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Steps to Escaping Debt SlaveryToescapedebtbondageitisnecessarytothinkinanewway.Thisfollowingarethestepsto
doingthis.
Learnthevalueof:
• Trackingallincomeandexpenses.• Havingallyour=inancialfactsononeforminfrontofyou .
• Having a spending plan.
• Establishingclearprioritiesandpayinghighprioritydebts=irst .
• Savingforemergenciesandfuturemajorexpenditures.
• Spendinglessthanistakenin.(Theonlypathtowealth.)
Exploretheop2onsandwaysto:
• Reduceandeliminatedebts.
• Increasehouseholdincome.
• Decreasehouseholdspending.
• Consistentlymaketimelymonthlypayments .
• Avoidincurringmoredebts .
• Eliminateorreducethenumberofcreditcardsandlinesofcredit .
• Restructureexistingdebts.
• Legallystopcollectionharassment.
• Trackallincome,expenses,anddebts.
Step 1: Get the facts on paperGettingeverythingonpapercreatesanessentialandpowerfultooltogetoutof
debtandonthepathto=inancialstability.
The Income & Expense form is crucial to track money, guidespending,andrevealtheamountavailabletopaycreditors.Itisalso required to determine eligibility to participate in aDMP(DebtManagementPlan)or=ilebankruptcy.
Whatisnecessarytogetstarted?
• Income & Expense Form. (This and the formmentionednextcanbefoundatwww.thefrugalprosumer.comorattheendofthisworkbook.)
• CreditCardandOtherDebtsForms.
• Lasttwopaycheckstubs.(Forincomenumbersandpayrolldeductions.)
• Recentcreditcardstatementsandpaperworkforanyotheramountsowed.
• Bills,statements,andotherrecordstohelpdetermineexpenses.
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• Awillingattitudetomakelong-termchangesinsteadofshortterm‘band-aid’=ixes.
CompletetheIncomeSec2onoftheIncome&ExpenseForm
• Frompastpaycheckstubsrecordincomeanddeductionswithheldeachmonth.
• Includeincomefromallfamilymembers.
• Allmiscellaneousincomeshouldbeincluded.(Cash,parttime,sidejobsetc.}
• Possible changesinincome,suchasslowdowns, layoffs, overtime, andothers thatcouldaffectfuturepaychecks,needtobenoted.
CompletetheInves2ng/Savings
• Youmaynothave muchto put inthisspacebut startthinking abouttheseareas for thefuture.
CompletetheAssetInventory
• Thismustbeaccurate.Theinformationisvitalfordeterminingaplanofactionandpossibledebtrestructuring.
CompletetheHousing,Vehicle,andLivingExpensesSec2ons
• This is not thetimeorplacetomakejudgmentsorsuggestionsabouthowmoney shouldhavebeenspent.
• ThehouseandvehiclepaymentsareincludedhereNOTontheDebtForm.
• Some of the =igures will change from month to month. Do not get hung up on exactnumbers.Thegoalistobecon=identthateverythingisincludedandmoveon.TrackingallexpensesforamonthormoremaybenecessaryforaccuracyandtomakeaPlanofAction.
• Chooseamethodtotrackfutureexpenses.Useamethodthatworksfor you:Paperledger,envelope system, or computer spread sheet or program. Quicken or Microsoft Money arepopularprograms.
CompletetheCreditCardandOtherDebtsForm
• All debts, payments, interest, and amount owed must be included. DO NOT list homemortgageand vehicle debts here. They shouldbe recorded in the Income and ExpenseForm.
• Arecreditcardsstillbeingused?
• Didyouforgetanydebt?If=ilingforbankruptcy,anydebtsnotlistedwillnotbedischarged.
• Taking the total debt owed and dividing it by the number of years it
has been accumulating will give a rough idea of how much is
beingoverspenteachyear.Thisisalsoagoodwaytodetermine
ifallexpensesareaccountedfor.
Step 2: Prioritize and Debt TriageTriage is used in emergency medical situations to sort out the
patientsthatwill livewith somehelp, thosewhowill surviveeveniftheydon’tgethelprightaway, andthosewhowilldienomatterwhatis done. Because every situation is unique, the order inwhich billsshouldbepaidwillvary.Thiswilldependonindividualcircumstancesandgoals.However,thefollowingmustbeconsidered:
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-TOPPRIORITYBILLS-
• Family necessities: Food,shelter, utility,andessentialmedicalexpenses. Therearewaysthese expenses can be kept to a minimum. Our other publications and website atwww.thefrugalprosumer.comcoverwaystodothis.
• Housing related bills: Mortgage, real estate taxes, house insurance, or rent payments.Failuretopaythesecanleadtohomelessness.
• Utilityservices:Paywhatisessentialtokeepthemconnected.
• Carpaymentsandrequiredinsurance:Especiallyifthecarisnecessaryforwork.
• Childsupport:Includepastdueamounts.Nonpaymentcanresultinseriousconsequences,includingprison.
• Securedloans:Wherelosingthecollateral(whatyouputupaspledgeifyoucan’tpay)willcauseunduehardship.
• Incometaxdebts: Thegovernmenthasdebtcollecting rightsthatothercreditorsdonothave,particularlyifyoudonot=ileyourtaxreturn.
-HIGHPRIORITYBILLS-• Studentloans.Ifdelinquentinthese,itmayresultinseizureofyourtaxrefundsanddenial
ofnewstudentloansandgrants.Federallawallowsthesespecialcollectionremedies.Gotowww.thefrugalprosumer.comformoredetailedinformationonstudentloans.
• CourtJudgmentbycreditor.Thismaymoveadebtupinpriority.Thecreditorcanenforcethat judgment by asking the court to seizecertainproperty, bankaccounts, and garnishwages.Theseriousnessofthisthreatwilldependonstatelaw,propertyvalue,andincome.Ifallpropertyandwagesareprotected, thisdebtshouldbepaidonlyaftermorepressingobligationsaremet.
-LOWERPRIORITYBILLS-
• Unsecuredloanswithoutcollateral. Most credit carddebts, attorney, doctorandhospitalbills, debts to professionals, open accounts with merchants, subscriptions, and loans tofamily or friends. Unless they obtain a court judgment there is very little they can dobesidesstoppingservices,reportingtothecreditbureauandkeepon“harassing”.Readourcounselingmanualtoknowwhatyourrightsareandwhatlawsifanyarebeingbrokenbydebtcollectors.
• Loans with only household goods as collateral. Creditors rarely seize household goods.Theyhavelittlemarketvalue,it’shardtoseizethemwithoutcourtprocess,anditistimeconsumingandexpensivetodoso.
Thechoiceofwhatdebtstopayshouldbebasedonwhatisbestforthefamilynotwhatis
bestforthecollector.Debtcollectionorthreatstoruinonescreditrecordshouldnevermoveupadebtpaymentpriority.
Cosigneddebts
Ifmoney is owed because someone defaultedon a debt you cosigned for, it should betreatedthesameasyourowndebtandprioritizedaccordingly.
Ifothers havecosigned for you and you are unable to makethe payments, you shouldinformthecosigneraboutyour=inancialproblemssincetheconsignerwillthenhavetomakethepayments.Themajorityofcosignersenduppayingthedebt.Thereasonaconsignerwas
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requiredinthe=irstplaceisbecausethecreditorknewtherewasaveryhighlikelihoodthatthedebtwillnotbepaid.Ifyoufeelyouhavetocosignforsomeone,just givethemthemoney,itwillcauselesshardfeelingsintheend.
Step 3: Exploring SolutionsThesolution to solving =inancial problems is very simple: Increase
incomeordecreaseexpenses.It’stheimplementationofthisthatissodif=icult. The responsibility to change falls on the shoulders of thepersonindebtnotsomecounselortellingthemwhathastobedone.Theroleofacounselorandthis bookletis tomakethedebtorawareoftheoptions,tohelpevaluatetheseoptions,andtocomeupwitharealisticplanofaction.Thefollowingarethingsthatneedtobeconsidered.
Stopthe“bleeding”
Togetoutofdebtyouhavetostopthebleeding.Thismeans:
• Stop spending.While trying to get thingsunder control, declareaspendingmoratoriumanddonotpurchaseanythingexcepttheabsoluteessentialsyouneedtosurvive.
•Stopborrowingmoney.Youcan’tborrowyourwayoutofdebt.
• Stopusingcreditcards.Useonlycashorwriteacheckonanaccountwithadequatefundsforeverypurchasemade.
Lookforwaystoincreasetake-homepaybyexploringthepossibili2esof:
• ChangingthewithholdingsonyourW4toincreasetake-homepay.
• Increasingworkhoursbyworkingovertimeoratasecondjob.
• Encouraging others inthe familyto workorcontribute. Childcare, cleaning, paper route,etc.
• Takinginaboarder,roommate,orrentoutaroomorgarage.
• Collectinganydebtsowedtoyou.
Checkoneligibilityfor:
• Special tax credits suchasreal estate taxcredit (calledHomesteadCredit inWisconsin),EarnedIncomeCredit,childcare,oreducationhelp.
• FoodStamps(FoodShare), WIC(in Wisconsin), school lunch, FoodBank, orEmergencyFoodAssistance.
• Loworno-costhealthcareSuchasBadgerCare(inWisconsin),Medicaid,orSeniorCare.
• Reducedmedicalorhospitalbills.
• Utility,homeenergyassistance,andphonebillassistance.• EmergencyprogramsattheSalvationArmy,churches,woman’sgroups,etc.
• SocialSecurityorSSI(SupplementalSecurityIncome)orotherdisabilityhelp.
• Unemployment(iflostjob)orWorkersCompensation(ifinjured).
• Veteranbene=its.
• Childsupport,alimony,propertydistribution,debtpaymentassistance,etc.
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Lookforwaystoreduceexpenses:
• Movetoasmallerorcheaperplace.
• Re-evaluatehome,auto,andlifeinsurancedeductibles,coverage,anddiscountsavailable.
• Reducephone,cable,andInternetservices.
• Reduceutilityusage.Basicallyutilitiesarecreditcardswithoutthecards.
• EliminatePMI(PrivateMortgageInsurance) .
• Buyusedorsecondhand.
• Stoporreducespendingonvacationsandgifts.
• Evaluateschoolexpenses.
• Reduce number of automobiles owned. Sell or get rid of second vehicle, use publictransportation,replaceexpensivevehicleforcheaperusedone.
• Changepayrolldeductionsortemporarilyeliminatethem.
• Determinewhether adult children or others living in the home cancontribute more or
moveout.
Lookforwaystobringinextracash:
• Sellassets.Home,land,vacationproperty,vehicles,boat,camper,sportsequipment,etc.
•Tapinto someofyour retirementmoney. (Thisisusuallyabadidea.)
•Stopcontributingto401ktemporarily.Dothisreluctantlyifyourcompanycontributesamatchingamount . Cashingouta
401kwillusuallyincludepenaltiesandtaxliabilitiesthatcanreducetheamountthepersongetsbyhalfontopoftheloss
of future earnings. If retirement is not far off, cashing outretirementbene=itsmaybedisastrous.
•In general, using savings or other assets to pay off lowprioritydebts isnotagoodstrategy.Ifnecessary,it isbestto
useit asa lumpsum payment whencreditorsoffersettlements. It is more important tohaveanemergencysavings account than a credit card. You are not required to tell billcollectorsaboutyoursavingsnorisitagoodidea.
Lookforwaystorestructuredebts:
Byloweringinterestandorpayments.
• Re=inancethehouseorcarifthereisenoughequityinthem. But thisoptioncanbe verydangerousandformostpeoplemakesthingsmuchworse.Bythetimetheyseekouthelpmany have already done this and much to their dismay =ind they are now in a worsesituationthanbeforebecauseofit.
WARNING: Debt consolidation does not eliminate debt. It is only a short-term
solutionthatcanattimesmakeiteasiertopaydowndebt.Inmostcasesitshouldbe
avoidedasitcandigoneintoaholesogreatitisimpossibletogetout.
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• Transferdebttoacreditcardifalowerrateisanoption.
• Takeoutalowerinterestbankloan.
• Borrowfromfamilyorfriends .
• With therightcircumstancesa debtmanagement planwithacounselingagencycansave
lots of money. Be aware that consumer credit card counselors are in reality debtconsolidatorsandgetpaidbycreditcardcompanies.Thepotentialforabuseishigh.ThoseassociatedwiththeNFCCorganizationandtheUnitedWaytendtobemorereputable
Consolida2onisdangerousif:
• Re=inancingunsecureddebtwithsecureddebt.
• Re=inancingadebtwitha =inancecompanyorhighinterestratesecondmortgagelender.Instead, askthem for lowerpayments ontheexisting loan. Anew loanwill likely includemorefees,higherrates,andprepaymentpenalties.
• Using a second mortgage to pay off a car loan. This now puts the house in danger.
Repossessionisbadbutforeclosureisworse.• Replacingalowercostloanwithahighercostone.Besureinterestandallotherfeesand
expensesinvolvedareconsideredinthecost.
• Taking out a mortgage for tax saving reasons. The real savings is more often than notnegligibletonon-existent.
• Takingoutavariableinterestloan.Thepaymentscanincreasewhenonecanleastaffordit.
• Alumpsumisdueattheendoftheloan.
• Allowingmoneyhabitsandcreditcardusetoremainunchanged.Payingoffcreditcarddebtwithconsolidation loans isverydangerousif thecarddebt isrunup again. If theinitial
causefordebtproblemswasauniquecircumstancesuchasajoblayoff,sickness,etc.itmaybeanoption.
• Committing fraud on the application whether done by theborrower or lender. This was a big contributor to thedisastroussubprimemeltdownin2008.
• Takingmoneyouttobuymorestuff.Danger!
Step 4: Negotiating with Creditors
• Communicatewith creditors tosee if they willmake anyconcessions.
• Ask if they will reduce the debt in exchange for a lump sumpayoff. Be aware of companies that advertise they can reducemuchofyourdebtbynegotiatingwithyour lender. Almostallofthemarecons.
• Ask if they will defer or wave late fees, or allow missedpaymentstobemadeupoveraperiodoftime.
• See if themortgage holderwill agreeto any of the following:mortgage workout, re=inancing, short sale, or a deed in lieu of
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foreclosure.
• Findoutiftheutilitycompanyoffersanyspecialhelp.
Step 5: Dealing with Debt Collectors
• Be sure the debts are legally collectible. In Wisconsinand inmost states a majority of debts that are older
thansixyears,cannotlegallybecollected.
• Arethedebtslegallyyours?Hasthestatuteoflimitationexpired or is it about to? Be aware of “zombie” debtcollectors.Theyresurrectolddebtsthatarenotlegallycollectible because of the statute of limitations. If thedebtcollectorcangetyoutopayjustatinybitonthedebt,it“resurrects”thedebtandnowmakesitlegallycollectible.
• Themostimportantcreditorstopayarethosewhohavethepower to terminateutilities,foreclose,orevictquicklywithminimalexpenseorlegalprocesstothem.
• Donotpaylessimportantbills=irstbecauseofdebtcollector’sharassment.
• Beawareofwhatbillcollectorscanandcannotdoifthebillsaren'tpaidrightaway.Oftenthereisnotmuchcollectorscando.That’swhytheyusesuchstrongverbalthreats.
Op2onsofunsecuredcreditors:
• Stopdoingbusinesswiththedebtor. Thisisaproblemonlyifthecreditorhasamonopolyonessentialservices,suchastheonlymedicalorutilityserviceinthearea.
• Reportthedelinquencytothecreditreportingagencies.Ifpaymentshavebeenmissed,thedelinquencyreportisinevitableandhasprobablyalreadybeensenttotheagency.
• Beginalawsuittocollectwhatisowed.Thismaynotbeasseriousasmostthinkbecause:
‣ Thecostofthelawsuithastobeworththecreditor’sexpenseandlimitswhattheycando.
‣ Thedebtorcancontest thisaction andthismay encourage thecreditorto work withtheminstead.
‣ Ifthecreditorwinsalawsuit,thedebtorcannotgotojailfornotpayingadebt.
‣ Ifa judgmentis obtained and they try to garnishwages ortakeout a lien, they arelimitedbylawastowhattheycando.
‣ Ifthedebtoris“judgmentproof”(havingnoassetsorallassetsareprotectedbylaw),
thereisnothingthecreditorcantake.
Waystostopdebtcollec2onharassment:
• Preventit from happening inthe =irst place. Assoonas youknowthereis goingtobeaproblem, contactthecreditorandseeifyoucanworkoutanagreement. Ignoringthebillswillnotmakethemgoaway.
• Useaceaseanddesistletteriftheharassmentistoo greatandthecreditorwillnotworkwithyou.
• Workoutadealwiththecollector.Thecollectormayormaynotbethecreditor.
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• Disputethebill ifyouthink theyarewrong.Thiswilldelaythecollectionprocessandbuysometime.
• ComplaintoagovernmentagencysuchastheFederalTradeCommissionorstateattorney.
• Suethedebtcollectorforillegalactivity.Thiscanbedoneinasmallclaimscourt forupto$1,000plusactualdamages,fees,andanyresultinginjuries.
• Fileforbankruptcy.Thiswillinstantlystopallcollectionactivity.• Know ones rights and what constitutes illegal debt collection activity. Check outwww.thefrugalprosumer.comformorein-depthcoverageofthis.
Bankruptcy
Isbankruptcytherightwaytogo?
• Itcanbethefastestandeasiestwayto dealwithall types ofdebtproblems.Usually itshouldnotbe the =irst option, but waiting until the lastminute to think about it may mean someimportantrightsarelostbythedelay.
• It isa complicated legalprocedure that usually requires legal help, fees, and mandatorycounselingandeducationclasses.
• Ittemporarilystopsalmostallcreditorsfromtakinganyaction.
• Itcanpermanentlyremovelegalobligationstopaycreditors.
• Inmostcasespropertywillnotbelostby=iling. Secureddebts,suchashouseandcar, canbeexcludedfrombankruptcy.
• Inmost cases theperson does not need to go to court.One meetingwith abankruptcytrustee(notajudge)isallthatisinvolved.
• Usuallyitwillnotmakeacreditscoreanyworsethanitalreadyis.Itmayactuallyincreaseyourcreditrating.
• Beonthealertforbankruptcyscams.
• Itwill not discharge the following: most student loans, child support, alimony, criminal=ines,courtrestitutionorder,sometaxes,intentionaldebtsrunupbeforebankruptcy,debtsincurredafter=iling,andcosignedloans.
• Itisgenerallynotannouncedinthenewspaper,butitwillbeonpublicrecord.
• There isa precedent forbankruptcyin theBible. InOldTestamenttimes debtwasto beeliminatedaftersevenyears.
• Ifoneisjudgment-proof,bankruptcymaynotbethebeststrategyatthistime.
Things to avoid that often make things worse:
• Writingchecksthatwillbounceorpostdatingchecks.
• Paydaylenders,renttoown,autotitleloans,pawnshops, =inancecompanies,andtaxrefundanticipationloans.
• Debtconsolidatinganddebtnegotiatingcompanies.
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• Credit repair organizations. Besides charginga lot forwhat couldeasilybedone by theperson,theyareoftenaripoff,advisingillegalactivities,andmakethingsworse.
• Fraudulentactivitiessuchas:
‣ Conversionof collateral:Giving away or selling collateral is a crime.Notpayingyourdebtisnotacrime.
‣ Fraudulentconveyances:Protectingpropertybytransferringittosomeoneelseforfreeoralowcost .
‣ Lyingtoormisleadingcreditors:Iftheyencouragelyingtoqualifyforsomething,don’t,becausetheycanlaterusethatagainstyou.
• Pouringlotsofmoneyintoamortgagetosaveahousethatisgoingtobelostanyway.
• Spending“therapy”: Spending money irrationally. If this happens justbeforebankruptcy,thosedebtsmaynotbeerasedbybankruptcy.
• ParticipatinginaSaleandLeaseBackprogramtosavethehousefromforeclosure.
• Patronizingcompaniesthatgiveloansregardlessofcreditscore.Theirpricewillbehigh.
• Voluntary wage assignments. (Where you give permission for a lender to garnish yourpaycheckshouldyoudefault.Notagoodthingtosign,obviously.)
• Manyplacesofferingdebthelparebadnews.Beingnon-pro=itdoesn'tmeantheycan’tripyouoff.Findthegoodone.Youhavetodoyourhomework.
• Getrichscams:Like“Earnupto$5,000perweek,noexperiencenecessary.”
• Countingonlotterywinningstosolvedebtproblems.Thechanceofwinningisrare.
• Goingfurtherintodebtforeducationandtradeschoolsthatlikelywillnotbringinahigherincome.Schoolloansarenotdischargeableinbankruptcy.
Preventing & Avoiding SetbacksBank feesandoverdrafts cancostevenmorethanpaydayloans.Forthosewho =indittoo
dif=iculttoavoidthesebankfeesandoverdraftssomeoptionstocheckingaccountsare:
• ETA (Electronic TransferAccount) for directdepositof federal funds. They arelowcost,can’tbeoverdrawn,andaremoreprotectedfromclaimsofcreditorsthanregularchecking.
• Moneyordersandinexpensivecheckcashingplaces.Oftenpayrollcheckscanbecashedforfreeatthebanksthatissuedthem.
• Creditunionsoftenhavelowerfees.
• Wal-Martcashcardscanbeissuedwhencashingpayrollchecks.Thesewillworkanywhere
thattakescreditcards.
• Orderacreditreporttocheckforerrorsandidentityfraud.
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Psychology of Financial CounselingFinancialtroublesanddebtareemotionallydrainingandarefrequentcausesoffamily
arguments,separation,anddivorce. Almosteveryonehas =inancialproblemsatone timeoranother.Mostpeoplearetooembarrassedtotalkabouttheir=inancialproblemssotheyneedto be set at ease. Helping them to =indhealthy ways to handle the stress reduces theiremotionalturmoil.
• Peoplewhocan’tpaytheirbillsoftenhaveastrongsenseofguilt.Understandthatbillcollectorswillplayonthis.Creditorstakeintoaccountthefactthatsomepeoplearegoingto beunableto pay theirdebtsbecauseofjobloss, illness,divorceorunexpectedevents.
Thisis=iguredintothecreditorspro=its.
• Adebtcollector’sjobistoplayonthedebtor’semotionssotheywillpaythemirst.
Theyaretaughttohavenosympathyandtoignoreanyreasonsfornotbeingabletopay.
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Extra Blank Forms
ExtraForms
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For _________________________________________
Owe to:Balance
DueInterest
Monthly
Payment
Past Due
Amount
Estimated
Yearly Interest
(APR) (if any) Balance x APR
If more use another sheet F. Total Credit Card & Other Debt
Put balance in (K) on Income & Expense Form
Do you have them all?
Credit Card & Other Debt Form Include all credit card and other debts (Do not list mortgages, home equity, and vehicle debts here.)
Please list those on the "Income & Expense Form" and in the "Asset Inventory" box.
*Accountant *Alimony *Back rent *Bank loans *Credit Cards *Child Support *Dentist *Family loans
*Finance Co. *Judgments *Lawyer *Liens *Medical *Payday Loan *Personal Loans *Rent-to-own
*Store Credit *Student Loans *Taxes *Utilities past due
! !!!!!!!!!!!!!!!!!!!!!!! ! ! ! !! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!
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Income & Expense Form For: ________________________________
(Profit & Loss Statement) Expected Tax Refund $ _____________
Past Revised Past Revised Amount
Income After taxes & deductions Monthly Monthly VEHICLE EXPENSES Monthly Monthly Past due
Self Auto Payment 1
Spouse Auto Payment 2
Other Jobs Car Insurance
Child Support Repairs (Oil change, plates)
Other income Including cash Gas Car Replacement
D. TOTAL VEHICLE EXP Investing/Savings
Charity (Blessing others) LIVING EXPENSES Savings (Emergency Fund) Groceries
Retirement(Passive income) Eating Out
Other Child/Elder Care Diapers/Baby supplies
Amount Allowances
HOUSING EXPENSES Past due CigarettesMortgage/Rent Clothing
Second Mortgage Laundry/Cleaning
Taxes & House Insurance Barber/Beauty/Personal
Home Maintenance Other Insurance
Electric Prescriptions/Doctor
Gas/Heat Dental
Water/Sewer/Septic Pet
Phone Subscriptions/Dues
Cable/ Satellite Dish School/Education
Internet Gifts
Recreation (Wild Money) MiscellaneousE. TOTAL LIVING EXP
Asset InventorHouse/Land: Yr Interest
Owe Value APR Owe x APR From (B) Investing/Save
$________ $______ %______ $______ From (C) Housing Exp
$________ $______ %______ $______ From (D) Vehicle Exp
$________ $______ %______ $______ From (E) Living Exp
G. Total Expenses
Vehicles:
$________ $______ %______ $______
$________ $______ %______ $______ H. From (A) Total Income $________ $______ %______ $______ I. From (G) Total Expenses
J. Sub Total- (H) minus (I) Other Assets Value K. From (F) Total Debt Form
_______________________ $__________ Final Total-(J) minus (K)
_______________________ $__________ ( Profit or Loss)
_______________________ $__________
_______________________ $__________
Total Interest paid out per year $______
A. TOTAL INCOME
B. TOTAL INVESTING
C. TOTAL HOUSE EXP
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ExtraForms
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For _________________________________________
Owe to:Balance
DueInterest
Monthly
Payment
Past Due
Amount
Estimated
Yearly Interest
(APR) (if any) Balance x APR
If more use another sheet F. Total Credit Card & Other Debt
Put balance in (K) on Income & Expense Form
Do you have them all?
Credit Card & Other Debt Form Include all credit card and other debts (Do not list mortgages, home equity, and vehicle debts here.)
Please list those on the "Income & Expense Form" and in the "Asset Inventory" box.
*Accountant *Alimony *Back rent *Bank loans *Credit Cards *Child Support *Dentist *Family loans
*Finance Co. *Judgments *Lawyer *Liens *Medical *Payday Loan *Personal Loans *Rent-to-own
*Store Credit *Student Loans *Taxes *Utilities past due
! !!!!!!!!!!!!!!!!!!!!!!! ! ! ! !! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!
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ExtraForms
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Income & Expense Form For: ________________________________
(Profit & Loss Statement) Expected Tax Refund $ _____________
Past Revised Past Revised Amount
Income After taxes & deductions Monthly Monthly VEHICLE EXPENSES Monthly Monthly Past due
Self Auto Payment 1
Spouse Auto Payment 2
Other Jobs Car Insurance
Child Support Repairs (Oil change, plates)
Other income Including cash Gas Car Replacement
D. TOTAL VEHICLE EXP Investing/Savings
Charity (Blessing others) LIVING EXPENSES Savings (Emergency Fund) Groceries
Retirement(Passive income) Eating Out
Other Child/Elder Care Diapers/Baby supplies
Amount AllowancesHOUSING EXPENSES Past due Cigarettes
Mortgage/Rent Clothing
Second Mortgage Laundry/Cleaning
Taxes & House Insurance Barber/Beauty/Personal
Home Maintenance Other Insurance
Electric Prescriptions/Doctor
Gas/Heat Dental
Water/Sewer/Septic Pet
Phone Subscriptions/Dues
Cable/ Satellite Dish School/Education
Internet Gifts
Recreation (Wild Money) Miscellaneous
E. TOTAL LIVING EXP Asset Inventory
House/Land: Yr Interest
Owe Value APR Owe x APR From (B) Investing/Save
$________ $______ %______ $______ From (C) Housing Exp
$________ $______ %______ $______ From (D) Vehicle Exp
$________ $______ %______ $______ From (E) Living Exp
G. Total Expenses
Vehicles:
$________ $______ %______ $______
$________ $______ %______ $______ H. From (A) Total Income $________ $______ %______ $______ I. From (G) Total Expenses
J. Sub Total- (H) minus (I) Other Assets Value K. From (F) Total Debt Form
_______________________ $__________ Final Total-(J) minus (K)
_______________________ $__________ ( Profit or Loss)
_______________________ $__________
_______________________ $__________
Total Interest paid out per year $______
A. TOTAL INCOME
B. TOTAL INVESTING
C. TOTAL HOUSE EXP