Debt Payoff Summary

I just finished sending $51,250 out to Mr. PoP’s parents. That’s right. $51,250. What a day, right?


$51,250?!? Do you know how many monkeys that would buy?

And let me tell you, while it’s not super fun to see the balance on our cash accounts be slashed by over 90%, it does feel pretty darned good to have that sucker paid off even if it does mean we’re a tad less liquid at the moment than we usually like to be. (Don’t worry MIL and FIL – it’s definitely not a hardship to pay you guys back. We’re glad to do it! Seriously!)

That’s right… we’ve (kindof) come out of the blogging closet. Mr. PoP’s folks officially know about the blog now… which is cool and prompting some interesting discussions, with them, too.

Anyhow, seeing as we’ve hit something of a major milestone in terms of debt payoff, I thought I’d take this opportunity to summarize all the debt we’ve paid off over the past 14 months since we started this blog.


Since the end of May 2012, we have paid off $103.6K.

That’s right. We said goodbye to debt totaling …

$103,600.00 …

in 14 months.

Holy crazy, right?


Here’s Where It Came From:

Amounts in thousands paid between June 1 2012 and July 21 2013

Loan Principal Paid Interest Paid Current Loan Balance
HELOC $38.0 $1.0 $0.0
Car $8.6 $0.3 $0.0
PoP Family Loan $50.0 $3.8 $0.0
Mortgage $7.0 $4.0 $101.5
Total $103.6 $9.1 $101.5


Honestly, I don’t have a lot of words about this other than, “WOW”. We have cut our liabilities by (slightly more than) half, and those interest payments will also be significantly smaller going forward. When we set about prioritizing our debt payments back in June of last year, we thought we had a good chance of accomplishing this over a period of 27 months, and instead it took us about 14. Looking back on it, it feels like we just sprinted a marathon, financially speaking.


So What Now?

The debt payoff sprint is now done for a while. As of right now we have every intention of riding our 3.25% mortgage out for a while with not intention to pay it off. So will we officially rebrand as Spending Our Pennies? Probably not. Here’s an outline of what we’re envisioning:

  • Reimburse Our Roth IRA Fund: In wanting to pay Mr. PoP’s parents back on a nice even date (the loan was extended to us on August 1 2010, so we’re paying back right before the 3rd anniversary of the loan Mr.PoP-Holy Crap-was it really that long ago?), we ended up grabbing some money from our “2013 Roth IRA fund”. This is money that we usually put into the Roth IRAs at the beginning of each year before April 15th, so we have some time to build that up.
  • Rebuild Our Buffer: In general, we like to have a decently big cash buffer, typically it’s been about $15K + Roth IRA fund (right now we’re at about $5K + $0 for Roth Fund which feels low for us), though this seems as good a time as ever to re-evaluate that and make sure it still makes sense.
  • Investing In Taxable Accounts: After paying ourselves back, it’s going to be time for us to invest our surplus… So instead of adventures in debt payoff, I guess we’ll be having some more adventures in investing.
Thanks again to everyone who’s been reading and been so supportive along this crazy journey so far, and we hope you guys stick around and help keep us on our toes as we look forward to the future and see what’s next!
And now that I’m done patting us on the back for the day, anyone else have any good news they want to announce? Back pats all around today!

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