We have compiled all the recurring payments that we have to make. Some payments are weekly, monthly, quarterly or yearly. We figured out their monthly costs for easy referencing.
Car Registration $62
Car Insurance $20
House Insurance $23
Council Fees $135
Khin’s Tuition Fee $400
Phone Plans $15
Total (excl. Mortgage) $899.5
No, you didn’t read that wrong. Our mortgage payment is $8000 and no, that isn’t the minimum payment. The minimum payment is $1276.
If we pay the minimum amount, it will take us 17 years to pay back. If we can keep up the $8000 payment, it will only take us 2 years and 3 months. We aren’t completely sure if we can keep it up, but we will try our best. We were paying back $4000 for 3 months before bumping up to $8000.
We keep our car insurance rate low by having a second-hand car that we wouldn’t mind wrecking if there were an accident. So, our insurance only covers third party property damage.
We hope to pay back Khin’s tuition fee in full amount shortly after paying the mortgage.
If you’d like to follow our financial journey, you can read our blog series “What we spent this week“.