OT – Dilemma: default now or later?

[alarmclock]

In Soviet Russia, bankruptcy files for you!

Can you clarify, “support for my family (wife, kids) costs me ~60K” — is this some sort of child support + alimony? I assume no since you didn’t say ‘ex-wife’. It seems like $75K/year for mom+wife+kids could be lowered significantly; mom=’free daycare’ so wife can get p/t job (though they are probably thousands of miles apart, and wife does not have work visa?). You should be able to cut those costs considerably anyway.

[peterb]

Sounds like your biggest debt service is your student loans of $100K and credit card at $40K. If you default of the cc, you can kiss anymore use good bye. The Student loan is probably a GSL? If so, you cant default on it. The govt will always want that money back. The rest are expenses for living. reduce where you can. Am I missing anything?
At this point it’s all about cash flow for you. You’re young and trying to increase your lot in life. To be honest, servicing you debt is a small part of your monthly expense. Maybe $500 or $600? If you’re making $85K and a debt service load of $8K per year is draggin you down, you need to seriously re-evaluate your life style as you’ll need to cut expenses big time.

[peterb]

Sounds like your biggest debt service is your student loans of $100K and credit card at $40K. If you default of the cc, you can kiss anymore use good bye. The Student loan is probably a GSL? If so, you cant default on it. The govt will always want that money back. The rest are expenses for living. reduce where you can. Am I missing anything?
At this point it’s all about cash flow for you. You’re young and trying to increase your lot in life. To be honest, servicing you debt is a small part of your monthly expense. Maybe $500 or $600? If you’re making $85K and a debt service load of $8K per year is draggin you down, you need to seriously re-evaluate your life style as you’ll need to cut expenses big time.

[peterb]

Sounds like your biggest debt service is your student loans of $100K and credit card at $40K. If you default of the cc, you can kiss anymore use good bye. The Student loan is probably a GSL? If so, you cant default on it. The govt will always want that money back. The rest are expenses for living. reduce where you can. Am I missing anything?
At this point it’s all about cash flow for you. You’re young and trying to increase your lot in life. To be honest, servicing you debt is a small part of your monthly expense. Maybe $500 or $600? If you’re making $85K and a debt service load of $8K per year is draggin you down, you need to seriously re-evaluate your life style as you’ll need to cut expenses big time.

[peterb]

Sounds like your biggest debt service is your student loans of $100K and credit card at $40K. If you default of the cc, you can kiss anymore use good bye. The Student loan is probably a GSL? If so, you cant default on it. The govt will always want that money back. The rest are expenses for living. reduce where you can. Am I missing anything?
At this point it’s all about cash flow for you. You’re young and trying to increase your lot in life. To be honest, servicing you debt is a small part of your monthly expense. Maybe $500 or $600? If you’re making $85K and a debt service load of $8K per year is draggin you down, you need to seriously re-evaluate your life style as you’ll need to cut expenses big time.

[peterb]

Sounds like your biggest debt service is your student loans of $100K and credit card at $40K. If you default of the cc, you can kiss anymore use good bye. The Student loan is probably a GSL? If so, you cant default on it. The govt will always want that money back. The rest are expenses for living. reduce where you can. Am I missing anything?
At this point it’s all about cash flow for you. You’re young and trying to increase your lot in life. To be honest, servicing you debt is a small part of your monthly expense. Maybe $500 or $600? If you’re making $85K and a debt service load of $8K per year is draggin you down, you need to seriously re-evaluate your life style as you’ll need to cut expenses big time.

[sdduuuude]

I’d say expense and cost control will be your best long term strategy.

[sdduuuude]

I’d say expense and cost control will be your best long term strategy.

[sdduuuude]

I’d say expense and cost control will be your best long term strategy.

[sdduuuude]

I’d say expense and cost control will be your best long term strategy.

[sdduuuude]

I’d say expense and cost control will be your best long term strategy.

[Anonymous]

Check out ynab.com (short for “you need a budget”). It’s a budgeting software that helped me get out of debt. It uses the principles of living off your last month’s income (instead of paycheck to paycheck) and “giving every dollar a job” so you know where your money is going.

Doing just those two things helped me find ~$500 in my budget that I didn’t know existed. I could probably save another $450 by cutting some other expenses. Point is, I wouldn’t have known where to find them if I wasn’t using ynab.

Also check out Dave Ramsey. He has people calling in his talk show that are in much worse situations that are able to turn their debt around.

Good luck.

[Anonymous]

Check out ynab.com (short for “you need a budget”). It’s a budgeting software that helped me get out of debt. It uses the principles of living off your last month’s income (instead of paycheck to paycheck) and “giving every dollar a job” so you know where your money is going.

Doing just those two things helped me find ~$500 in my budget that I didn’t know existed. I could probably save another $450 by cutting some other expenses. Point is, I wouldn’t have known where to find them if I wasn’t using ynab.

Also check out Dave Ramsey. He has people calling in his talk show that are in much worse situations that are able to turn their debt around.

Good luck.

[Anonymous]

Check out ynab.com (short for “you need a budget”). It’s a budgeting software that helped me get out of debt. It uses the principles of living off your last month’s income (instead of paycheck to paycheck) and “giving every dollar a job” so you know where your money is going.

Doing just those two things helped me find ~$500 in my budget that I didn’t know existed. I could probably save another $450 by cutting some other expenses. Point is, I wouldn’t have known where to find them if I wasn’t using ynab.

Also check out Dave Ramsey. He has people calling in his talk show that are in much worse situations that are able to turn their debt around.

Good luck.

[Anonymous]

Check out ynab.com (short for “you need a budget”). It’s a budgeting software that helped me get out of debt. It uses the principles of living off your last month’s income (instead of paycheck to paycheck) and “giving every dollar a job” so you know where your money is going.

Doing just those two things helped me find ~$500 in my budget that I didn’t know existed. I could probably save another $450 by cutting some other expenses. Point is, I wouldn’t have known where to find them if I wasn’t using ynab.

Also check out Dave Ramsey. He has people calling in his talk show that are in much worse situations that are able to turn their debt around.

Good luck.

[Author]

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