Student Loan Planning

Student Loan Planning


As I have been diligently paying off the smaller of my two student loans, I continue to see that I might be able to pay it off by the end of the year versus next May as I originally thought. (When I originally made this plan, I and the BAD community thought that pay off by May, 2021 was a reach goal. It’s so exciting to feel it becoming a reality!) At the end of this month, the balance of the smaller of my student loans will be right around $8,000.

This table shows the planned payments toward this single loan for the rest of the year. (This is what is in my budget for it currently or rather in my financial planning worksheet where I have the remainder of the  year planned out.) Not accounting for interest, this would bring the loan down to right at $1,400 by the end of the year.

Nelnet 8-Aug-20 -600
Nelnet 22-Aug-20 -600
Nelnet 5-Sep-20 -600
Nelnet 19-Sep-20 -600
Nelnet 3-Oct-20 -600
Nelnet 17-Oct-20 -600
Nelnet 31-Oct-20 -600
Nelnet 14-Nov-20 -600
Nelnet 28-Nov-20 -600
Nelnet 12-Dec-20 -600
Nelnet 26-Dec-20 -600

If business continues like it has, I am 100% confident I can pay off this loan before the end of the year. And that includes continuing to pay minimum payments toward my other student loan to stop it from growing. (No payments are due until 9/26/2020 due to COVID-19.) And paying a minimum payment toward my only other debt, my car loan.

This is really exciting!

Thanksgiving Trip Money

Now, other than business going bad, which I don’t see happening these days there are a couple of other things that could affect this…but both in a positive manner. If I decide, due to COVID-19, that we will not go to Texas at Thanksgiving, I will dump the money budgeted for that trip into 1) paying this loan off, 2) some groceries because I don’t have groceries budgeted for the week before or the week of Thanksgiving and then 3) paying toward my final student loan! In addition, if I pick up any addition projects, not already planned for, which also seems pretty likely, I plan to dump all that income (after expenses and taxes) in this debt. Well, that’s definitely a run on sentence, but I think you get the point.

I am really sad to consider not going at Thanksgiving, but it is a reality due to COVID-19. But the thought of what I could do with that trip money…well, that kind of balances it out. I plan to make a decision about Thanksgiving in October to give the twins plenty of time to get off work if they need/want too to go. I’ve told my parents that if we don’t come then, we will try to come in February when the kids have “winter” break. Traveling at a less busy time will hopefully lessen the risk with the pandemic and two be cheaper.