Major financial change #1

Last week I wrote a post about how 2018 will become my year of financial stability. Today I received my first paycheck of 2018 and a major decision I made n 2017 is paying off – I changed my health benefit plan.

For me, this was a big decision. With having an insurance agent for a sister, I spent years living in the world of “what if”? What if I need major surgery? What if I develop some crazy disease? What if…? But the reality is that I rarely go to the doctor. I rarely get sick, and I definitely do not have some crazy disease. In fact, I realized I had spent thousands of dollars on “what ifs” over the course of several years when that money could have been going towards paying off major debts – like student loans.

Now, if you have a disease such as diabetes or a blood clotting disorder, it may make more financial sense to have better coverage. For me it did not. So I did my research on what options were available to me through my employer (several) and went with a lower premium/higher out of pocket cost plan. I figured for the maybe once a year I go to urgent care or the ER, what I would save in biweekly premium costs would be more than enough to cover the bill.

Shortly after making this decision, I learned I would be receiving a 2% cost of living adjustment come the new year. Now I have been with my organization for 5 years and this is, by far,  the highest cost of living increase I have ever received (my organization keeps a tight grip on the purse strings).

Well…. it paid off. I had $300 more in this paycheck than I had in my last one. That equates to an extra $7200 a year! That’s a lot of coin to put towards other/better things. I haven’t yet decided how I will spend my extra $600 month, but I’m that’s a struggle I am more than happy to have!