WOW! It has been a crazy exciting start to 2020. About a month ago, I shared our debt snowball plan on YouTube (see video above). I just completely forgot to post it on here – but the response has been overwhelmingly positive!
It’s been exciting to work hard and start to throw a large amount of money at our debt.
If you missed WHY we’re starting this debt free journey and our story, go here.
Basically, when we started this journey in November of 2019, we were $85,488.13 in debt.
The majority of this was in student loans, then Sam’s car payment, we owe money on our phones, and we have about $10K of various credit card (due to medical/necessary bills we didn’t have the money to pay in cash at the time).
In the video above, I show how we’re breaking up each debt and the order in which we’ll be paying it.
Right now, we’re pretty much solely focused on attacking our credit card debt. We have 3 credit cards between the two of us and we figure that once we can eliminate those 3 payments, we’ll be able to get our heads above water again and move into our own place again (we’re currently staying with my father-in-law while we pay off the credit card debt).
After months of helping Sam job hunt, find a job, and getting past the Christmas craziness… we were finally able to start throwing money at debt in January! It was such a great feeling. You can see me making the first payment in the video above.
BUT — now that it’s February – we were able to make another payment and actually HIT OUR FIRST DEBT PAYOFF.
We completely paid off our first credit card.
I can not tell you how amazing it feels to cancel out a payment from our budget and to owe $0 where 2 months ago we owed $2K!
I can definitely see why the debt snowball works and keeps people motivated to keep going.
It’s crazy to think we’ve already paid off $2,378.67 and we have $7,501.75 to go!
(I try to break up the amounts by each big thing we’re paying so it feels more do-able than looking at the total number.)
It’s starting to feel like the sacrifices we’ve made to stay here are worth it (although I have a lot of other thoughts about being a married couple and living with your parents and why it’s not a good decision for everyone – even in the short-term and there are several reasons I don’t think this should be a long-term thing for anyone).
It’s made me super excited to keep going and I’ve even carefully made the decision to take on a few more hours at work. We’ll see if it’s a good fit or not – if it feels like too much with my illness, we’ll definitely dial it back.
If we keep going at this rate, we’ll completely pay off all of our credit cards in 5 months and we’ll be moved out by June!
Y’all, I miss having my own home so much. I am SO excited.
Also, I am going to be doing a $500 home decor challenge when we move into our new home. We never got to decorate or do anything with our home prior to moving to Orlando since we were broke newlyweds. Since I work from home, I want to create a space and environment that I feel inspired and at my most productive in – as well as making sure it is clean and supporting my overall health as I’m healing from chronic illness.
Would you be interested in seeing how I thrift and set up our 1-bedroom apartment all for $500?
Let me know in the comments below! I’d also love to hear where you’re at in your debt free or financial journey. Don’t be shy! 🥳