I have never liked to carry a credit card balance that is more than I bring home with one paycheck. Through most of our lives together, GPop and I have managed to keep reasonably comfortable with that rule. Last year, however, our furnace and AC went bad right after we'd bought a new car. Oops - sorry, budget.
We've been carrying a balance for about 11 months. It's been a little stressful on me, because I'm imagining flood, fire, invasion, etc., due to floating this balance. I'm happy to say that I just initiated an online bill-pay transfer to zero out our credit card balance.
I have a couple of financial goals now.
- Six month emergency fund. I want to be able to have enough to pay the mortgage for six months if something were to happen to one of our jobs. I'm thinking about putting that money in six-month CDs, so I can get to one month of emergency funding each month, if necessary.
- Son's college fund. The odds are god that Son is going to attend college, and I want to be able to fund a good portion of that.
- Pay off the car loan faster. Get that monkey off my back, too.
- Pay off the mortgage sooner.