Tuesday, April 9, 2013

Bye Bye Debt!

It's official...
well as of last week...
Zach and I are DEBT FREE!!!!
(aside from our less than $600/mth mortgage)

Hallelujah, Praise be to God!  We are finally living financially in the present.  We are no longer slaves to our debts, our past, our expensive wants that we couldn't afford.  Adios!

When Zach and I got married in 2008, between the two of us, we had more than $40,000 in debt.  This was from a few different sources...two car payments, 3 student loans, 4 credit cards (one with a jeweler :/).  And then in 2009 came the medical bills, a home and all the expenses of a home and children.

We were drowning.

Being the person in charge of the finances but not the person bringing in the money is pretty tough.  How do I spell it out kindly to my husband that even though you work so hard...it is not enough to dig us out of the hole we are in and that we are digging deeper?

Come to find out, in a hard way, the money he was bringing in was plenty.  Zach and I had to come to terms with the fact that we needed to stop living a lifestyle that we could not afford.  We have had to say no.  We have had to cut back.  We have had to simplify.  And it has been the biggest and most amazing wake up call.

WE had to change!

Over the past 4 1/2 years, we have paid off all of our debt and even pay more on our mortgage every year than what is expected of us from the lender.  Piece by piece, debt by debt....we hit pay now and said goodbye.

Last week, we received our federal tax check and hit pay now for the final time.  Zach's student loan was our last debt and boy, did Zach love seeing amount due = $0.00.

If you look at statistics, the number one reason for divorce and fighting in marriage is money.  As I always say, money is the root of all evil...especially when you don't have it :)

I don't want this for me, for Zach and for our marriage.  I love him way too much to want more than we can afford and then fight over it.

The path to paying off our debts has been humbling and rewarding and freeing and so many more emotions and I am so grateful for all those who have helped us along the way....especially Dave Ramsey!  A big thank you to Elizabeth who encouraged me every step of the way, as well!

Now that we are debt free, we are in savings mode for our Emergency Fund...1/2 way there already!

Keep us in your prayers if you think about it.  Staying debt free is a constant process!


Stephanie Casajuana said...

Good job! I can't wait until I can say we are debt free to. Plan in place and hopefully we'll be able to say that in a year or two!

momofbugs said...

I can't imagine how we would have been able to handle these past two years if we hadn't taken care of debts and started an emergency fund. I know our emergency fund will only take us so far and then the rest of up to God...actually everything is up to Him whether we have an emergency fund or not. I look forward to one day not having house payments either...what a wonderful day that will be!

Elizabeth said...

I am SO SO SO proud of you guys!!!

Jaden Allred said...

I'm really happy for the both of you! Nothings beats starting with a clean slate for a couple. But it doesn't mean being free to go back to the old ways either. Life after debt is sometimes even harder for some. But I believe that once you've taken full control of your urge to spend more than on what's necessary, things will be easier. Living debt free requires discipline. Wishing you well from this point onward! -->Jaden

Heather said...

I don't think I've ever posted on your blog before but I had to delurk long enough to congratulate you. That is an amazing accomplishment for a young family! Great job!

Anonymous said...

Congrats! We are on the Dave Plan, too - it's hard, but worth it in the end. You guys have done amazing - and you've changed your family tree! How awesome for Zoe, Evan and any more you have come along to know how to LIVE like you LIVE! CONGRATS AGAIN! :D

Hollyhand House said...

Congrats!!! That is wonderful!

Allan Morais said...

First off, congratulations! Clearing those debts is a big step into a more financially-stable future! Speaking of financial, it may not be a bad idea to get help in planning your financials. It doesn’t have to be like a professional one, but maybe someone you know with the know-how on how to handles these stuff. I mean, paying for dinner is cheaper than hiring a retainer, yes?


Jaden Allred said...
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