Wa-hoo!

I've mentioned before that we're plodding through Dave Ramsey's Total Money Makeover program. We're excited because we've just completed Baby Step 3, which is to have a 3-6 month fund to cover any expenses that may come up in the event of an emergency such as unexpected job loss or illness. We've just completed that step and now we get to move on to steps 4, 5, and 6 which we attack at the same time. They are to put 15% of income into retirement, to work on funding the kids' college education, and to pay extra house payments. If things go as planned, the house should be paid off in 5 years or less. Hooray!

I've had several people ask me what plan we're following. I've enjoyed many of Dave Ramsey's books, but the one with the most detailed plan to follow is The Total Money Makeover. I should just break down and buy it, but our library has one, so that's good enough for me! There are also some great forums here that offer lots of helpful hints and advice from others who are following the same plan.

I know this sounds like a Dave Ramsey commercial, but following his plan has made so much sense for us and has really helped us figure out where our money goes and has guided us in how to best take control of it. It took a few years for us to finally get on board with his entire plan. I think one of the hardest things for us was to stop 401(k) contributions so we could channel that money to get debt paid off faster. The turning point for us was when we attended a live event. It really lit the fire for us to be all gung-ho about following his plan.

Alright, I think I should get paid for all the Dave Ramsey plugs I'm doing here. So I'll stop now. It will be another 5 years or so before we've completed the rest of the Baby Steps, so I promise no more Dave Ramsey stuff until then. :)