Sure, it’s not really anything particularly top secret, just a matter of actually breaking things down appropriately. If the OP would like a handy place to do it, I’d suggest Page 4 of the IRS 433a. Income goes on the left, expenses go on the right. For things that change monthly (electric bills, etc.), just average the last 3 months.
For me though, there are things that wouldn’t readily go on there that I spend monthly, but this is a good starting point. Use this as a base, then open a spread sheet and add all your monthly expenses.
Maybe the OP does have $160 after all is said and done, but it’s just tied up in somewhere she doesn’t realize. Or maybe she doesn’t, but now she’ll have proof of that.
I just want to stray off topic for one second and say that in many circumstances a judgment can be dealt with via bankruptcy. Not always the case, but I don’t want anyone misled by the above statement (which is pretty accurate as to the student loan part).
This probably depends on the exact loan program, but it’s not true in my case. I consolidated subsidized Stafford and Perkins loans, and they’re now deferred while I am in grad school. I do recall a letter that listed some benefits that I would lose by consolidating, but they weren’t benefits that were relevant to me. I think I lost something like a chance to have some of my loans forgiven if I teach in low income schools, or something like that… But the deferral and forbearance terms still apply.
When you’re talking about consolidation, that’s getting another loan to pay off these two and combine the payments, right? Would I do that through the original loan people or through a bank?
And I agree, I need a better job. Hence my including the part about applying for at least a couple of them a day for the last four months.
The Feds do it. If I were you, I’d check with them first. I did it a number of years ago and they were quite decent to me about forbearances through a period of reduced income/crazy medical expenses.
So that Renaissance Literature degree came in handy? Helps to study Machiavelli, eh?
Seriously, jokes aside, smart and capable organized people will tend to succeed whatever they learn. Learning a technical trade or profession can help (or sometimes hold you back), but management is not usually something you can learn, it’s an aspect of character.
OTOH, I’ve had really bad bosses, both technical and not, whose sole capability was sucking up to superiors.
In fact, in personam liability for a judgment is typically discharged through bankruptcy automatically unless the creditor takes steps to enforce it. Even student loans can be discharged in bankruptcy under very limited circumstances.
My sister-in-law is currently going through some financial woes, so I’m familiar with this sort of activity. Like Diosa said, she’s put together a spreadsheet that lists her income and every bill she has. Then we went through and thought of every sort of expense she would have - everything gets a category. Groceries, smoking, her dog, car insurance, hair cuts, car maintenance - everything. Pay close attention to those things that you might not pay every month (vet bills, insurance) to make sure they’re accounted for. Try as hard as you can to think of everything, even the smallest expense. (She’s at the point where every penny counts. Literally. She bought a book for $5 the other month that threw off her budget to the point where she spent the next two days tracking it down.)
Then she took a look at what she could cut. Grabbing a quick lunch from the deli during the workday? Not any more; she packs her lunch. Smoking? Cut back, and switch to a cheaper brand. (She’s also looking into quitting, even though that’s its own hard road to walk down.) Phone plan? She’s in a contract right now, but she contacted the provider to see if there was any way they could work together to reduce the bill. As soon as her contract’s over, she’s going to drop to the lowest plan she can get, or possibly ditch the cellphone all together. She takes the bus to work, and is thinking about selling her car. She’s sold a bunch of other stuff that she doesn’t have a use or place for. She’s totalled up every bill and looked at how she can pay them off using the “snowball” principle.
It’s pretty hardcore budgeting (way deeper than what I do), but she’s found lots of places where she can save. She’s got a long, long way to go, but it’s pretty impressive what she’s already done. It does take a long, hard look at your current lifestyle choices, though.
“All we NEED is a pair of pants and 2 pair of underwear; and a shirt if you’re female. Oh, and boots if it’s winter. Everything else is optional.”
Which is basically true. It’s amazing how much we pay for that can be skipped if the money just is not there. The best time to realize the money is not there is before it becomes an extreme negative number.