Personally, I’m loving my rookie mistakes. They really make me rethink and re-evaluate what I’m doing and my ownership over something this big. I mentioned in a previous post that I used my income tax return to help in moving apartments, but completely left it out of my initial plan breakdown. I began asking myself, “Should I factor my tax return into my goal of finding $10,000 in a year?” and, “What about my holiday bonus?”
Ultimately, I decided NO.
Bonuses and tax returns are variable income. You can’t rely on them as they are not 100% guaranteed to you. As we learned earlier, we should be estimating income low and debt high. However, when and if these variable incomes happen, I do plan to throw them at my debt 100%. Initially, I had decided on a savings account but through some mentoring I came to realize the sooner I get rid of the this debt, the better. I can focus on a savings account when If finish taking care of my debt. End of story.