Randy and I have been on a mission to pay off our debt and become completely debt free (including our mortgage). We have reached yet another milestone in our mission. We managed to pay off our student loans approximately 5 years ahead of schedule. Each time we make the final payment on a loan there is such a sense of accomplishment. We try to treat ourselves to dinner or something fun to celebrate the achievement.
We honestly tossed around the idea of going to see the Lincoln Lawyer (Matthew McConaughey’s new movie) in a theatre….something we NEVER do. However, there is too much on the schedule for this weekend to prepare for lambing, so we will have to do something a bit closer to home.
The best way we have found to pay off our debt ahead of schedule is to use the techniques Dave Ramsey recommends. Pay off the smallest debt first. Take any extra money you can to pay extra on that particular debt. Once that debt is paid off take that payment and roll it onto the next smallest debt. Eventually these payments snowball, so when you get to something like your mortgage, you are able to make a significant payment and pay off something that before seemed completely unrealistic before.
With this comes sacrifices of course. Randy and I don’t and haven’t had a car payment in years. Which also means are cars may turn heads, but not for the reason you would like. We try to wear hand-me-down clothes whenever possible. We eat at home the majority of the time and cook from scratch…hence why our reward for paying off this loan is lunch out : )
What keeps us motivated is knowing once our home is paid for…when we actually “own our home”…we will be able to choose our path in life. We will be able to choose what jobs we have based on what we enjoy, not what makes the most money. This keeps us driven. This keeps us from driving the car of our dreams, buying the latest fashion in clothes and shoes (mostly me, haha), and buying all the handy gizmos and gadgets we don’t really need (mostly Randy).
We have reached the point where all we have left is our mortgage. This is so exciting for us. We still have a ways to go before we are totally debt free. The unexpected could still hit us and set us back. For now we are enjoying where we are and what we have accomplished. We will celebrate a little and then get back at it.
I’m not saying this to boast. I’m saying this to let you know you can do it too. It is possible to live debt free in America. With all the employment and financial problems this country is facing, there is no time like the present to buckle down and get rid of your debt.
Hope you all have a wonderful day!