Saturday, November 9, 2013

Paying for our New Well

I mentioned earlier that we need a new well and it cannot wait until spring. The estimate for the new well is about $5000.

This is our plan to pay for it. Our regular savings is at $3800 and out new car fund is at $4500. We also just had to pay for our landscaping rock which was a little over $800. We will drain our savings and dip into the new car fund leaving us with only $2500. This is far below our comfort level but I would rather drain our savings than put it on our home equity line and pay interest on it.

If we have another emergency in the near future, it will go on our home equity line. The available credit is $28,500. We took that out when we bought the tractor but we got a better rate on the tractor.

The one newfound financial comfort is that the tractor is now paid off so we can focus on rebuilding our savings. We are watching our spending very closely in all areas. I'm hoping to put some money into savings this month but my pay is reduced due to the government shutdown last month.

I still think I prefer having our own well and septic rather than having city utilities. You still have to pay for the initial hookups when you buy a new house. With our previous house, the special tax assessments for the road, sewer, water and paying for the development were just over $20,000. We also then had a water and sewer bill monthly. So far we've paid about $6000 for a new septic and the well will be $5000.

Would you rather be on city water and sewer or have your own?

5 comments:

  1. Not sure yet, we just bought land and there is not an option - we have to put in a well and septic tank. However, at our home now, we have to use city utilities and they are VERY expensive. Just water is over $150 a month for building and maintenance of the lines. My actual water charge is around $30. So that makes me look forward to a well. Not looking forward to the septic tank because I remember it from childhood, but hopefully technology has gotten better.

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    1. $150 per month! That's crazy expensive. I know that the price of a well varies greatly with the soil type and how far they have to drill. But after paying $1800 annually for water, it wouldn't take too many years to make up the cost of the well. When you are ready to do your well or septic, look into any county programs that might help with the cost. You would likely have more regulation but they might pay for a portion.

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  2. I don't really have a big preference. I grew up with a well and septic. Our last house had a well & septic and we currently have public utilities.

    I do love having a garbage disposal ... we never had one of those when we had a septic system because we didn't want any food scraps/grease getting into the septic and messing with the balance of things.

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    1. We do have a garbage disposal but needed to pay for a larger septic tank because of it. I am careful about what I put in it. I would never use it for potato peels but use it mainly for leftover food on plates.

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  3. Right now I'm on city sewer/water but when I retire in a few months and move permanently to PEI we will have our own well and septic system. Our plan is to have a new septic system installed (it's pretty old) and so far the well water has tested safe. I look forward to having our own water plus it makes our taxes lower.

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