We're Finally Debt Free!

We're Finally Debt Free!

The figures above represent the last debt we incurred in the hope of improving our credit after recovering from a financial collapse. What an irony, right? Of course, that realization came only after a lot of “educated” advice. That story will be another blog. For now, I want to share what helped us finally become debt free.

Be Faithful in Your Tithes. I believe that even when finances are tight, you should give God what is due. After all, everything you have came from Him. He doesn’t need it, but giving shows your dependence on Him and your obedience. He will bless you as He promised. If you’re able to give more than your tithes, continue supporting your favorite ministry or organization. It’s a good reminder that there is always someone in greater need than you.

Establish a Budget. I used to think it was enough to know how much was coming in and simply “eyeball” our expenses. But before we had a budget, we often ended up with bank overdraft fees. You never truly know how much you spend until you write everything down. It took about three months to develop a working budget. It was a struggle, but I was determined. The Every Dollar app by Dave Ramsey is what worked for me.   

Instead of paying overdraft fees, we found extra money to put toward debt. If you don’t have a budget and want to get serious about becoming debt free, start one today.

Write Down Your Goals. I believe that when you write your goals down, you become more committed to them. They become priorities, and you’ll make sure they get done—especially if you place them somewhere you’ll always see.

After writing them down, share your goals with someone you trust. Accountability is powerful. If you prefer to keep them private, use a tool to track your progress. In our case, it was—and still is— Dave Ramsey's Baby Steps. As you move closer to your goals within the timeline you’ve set, you’ll feel motivated by the results.

Be Content. This isn’t a tool but having the right attitude while starting your debt-free journey is essential.

It sounds simple, doesn’t it? And it is. But if you’re still struggling, maybe it’s time to get to work. By that I mean: take a pen and paper, and start planning.