This post is a little different than any I have shared in the past. While travel and other things are fun, I have decided that along with all the fun activities and bucket lists, I want to share tips and information about managing finances. Finances are something we have struggled with in our marriage and it’s something we are continuously working on.
Do you ever feel like it is taking FOREVER to get out of debt?
I’m so tired of letting debt control my family’s life. Sometimes it has greater control than others, but it’s always nagging in the back of my mind.
Almost 2 years ago Jared and I added up all our debt and decided we were going to pay it off. I keep looking at the calendar and wondering where the time has gone. We have been working on paying off our debt for way to long!
In the past 2 years, we have paid off debt and added a little bit. Overall the amount of debt we have has gone down. But really? When we started we had about $50,000 in debt, 2 years later it should all be gone!
Why isn’t it gone? Because we “kind of” worked on getting out of debt. One month we would pay a big chunk down then the next month we would go on a trip and the budget would go out the window. Oh, and we had 2 babies.
Yesterday Jared and I had a conversation like the one 2 years ago. But this time we are determined to have a different result!
Right now, we have about $30,000 in debt. I know that most of us have some amount of debt, so I decided to share our journey to paying off the last of our debt on the blog. I’m sure we will make mistakes and have learning experiences along the way but 2 years from now our debt is going to be a distant memory.
Our debt is probably really similar to most of yours. We have student loans, credit cards, and a hospital bill. (Shh, we even used to have a car loan!)
Earlier this year we found an old van in good condition and purchased it for $2,000 cash. We were then able to sell our Honda, pay off that loan and put an extra couple hundred dollars toward our credit cards.
Cut spending, save an Emergency Fund and put everything extra we can toward our debt.
Sound familiar? Yes, we are going to try the Dave Ramsey Financial Peace University. It has worked for so many other’s we are determined to make it work for us.
5 Steps we are taking NOW to get out of debt
Cancel anything extra
Somethings we will really miss, but we are really hoping it will pay off. First thing this morning we canceled our Netflix. So now our movie selection consists of the DVD’s and Blue-rays we have collected as well as Amazon prime movies.
Netflix was the only real extra thing we had, we don’t have tv or any monthly membership services. If we did those would have also been canceled.
Cut the Travel
As you can tell from the blog we really like to travel. We live across the country from family, so we travel back to visit frequently. But right now, we have one family trip planned during the holidays. We have decided that we aren’t going to cancel the planned trip, but we can’t plan any additional trips until the debt is gone!
We can still do day trips that are free/cheap. But no flights or hotels.
We are using Everydollar and creating a budget for every penny that we get. But more than creating a budget we are going to go over the budget each week to make sure we know where all the money has gone.
We are trying to figure out ways to increase our income. Jared is self-employed, so he is going to get try to get more work. I have started doing some social media management while still at home with the kids as well as running this blog.
This is where we struggled last time, we lost focus of the goal. This time we are going to work hard to stay focused on the end goal. We are stopping debt from controlling our lives!
Please share in the comments any tips you have for staying focused and getting out of debt.