I was just wondering if any of y'all had checked out Dave Ramsey . I'm reading his Total Money Makeover right now and realized that my entire life is in shambles. Well I can't figure out the right word but he talks about getting your finances in order using similarities to losing weight and it made me realize that my financial "fitness" is just as crappy and rundown and my physical fitness. It's been a great read and on one of the parenting boards where I post, he is supposed to start coming on there and answering questions.

He has a pretty simple plan for eliminating debt but you have to be willing to make some sacrifices now to be financial secure later.

Just thought I'd pass this along in case anyone else is like me and just one disaster away from losing most of my possessions

One of the things I liked about what he said on the website was paying off the smallest debt first. Most others say to pay off the highest interest rate first. At one point in my life before I wised up about not charging more than I could pay fully each month, I had three or four credit cards with balances, and I paid off the smallest one first, then applied that amount plus the minimum payment I'd been making to the next one. It really does help emotionally to see that card being paid off, and does provide a momentum.

I really like Dave Ramsey! His radio show airs late here, like 10:00pm Monday-Thursday, I'm thinking. One thing he says which sticks in my mind is (paraphrased) "Live like no one else does, so eventually you can live like no one else does." In other words, be willing to sacrifice unlike others around you, so eventually you'll be out of debt and in good shape, unlike those around you.

No, we've not done that. But we know it's the right thing to do.

I like Dave Ramsey too. I am very fortunate that the only debt we carry is on our home and we are working to pay that off early (against the advice of EVERY financial advisor we've ever talked to. LOL). In addition, we've been able to manage socking away for retirement, college, and the like. We live without extravagances in order to do it all and I wouldn't have it any other way. I've know so many people who are buried in debt. They have a lot of "toys" that we don't but I honestly don't see how they can enjoy them knowing how much stress all of those payments create month after month after month. Not to mention the wear and tear it does on their families. I much prefer our lifestyle. It is simple to say the least but we have all of what we need, most of what we want, and I don't have to worry whether or not we could survive a castastrophe. I certainly don't pass judgement on anyone who carries debt sometimes it is unavoidable. So, I know how lucky we are, even if it means living on a tight budget and a lot of advance planning for even basic purchases.

Anyway, one of the reasons that I really enjoy listening to Dave Ramsey is because sometimes I'll get whiney that I don't have every single thing that I want or that we can't just up and go on vacation, or buy a boat, etc. When I tune in and hear people calling in with their problems I realize that I'm not really doing without anything and it could be a lot worse than not being able to go buy a new outfit just because I want to.

My dh and I just had a discussion about credit cards.. he said to keep them, just in case. I can see a visa or mastercard. But a target card?! there is NEVER going to be something there that I have to have!! Jim said - what if we need it for birthdays or christmas? I said - if we can't pay cash for that stuff then we should be sending just a card

Just wondering.. what are your christmas budgets like? do you do one?

I don't really do a Christmas budget. I factor in about $50 a month for Christmas presents and buy them throughout the year as I find sales, etc. I don't always spend it or it might end up going towards something else but it gives me something to work with. It varies year to year how much I end up spending all together but I know it is a lot less than if I waited until close to Christmas and had to rush out and collect things. Plus it gives me a chance to put some thought into the gifts and plenty of time to return them if I change my mind etc. And I know this is going to make me sound really anal but I go ahead and wrap them too - with a labels to know who it is for and what it is.

My goal for Christmas (and birthdays for that matter) isn't so much our budget (although that is a factor) but getting our money's worth on whatever we do buy. I learned the hard way that spending a lot of money on a lot of crap is a big waste. Most of it is broken before the end of Christmas day. I'd rather my kids only get a few things that the can REALLY play with than a lot of presents that they can't.

We also have a rule in our family that we only buy for the kids. The adults might exchange little "happys" but we don't buy for each other. Well, our parents still buy for us but they say that is because we are still kids to them. But all the aunts, uncles, cousins and such get homemade goodies. That really helps financially.

I too buy throughout the year. We have to with Chris' birthday on 11-9, Lilly's on 12-27 and William's on 2-3. You factor in Christmas in the middle of that and we wouldn't be able to get the kids much of anything for birthdays or Christmas so we have to start buying throughout the year. We also know what we are planning on getting as big gifts for the kids and will be saving up for them over the next couple of months.

I try to purchase a couple of things a month. I always have my list with me so if I see something fitting at a reasonable price, I'll but it.

We buy for many people (around 45) so there's no way I would be able to do it all at once.

Dawnyal, we are in the same boat as you. My DH birthday is Oct. 9, my oldest son has his Oct. 11, then the twins' birthday is December 11. Then there are inevitably school friends' birthday parties around the same time. I've only failed to plan ahead one year and I swore I would never, ever, ever do that again! It was terrible - and, like I said, we don't even do a lot of extravagant stuff!

We budget around $50 each for our best friends and family, but don't necessarily spend that much. If I can find something my Victoriana and antique-loving friend would love for $10 at a thrift store, I don't have to spend $50 there on her.