Tuesday, September 16, 2008

What to do with October's extra check?

I know it's only mid-September, but I have been contemplating what I am going to do with the extra pay check I will receive in October. I get paid on a bi-weekly schedule, and since there are five fridays in the month of October, I get three checks. Sure, there are plenty of things I could do to with my extra check. I could use it to pad my emergency fund and pull myself a little closer to my $5,000 goal. I could add it to my travel fund, because I'd like to take a fun trip somewhere for my 25th birthday next year (yikes!). I could also buy a few household items I've been wanting like a chair, a new comforter or a file cabinet.

But what have I decided to do with that extra check once I receive it? Apply it to credit card debt. My Discover card which would have been paid off by February with my planned $250 payments will now be paid off by November! I will apply $1,000 of my extra check to my balance and pay the remainder in November. By this time next year, I hope my extra checks will go toward something like my travel fund or to start my house downpayment fund. But in the mean time, I have to crush this credit card debt!

6 comments:

Pleasant Girl said...

That's the smartest idea! Reducing your debt will give you the greatest amount of satisfaction and feeling of accomplishment than that of new chair, a comforter or file cabinet.

If you celebrate Christmas, ask Santa for the three things you'd like or even a gift certificate towards buying such items. Christmas is just around the corner!

Shana said...

That's awesome! Putting it towards your debt is an excellent idea. You are clearing up your debt faster and reducing the amt. of interest you will have to pay in the long run!

YBP said...

great idea!!!! I think I might do the same!!!

Money Maus said...

Good for you! I still haven't figured out what to do with mine - or rather, which savings funds to put it towards!

mac said...

love ur blog. I was wondering what to do with my extra check too. I vote you put it towards ur debt and I will do the same :)

Sallie's Niece said...

Woo hoo, I'm getting the extra paycheck too in October. I'm using it to pay off my credit card AND fly to a friend's wedding. Fun times.