this dude will kick your financial ass
See that guy above? That’s Dave Ramsey. He’s the new man in my life. Or I should say OUR lives. Naaman and I took a leap of faith and enrolled in Financial Peace University.
We finally have a plan to get our finances in order. I am tired of being stressed about money and bills and the future. I am tired of worrying what is in store for my boys futures. I am tired of working so hard and not being able to pursue our dreams. We want to control our money. Not have money control us.
We signed up for the online classes in September. I have my friend Leah to thank for this. It has already taken a huge weight off of our shoulders.
To date we have paid off $5,000 in credit card debt in three months! We are on track to have it all paid off by the end of this year!
This process is scary. Correction – this process is TERRIFYING. In 2009 I resigned from my job two days before I found out I was pregnant with my second child. We went from debt-free to super stressed in about four weeks. I don’t think we are in that much trouble but we knew if we continued to spend like we were then it would come crashing down just like the rest of the economy.
Before each month begins we have a budget meeting and set our budget for the coming month. There has to be a category for everything. Anything that is leftover goes to your debt. No more confusion at the end of the month when we see how much income we brought in and have no idea where it went. This isn’t a game of monopoly. It doesn’t grow on trees (no really, I checked just to be sure).
Have you ever gone to your fave store and tried to buy only the things on your list? No stopping at the jewelry counter. No gawking at the cute winter clothes. Not even designer shampoo will work as an example of items that might squeak by in the “but I needed it” category.
Case in point – I recently needed to run to Target to buy two items. This was after we started Dave’s program. I decided not to get a cart because, hello, it would have looked lonely without something else in it. So I walked in and got only what I needed. I was literally shaking in the check out line because I wanted to buy something. I didn’t care what it was. It could have been watermelon bubble gum. I just wanted. Wanted. Wanted. Wanted.
That’s what we call an addiction, folks. I’ve been hesitant to call my shopping habits an addiction because I never shop at expensive stores anymore. But buying a lot of inexpensive stuff eventually adds up. I call it the detox phase of debt reduction. It got much easier after the first month.
The frivolous spending had to stop if we want to be debt free. I mean just that. No credit cards, no car payments, no student loans and eventually (gulp) no mortgage. And before you say no way – just know it can and will be done. I just have to stop buying a new wardrobe every time I walk into Target and stop going out for lunch every day.
The thing I love best about FPU is that Naaman and I are working as a team. We are both taking the classes. We are talking about money in a healthy way. We are learning and growing together as a couple. We are not going to let debt pull us under.
- So we’re cutting the credit cards up (sob and also? Scary).
- We’ll be using the envelope cash system. When the money is gone it’s gone.
- We’re meal planning with e-mealz again and setting a strict budget on groceries. Our food expenses were way out of control. Not anymore. We shop primarily at Aldi. I don’t care what anyone thinks. It’s awesome. My weekly grocery bill is always under $100 for all meals for four people. Sometimes I do even better than that! And I save time because there aren’t 50 choices of pasta sauce.
- No vacations. Maybe not for a long time (big tears but Dave says the best vacations are the ones that don’t come home with you!).
- No new home décor or furniture. This is so difficult since we just moved. But I can thrift!
- I unsubscribed from store emails. It doesn’t make sense to save money on shit I don’t need anyway. Cutting out the temptation.
- We’re being strategic with gift-buying (including Christmas) and starting a budget for that category.
- We take our lunches to work now, usually leftovers from our yummy meal the night before.
- I’m not going into a store unless it’s a necessity (until I feel strong enough to do so without busting the budget). Thanks to Allison, I just discovered the awesomeness that is The Dollar Store.
- We will learn to say no to our kids. Oh guys, if I could explain to you how difficult this is for me. I want to them to have everything they want and my heart still breaks a little every time I say no. But apparently saying yes all the time is not healthy for them either.
I know this sounds extreme. I know managing your finances is usually a private topic and it’s a personal choice as to how you handle it. I’m sure there are plenty of people who have a good system and use credit cards responsibly. But I thought I might help someone by putting this out here.
And just so you can see that I’m being honest? Here’s a photo of our murdered credit cards. I may have cried when I cut up the Banana Republic Luxe card. But now I’m so glad I did.
we went all "dexter" on our cards
p.s. I was not paid or compensated in any way to write this post. Dave Ramsey has no clue who I am although I wish he did. I’m just hopeful and you know, sharing is caring in the blog world.
Twitter: jana0926
says:
Yay!! We’re HUGE Dave Ramsey fans here! Working the plan… digging out of our hole. We need to be more strict, but we kinda fell off the wagon a while back. We’re starting to hit it hard core again, though
YAY!!!
Jana A recently posted..SOC Sunday: Stalling
I know some people don’t like him but I think DM is the bomb. We fell off the wagon a bit during Christmas. But we’re right back on for the New Year!
Twitter: lonetater
says:
I have been wanting to do FPU but can’t afford the book fee. I paid off 2 credit cards last year and am working on my 3rd. My hubby was laid off about 2 1/2 years ago and he cannot find a job. Apparently he is over qualified to work at WalMart. Anyway, I am hoping to check out his book from the library!
Sarita Edgerton recently posted..‘Fess Up Friday
The fee for the class and the book is $99 but like Dave says, it pays for itself quickly! It definitely did for us. I’m sorry about your husband being laid off. These are such hard times. And hard times call for desperate measures. Believe me, I’d like to go on a shopping spree instead of pay off debt. But we’re sticking with it this time!
Way to go! It’s nice to see bloggers keep in real!
Audrey recently posted..WW: Ty’s on Stage
I always do
Good for you!! We are also on a budget this year. We haven’t racked up credit card debt, but I feel like I’m always transferring over a little from savings into checking, which is just as depressing. Target was ALWAYS my weekness, too. I’ve started to clip coupons, and really think about what I want vs. need. Friday night was tough, because I really wanted to pick up a bottle of wine. It’d be cheap, only about $15. I just had to keep telling myself that $15 twice a month would save $360 a year! I don’t splurge on big things too often, but I think it’s those little things that sneak up on you. Every month I’d look at our account, and wonder where all of our money went, since I didn’t buy anything!
Tessa recently posted..Thinking Back Thursdays; Vol. 10
*weakness.
I hate when I notice spelling errors, right after I hit submit. lol
Tessa recently posted..Thinking Back Thursdays; Vol. 10
I have never heard of FPU, but what a great idea. My husband and I now track every single receipt and log it in (even if it’s for 59 cents) whatever category it fits best (food, clothing, etc.). It has been so helpful for us to see where all the money is going and has helped us cut back. I agree that saying no to the kiddos is the hardest on the list. Good luck!
Molly recently posted..Today’s no-waffle: Spa House
Twitter: labuenavidamere
says:
We’re doing the budget thing SERIOUSLY for the first time too–for me, it’s been kind of crazy liberating how much we *can* spend! Before, we used to just say “oh, we can’t afford a new pair of shoes/underwear/work pants for Justin” even when they were something we actually did need. BUT, then we’d spend that same amount on…nothing. Random stops at convenience stores. Keeping Redboxes one night too long. So, buy us cutting out the crap AND sticking to our budget, we’re getting a lot more of the quality for the same amount. It’s awesome.
Meredith @ La Buena Vida recently posted..{Hopefully} The Last Mystery Bruise Update
I always thought a budget = a financial prison. But what it has really done is show us how much money we DO have and what we CAN spend. It has been so freeing for us (for me especially). Even though we still have debt to pay off I am way less stressed about money.
Twitter: haglerhappening
says:
I’m waiting on a text from my husband RIGHT NOW regarding FPU classes! I want us to go SO badly, but he won’t. How timely that I read your post this very minute. If hubs could only see how good it will be for our marriage… G
Good for you guys, and wish me luck on breaking through to my guy.
Jill,
If he doesn’t feel comfortable going to a church to do the classes then you can do them ONLINE! I found this to be the best option for us due to our busy schedules. This way we can sit down at our computer in the comfort of our own home and watch a lesson. And if one of our kids cries we can pause it and come back to it whenever we want. I actually feel more comfortable than discussing our finances in person with people! Good luck!
This.is.AMAZING! I would love to do this in 2012 as well, hopefully I can get my hubby on board.
5k in 3 months???!! You’re my hero.
Megan recently posted..Erin Condren Giveaway!
Oh, this sounds awesome! I’ve heard such good things about FPU- Hubs and I want to do it.
We’re trying to get out of debt here… we did get rid of all credit cards, so that helps- knowing we have to have the money or we can’t buy something.
I’ve used emealz before and they are awesome. I tried a different service last week and while the food was good, it ended up being expensive!
Shell recently posted..Odd Jobs I’ve Had
I agree that this is really amazing…Thanks a lot for the shared thoughts here…Great job!!
Fevi recently posted..Jardin Smith International Singapore
That is an amazing amount of debt to pay off in such a short time! I’m glad the program is working out so well for you guys. I’ve heard a lot of good things about it. I need to start being more deliberate about the little things that add up, especially lunches.
Resisting the temptation to buy our 3 yo “just a few more things” for Christmas was hard, but we ended up finding some great deals by shopping early at consignment sales ($40 construction playset for $7!) and finding some creative ideas online. You would not believe how excited he was that 2 of his gifts were an art kit with stuff from the dollar store and “MY VERY OWN SCOTCH TAPE!!” from the Target $1 spot that he got to use as much of as he wanted without getting scolded for stealing ours!
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Twitter: CourtneyKirklnd
says:
My husband and I took the Financial Peace class at our church last year and loved it! We adjusted aspects of it accordingly, but so far it’s made a HUGE difference in our finances. Aside from our car payment, we are virtually debt free and it feels phenomenal! We’re still working on our emergency fund, but it’s growing! I think we both enjoyed Dave’s class so much because he maintained a sense of humor while discussing things that are so serious. Way to go for knocking out that debt!
Courtney Kirkland recently posted..Things I Wish I Could Say
Twitter: lifehappenswhen
says:
Awesome! Congrats for you and your family! You will have such peace of mind when you finish!! We’ve done the envelope system for about 6 years now and it helps tremendously! Good luck!
Leanne recently posted..Where I’ve Been (Again)
Twitter: BrandyBruce
says:
My husband and I are definitely fans of Dave Ramsey. And his principles have made a huge difference in our lives. But it’s so easy to let money control us rather than the other way around, like you said. I too have recently decided that we’ve got to get our grocery spending under control. I think, because it’s food, I always think it’s a justifiable spend. But it’s not really. We need to control what we spend, even on groceries.
Molly, I’m seriously crying right now and read over half of this post to Tony right now. Amazing, amazing, amazing work my friend. I’m so THRILLED for you.
Well for me, this post is very inspiring and I think this is one of the best sites I have evr visited…
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