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Holy crap Knyteguy you dug your hole way deeper financing a truck and an RV on terrible terms. Here is my one and only earnest post for you in your new BFC thread: - Research and document your net worth in 2016 when you abandoned your last thread. - Document your net worth today. - Find a therapist who will look at these documents, tell you you have a problem, and agree to work with you on improving your problem.
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Jun 17, 2019 18:12
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Also how did you agree to 17.75% interest on anything let alone an RV? Did you spend any time looking at loan rates? If I go to my Credit Union's website they advertise RV loans starting at 4.24%. And that's after loan rates have gone up. Or did you go to an RV dealer and agree to whatever financing they offered, because you wanted to RV and didn't give a drat about setting boundaries on how much it cost you? No I'm not asking a question I just want to demonstrate your poor decision making 6 years on after starting your first BFC thread.
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Jun 18, 2019 17:18
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hey knyteguy here's some help because at the ripe old age of 33 you still haven't quite figured out all of adulting yet people are asking you pointed questions about things like why you financed an rv at 18% or why you financed upwards of $60k on an at most $48k truck because these decisions are way more impactful than anything you can do with budgeting and if you can't look at these decisions and introspect about their importance and impact and how you can fix your sad deluded broke brain you're going to keep making them also your sad deluded broke brain will prevent you from looking at the uncomfortable truth of this semi-earnest post so you'll keep making the same stupid mistakes that you have been for the past decade and will keep posting about them so that I can keep pointing and laughing at your sad deluded broke brain and be happy that i've got a sad realistic only half-broke brain. HA HA
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Jun 18, 2019 22:10
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Also your credit score getting a hard pull is completely loving irrelevant; you've already hosed it to poo poo with your crappy decision making in the past, and you can't afford any new lines of credit until you've closed out the debts you've already accumulated. Apart from getting approved for new debt your credit score is loving irrelevant and you don't need new debt.
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Jun 18, 2019 22:21
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the impulsiveness is the little push, I think that his finely honed art for deflecting is the root of the problem when he has to confront the uncomfortable prospect of delaying gratification to meet his financial goals he deflects from that confrontation and focuses on all the sacrifices he's making to justify the impulsive spend when he is confronted with the uncomfortable prospect of evaluating the very poor decisions that set him on his current course he deflects by posting a torrent of photos of his rv road trip when he is confronted with his own posts from the past like where he hates everything but his immediate family because his mom got drunk and got a dui on thanksgiving he deflects by running away from the thread and not improving anything and when he finally does come around to post again showing how miserably he's executed his financial plans, he'll deflect from his own lack of discipline and instead blame we terrible bfc goons for making financial literacy such an emotionally painful subject
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Jun 19, 2019 00:56
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California's income tax rate for a 100k job is 9.3%. If we ignored marginal tax rates, you get to keep 90.7k of your 100k job after California takes its cut. Is 90.7 higher than 65? Is your stupid excuse for staying in Reno predicated on your inability or unwillingness to do a trivial amount of math? Is your stupid excude for <current undesirable financial predicament> predicated on your inability or unwilling ness to do a trivial amont of math?
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Jun 19, 2019 14:51
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Also moving to California / continuing to make poo poo because you foolishly can't calculate post tax remuneration is irrelevant because of what Motronic and HP on Ice are saying. No amount of additional income will get you out of this hole. You could literally be clearing 4x what you make now and still have the exact same problems, because the decisions you make about how to use your scarce resources are why you are in an $80k hole, not some fundamental level of spend that is required of you but you can't just quite reach.
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Jun 19, 2019 14:56
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hey Knyteguy you currently are spending ~$500/month on interest for your truck loan and your RV loan. If you spent $200 on therapy so that you could stop flushing money down the toilet on financing poo poo you don't need you'd be ahead $300 / month. You probably don't need to spend $200 for regular visits. If you ask your therapist for an emergency session and spent $400 in a month you'd still be better off than continuing to finance poo poo.
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Jun 19, 2019 17:15
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also all of this is before medical insurance kicks in and lowers costs to copays assuming your insurance actually doesn't suck
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Jun 19, 2019 17:17
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hey Knyteguy here's some more fun math for you because apparently it's scary or hurts you or something in 2014 you were flushing away ~$247 / mo on interest for your financed vehicles now you're flushing away $500 / mo on interest for your financed vehicles doubling at this rate I estimate some time around 2037 you can have achieved your goals and be giving literally all of your income to some bank on interest to service debts incurred to buy poo poo you impulsively financed okay thanks for reading later
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Jun 19, 2019 18:48
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April posted:And I forgot to point out that his "frugal" trip around the US has him 70k+ in debt now. at least he didn't ~*throw money away on rent*~!
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Jun 19, 2019 18:52
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guys stop poking fun he can start the charity after he's a millionaire from his brilliant plan of *squints* spending 10% of his annual income on interest for financed depreciating assets
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Jun 19, 2019 21:40
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BFC trainwrecks KG is doing worse than: Cornholio Slow Motion Zaurg BFC trainwrecks KG gets to sneer at: Blue story maybe
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Jun 20, 2019 14:30
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KYOON GRIFFEY JR posted:You need to stop thinking about buying a house and you need to start focusing on getting out from under the absolutely stupid amount of consumer debt you took on because you tried to run from your problems. You need to have a better understanding of the risks you have embraced thoughtlessly so that you can correctly price your options. Risks you have right now: - Income can no longer support payments on your RV, you lose your RV which is where you are living right now, and your credit score will take a substantial hit further delaying your house goal. You'll have to pay a bunch of money to rent some place anyway on a shorter timescale with fewer options. You get nothing for what you've already paid into the loan when the RV is repo'd. - Income can no longer support payments on your truck. You lose your truck, will have to incur a multiple thousand dollar expense to replace it. You get nothing for what you've already paid into the loan when the truck is repo'd. - You get caught living illegally and have to move. You're back to RVing and its attendant expenses, or rent on not your own terms. You probably are paying a big fine. You probably cannot afford it. Because you don't think about risk healthily (see: all your loving consumer debt), you are choosing to do these high risk things because there's more immediate gratification in them and you are telling yourself these risks won't materialize. Move into the loving apartment already.
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Jul 2, 2019 16:11
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Knyteguy posted:So we cut about ~$320/mo in recurring garbage (to be safe I'm saying: we did add rent so it's not a net positive here). You cut $320/mo that's doing very little for you and are spending an additional $1490/mo for something that will do substantially more for you. Yes, your recurring cash flow month over month will include net $1170 higher expenditures. But that spend is predictable and quasi-stable and it doesn't carry the same risks that your current "non-spend" arrangement carries. Moving out of your Mom's back yard is avoiding as-yet unmaterialized costs. If you got popped for living there illegally how much would it cost between fines and whatever new living situation you have to establish? How much would you impulse spend on top after getting totally stressed out, and after making questionable decisions on Reno's time frame instead of your own? How long does it take for that $1170/mo to catch up? You like to talk about spending money to make money, this is one actual case where you've actually committed to doing it, and you aren't recognizing it as a net positive for your long term finances. That's a skill you'll need to cultivate with time if you want to ever follow any of the high level goals you've talked about in the past. Knyteguy posted:Let me ask you guys this for some perspective. What would a successful month look like to you? What would a successful thread look like to you this time around? For you a successful month would be one where you make a plan about your money before the 1st of the month, and you execute it fully, and you leave yourself in a position to execute a similarly effective plan the next month. You actually pay down your frivolous consumer debts, and do not incur new ones. You stay within your budgeted spend across all categories. You free up more of your income that is currently being used to pay interest to a bank to dig yourself further out of debt. A successful thread for you would look like: You eliminating all of the expensive and needless risks that you've currently embraced, and becoming worthless; $0 net worth. That's how bad you're at right now: being worthless would be an improvement. Dwight Eisenhower fucked around with this message at 15:36 on Jul 3, 2019 |
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Jul 3, 2019 15:30
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Knyteguy posted:You seem to have your head on your shoulders (and read/comprehend the thread, thank you) and as tempting as it is to I'll briefly suppress the urge to abuse you, in pursuit of useful communication: I can read this response in one of two ways. - Hey, yeah, I do sometimes make bad financial decisions when stressed, and my illegal RV situation may end up causing me a lot of stress, so spending money to avoid that pit-fall is maybe a good idea. - Sticking to an aggressive budget will stress me out so much that I lose self control and end up making bad financial decisions from being stressed, but I can try it. I think it's the former. Which do you mean? Also regardless if it's the latter, nothing in my "success criteria" said your budget was aggressive. Just that you made a budget, and you followed that budget. Your self control is really not the place for you to lean on right now. I think it'd be best for you to build the habit of following a budget first, and then work on making that budget one that achieves your long term plans. That's not to say do only one, or only the other. It's just advice on how to prioritize.
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Jul 5, 2019 15:01
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the gently caress out of this, I've tried that and failed at it. I can do that for a few months for sure, like I did in the last thread, but it's non-sustainable and this isn't a few months type of problem. I constantly talk outside of the internet about insanity being trying the same thing the same way and expecting different results, and I know everyone is like 'oh you're spending money sure jumped on that quick', but this was something that started pre-thread.
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A note on a useful way to frame your perceptions: - Having a plan and acting in the present in accordance with the plan: pretty good - Had a plan, completed the plan in its entirety: much better A monthly budget is a plan for the month. Until August 1, you don't know how well you're doing on your budget in July, because you haven't gotten out the other side of the time span the plan covers. The double edges of this are that you aren't succeeding just by staying within the budget within July, and that if you come out on or under budget in August you've succeeded well.
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Jul 7, 2019 14:29
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FWIW I think that quitting smoking is a net good idea. IF YOU CAN, doing it cold turkey and not buying smoking cessation products will be the least costly way to quit. But remember that we're making strategic decisions to also manage your Imp of the Perverse: when things get stressful, you turn to spending as emotional relief. Quitting cold turkey is insanely stressful. Here's a plan that acknowledges and plans around your difficulties with behaving according to your higher level plans: I (Knyteguy) will try to quit smoking cold turkey right now since I don't have nicotine paraphenalia. I will research what other no-monetary-cost options are available to me right now (support groups, exercising when cravings get difficult) I will research what smoking cessation products are available to me on short notice. I will think about my thought process that entertains things that I could spend money on. (Not deliberately think about spending money, but be mindful and a) catch yourself doing it, and b) start analyzing why you're doing it) I will think about my current level of stress. If I have a lot of stress, and I'm thinking about buying things, I'll think about buying smoking cessation products.
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Jul 10, 2019 13:53
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Knyteguy posted:It's absolutely amazing to me how much stuff we managed to live without. The apartment should be pretty tidy considering we're not taking the majority of the contents of the storage unit. Of things to internalize during this transition, this one's really important. Maybe print out that particular part of that particular post and tape it to your bathroom mirror so you look at it every day. Maybe just contemplate it. Maybe write it on the side of a tazer which you taze your balls with when you want to buy some poo poo. But understanding, and truly internalizing all the stuff that you can live without (and the attendant costs of acquisition, storage, and maintenance they imply) will make your goals to save money and dig out of debt way easier to reach.
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Jul 25, 2019 13:36
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Knyteguy posted:I'm already there for the most part, but I'll try to keep it in mind. Living in something like 120sq/ft taught me some of the joy having less stuff can impart. No you're not. You might be on the way, but you're not there. Here's how I know: Knyteguy posted:Things I'm considering selling: You paid a storage company money every month in order to store these things that you weren't using and still cannot use today having recovered them from the storage unit. And you're not 100% certain about selling them. These are things that have carrying costs that you're not in the position to afford right now. How many square feet did it take to store the drum set? How many square feet did it take to store the dirt bike? How many square feet were you renting? This isn't hard math to do to look at just how much it cost you to store these things. It adds up month over month. And believe me I empathize because I want to motorcycle with my son when he's older too. But I also understand that he might not think it's cool, or might be uncomfortable with how dangerous they are, or otherwise just not be wired for it. I definitely wouldn't incur carrying costs on a dirt bike on the possibility if I'd put myself in the debt situation you put yourself in. If you sell these things and put it into debt, you'll be recovering interest payments that much sooner, and will be well situated to engage in these things with your son when he's older in a way that isn't financially undermining you. You know, with a paid off motorcycle and a garage that you store it in, like that rear end in a top hat president poster in BFC.
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Jul 25, 2019 22:42
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I disagree that taking them to Guitar Center and getting a poo poo price for them is necessarily a bad idea. KG's motivation to liquidate stuff is poor and liquidating it for more than GC will give is gonna cost more time and energy. It's substantially likely that instead of doing the work to sell the stuff, it doesn't get sold before he gets out of debt. (And doesn't get sold full stop). Consequently that $300 bucks of ripoff cash that could be applied to debts not being available is directly incurring interest at the worst interest rates on debts on the paydown plan. Going off dates from KG's apartment / rv comparison, his debt paydown dates on his plan are: RV paid off Feb 2020 Truck paid off August 2020 Student Loans & Credit Cards paid off November 2020 The interest rates on these debts are: RV: 17.75% Truck: 5.62% Other: 6.55% listed max. Credit card debts are probably closer to 11 or 12%? $300 borrowed at 17.75% from here to February cost $31.06 $300 borrowed at 5.62% from Feb to August cost $7.025 $300 borrowed at (let's say 10.5% for credit cards) from August to November costs $7.875. So, if KG can liquidate today and put the drum set money directly to his debts today at $300, he's financially ahead of dawdling and not getting it sold until next November at $345.96. If he can get more private party, more is better, but holding onto this poo poo he doesn't need with the debt costs and doing the math on how much that debt costs clarifies how it's beneficial to take it to a dealer and get low balled instead of holding onto it the whole time. The question marks are how much he'd get for the low ball offer from a dealer, and how much he could actually get private party, but after you get the lowball offer it's easy enough to do the math, list it for a week at the breakeven price, and if it doesn't sell, take the lowball offer. edit: I wrote this concurrently with KG's idea of listing and dropping prices $100 / week. That's a good plan too! I'm not invested in these being sold at ripoff prices at a dealer. I am invested in them actually being sold and the cash being put toward debts. Dwight Eisenhower fucked around with this message at 15:34 on Jul 26, 2019 |
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Jul 26, 2019 15:30
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Knyteguy posted:So far we're looking at, as a budget difference summary for now and next month: I just want to call out this bit and emphasize it so you dedicate some more mental attention to it. When you're living paycheck to paycheck and you have to make interest payments to credit card companies, it's decreasing your net cash flow and net slack in your financial health. When your income is grossly outsize to your spending, you have more slack and more wiggle room. Right now your slack is coming out of one-time sources: 3 paycheck months are about a 2x / year thing, and the refund from the apartment is only gonna happen as often as you move apartments. The slack you have in August is something you can have every month when you're out of the hole, and it will make your life less stressful.
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Jul 31, 2019 15:34
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Yes don't look at balances when a recession hits. No don't put too much weight in people saying a recession will hit this year, or next year. People have been saying that since 2015 enthusiastically. Some of them have pulled their money out of the market and surrendered all the growth in their investments that those 4 years entailed.
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Aug 1, 2019 14:48
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KG we can figure out if a refi is worth it by doing some math. Your interest rate on your RV is 17.75% Your current balance is $17,789 Your anticipated paydown is done in July 2020 You are going to pay down $1617.18/mo plus interest. You need to pay down 1,763.92/mo amortized over the next 11 months (inclusive of interest). You will pay a total of 1,617.12 in interest over the next 11 months if you stay at or ahead $1763.92/mo. With a loan fee of $1190 in finance related charges, any further financing costs in excess of $427.12 will be a net loss to staying with your current loan. To only incur $427.12 in interest on this same loan you would need an interest rate of 4.77% or better.
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Aug 26, 2019 03:22
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Knyteguy, are you upping these categories next month, and then returning them to where they are now? Or are you upping these categories next month, and leaving them at the upped values?
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Aug 27, 2019 16:43
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Knyteguy posted:I'll answer questions, but I want to answer this one real quick, with the note that we don't have a club membership (the thread advised me against it). I shopped price/oz at Walmart for these things, and pet food for example was drastically cheaper. If pet food is cheaper to buy in bulk, you will spend more dollars when you spend, but the pets are eating the same amount of food per day, so you will be spending less money month to month because the bulk pet food is cheaper, right?
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Aug 27, 2019 16:53
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Okay, you want a plan with enough slack in it that you'll succeed. I think that's prudent. There's a legitimate concern that increasing the budget amounts means you'll also increase your spending commensurately, because it's budgeted. Based on what you've said you will save money on food but will increase spending on veterinary care. How much are you saving per bag of food? How many bags of food have you gone through a month pre-bulk? How much bigger is a new bag of food compare with an old one? The answers to these questions inform how much money you expect to save a month buying bulk. That coupled with incurring (justifiable) increased veterinary costs gives an expected change in Pets spend, which is where the budget number should be within a month or two. I'm just picking on Pets because it's a place where you're trying to make a change to economize by buying in bulk, and want that decision thought through past "bulk is lower price per pound".
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Aug 27, 2019 17:17
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Knyteguy posted:So it sounds like pets should stay about the same? ($120 -> $150 was the adjustment). For September though we'll need that medication and that will cost that about $50. We haven't had a 3 month pet average like this for like 2 years. It's driving me crazy. I agree, based on your estimates, the net budget should be the same per month because the bulk purchasing will offset the increased veterinary costs. You have to frontload those bulk purchase costs at some point, so that means you do some month where the total Pets spend exceeds your average in order to bring down the average after that month. Your budget has some flex room in it so increasing categories to frontload costs to get savings is reasonable. If you put money in Savings then pulled it from Savings and put it in Pets there's no magic number of spreading the cost over N months is good and <N months is bad. If you can still meet your targets then increasing this category for September and then dropping it when your frontloaded costs start saving is reasonable. That said, you're ballparking info that I think if you spent time tonight on you could get crisp about. You use YNAB so I think you probably have the spending for Pets categorized in it? This is discretionary but it can validate your estimate of where you should be. If your spending is violating your expectations for several months at a time that's worth paying extra attention to. Why is the spending not consistent with your plan? What behavior modifications can you make to realign it (in addition to changing up and buying in bulk)? Can you amortize these costs so that when these intermittent costs hit they're coming out of surplus that has been going into Pets continually to meet these excesses?
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Aug 27, 2019 18:01
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Inept posted:Make vape junk its own dumb category so you can see how much you're wasting on it each month as you start using it more again. Hiding it in discretionary makes it easier to justify. I agree with this. I almost never think that advice on categorizing budget is useful, but this piece is, because a budget is a tool you use to plan and to shape your future behavior, and tracking the vaping costs discretely is absolutely worth doing. There's an argument to be made that if you budget for vaping you'll spend on vaping, which I think has merit. So consider budgeting money to discretionary, and then, when you spend it on vaping, categorize the spend as vaping and pull the money from discretionary and put it into vaping. That way vaping is discretionary spend, but it still has its own price tag attached.
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Aug 29, 2019 14:39
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If things were going well it'd be nice to hear that. The last time KG dropped off the forums he encumbered himself with ~$80k of frivolous consumerism debt that depreciates faster than the interest on it.
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Oct 8, 2019 15:56
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YeahTubaMike posted:Only because he didn't have time to wear out his welcome KG has been failing for multiple years, just like zaurg. They've both exhausted sympathetic energy from many, maybe most BFC posters
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Jan 24, 2020 15:23
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WobblySausage posted:Yes, and thanks. I recommend you look into this more. Your total student loan balance at thread start was $3174.47. It is $3692. That's $517.53 that you apparently owe creditors that you do not have a proper accounting of over the life of this thread, which opened in June 2019, not even a year and a half ago. If you made a transcription error you should figure out what you loan balances actually were at the beginning of the thread and see how much progress you've actually made on your student loans since June of 2019. If you did not make a transcription error then the interest is outpacing your payments and you need to get on top of these student loans quickly. You owe 16% more on these than you understood yourself to owe on them 16 months ago. In either case you need to look at statements and determine what's happening.
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Oct 5, 2020 15:19
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