Wednesday, May 21, 2008

It's Snowing!

Well, not real snow, but it IS supposed to rain today but that's not really what I'm talking about to begin with anyway! What I'm talking about is the little extra payments you're sending off to your debts.

I think by now everyone has heard of the snowball method of paying off debts, right? But there are a few other terms out there floating around that I thought I would define for everyone:

*Debt Snowball = when you pay off the smallest debt first then apply that amount to the next debt, and so on and the snowball amount grows larger with each debt getting paid off and being applied to the next debt

*Snowflaking = any extra little bits of found money in your budget that you apply towards your debt

*Snowforting = building an emergency fund from little bits of money (snowflakes) from savings wherever you may find them. The more snowflakes that you add to your emergency fund, the stronger your snowfort becomes. Get a strong enough snowfort and you can shelter yourself from nearly any emergency

*Wealthstreaming = snowflaking for income; having multiple streams of income (every little bit helps!)

So let it snow, let it snow, let it snow!

April's snowflake total: $102.10
Every little bit helps!
You may also enjoy reading: Get an Attitude and Stick It To The Man

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