vancouver (Cafe Medina), and Pecha Kucha that evening. Sunday evening, my neighbour treated me to dinner at Earls – which was nice because I was nursing some serious wounds from the 18km trail run earlier that day. :)

Also, over the weekend, you may have read an article I wrote for the Toronto Star. Some people were asking if I’ll be writing for them again regularly. The answer is no. I’m still glad I made the decision to stop writing. I have a lot less stress in my life, and the free time has been really nice. But that being said, this opportunity made me realize that I really do miss writing for an outlet other than this blog. Plus, the pay cheques are nice. :) I’ve got another feature article assignment from my editor, so I’ll be plugging away at that over the next few weeks.

Speaking of outlets other than this blog, a few weeks ago, I started a running/fitness blog. I’m still not sure if I’m going to let my worlds collide, but it sure is fun to write about something other than personal finance. Don’t get me wrong, PF will always be my one true love… but running? That’s a fun one. :)

Anyway, that was my week of spending. How was yours?

How do you fight debt fatigue?

There are many different ways to get yourself out of debt – like creating multiple income streams, selling possessions, living below your means, and going without a lot of comforts you were used to. But when you change your life so drastically, at a certain point, you might start to get tired of concentrating so hard on your debt. This is called debt fatigue.

Debt fatigue is a mental state that can happen when you’ve been in debt for so long that you think you’ll never dig yourself out of the hole you’ve created for yourself. Financial expert Gail Vaz-Oxlade often tells people on her television shows to try and make a plan to get out of debt in 36 months or less – because anything more than three years, and you’ll likely suffer from some form of debt fatigue.

I was in debt for years – from age 19 to 24, but I only actively cared about eliminating my debt for 12 months. Near the end, I could feel myself slipping (and that was after less than a year!). I remember I was just a few thousand dollars away from being debt-free, and then I bought a $3,000 iMac computer. What? Yeah. I was sick of living such a limiting, frugal lifestyle, and it took a lot to remind myself of the path I was on, and how much better my life would be once I got out of debt.

Related: Can lifestyle inflation be avoided?

Being extremely money conscious all of the time can really put a strain on your quality of life. Because I never had a great relationship with money, once I got myself out of debt, I really struggled to find a balance between spending and saving. It took me a very long time to come up with a budget I could live with, and I still find it hard today – which is why I track my spending on a weekly and monthly basis here at GMBMFB.

So if getting out of debt seems impossible, and it seems like it’s too hard for you to deal with, don’t give up and revert back to your old spending habits. Here are some suggestions on how you can fight debt fatigue:

Keep in mind the big picture

It can be really, really easy to fall into the habit of feeling sorry for yourself when you’re on a strict budget. Especially when you find yourself working a part-time job on Friday and Saturday evenings, when you could be out with your friends instead – trust me, I’ve been there. I worked minimum wage jobs for years – it helped me get out of debt, and save for a down payment on my first home.

When you’re trying to get out of debt, holding onto the impression that you are depriving yourself will only bring you down and make it harder to stay on track. It helps to create a list of both short-term and long-term goals for your debt-free life. Then, whenever you start to feel yourself slipping, you can remind yourself of your goals, and how amazing it will feel once you achieve them.

Think of your debt-free life

Take a few minutes to think about what being debt-free will mean to you. Whenever I started to feel tired during my journey out of debt, I kept in mind all of the positives that were waiting for me once I got there – like sleeping better at night, being able to afford a vacation, owning a home in the future, starting a life with someone, and most importantly – freedom. Not having to stress out about where the rent money was going to come from, or how I was going to pay for groceries? That was something I was really looking forward to, and unfortunately, it’s something I sometimes take for granted now. It wasn’t that long ago where I had to shuffle money around just to make ends meet, and it’s good to be reminded of that.

Related: Would you ever date someone who had debt?

Reward yourself

It’s okay to celebrate financial milestones when you’re getting out of debt. Whether it’s paying off a credit card, or getting your total debt down to a certain threshold, make sure you give yourself a little bit of wiggle room to treat yourself – within your means, of course. I used to treat myself with ice cream cones. :)

Create visuals

What are your goals once you become debt-free? Many people are visually motivated, so creating a collage of photos or a vision board is a great way to stay on track. Social media websites like Pinterest and Trippy make it easy to save and share photos with friends. So whether you’re looking forward to a trip to Europe, owning a home, or starting a family once you get out of debt, start cutting out photos or pinning images of your goals.

Don’t beat yourself up

Nobody is perfect. So if you slip or make a mistake, the worst thing you can do is give up. Don’t wait until the following month to get back on track (I’m super guilty of waiting for a milestone to “start fresh” with my goals if I haven’t been doing well). Just pick yourself up, learn from your mistake, and keep going as quickly as possible.

Have you ever suffered from debt fatigue before?

Spending Recap: July 15-21, 2013

Monday 15th
No Spend Day!

Tuesday 16th
$10.65 breakfast
$61.60 baseball jersey
$15 event parking
$13 lunch
$44.34 dinner (for 2, including drinks)

Wednesday 17th
$33 book (Scrambles in Southwest BC)
$6.97 London Drugs (prescription refill)

Thursday 18th
+ $900 freelance income
$11.81 dinner
$304 AirBnB (4 nights in Toronto)

Friday 19th
No Spend Day!

Saturday 20th
$37.69 gas
$17.85 liquor store

Sunday 21st
$50.45 Wild Rice (lunch for 2)
$50.96 groceries

Freelance Income: + $900
Expenses- $657.32

TOTAL: + $242.68

Finally got some freelance income in – which I’m pleased about. But at the same time, I spent a lot this week. :)

The majority of my spending came with my $304 AirBnB reservation for CPFC13 in September. I’m really happy that I’ve gotten my accommodation and flight taken care of – now I can just focus on making sure this conference is better than last year. :)

Tuesday my sister was in town for the Postal Service concert. We spent the day downtown, and she bought me my birthday present (a baseball jersey). I paid extra to get my favourite player’s name/number on the back of it. Now? My mission is to meet him again – either in August for the Mariners game, or September for the Yankees game in Toronto.

Thursday I had dinner with my pal over at Young and Thrifty. It was nice to catch up (haven’t seen her in almost 2 years), and chat about geeky PF stuff.

Saturday I went over to a friend’s house for a BBQ (hence the liquor store purchase). Sunday I took Nic out for his birthday. We hung out at the beach and drove around for a few hours, and then I treated him to lunch at a local restaurant.

That was my week of spending! How was yours?