$12,000 in 4 Months

It’s been 2 weeks since we started this little journey.  It’s interesting how much our lives have already changed in this short time. We are both so aware of where our money is going and how we are spending it. It’s a very free feeling knowing that you have enough to pay your bills. I remember in my single days worrying about that from time to time. I don’t ever want to have that feeling again. Yes, things might happen that will put us in a tough spot, but even then we trust that God will provide for our basic necessities. 

However, if we are good stewards with our finances, it will be a lot easier to avoid those tough spots.

I remember about 18 months ago when I first heard about the whole “Dave Ramsey Plan”. I was living with a couple of friends in Tempe and making decent money. I did not have a budget and basically lived paycheck to paycheck. My car needed new breaks in the worst way and I, of course, did not have the money. It would cost about $900 to get everything fixed. So what did I do? I asked my parents to loan me the money. It was awfully humbling. I understand that sometimes you do need to ask for a handout, but this was all on me. I didn’t have any money saved up and should have been able to cover this relatively small expense. I remember having a moment where I was tired of living like that and needed help with my finances

So, I texted my sister Karen for help; what was one of the wisest things I have ever done.

We sat down and went over my budget. She discussed with me the “Debt Snowball” and how to pay off my debt and have a $1000 emergency fund. I decided to be “all in” and pay my dad back the money I borrowed, the $1500 I had on my credit cards, and the $10,000 I had left owed on my car. I didn’t really understand how much sacrifice it would take. I did the envelope system and drastically cut back on so many things. I put any extra cash I had towards my debt. I paid my dad off pretty much right away and began tackling the other debt I had. I stopped eating out as much and wasting my money on stuff I didn’t need.

I made my last car payment four months later. I pad over $12,000 of debt off in about 4 months. It was amazing to see what a disciplined financial life could accomplish.

Unfortunately, I didn’t keep that going. Instead of going after my student loan debt, I got back into my old habits. I had friends telling me I was making a “god of my budget” and putting my finances above God because I wouldn’t eat out as much. It was beyond discouraging. I have learned, since then, to not take financial advice from people who don’t understand the situation I’m in. I have been told, more than once, that what I am doing now is not what God wants. Instead, we are to trust Him with our finances and not have a budget. Sounds dumb right? Well, when you hear that a few times, you start to believe it.

This time, I have Stephanie to encourage me. We are doing this as a team and are fully prepared for people to think we are being “cheap” and not trusting God. That’s fine. Life is too short to live in the bondage debt provides. We have a goal and if God wants us to stop reaching for that goal, He will tell us.

Also, we do have a debt update! We have been saving and putting a lot of money in the “debt jar” these past few weeks. We are to about $750 and will be making a $1000 payment by the end of the month. It’s very exciting! Thank you for your continued support and encouragement!