How the Total Money Makeover Changed Our Lives!


It feels like yesterday but this journey started 9 years ago last April. I was pregnant with munchkin #2 and we finally got the van I had been saving and saving for. We had $6100 to put down on that van, which took us 2 years to save, not bad right? I was so happy to get that van because the one stroller didn't fit in my Ford Escort, I knew that a double stroller was not going to work.
Our payments were lots for us, (about twice as much as my last car loan) but we were going to make it work. We had a 5 year loan at $491.91 per month. I don't think I will ever forget that amount. About 2 weeks after we purchased the van our church handed out a book called "The Total Money Makeover: Classic Edition: A Proven Plan for Financial Fitness". I read the book and knew I want to become financially free. In the book Dave talks about car loans, he says that if you cannot pay the car loan in 18 months you can't afford that car.  How do I say this.... I was SO MAD! "Are you kidding me Dave, do you know how long it took for me to save for this van!!!" I decided then that we were going to follow the baby steps of the Total Money Makeover and get ALL of our debt paid off and start saving for Financial FREEDOM!

We did everything that book said, we put a "name to all of our money". We knew where every penny is going. We took this money makeover head on.
Every extra dime we had went to pay off the van, if I used a coupon, then the value of the coupon went to toward that van. If my husband worked extra hours, it went toward that van.
With the "gazelle intensity" we were able to pay off that van ($29,000) in 12 months, on one income, with 2 babies in the house. Did you read that right? YEP 12 months $29,000 and that van is MINE!!!!  I am hooked. I can't tell you the happiness we feel every month now that we don't have a car loan.  I know that this works and we are now on a CASH ONLY budget. We are not using Credit Cards or Debit Cards.

At this point in our lives we only have the mortgage as our debt. I want to have that paid off and be truly financially free! (I mean really.... can you imagine having NO MORTGAGE?    I can't wait)

2 comments :

  1. Has it really been nine years?! Amazing! Love your Financial freedom story.

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  2. Inspirational!! I'm doing a Suze O online class right now!! This all sounds so good. Thanks for sharing :)

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