After sitting down (for several hours) yesterday and hammering out a new monthly budget, we were able to allocate a whopping $1,700 a month towards credit card debt! After a few rough calculations on our credit card debt minus total payments plus interest charges, it might actually be possible for us to pay off ALL of our credit card debt by the end of 2009!

It would require getting on a “beans and rice” budget (as Dave Ramsey puts it) and would still require we find a little extra cash somewhere. We currently have $26,800 in credit card debt (which includes a business credit card). Paying $1,700 a month towards the debt would pay over $20,000 on the debt in 2009. With some additional income I expect to receive and by keeping an eye out for an opportunity here and there, I think it’s possible. Tough, but possible.

So I’ve set a goal for myself… pay off all the credit cards by December 31, 2009. I’ve always been up for a challenge, and maybe such an ambitious goal will keep us motivated throughout the year.

It’s so easy to set goals, but I’m hoping having a hard deadline and a very specific goal will help us stay the coarse and stay motivated throughout the year. I’ll be posting updates throughout the year on our progress.