It all started with the realization that student loan debt is awful. I had way too much to let it stay around for any longer. So I put a plan into action. A few years later, we became debt-free.
Throughout this journey, I’ve learned more than I could have imagined. And I’d like to share the foundation I used to become debt-free.
The Debt-Free Chronicles consists of an introductory article and a three-step series of articles. While there are many ways to becoming debt-free, sacrificing everything to do so was not mine. I hope you will find that the process doesn’t have to be as extreme as you might think. A change of perspective may be all you need instead.
Everybody has an origin story and mine was far from epic. One thing is for sure and that is my history with money is complicated.
Step 1: Financial freedom and combining your finances (if you’re married)
Financial freedom means different things to different people but until you define it for yourself and your marriage, the lack of clarity will always prevent you from this achievement. If you are married, its time to stop jacking around and combine your finances and define financial freedom together.
Step 2: List your debts, learn your debt payoff date, and snowball
Every samurai needs a sword. For us, the sword was a Microsoft Excel Template and some ancient wisdom from Dave Ramsey. Needing a perfect solution is only an excuse from doing what you really need to do, take action.
Step 3: How to create a budget that doesn’t suck
Yes, you need a budget but a traditional “budget” may not be what you need. You might just need a system that allows you to spend more consciously. This article will chat a little bit about some of the different ways you can think about this and some basic tips.
I hope these articles inspire you to take action. Because if you let money rule your life, it prevents you from becoming who you are meant to become. No debt is good debt. It is debt.
Always remember the financial freedom you came up with. Let it inspire you always. And in the famous words of Jocko Willink, remember that Discipline = Freedom.
And if you decide to make a change in your life and become debt-free, whether you use this advice or not, I would love for the chance to hear your story and how you changed through the process.