How much debt have you paid off?: $25,000 back in 2016
What was it for?: A car loan, business loans, and credit cards.
From deciding to become debt free to making the last payment, how long did it take you?: Pretty quickly, we sold our home, made a profit and used that to pay it off. We have never had credit cards or new debt since.
What age did you take on your first debt, and how old are you now?: 20 and 24, and we are now 30 and 34.
Did you do it alone or as a family?: As a family.
Did you pay off debt from your regular income, take on extra work, or change jobs to speed it up?: Sold our home.
Did you sell anything or receive cash gifts to contribute towards your debt payoff?: As above.
What people, books, websites, podcasts, budgeting tools, debt trackers and resources helped you?: Dave Ramsey was a huge inspiration. Joshua Becker. Living a minimalist life helps us save too. The Barefoot Investor later on and a few other channels on YouTube.
Did you keep an emergency fund while you paid off debt? If so, how much?: No, we didn't.
Did you have any setbacks along the way, and how did you overcome them?: No, as it was quite instant once the house was sold.
What tips/hacks could you share?: Live below your means. We now have a net worth of $500,000, and we still thermos our hot water from the jug to keep for our second coffee to save on power. Every single day. Eat simply, don't waste food, line dry clothes, cook once, eat twice (double up meals), buy fruit vege in season, buy second hand, and use up everything. Remember that you need less than you think, and it's only for a time.
Was there a structure to your debt payoff? i.e. paying smallest to largest, or highest interest rate to lowest?: All in one lump sum.
How did you stay motivated, and what was the most challenging part of paying off your debt?: Wasn't a challenge to pay off, but to remain debt-free, I regularly watch YouTube videos to stay motivated.
How did you celebrate making your final payment?: We didn't! But we vowed never to take on debt again, and almost seven years later, we haven't!!
Was getting out of debt worth it, and what have you learned about yourself?: Absolutely. It's also life-giving and life-changing. We took a $40,000 pay cut this year on one income to move for a better life balance, and we are so happy where we are now. No debt gives us choices, and choices are ultimately freedom!
Will you ever go back into debt again?: N.e.v.e.r.