January 2014 Debt Repayment Update

Good morning, blogging friends!

So… the first debt repayment update of the year. Could I be more excited to share the numbers? πŸ˜‰ Most of you know that debt repayment updates are my favourite types of posts. After all, this is what I am here for – to document my journey to debt freedom and share my progress.

I have previously mentioned that my January debt repayment will not be as impressive as it has been for the last six months. I have celebrated my 30th birthday with my family and spent a lot of cash in just five days (it felt awesome, by the way πŸ˜‰ ).

I have still got two birthday celebrations to budget for: one in Istanbul with my mother and one in London with my friends. The company I work for paid for my flights to Istanbul for five days which is great, but I still need to pay for our accommodation in Istanbul and it’s not going to be cheap (I am budgeting for a 5* hotel since this is where I will be on the day of my actual birthday and it hasΒ  to be awesome). I have already taken care of my spending money – luckily, I have received generous birthday gifts from my family, mainly cash since this is what I have requested.

I am also throwing a bit of a birthday party in London with my two very close friends in attendance when I get back from Istanbul. I have booked a room in a lovely hotel in Knightsbridge using my points so technically I have not paid for it in cash (although I could have converted my points to cash, oh well). I will arrange for champagne in the room or in the lobby bar before we head out to dinner – I have a table booked at Mari Vanna, the best Russian restaurant in London (you all remember I am Russian, right? πŸ˜‰ ). I still need to find a dress for this occasion but I am not planning on spending much on it. I may actually dig out an old dress, but really how acceptable is it to wear an old dress to your big birthday dinner? I am not sure.

All in all, I have budgeted Β£1,000 (not including gift money) for these two birthday parties. This may seem like a lot, but I am happy to spend this money celebrating my big 30. All in cash too which makes me less anxious to spend πŸ˜‰

Anyway, enough about my birthday. Here are the numbers for January –

Debt #1

Paid off in full in December 2013!
No more credit card debt!

Debt #2
End of December Figure -Β£8,210
End of January Figure -Β£7,795

Debt Total
End of December Figure -Β£8,210
End of January Figure -Β£7,795

I have put a total of Β£525 towards my debt in January, including interest. This converts to approximately 865 USD and 960 CAD. Although this is not nearly as much as I put towards debt in November or December, I am still very happy with this amount and I am very grateful that I am able to still make an overpayment AND have not one, not two but threeΒ  birthday parties. Really, I am not allowed to complain!

In the next four weeks I have budgeted a total of Β£40/w to spend on groceries and personal care/make up items. This budget is separate from my birthday budget. I want to make sure I don’t spend more than Β£40/w so I have decided to try “envelope budgeting” (is that what we call it?). I will take Β£160 out of my bank account and divide this amount between four envelopes (Β£40 in each envelope). In one given week I will only spend money from one envelope; this is also where I will keep any change. My grocery bill should not be big in the next few weeks as I am trying a new mono-diet; I want to look my best in my birthday pictures and eating a lot in the next two-three weeks is not part of the plan! I am still exercising daily… okay-okay, I may have skipped yesterday’s workout and had a glass of champagne after work with a friend. I have to say, I loveΒ  working out. I love to see positive changes to my body and I feel oh-so-good after a great work out. I also want to try doing yoga at home (one of my goals for February).

Next week, I will be reviewing my 2014 goals. I know I have said I will write a review every 3-4 months, but there have been (and will be) some changes and I’d like to write about them.

This is it from me. I hope you all have a wonderful weekend! Please share your January debt repayment/savings progress in the comments below. πŸ˜›

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20 Comments

  1. Wow that’s quite the extravagant celebration of your 30th! It’s awesome that you have the cash to pay for it though, so no harm done. You still managed to put a lot toward your debt, which is great!

    My January savings goals worked out pretty much as I planned. Good luck in Feb!
    Jordann recently posted…How Being a Young Professional > StudentMy Profile

  2. Your 30th birthday celebrations sounds awesome! If there is ever a reason to spend some cash and treat yourself, it’s for the bug 3-0!
    I turned 30 in Jan 2013 and spent the weekend in Melbourne – my fav city in Oz πŸ™‚

    My starting debt in Jan was $6184.34AUD on my personal loan and finished with $5925.05AUD so fairly small difference of $259.29 , although I did make additional payments onto of my scheduled amount. My total amount of repayments was $343.00 so the extra was sucked up in interest πŸ˜‰ boo!

    Good luck with your Feb goals and have a fabulous celebration!!

  3. Happy many birthdays πŸ˜‰ Sounds like you’ve had a great time set up, and lots of celebrations.

    My month was good – I put $1315 towards debt, but after interest it only decreased by $1150 after last month. I will definitely take it as a win, but man do I want that interest gone quickly πŸ™‚
    Alicia recently posted…Financial Update – January 2014My Profile

  4. Eva, I think it’s great that you’re really having a great time for your birthday – sometimes we just gotta celebrate and spend some cash. πŸ™‚ $40 for the next four weeks for groceries – super impressive!! Do you know exactly what you will be eating? I’d love to get our grocery budget down more.
    Laurie @thefrugalfarmer recently posted…What Do You REALLY Want?My Profile

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