Once you’ve created your budget and you are on track to start being more financially responsible, it’s time to tackle debt. We have opted to tackle it head on and completely eliminate it. It’s frustrating. It’s humbling. It’s uncomfortable. But it is so very necessary.
Debt is crippling and will force you to never be able to get ahead. Once you have a handle on how much money you spend each month, you should also have a pretty good understanding of how much of that money is going to debt. Whether it is a car, credit card, student loan, etc … you have to build the payoff plan into your monthly budget. I know that sometimes it is easier to ignore it. Yolo, right?! I used to do the same thing. I’d swipe my credit card, run it up beyond what I could afford and then be stuck. But it was a cycle that I honestly got tired of repeating.
I am debt free as of 1.5 years ago and it is an extremely freeing feeling to not owe anyone any money (except for our houses).
Think about your financial goals and ask yourself if how you are spending your money is in line with them. Are you disciplined and on track? Or are you spending to try and look like you have more money than you actually do? Jason always tells me “we’re broke, you can’t afford that” LOL … it used to deeply offend me because I KNOW that we are far from broke, but his point is that we aren’t where we want to be yet, so don’t let up or get comfortable. I was watching stories the other day and one of my favorite bloggers, Courtney (@greeneyesgoldsoul) said if you aren’t rich, you’re broke! She sounded so much like my husband in that moment, but I knew exactly what she meant. Don’t get caught up in the now and forget to set up a solid financial future.
My dad also once said “the funny thing about debt is the only person that can see it is you.” That stuck with me because it is so true and it reminds me constantly to make sure that I can look myself in the mirror and feel good about the habits I am creating. Looking wealthy vs. actually having wealth – it’s powerful thing to overcome.