As we began weaving through the process of figuring out how we got into debt and how to pay off debt, it occurred to me that we really had no control over our emotions during that time. As I’ve mentioned before, our debt load didn’t come from big purchases – we literally nickeled and dimed our way into debt. Rick had been laid off in 2010, and had subsequently, after 7 months, taken a job at 80% of his former salary.
Gardening is not just a fun hobby – it can be a powerful, money-saving, life-saving skill. Back in the pioneer days, if you wanted to eat, you grew a garden. There weren’t mega stores in every town, filled with lush, 3-week-old fresh greens to fill your tummy. No, if you wanted food, you had to grow it yourself or work for someone who did. The thing about gardening though, is that learning to do it well doesn’t happen overnight. The blessed skill of gardening, once a must-have skill for every person, is now mostly a lost art. Most people don’t know how to garden – or to preserve the food that grows in the garden. Never fear, though, because today we’re going to share with you how you can get the most out of your garden, even if you’re a beginner gardener. Read more
Greetings, financially succeeding friends!! Today we’ve got yet another story from someone who’s achieved debt freedom. Our friend Rob, who blogs over at www.mustardseedmoney.com, shares his powerful story of how he became totally debt free. Enjoy!
I was fortunate that the only debt that I carried was from my mortgage. The mortgage debt was $400,000 on a 15-year loan. In order to afford the mortgage, I had to get three other roommates. Even then, it still took over half of my paycheck in order to pay the mortgage bill each month.
Initially, I was super excited to own a home. I was 23 and thought I knew everything. In hindsight, I was really fortunate to buy when I did. It was just before the housing market peaked. So even when the housing market cratered, the house was never underwater. I can’t say that was the case with everyone else in my neighborhood as some took bloodbaths.
After about a year, the new home smell wore off. Watching half my paycheck go out the door became a miserable feeling. It was then when I became obsessed with paying off my mortgage. Every bonus that I got and every extra dollar that I had laying around in my bank account started going right towards the mortgage.
I built excel amortization tables to see how adding the extra money towards the mortgage principle would impact the final mortgage due date. There was something so satisfying watching the date creep up each month when I applied new principle. I was running at this new goal with ultimate determination.
Recommended Reading: The Difference: How Anyone Can Prosper in Even The Toughest Times
I moved into my house in June of 2004, and I paid off the mortgage in December of 2012. So it took about 7.5 years to pay off my 15-year mortgage loan.
I learned the power of delayed gratification. While my friends were spending lots of money on items and experiences on a regular basis, I learned to just say “No” if it wasn’t something that I truly valued. For instance, they loved to go camping in the winter. But that camping required a lot of snow gear including a heavy-duty sleeping bag and snowshoes. First, I don’t love camping that much, and second, buying gear that I’d probably only use a handful of times in my life seemed like a waste. So I learned that saying “No” to certain things was okay. Looking back, I really didn’t miss out on much. I just had different priorities at the time, and I don’t regret them.
I was consistent in that I always applied extra principle to my mortgage each month. While it wasn’t always enjoyable, I knew that paying off my mortgage would lead to more freedom down the road. Any bonus I’d receive or any other surprise cash would go directly into the mortgage. I figured since I wasn’t expecting that money, I probably wouldn’t miss using it for other things.
I always bought used cars. Admittedly, when my roommates were driving brand-new BMWs, Lexuses and Jeeps, I was a little embarrassed of my old Honda. Now that I’m out of debt, I have no desire to drive those types of cars. Amazing how your perspective changes over time.
I have only ever bought one new piece of furniture. All the rest of the furniture that I used to furnish the house came from Craigslist. This substantially cut down on my expenses and allowed me to apply the savings towards my mortgage. This habit has carried on today as my wife and I have used Craigslist almost exclusively to find baby-related items in addition to furniture.
Recommended Reading: Debt: The Ultimate Guide on Getting Out of Debt and Becoming Financially Independent in 30 Days
Life is completely different. I feel like a weight has been lifted from my shoulders, and I don’t worry about money at all anymore. I have automated all of my expenses, so I hardly ever check my finances since I have a cushion in my savings and checking accounts. Before I constantly checked my Personal Capital account, but now I log in maybe once every week or two.
On top of not worrying about money, I now take on projects at work that I think are interesting as opposed to trying to climb the corporate ladder to make more money. Funny enough, since I became mortgage-free, I have actually received two promotions at work. I attribute this to pursuing my passions at work and not focusing on the money as much.
Being debt-free has allowed me to travel the world with my wife and not feel guilty. Before I paid of my debt, I had no desire to travel the world. But, once I went with my wife to Europe, I got bit by the travel bug. It’s probably for the best that I didn’t get bit while paying off my mortgage. We’re hoping to go to Iceland in August.
I always tell people to really think about how they want to live. If debt is wearing you down, you can do something to change that. Even the smallest of actions can have a lasting effect. I knew that I didn’t want to be shackled by debt any longer. So, I got on the track of paying off my debt as quick as possible. While it had its tough moments, my determination and diligence has paid off.
The first step is recognizing where you are and then determining where you want to be. Those are the two hardest steps, but once they are complete, the next part is the best part. This is where you get to build the financial bridge to get to your dreams. It may take some time, but if you stay diligent, you will get there.
My hope is that MSM’s story encouraged and motivated you to create your own path to debt freedom. If you have any questions at all, or if you have your own debt freedom story to share, feel free to contact us.
If you’ve read our “About” page, you know we’re huge advocates of education through reading. Part of the reason we’ve so heavily adapted the habit of reading non-fiction books is that 88% of millionaires read at least thirty minutes of non-fiction a day. Education through reading is a powerful tool for reaching your goals and becoming what you want to be. And if you’re interested in prepping, you’ll want to know about what I think are some of the best prepping and survival books on the market. Read more
Hey, frugal friends! Enjoy this guest post by our friend and fellow PF blogger, Josh from Money Buffalo. The big 3-0. It’s a number dreaded by most young adults because it means they are now officially old by pop culture standards. It is probably safe to say that the priorities of most thirty-year-olds are more in tune with their parents than their younger Millennial peers. Read more
Hey friends! This is a guest post from fellow blogger Paul Watson. As midwesterners, we ice fish every year. By following Paul’s tips, you can make your ice fishing hobby a fun and safe event! Are you looking for a winter hobby? How about ice fishing for Perch? Ice fishing is a great way to gets out and enjoy nature’s winter beauty, spends time with friends and family and catch supper while you are at it! If you have never been ice fishing before,
Hey, friends! We have another debt freedom story for you today. Jacob shares a great story on how he and his wife (just out of college and with a new baby) dumped $16k in debt. Enjoy! To read other debt freedom stories, click on our Road to Debt Free page. Read more
One of the things I’ve learned (and am still learning) over the years about prepping and privacy is that people often give out information about their lives and their activities that is highly valuable to criminals without even realizing it. Social sites such as Facebook, etc., have been a huge help to those with bad intentions in this area. Today I’m going to talk about how we’re putting ourselves and our families at risk by not being cautious about our privacy, and what you can do to protect your family. Although this post might seem a little on the snarky side, know that my heart is to help you keep yourself and your loved ones safe. 🙂 Read more
Lately, more by chance than anything else, I’ve been stumbling on new-to-me bloggers sharing about their lives as early-retired or almost-early-retired people. The already early-retired people share stories about awesome days where they can go where they want without having to report in to a boss (other than their spouse 🙂 ). They talk about spontaneous day trips and laying in the sun for no good reason other than they want to. Read more
Happy holidays, Frugal Farmer friends! We’ll be taking today off from writing so that we can nurse food hangovers and be generally lazy. May your day be most blessed! If you miss the Frugal Farmer too much to take a day off (which is completely understandable 😉 ) here are some archived articles you might enjoy. Read more
