More On Money

Holy crap, we did it.  Paid off my student loan.  Paid it off early, and paid it off with our very own money.  It feels absolutely amazing.  Really, really good.  And believe you me, I know all about feeling good.  I have chased that feeling all over the world.  I started early, at 16 I was sky diving.  By 22 I was regularly whitewater kayaking, rock climbing, and had even bungee jumped.  In fact, I almost got a job as a bungee jumping tech.  I knew I would get to test the equipment every day.  Yahoo.  And that would feel great.  Finishing a difficult rapid feels great.  Climbing a 5.9 rock face and topping out feels great.  Leaping off a 212 foot bridge after a helicopter ride into the bush of New Zealand feels Great.  But man, paying off those student loans feels really GREAT too. 

As I said in my earlier post, I have been a terrible money manager.  I have behaved as if money grew on trees, and it was always harvest time.  A few years ago I made up a little ledger sheet called "Gifts and Loans of our Marriage".  That was a reality check.  We got very far on a fabulous family, student loans, and generous associates.  And some dumb luck too.  We found our house through our outdoor network, and the seller was very easy on us.  Nice old rust buckets with plenty of life left in them have fallen into our laps.  Even appliances have turned up when we really needed them.  Okay, we had needed a new stove for awhile, the bungee cord we used to keep it closed was starting to fray.  But still, a three year old stove for $50.  How does that happen?  Dumb luck, and a dirtbag willingness to wait.  Yes, we have lived frugally, but when push came to shove we got some really big loans and gifts too.


No more.  No more loans.  No more counting on gifts.  And no more ignoring the big things like budgeting the money we earn, a real emergency fund,  repairs for the house, retirement, a college education for Alex, and real investments.  We are doing a Total Money Makeover, ala Dave Ramsey, and working the Steps.  This is not a cult, but it is counter cultural.  We are giving up totally on credit.  No cards.  No payments.  No 0% interest and "no money down".  We are going back to the old ways, if we don't have the money, we don't buy it.  And learning to save for what we need.  And learning invest as well.  Step, by step, by step.  ALL of our personal debts are now paid, and we wont be running out for a student loan or new car.  I have personally been tempted, with all the great car offers out there now, but I think I passed the test.  Instead I am focused on filling up that emergency fund, having $12,000 for rainy days.  Not for cars, or repairs, or trips, or other things we will budget for for, but for emergency's.  For the big "What if's" and real general security.  Once we have that lump sum (and we are 1/4 of the way there) then we will crank up the retirement fund.

The real key to all of this is controlling people.  In specific, the people in the mirror.  Along with the the "Loans and Gifts" sheet I toted up all of the income Kevin and I have earned.  It is actually more than all the gifts and loans.  Whew.  That was good to see, and inspiring.  Kind of sad, wondering where the hell it all went, but ultimately inspiring.  Helped kick us into gear, and really commit to this Total Money Makeover.  Now we are running with it, and feeling great.  GREAT!  I realize now the cost of avoidance.  And the freedom of the fight.  It is all doable, and it is ALL GOOD.