If you are anything like me – which if you are reading my blog I assume there are some similarities (or you’re my mom, Hi Mom!!) – you probably struggle with debt and how to live a fabulous life on a shoe-string budget.
As a 20something recent college grad, many of us find ourselves cozying up to student loans, car loans, and credit card debt. You go out into the work force, if you are lucky enough to find a job in this economy, and you sadly realize your measly paycheck (damn you, art history degree) has about 25 cents left once you pay all that you owe and buy a little bit of food to subsist on til the next time you get paid.
Rather than deny yourself, because seriously, who would do that, the siren call of the credit card in your wallet lures you into the vicious cycle of consumer debt and spending beyond your means. “But you deserve new clothes and gadgets” it whispers, followed by “what’s one night out with your friends? Come on, just use me!” Fast forward and you’ve now got a bunch of crap you don’t need, and because you overdid it at the bar your promise of only putting two drinks on your card turns into shots of Grey Goose for all! Hello $87 bar tab!
I know that not everyone is in this situation, but I find it pretty common within my circle of friends. There are a multitude of blogs and sites out there claiming to have quick fixes for your financial health, but they just don’t work. Two of my favorite unofficial financial advisors are J.D. Roth of Get Rich Slowly and Ramit Sethi of I Will Teach You To Be Rich. They offer sound advice and strategies that actually work, if you are willing to do the work.
I have read, understood and digested so much of this material, and have made countless attempts to keep a budget and eliminate my credit card debt. I am sick of starting and stopping, and making just a little bit of progress only to completely derail myself with one emergency or impulse purchase.
This is the moment where I publicly vow (hello, internets!) that I am 100% committed to eliminate all of my credit card debt. I have student loans and a car loan, but my first and most important goal is to get rid of my consumer debt, because it has no actual value. It will be really fucking hard, but necessary if I am ever going to get to a place where I feel good about my financial health.
On May 17th, I took my first step and paid off one card; I now have 7 cards remaining. Yes, you read that right, s e v e n credit cards that need to be paid off. It’s not going to be easy, but in one year’s time I will have eliminated nearly half of my total credit card debt. My plan is based on the Debt Snowball touted by Dave Ramsey in The Total Money Makeover.
I will post once a month about my progress, partly to brag and pat myself on the back, but also to hold myself accountable. I will also try and share all the creative and inventive ways I make my paycheck go further, as well as what kinds of things I do to still live a fabulous life as a 20something single gal without tons of extra cash.
If you are or have been in a similar situation, I welcome any advice you are willing to share, as well as tips and tricks for getting the most out of your Young, Fabulous and Broke life!
Peace, love & penny pinching,
♥LisaJennea♥
How do you feel about debt and budgeting? Got any great tips? Tell me in the comments!
