Bennyissavings

[bennyissaving]

I am 23 this year in about a month and i need to sort my life out. I have 3 years of uni left, i work full time. i make around 800 a week.

$9,000 i owe on my car 385 a month
$185 insurance a month
$80 a month for mobile phone
$100 a month on interest free item i still owe $2000.

Now have $3600 in my EF.

I would like to rent with my gf in about 1.5 years. I am thinking i would like to maybe keep a 1500-2000 EF and just then spend what i would in savings to get rid of my debts so that way when i move in we can both save for a deposit for a house. My uni work will not get busy for another 8-9 months where i will have to cut back my shifts of full time but also dont want to work primarily just to pay off my debts.

Ideas? Should i just have my EF then get rid of debt, i am just so upset i have mates who say they have 10,000 - 15,000 in savings and i blew a lot of my money going on holidays and having fun. Do i still have time? My gf is studying to be a teacher and i am doing nursing...

help

[nmboone]

First of all, don't worry about how your friends are doing. They could be lying for all you know unless you've seen their accounts. Also, you're in college so don't expect to be rich!

What I would do first is take 2k out of the EF and pay off the 2k item. Just get it out of the way, even if it is interest free. Then apply the extra $100 a month towards the car and really start to pay that off. I don't know the interest rate on the car but an extra 100 plus whatever else you can afford should really make a dent in that debt. You'll still have $1600 as an EF which I believe is what you wanted to do anyway.

Otherwise, I think you're doing great. It seems your debts add up to about 1 week of work. 800 x 3 = 2400 so if you used a small portion of that for fun money and put some towards the car and saved the rest, you'd have 10,000 in about 6-8 months just like all your friends apparently do! Plus you can move out with your GF with plenty of money to spare.

[LuxLiving]

Food?
Dates?
Gasoline?
Housing?
Renter's Insurance?
College Loans?

I'd keep my EF as is and take as much of each pay that can possibly be used for debt reduction and get that sucker knocked out quickly. Then, I'd start saving for that future housing situation.