Movin’ On Up and Out!

me pic w parents

Recently I moved out of my parents house into a rental house with my (extremely handsome) beau. Wowza! Yes, we have taken that “next step”. It actually was quite a smart move for both of us, as we live in a beautiful home in a great neighborhood, yet we are saving money living together.

One thing I must say is, I survived living with my parents in my twenties. Late twenties at that. Yes. I did. We are the boomerang generation. We are the ones that left home around 18, bounced back home, moved out again, and bounced right back in with the parentals. Is it entirely our fault? No. Well, maybe for some of us it was our own fault. We have endured some incredulous economic stressors. Many of us are struggling with student loan debt, while others are over-educated and underemployed. Some of us are dealing with both. Some of us just made some bad mistakes, end of story.

I have heard it plenty of times, “my parents said don’t come back once I turned 18”. I was fortunate enough to have very supportive parents that let me move home a couple times, once when I lost a job, the time before that to focus on grad school and paying down my credit card debt (totally my own stupid mistake), I think another time was just because I was in a weird place and transition phase in my life. It doesn’t help that I’ve been trying to pay on my way-too-high student loan debt (no worries, I have consolidated my student loan debt and am on an income-based repayment plan – HELLLLOOO 25 years of payments!).

Living with my parents was actually quite nice though. There was always food in the house, I got to see my mom every day, I was living in the house I grew up in, I was able to pay off debt and still enjoy going out with friends for dinner on occasion. It was nice to be living at home during the time my mom was dealing with breast cancer, having a double mastectomy, and going through chemo treatments. It was hard to see her so weak from chemo, but I was grateful I was able to sit with her for a few minutes the nights she was awake and ask her about her day and how she was feeling.

I was never ashamed to live with my parents, I was more so ashamed of the fact I didn’t have my sh*t together to be able to live on my own. But I owned up to it. I’ll be the first to admit that I was a complete idiot when it came to credit cards and got myself in some deep water (not that I’m completely in the clear). I didn’t know how to live within my means or budget the money I did have. As many of us know, there is a lesson to be learned from every mistake. I’m proud that I’ve made these mistakes because learning from them means I am growing.

The struggle bus gets real when you are trying to adult. It’s hard adulting. It’s very humbling experience to live with you parents when you are in your late twenties (I’m 28 if you were wondering). I don’t regret it one bit and I couldn’t be more appreciative to my parents for taking me in when I really needed a helping hand and for showing me immense love and support during difficult and stressful times. I am far from paying off my debt, but I am in a comfortable place in life where I can afford to pay rent and utilities and buy my own food while still paying down my debt. I’m still learning to stick to a budget and live within my means, but I’m doing my darndest to figure out the ropes. I’m happy to report that I moved out and I’m movin’ on up!

If you’re still living with your parents, hang in there. It’s not forever and there is usually a silver lining. Keep these four things in mind:

-It’s not forever. Not even close! Your parents don’t want you living with them forever (hopefully) and I’m sure you also want some independence.

-Remind yourself why it is you are there and what your end goal is. Whether you are in school, paying down debt, or trying to find a new job, it is temporary until you accomplish your goal.

-Embrace the silver lining, whether it is free rent, free food, or quality time with you ma or pa.

-Above all, don’t be ashamed. Everyone needs a little help sometimes. You’d be surprised how many people are in the same boat.

Young, Fun, & Debt Dumb: 4 Ways I’m Getting Out of Debt

Debt.

What does it mean to you? What images do you conjure up when you hear that foul four letter word? For me, it’s two fold, I think of good things and bad things. When I think of debt I think of:
-Rome, Barcelona, Amsterdam, London, Cinque Terre
-warm summer days in Michigan
-the hot, heavy, dewy humidity of Costa Rica
-countless hours in the library, studying my weekdays away
Starbucks
-my diplomas
-a monthly payment for the next 25 years
-chains and shackles
-never being able to qualify to buy a home (OK that might be a little dramatic)

Costa Rica

What do all these things have in common? They are all related to my student loan debt and the credit card debt I incurred in college. On one hand, debt conjures up past memories of undergrad and grad school, traveling around the world, and visiting my family. On the other hand, I am forced to think about budgeting my money so I can afford my student loan payment and credit card payment each month.

The Good Times Looking Back, The Struggle Looking Ahead

Yes, I had some of the best times of my life living off of my student loans and credit cards. But, we must always keep in mind that there is always a price to pay. It just so turns out that it’s a hefty price when you figure out how much money in interest alone you will end up paying. Sometimes I think I will never be able to pay off my student loans. I’m paying a ton of money in interest (6.9% baby!) and at times I feel like I’m chained to my debt and will never be financially free (so to speak).

What I tend to lose sight of are the amazing trips and vacations I was able to take while in college. I lived a comfortable lifestyle throughout college (yes, I did work and go to school) and never had to worry about eating Ramen noodles for weeks on end (although I do like them every once in a while).

Going Forward: 4 Way I’m Getting Out of Debt

So, what am I doing about it? Well, there are 4 things that are helping me get out of debt. In the past year or so, I’ve paid off over $15,000 in credit card debt by:
1) Learning how to budget (Dave Ramsey’s Financial Peace University helped me a TON! I took this course several years ago and still implement many of the practices taught).
2) Track my spending – I’m still learning how to stick to my budget. I’ve had to be real with myself and figure out how much I spend each week eating out, for groceries, entertainment and activities, and keeping these costs down so I can put as much money as possible towards debt.
3) Debt snowball – paying off smaller debts first while paying minimums on larger debt and working my way up (hence why my largest credit card amount is being paid off last).
4) Learning how live within my means and not buying everything I want (although it’s still a struggle – darn you lululemon!)

Not In the Clear Yet! Keep Chugging Along

Mistakes have been made and I am far from completing my goal. In an effort to speed up paying off my credit cards, I put my student loans in forbearance (whoops!). While in forbearance for a year and half, my student loans collected a whopping $7,000 in interest! Sad face… The good news is that my credit cards would have racked up more interest than that, so it was kinda, maybe slightly, a little smart on my part (I am now on an income driven repayment plant which is definitely not for everyone – know what your options are). I have one credit card left to pay off (totaling $7,000) and I’m starting to pay on my student loans again.

As I stated in my 2016 Goals post, I plan to have my last credit card paid off by my 29th birthday (in one year). I will continue to chomp away and pay down these darn student loans I had so much fun with. And I will continue to learn from my money mistakes, only to get better as I go along. Hopefully someday I’ll be able to buy a house like I’ve always wanted to.

Here are a few blog posts that I really liked that might be helpful in your journey to pay down your debt and learn to save:
4 Clever Resources That Will Help You Be Better With Money
Why You Should Learn To Handle Money To Become Successful
14 Ways You May Be Stopping Yourself From Getting Out of Debt
How To Dig Out Of Credit Card Debt

What does debt mean to you? How are you paying off your debt?

P.S. These are all pictures from my travels ❤