We changed our plans, and decided to pay off our house.

So how have we been doing on our "Total Money Makeover"?  Well, I will tell you.  As we got to the end of Baby step 3,  my wife's car needed replaced.  It was at 200,000 miles and she needed something more reliable.  So we took money from our emergency fund and bought her an $8,000 car.  Since we were going to have to restart Step #3 again we stepped back and looked at our plan.

Our plan is to move to the country when the kids graduate.  To move we would need to sell our house, or save money for a down payment.  So we decided instead of saving for a down payment the first thing we should do is off our house.  So we decided instead of restarting Baby step #3, to jump to Baby step 6, and pay off our house.

We paused Baby Step 3 with our emergency fund at $2500.  We better knowing we had a little more to fall back on. 

The mortgage only had around $17,000 when we started focusing on it.  Now I am Proud to say we owe $4394.02 on our Mortgage.  When we pay this mortgage off we will then restart Baby Step #3 and save a fully funded emergency fund of $10000.