2manybills:
it sounds like you're off to a great start, congrats!
i just wanted to point out a few things. one, i know you might not be comfortable with the thought of selling some of the things you own, but i promise you that once you start it starts to feel almost freeing in a way. you realize just how much money you've spent on 'stuff' over the years, and it makes you really think about the money you spend going forwards. and if you're anything like me, chances are really good you won't even notice most things once they're gone. it's nice to be able to clear our some stuff even when you aren't doing it for the money. with spring coming *which means yard sales and outdoor markets!), you might be able to move a lot of merchandise over the next few months.
i also like the fact that you've worked your budget down to the week. you said you have 885 in income and 860 in bills, right? save that extra $15 per week for now, that's $780 per year! cutting the cable sounds like that'll be another $1068 per year. suddenly, those savings don't look too small, do they?
also, i didn't see in your post if you are saving $ for your homeowner's insurance and property taxes (if applicable) or if they're included in your mortgage payment. if they're included, then no worries. if not, you'll likely want to add them as a monthly line item.
and now for the "if i were you" part
having the expenses covered is half the battle, so again congrats. you said you're no longer going to use the credit cards, right? in that case, some sort of emergency funds are realy important, so you might want to decide with your husband what you'd be comfortable with. take into consideration the unemployment laws in your area, etc. you might want to start small, a couple hundred dollars, or you might want to start for a whole month's worth of expenses. whatever you decide on, save your monthly surplus AND the money you bring in selling items towards that goal. it'll add up, i promise!
you also might want to consider things you can do to add some income quick, just to meet the goals you're setting. a part-time job like you discussed is always an option, or something like baby-sitting, running errands, delivering newspapers in the morning, etc. it'll make creating that month's worth of emergency fund that much easier.
then, when you have a bit of money stashed for a rainy day (woohoo!), tackle your first debt. it could be the lowest balance, the highest interest rate, or the highest monthly payment. highest interest rate usually makes the most 'cents', but it might not bring the feeling of satisfaction and accomplishment that a easily paid off bill could bring, so decide in your household which one to tackle.
once you're at this point, the whole thing starts to snowball! good luck!!!
