On our way to a debt free life

Last year, exactly 1 year ago my husband and I were debt free. We paid off our 2 credit cards, his truck loan and other existing debt.  July of last year we became home owners.  Not a fancy home, but a house we have made a home and it fits our family well.  Our 2 boys share a room and our daughter has her own room and obviously we share a room.  We have almost an acre of land as well.  It’s a perfect home for us.  We accumulated debt as a result of buying a home, doing small repairs here and there, unexpected things with life, etc.  This year we have debt we never imagined to have.  The amount is still not quite as high as many Americans.  One thing with our debt is we don’t have vehicle debt which is very nice.

I handle the finances, all of them.  We both run each other by any major purchases and even small purchases if they are not necessary or necessary but not a normal purchase.  Since we purchased our home in July of last year, our debt has spiraled out of control.  Between the two of us, I was terrible with finances, I was addicted to shopping and it was BAD!  He went on 2 deployments while he was in after we got married which left me responsible for everything at home.  It was a much needed eye opener.  The lessons life teaches sometimes is for the better.  After his second deployment, I’ve been in charge.  I’ve had my failure moments at times or been too preoccupied to manage sometimes but in the end it’s me.

As of the start of May this year, our debt is $95k that we have accumulated in 10 months.  Its hard to think that in just 10 months we have managed to rack that much debt but its reality.  This is the start of our “get out of debt” process.  First things first is ALWAYS pay more than minimum on any debt.  If we did just minimum, it would be 29 years to pay it off.  29 YEARS!  We have zero plans on holding onto debt for that long or even half that time.  Any extra money in checking goes straight to our smallest card so it will be paid off first.  We pay $40 to that card twice a month.  Once that card is done, that $80 will be put towards the next smallest card until that is paid off.  Once all cards are paid off, that amount will be towards the mortgage.  I am hoping we can be done within 5 years but realistically my goal is 2025 to be debt free.


MAY 2016: $95333.40


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