Having won the battle of the bulge on my weight and health, I picked another fight along the way. About 10 months ago, I started to attack my financial bulge.
Finding myself 25k (and rising) in debt (mostly credit cards) was taking its toll on my financial health. Basically, got to the point of working to just make minimum payments. I was surviving (barely), but definitely not thriving. With no clear plan of attack, I didn’t like where this was heading.
I started off pretty good on my own (or so I thought). Then I hit a pretty bad stretch last November and December with repair cost resulting in zero net income for those months. Falling into my old habit of charging the problems away, I erased most of my success to that point. And the cycle continued…I needed a plan.
Enter Dave Ramsey.
I was no stranger to Dave Ramsey, but never took his advise to heart. After a lifetime of always being in debt, obviously, my plan was not working. Say what you will about Ramsey, he has helped millions of people get (and stay) out of debt. I decided to jump on board.
On January 9th, I started with his audio book “The Total Money Makeover”. I must have listened to it a dozen times. I followed that up with listening to every show via his App to reinforce what I had learned, and to gain greater insight. Over the last 4 months, I was drinking the cool aid.
During this time, something did change…Me.
“Good debt management is 80% behavior and 20% head knowledge”- Dave Ramsey
Changing my behavior was the biggest key to success. Otherwise, the cycle just keeps repeating.
Even before I went full blown into this, I questioned some of my earlier ways of thinking…
“I want to pay off debt”
Why?
“So I can raise my credit (debt) score”
Why?
“So I can go back in debt”
Rinse and repeat.
Since January, I have been aggressively following the plan. Focusing on running my business and home more efficiently, cutting cost everywhere, spread sheet budgeting everything to death, and planning for the future.
And above all, avoid taking on any new debt like the plague.
Fast forward 4 months to May 8, 2018
This morning I sent off the final payment making me 100% Debt Free, Including my Home.
Already have my June budget completed. It looks amazing, when debt is wiped off the table.
So what’s next, go out and celebrate?
Hardly. Will continue on with the next step in the plan to fully fund my emergency fund, with 6 months of living expenses.
I estimate this next step to be completed in 1 ½ to 2 months.
Then finally off to the rather dull, but most important, act of saving, investing for retirement, and wealth building.
Finding myself 25k (and rising) in debt (mostly credit cards) was taking its toll on my financial health. Basically, got to the point of working to just make minimum payments. I was surviving (barely), but definitely not thriving. With no clear plan of attack, I didn’t like where this was heading.
I started off pretty good on my own (or so I thought). Then I hit a pretty bad stretch last November and December with repair cost resulting in zero net income for those months. Falling into my old habit of charging the problems away, I erased most of my success to that point. And the cycle continued…I needed a plan.
Enter Dave Ramsey.
I was no stranger to Dave Ramsey, but never took his advise to heart. After a lifetime of always being in debt, obviously, my plan was not working. Say what you will about Ramsey, he has helped millions of people get (and stay) out of debt. I decided to jump on board.
On January 9th, I started with his audio book “The Total Money Makeover”. I must have listened to it a dozen times. I followed that up with listening to every show via his App to reinforce what I had learned, and to gain greater insight. Over the last 4 months, I was drinking the cool aid.
During this time, something did change…Me.
“Good debt management is 80% behavior and 20% head knowledge”- Dave Ramsey
Changing my behavior was the biggest key to success. Otherwise, the cycle just keeps repeating.
Even before I went full blown into this, I questioned some of my earlier ways of thinking…
“I want to pay off debt”
Why?
“So I can raise my credit (debt) score”
Why?
“So I can go back in debt”
Rinse and repeat.
Since January, I have been aggressively following the plan. Focusing on running my business and home more efficiently, cutting cost everywhere, spread sheet budgeting everything to death, and planning for the future.
And above all, avoid taking on any new debt like the plague.
Fast forward 4 months to May 8, 2018
This morning I sent off the final payment making me 100% Debt Free, Including my Home.
Already have my June budget completed. It looks amazing, when debt is wiped off the table.
So what’s next, go out and celebrate?
Hardly. Will continue on with the next step in the plan to fully fund my emergency fund, with 6 months of living expenses.
I estimate this next step to be completed in 1 ½ to 2 months.
Then finally off to the rather dull, but most important, act of saving, investing for retirement, and wealth building.
