You guys…it feels so damn good to type that sentence.
We have put $31,317 towards debt in the past 12 months – an average of $2,600/month.
*to help you gauge/process this number, this total includes interest and monthly payments we would have had to pay – this is money put towards existing debt as of April 1st 2019 – this does not include cash flowed expenses that we would have normally put on a credit card*
We began Dave Ramsey’s financial plan or otherwise known as “The Baby Steps” on April 2nd, 2019 after we couldn’t afford food in the cafeteria when our 6 week old son Gannon was hospitalized.
- We completely changed everything about how we view and spend money.
- We stopped contributing to our 401k.
- We cut up our credit cards.
- We refused to make financial decisions without the other person.
- We vowed to never put anything on a credit card again.
- We promised each other that life would be different.
That was one year ago and look where we are now. I hope this doesn’t come off as bragging, I just want you to imagine what is possible and what your life could look like in one year!
- I took my car to the shop and unexpectedly needed to replace all four tires on my car. I wrote the check in full without hesitation.
- We have enough money right now to pay off the rest of our credit card in the bank but we are saving it until the pandemic has calmed down.
- I quit my second job to be able to spend more time with my boys after two years of teaching clinicals because we had paid down our debt enough that it made sense.
- My credit score went from 642 to 753.
- Craig quit smoking. Craig doesn’t buy tools without talking to me about it first.
- We have a cushion. We have an emergency fund.
- I haven’t had to borrow money from my mom in over a year.
- We aren’t afraid anymore. We are a team.
How much do we have left? We’ve got a ways to go:
I track this using the FREE baby steps app created by Ramsey Solutions. Our stimulus check will go right to our debt. We have a few other bigger checks coming in this month and I cant wait to crush our debt!
I’ll be totally honest guys, this process has really improved our marriage. I’m ashamed to admit this but I was hiding our credit card debt from Craig for 6 months before I came clean. I can’t imagine doing that now.
Why am I so honest about this? Money is a taboo topic and for most people, it isn’t something they really feel comfortable talking about but I want you to see that if we can do it, so can you. If you’re stuck or you feel like you’re drowning, ME TOO! There is so much power in knowing you aren’t alone.
Here are our REAL numbers. This is our REAL journey. When we started out it was so inspiring to hear about people who were in similar income brackets/had the same amount of debt as we did. Hopefully by sharing our story we can inspire others to show them YOU CAN DO THIS TOO!
If we continue at the same rate of putting $2,300/month towards debt, we *should* be debt free except for our home by October 2021! Our projections have been putting us there all along but it really used to bum me out that it was SO FAR AWAY. Every month it feels closer. I have to constantly remind myself of a few things:
- enjoy the journey
- money is not EVERYTHING
- it is a marathon, not a sprint.
- progress, not perfection
To read more about our financial journey, check out these blog posts: