November 15, 2024
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THE MONEY MINDER

‘I’m looking for financial advice!’: I want to move in with my girlfriend but have $7000-$8000 in credit card debt. Can we afford it?

‘I’m looking for financial advice!’: I want to move in with my girlfriend but have 00-00 in credit card debt. Can we afford it?

Hey Money Minder!

So, I wanna move in with my gf and here’s the deal – I bring in about $3400 a month (bonus every three months adds $3500-$4400, plus a year-end bonus of $5000-$4700)

Monthly expenses look like this:
•$574 for my car payment
•$330 for car insurance
•$60 for the phone bill
•$240 for utilities
•$200 for gas
•$250-$350 for groceries
•$50-$70 for misc stuff (internet and whatnot)
•$370 for credit cards

I also have $7000-$8000 in credit card debt with $370 min payments between both cards.

Our new lease could be $1550-$1650 if we decide to go for it. I’d cover rent, she’ll help with utilities, and we’ll split groceries. She brings in $1500-$1800 a month

Do you think we can swing it, or are we cutting it too close?

Thanks for any advice!


Sincerely, Budgeting Beyoncé

Response from THE MONEY MINDER:

Hello There,

Based on the financial information you provided, it seems like moving in with your girlfriend and splitting expenses could be a feasible option, but it will require some careful budgeting and planning on both of your parts. It’s great that you are open to sharing expenses and that your girlfriend is willing to contribute.

Given your income and expenses, it appears that you have a fairly balanced budget, with room for rent, utilities, and groceries. However, the $7000-$8000 credit card debt is a significant concern. With minimum payments of $370 per month, it will take you quite some time to pay off this debt and could potentially hinder your ability to save or handle unexpected expenses in the future.

I would recommend prioritizing paying off your credit card debt as soon as possible. Consider creating a detailed budget that includes setting aside a portion of your income each month to tackle this debt more aggressively. Additionally, it might be beneficial to look for opportunities to increase your income or reduce expenses to expedite the debt repayment process.

Moving in together can be a wonderful step in a relationship, but it is important to ensure that you are both on the same page financially and have a solid plan in place to manage shared expenses effectively. Open communication, setting financial goals together, and regularly reviewing your budget will be key to making this transition successful.

I hope this advice is helpful for you as you navigate this financial decision. If you have any further questions or need more guidance, feel free to reach out. Good luck with your move and your financial journey ahead!

Farewell from THE MONEY MINDER.

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