Let's see if the numbers look anything like what I projected last year:
Debt: -$46,733
Assets: $9500 cash
Graduating net worth: $-37,233!! That's amazing!
Now I know that's still completely a red number and there's a long way to go before I pay this off. But with an annual take-home income of $36,000 in R1 and probably $41,000 in R2, it looks like at least I will be on track to get rid of this in two years. Not bad.
The really surprising thing is that I did all this without making too many changes to my standard of living! I attribute this success to the following:
1. Living at home.
2. Virtually never eating out.
3. Not owning a car - taking public transit everywhere.
4. Not having an expensive phone plan/clothing expenses/gym membership/ANY real expenses at all.
At the same time, I travelled, a lot. This last year I lived in 7 cities each, for more than 1 month each. And I did it mostly on someone else's dime. I travelled to 15 countries in North America, Asia and Europe. And all of this doesn't make a dent in my budget. :) Let's keep this up!
I'll be moving to the other side of the country in July and will no longer have the comforts of a cost-free lifestyle. However as I've done before, I think I can keep my expenses down to a minimum and achieve the following:
First year payment: $26,000
Debt balance at end of Year 1: $20,733+$1000 interest = $21,733
Second year payment: $21,733
Debt balance at end of Year 2: $0
In sum, things are looking up! Let's see how this pans out!
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