BBP Real Life Budget | Student Loans + Credit Score

It's time for another Real Life Budget. We asked my readers to submit their REAL information. Real spending, real debt, and real savings goals.

I am taking those real life numbers and showing you how I would organize and budget that information using my Budget By Paycheck® Method.

In this video, I will be showing the real numbers from a reader, Danika.

Danika is a social worker who adopted two beautiful children, has over $100,000 of student loans, and wants to buy a home. In this video, I go over some recommendations about her student loans and also discuss credit builder loans to help increase your credit score.

CHAPTERS
00:00 Intro
03:29 The story and WHY
04:47 Income
05:21 Fixed Expenses
06:44 Variable Expenses
07:35 Savings Goals
09:14 Debt
10:46 Budget Calendar
12:33 Paycheck Budget
16:35 My Recommendations
20:31 Credit Builder Loan

ABOUT ME

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GET STARTED

[lynn]

I'm African American and don't have a hair budget for my children. I need to do that!! Go head Danika, you got this and congratulations for getting serious about your goals!

[wheretonext]

The way I handle my husband student loan debt is instead of looking at that really big number I broke it down into the individual loans so the numbers don’t scare me as much. 😊

[chopsuey]

Honestly, it's criminal how little Social Workers get paid. 2400$ is not enough for what they do. If Danica doesn't already work for an employer that would qualify her for the loan forgiveness then she should really consider pivoting to one that does.

[kaylaburge]

So happy to see this budget, especially as a social worker myself with over $100, 000 in undergrad and graduate school loans.

[candy]

I took advantage of that 0% student loan forbearance and for the past couple of months I saved up
$4, 600 just to pay my INTEREST alone! 😭😭 I had to do it because none of my payments were even
touching my principal because of that interest, so now that’s it paid I can now tackle this student loan

[sheilalarose]

My favorite video thus far! Probably because I'm a therapist and i know the struggle.

[melanieshipley]

I really want to see follow up videos on these Real Life budgets. I would love to find out if she can get some of her loans forgiven and what she did with Miko's monthly recommendations.

[samanthabrocato]

Thank you! I’m an RN, I make good money but my student loans just seem insurmountable at >150, 000. This was a great budget for me.

[Havanah]

Gosh student loans are crippling in USA.

[natashamaxwell]

Danika should look into building her house with habitat for humanity in her city. She most likely meets the income requirements, and all she has to pay is like $1000 down payment depending where she is and give sweat equity when building the house and that way she can use that money she’s saving for a down payment and pay down her loans.

[mullethunter]

Just started the video and I already know I’m going to love it! I’m a licensed professional counselor and we get paid horribly for our education level.

[whitneyyoung]

These are some of my favorite videos. I wish there were two every month but I’m sure they’re a ton of work! Thanks for this!

[princesskabliav]

The credit builder loan is also called CD Loan. I did one at my small bank while I was in my undergraduate. Mine was for 24 months and the loan I did was $2, 000.

[tbrown]

This actually helped me a lot more than any of the other real life budget scenarios. Those student loans geesh!!!!

[taylorphillip]

I also have $100K in loans and just started in the BBP workbook! I just try not to think about it but I need to.

[Heather_H.]

Since she is a social worker, she may qualify for public service loan forgiveness. This way she would NOT have to pay her loans off but she would need to indicate her intention with the government. I used to work for a loan servicer and would strongly recommend she look into this option.

[sandyseibelhager]

Here's my recommendation regarding student loan forgiveness. Apply now, they will tell you what you need to do in order to qualify. I started working for the government nine years ago and have been paying on my loans for over ten years. When I applied, I was told NONE of my payments counted toward the ten years of payments required because I wasn't on the correct repayment plan or with the correct loan service provider. I switched providers despite the fact that I had less than ten years to pay them off so I would be paid off before I was even eligible for forgiveness. I had not been aware such a program existed when I got out of school. I'm happy to say I paid my loans off early and they are no longer having over my head.

[KaliAlexandria]

You should make a video about getting a mortgage when you’re self-employed!

[RobinWorld]

great video...please make more videos on student loans and credit building loans

[laurenlindsay]

i would love to see follow-up videos to the real life budgets