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Quit gaming cold turkey to work off debts?
Beltaine
BOO BOO DOO DE DOORegistered User regular
BOO BOO DOO DE DOORegistered User regular
Soooo... part of my New Year's resolutions was to work on getting myself out of credit card debt. Which is currently in the $10k range.
I've gone through and cut back on the bills that I could, cancelled all MMO accounts, started taking my lunch to work instead of eating out and am trying very hard to stay home in the evenings instead of going out and eating, movies, etc.
I've got it worked out now where I can be paid off in just under 30 months, but I would really REALLY like to speed that up.
If I were single, it'd be a no-brainer and I'd drop everything except car and house payment and utilities, but I'm married and the wife would never go for it.
So, I got to looking back at what I had spent money on last year and a good chunk of it was gaming/internet. I've always intended to kick the habit to free up time to do other things, but I always fall back into the rut, so I'm thinking maybe this is the time to step up and finally be done with it.
So, my plan:
Sell my gaming PC - Built it in January 2009 and it's a screamer. Parts new were around $2500, could probably sell everything and make around $1200, maybe a little more. Would still have my work laptop for email, web-surfing, etc. Also saves me $50+ per month because there's rarely a month I don't buy a game. Also figure in about $30 per month I've been spending on MMO's.
Drop my DSL service - This would free up about $40 per month to pay towards debts. Will still have access to Internet when I need it using Verizon wireless device. One more thing provided my job.
Sell consoles and game collection - PS3 and Xbox 360 and about a dozen games for each. I'm guessing I could get $450 for the lot. This also frees up $60-$120 per month because I usually buy 1 to 2 games per month for either console.
Clean out other shit taking up space from moving in - Seriously, I have crap everywhere. My closets are full and our 2-car garage barely has room for our 1 Volkswagen to fit in it. I'm estimating that Ebay/craigslisting the bigger stuff and having a garage sale for the little shit would net me another $500.
This leaves me with Satellite TV, a Netflix subscription, more time to spend with my wife (which she'll be happy about), and more time to pursue other interests like drawing, or I don't know, actually going OUTSIDE and getting some sun. :P
I'll have about $2000 in one chunk to either stash in the savings account or go ahead and use for a jumpstart on paying off cards. I'll also have freed up an estimated $200 per month which should cut my ~30 months til payoff down to probably ~20 months or better.
So, what do you guys think? Am I crazy?
I've gone through and cut back on the bills that I could, cancelled all MMO accounts, started taking my lunch to work instead of eating out and am trying very hard to stay home in the evenings instead of going out and eating, movies, etc.
I've got it worked out now where I can be paid off in just under 30 months, but I would really REALLY like to speed that up.
If I were single, it'd be a no-brainer and I'd drop everything except car and house payment and utilities, but I'm married and the wife would never go for it.
So, I got to looking back at what I had spent money on last year and a good chunk of it was gaming/internet. I've always intended to kick the habit to free up time to do other things, but I always fall back into the rut, so I'm thinking maybe this is the time to step up and finally be done with it.
So, my plan:
Sell my gaming PC - Built it in January 2009 and it's a screamer. Parts new were around $2500, could probably sell everything and make around $1200, maybe a little more. Would still have my work laptop for email, web-surfing, etc. Also saves me $50+ per month because there's rarely a month I don't buy a game. Also figure in about $30 per month I've been spending on MMO's.
Drop my DSL service - This would free up about $40 per month to pay towards debts. Will still have access to Internet when I need it using Verizon wireless device. One more thing provided my job.
Sell consoles and game collection - PS3 and Xbox 360 and about a dozen games for each. I'm guessing I could get $450 for the lot. This also frees up $60-$120 per month because I usually buy 1 to 2 games per month for either console.
Clean out other shit taking up space from moving in - Seriously, I have crap everywhere. My closets are full and our 2-car garage barely has room for our 1 Volkswagen to fit in it. I'm estimating that Ebay/craigslisting the bigger stuff and having a garage sale for the little shit would net me another $500.
This leaves me with Satellite TV, a Netflix subscription, more time to spend with my wife (which she'll be happy about), and more time to pursue other interests like drawing, or I don't know, actually going OUTSIDE and getting some sun. :P
I'll have about $2000 in one chunk to either stash in the savings account or go ahead and use for a jumpstart on paying off cards. I'll also have freed up an estimated $200 per month which should cut my ~30 months til payoff down to probably ~20 months or better.
So, what do you guys think? Am I crazy?
Beltaine on
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But canceling the gaming accounts and all that sounds like a fine start.
3DS FC: 4699-5714-8940 Playing Pokemon, add me! Ho, SATAN!
If you honestly think you won't regret it once the debt is paid then go for it.
Otherwise...I'd advise other ways to cut spending.
You will eventually miss them and end rebuying at least one of them at a net loss.
The work laptop is also powerful enough to run decent games in a pinch, been playing ME2 on it because I've been traveling this month for work.
I've been wanting to wean myself off the gaming tit for a long time. Plus, I'd like to find an old car to fix up for fun. Since that won't happen as long as I'm in debt, and my gaming has reached a point where it's doing more harm than good to my debts and, to an extent, my marriage, I figure now is probably a good time, and making a drastic change is about the only way I'm going to be able to make myself do it.
I look at it as doing without for a little while to get things straightened out so I can have the extra money and time to do something else I really want to do later on.
PSN: Beltaine-77 | Steam: beltane77 | Battle.net BadHaggis#1433
If you are allowed games on the work laptop, introduce yourself to the wonderful world of free games.
Nethack, Dwarf Fortress, Kingdom of Loathing ... and so on.
http://www.1up.com/do/feature?cId=3177782
If you have multiple cards, I suggest using the snowball method. Commonly, you would arrange your debts in order from lowest to highest. Put all of your effort into paying the one with the lowest balance and pay minimums on the rest. Once the first is paid off, put all the extra money into the second and so on...
Also, you might want to find another "job" to get more income. Deliver Pizza, work at McDonalds or if you can, just make overtime at work. (You can also start your own business IDEAS )
Edit: Your not crazy, being free from debt is great and I too hope to be there one day.
Yeah, CC interest rates are awful, 18% or so on ten grand is nasty. People tend to treat credit cards like they are free money, which is exactly how you end up in bad situations.
I agree with this.
Maybe pare down your collection, and/or do some trades instead of buying new, but keep the systems. Losing $1300+ and the hours building on your PC isn't a good financial move. Between the 360 and PS3, is there one you play a lot more? Trade in/sell one of them, and put that money aside for a few future titles (or better yet into your saving acct.).
Should you be relying so heavily on your job? Using the laptop and net service for personal use sounds like a bad idea to me, but maybe they're cool with it.
Your plan is admirable, but just don't want you to get burned out and give up.
As supplemental income, not replacing my real job, obviously.
I have the skills and won't need any startup money really. I already do it for some of the teachers here on the cheap. Just hate not having a beater car to drive to do it, though.
Then again, I can always make them bring it to me... if I want people coming to my house at all hours.
Just been putting off making a move on it because... well, making more money means more work.
PSN: Beltaine-77 | Steam: beltane77 | Battle.net BadHaggis#1433
But if he can pay off 10k credit card debt over 20 months, the loss on console buyback will be negligible. It's not about net gain/loss, it's about long term financial stability.
Cancel your satellite TV, get an antenna and get TV that way. Internet from your laptop isn't a bad idea provided your wife is okay with it (and work, plus there might be data caps), but consider going to a lower tier internet service, for $20 a month or so, and cancel any landlines you have and use cellphone, or vice versa, but mobile phones are more useful.
Definitely go through all your old things you have in the garage and elsewhere, and sell them. It will clean the place up a bit, give you money, and I guarantee you'll feel better afterward.
Cook. Stop buying expensive meals, or take-out, or eating out. You can buy basic ingredients to make a lot of decent food, with leftovers, very cheaply. Pasta and rice dishes are good for this.
Once he clears up his debt, he'll be able to get a decent gaming PC, which will probably be better than one built in January 2009 for $1000.
But that is all besides the point, a $10,000 credit card debt is not something you should let slide, and taking drastic actions to kill it as soon as possible is the financially responsible, adult thing to do.
According to the calculator on this site: http://auriton.org/chart_creditcost.taf , if he has a low interest rate of 12%, he is spending $100/month just to cover interest. I can think of better things to do with $100/month than give them to Visa or whoever and not even reduce your balance. To say nothing of what carrying a $10k balance may do to your credit rating.
Then it's a negligible amount either way.
The thing that makes the most sense is selling the PC. The return you get on used games/consoles is really low, especially if you think it's likely you'll want to rebuy them. Even selling the PC seems silly to me, though, given how quickly PC hardware declines in price.
It makes a lot more sense to me to cut out something like satellite TV or netflix; these are recurring charges that you can just renew when your finances are in better shape, rather than winding up with a net loss by selling consumer electronics.
that's why we call it the struggle, you're supposed to sweat
Fun side fact, KoL was made by a guy in my Fraternity.
Anyway, it sounds like you've got yourself a nice plan. I'd go over it with the Mrs and see what she thinks about it. If you're both committed (I don't know what your relationship is like, or financial arrangement) you should be able to handle this without a problem.
Have to do to the math to determine if the extra $450 would be worth it.*
If it's 10k at 20% APR, that's what, $166 a month interest?
Paying $450 (from console sales) plus $200 (monthly minimum), that's 10000 - 650 = $9350
9,350 at 20%APR = $155 interest.
* My math is probably wrong.
Dropping the DSL service is more favorable than dropping TV because of the wife. Netflix stays because we love watching movies but are horrible about returning rentals. (Had a $40 late fee one time several years ago) TV has been dropped to cheapest package and no premiums. Netflix is cheaper per month than adding HBO.
Going to sit down with her and discuss at length to see how much she's on board.
I feel like selling it all now, regardless of whether it nets me $2000 or $20 to begin with, for the purpose of forcing me to spend less now, will be more than worth it once the cards are paid off. Even if I purchase another PC or console once the debt's gone.
PSN: Beltaine-77 | Steam: beltane77 | Battle.net BadHaggis#1433
stop buying new games... if you have a full time job and a wife, i'm almost certain that your existing game library has not been fully finished/beat... go back to the games you wanted to finish or re-play at some point and do it... and every few months treat yourself to some new game anyway
that's just my suggestion though... i'd rather be happy/content and pay off the debt a little longer than be miserable for a year b/c all my toys were gone.
So that would reduce the principal by $450, and the interest by a few bucks a month.
Then re-buying would cost $600 for the systems (360 and PS3) alone, if you get the Elite. However, there is the emotional and physical benefit from getting rid of the systems, as the OP said, could spend more time outside, plus could close the debt a little sooner.
So probably the best solution would be to sell the system, then open a Sony CC to get the points towards a PS3.
People think gaming is expensive as a hobby. Until they see how much most hobbies cost. It really is the low end on the expensive shit to do scale. Does your wife work? If you're married it's her debt too. Have you had a good sitdown with her about it? How seriously does she take it?
There are peope who moan about being in debt but not because they think it's bad. They do it because they figure they're supposed to. Generally don't get serious enough about it to understand what it costs until they really look at the interest.
If you're serious about this and she isn't. You need to convince her.
Sell systems. Keep games. The return on a game collection that costs 4,000$ to purchase over the duration of your hobby will get you somewhere between 150-200$.
I mean, if you intend to ditch (say) PC gaming forever then ditch the PC. But if you're going to use it again once your finances are back in shape, what's the point?
Supplemental job repairing computers sounds great (but be warned that competition is likely to be stiff). If you want to do this, keep your existing PC around so you can use it to run utilities etc.! Other IT-ish odd jobs: jailbreaking iPhones (free with know-how), SIM unlocking phones (this latter often requires some investment in appropriate tools, especially with obscure phone brands).
Sadly, offering to write webpages for your local businesses is no longer an easy moneyspinner (.com boom, how I miss you). But you can still offer it.
PC repair: if you make people come to you, in my experience they become more annoyed if it turns out you can't fix it (which can happen, honestly - sometimes it's just catastrophic hardware failure and buying an identical replacement costs more than the entire rig. At which point you can make the best of it and offer to build or buy them a new one, which you will set up just like their old one for the low low price of whatever, and because you're such an honest dealer, you'll give them the receipts to show that you're not ripping them off like this other guy you know, etc.... but they'll still be annoyed). On the other hand, if you go to them, you may have them buzzing around while you poke at their computer (never helpful, and people are loath to pay you if they see how the trick is done), and you'll often end needing to cart their machine home for a while anyway.
You're saving money by keeping it, by using what entertainment you have at your disposal without going out and buying more.
If you have to sell something you like, but is not a necessity at all because you amassed,
and continue to amass, credit card debt, then that's a life lesson.
They cast a shadow like a sundial in the morning light. It was half past 10.
Drop DSL
GET GAMEFLY AND NETFLIX!
On gamefly get the 1 game at a time and on netflix the 2 discs at a time
Time spent not gaming can be spent catching up to tv series like LOST. I bet your ass that watching the complete LOST season will take you A LONG TIME
This is all from personal experience, so it may not be the most efficient means, just reflects my regret of being too aggressive on lowering my debt.
Not only that, but any money he gains from consoles/pc and puts towards the bill, is money that will not accrue interest over 30 months, which is a large % on a credit card debt.
Maybe look into a line of credit (if you have anything worth money) and get a bank loan to pay off the credit cards.
Lower Interest rates can save you.
No. Bad.
If you're really trying to go cold turkey here, you need to distance yourself as far away from games as humanly possible. Games are fun, but think of your priorities first. On another note, if you schedule your time out wisely and keep yourself busy with cheap (sometimes free) extracurricular activities, you'll hardly miss it at all.
A lot of people are going to disagree with me here, but then again this is a videogame webcomic forum, so there's going to be a heavy bias towards this sort of thing.
Think long term goals here.
Depends what the long term goal is. If it's to cut out vidja games, then yeah, selling is probably the thing to do. However, if the OP is thinking of selling just to pay down the debt, then plans to re-buy, that doesn't make good financial or personal sense.
Obviously they would want to make sure they keep from getting in the hole again - e.g., not running a CC balance.
They cast a shadow like a sundial in the morning light. It was half past 10.
Scrapping your internet is a very big sacrifice, do you think you can handle it?
https://medium.com/@alascii
Exactly.
I think I was surprised at how not a big deal games are to me nowadays now that I have so much stuff to do, both school-wise and activities on the side.
You'll be amazed at how much extra time you have on your hands. It's really an incredible feeling to be free once and for all.
This is the polar opposite of what myself four years prior would have said.