Hey ALL! If you have followed me from any amount of them then you might know that In 1 year we Managed to pay off $30,000 In Debt and save up a 6 month emergency fund. I know what you are thinking… They probably make a TON of money or inherited a TON of money. However, this is not the case. We DID NOT miraculously come across a ton money, nor do we a TON of money. Here is how we did it…..
- So sorry! But the 1st ” hack ” is probably the Most Boring. BUT a ” MUST DO ” . We budgeted to the very last penny. We need exactly what was coming out when. What do I mean by ” Budgeted? I mean we had / have an excel sheet. We give every single penny that comes in an assigned category to spend it. I am not exaggerating.. Every. Single. Penny. But what if something un-expected happens ? Like a sick kid and you need medicine? Well, there’s a category for that on our excel sheet. Also, we saved up a tiny, ” OH Crap ” fund of $1,000 for small emergencies. The 1st two months of our budget were a mess. We always went over and we fought about it all the time. BUT, we stuck to it, and now it’s just plug and chug with the numbers. Listen, budgets are BORING. I get it. BUT THEY ARE a ” MUST ” for getting out of debt.
- We thought about the debt Every waking second ( and even when we were sleeping ). I am not kidding you. I would have dreams about debt and paying things off. We basically became obsessed with it. Treat debt like that 1st crush you had in 7th grade. Remember you just thought about them ALL the time, to the point of annoyance. Some call this ” Mindset ” . I even challenge you to do try to meditate on it…. Just Take a moment. Try and literally FEEL how it would FEEL to be debt free. When you fall asleep imagine how it would change your life. Once you change your mind around this things will start to happen! Change your perspective, Change your life. Once you set your blood, sweat and tears on paying off debt money will start to show up in strange places. $5.00 here, $10 there. I promise you! Don’t just think about it casually, OBSESS OVER IT. Dominate it. Make it your passion.
- Know the cost of EVERYTHING. And I mean to the point that people will think you are a weirdo. How much did that chicken nugget that you kids didn’t eat last night and your threw away cost? In our case it was $0.05 cents. So, basically it would have been the same as throwing $0.05 cents away!
- Do you know how much it costs to charge your phone? ( About $10.00 a year )
- Do you know how much it costs to use your toaster? ( About $0.25 cents per-slice for 5 minutes ).
- How about the cost of leaving 1 light on?!? ( About $0.001 Cents Per-Minute )
- My list goes on and on and on… I literally know the cost of EVERYTHING. And because of that I tend to make different choices then most people throughout the day. These choices radically add up, saving me $1,000’s Per- year. $1,000’s !
