Hey, I get it.
Debt can feel like a mountain you’ll never be able to climb, and the constant pressure is overwhelming.
Just a few years ago, I was in your shoes with a massive $96,000 weighing me down.
But guess what? I paid it off in just 14 months, and today I’m here to tell you how I did it—so you can too! 🎯
If you’re seriously ready to tackle your debt and make a real change, stick around.
This blog will walk you through every step I took, so by the end, you’ll know exactly how to apply these strategies to your life and finally see those numbers shrink.
Let’s get started! 💪
Step 1: Get Honest About Your Debt 📊
The hardest part of paying off debt is facing it head-on. I had to sit down, pull up my bills, and write down every single debt I had:
- Student Loans
- Credit Card Balances
- Car Loans
- Medical Bills
It wasn’t pretty, but I finally saw the grand total: $96,000. 😔 It hit me hard, but that was my starting point.
Why it works:
Facing the total amount makes your debt real. You can no longer ignore it, and from there, you can make a plan.
Step 2: Build a Budget That Puts You First 💸
Now that I knew how much I owed, I needed a solid budget. And not just any budget—a strict, aggressive one.
I wrote down my monthly income from all sources, including some small side hustles.
Then, I started tracking every penny that went out.
My Budget Strategy:
- Essential Expenses: Rent, utilities, groceries
- Non-Essential Expenses: Netflix, eating out, subscriptions—these had to go!
- Savings to Debt: I redirected every dollar of my savings towards paying off my debt. No more saving for vacations or luxuries until I was debt-free!
Pro Tip:
Use tools like Mint or YNAB (You Need A Budget) to track your expenses and see where you can cut back. These apps help you visualize your spending habits and stay on track. 📈
Step 3: Snowball vs. Avalanche Method ⛰️
You’ve probably heard of the Snowball and Avalanche debt repayment methods. Here’s the quick breakdown:
- Snowball Method: Pay off your smallest debts first for quick wins.
- Avalanche Method: Pay off the debts with the highest interest rates to save money in the long run.
I went with the Avalanche Method because I wanted to eliminate the highest interest debts first. This decision alone saved me thousands in interest payments!
Step 4: Find Extra Sources of Income 💡
Cutting expenses wasn’t enough—I needed to make extra money to really speed things up. So, I hustled!
My Extra Income Sources:
- Freelancing on the side (nights and weekends)
- Selling unused stuff on Craigslist, eBay, and Facebook Marketplace
- Flipping furniture for profit
- Negotiated a raise at work (after some serious preparation!)
Tip:
Find a side hustle that works for you. Whether it’s driving for Uber, freelancing on Fiverr, or flipping items online, even just an extra few hundred dollars a month can make a huge difference.
Step 5: Automate Payments to Stay on Track ⚙️
Once I had my budget and extra income lined up, I automated all my debt payments.
That way, I didn’t have to think about it—it just happened! I set up autopay on the minimum for all my debts and automatically directed any extra cash to the debt with the highest interest.
This kept me focused and eliminated the temptation to spend extra money elsewhere.
Step 6: Celebrate Small Wins 🎉
Paying off $96,000 is no small feat, and it can feel like an endless journey. So I made it a point to celebrate small victories along the way.
Every time I paid off a debt, no matter how small, I’d do something special—make a fancy coffee at home, enjoy a movie night with a dollar rental, or just savor the accomplishment!
Tracking Progress:
I kept a graph of my debt reduction each month and seeing that number drop was incredibly motivating. Every little win added up to the big goal of debt freedom.
Step 7: Expect Obstacles (and Overcome Them) 🚧
It wasn’t smooth sailing. Unexpected expenses came up, old spending habits tried to sneak back in, but I had a plan:
- Emergency Fund: I kept a small fund of $1,000 for unexpected bills, so I didn’t have to rely on credit cards.
- Mindset Shift: Every time I felt the urge to give up, I reminded myself of why I was doing this. Financial freedom meant less stress, more opportunities, and a life without debt.
Whenever I stumbled, I recalibrated my budget and kept going. Persistence was the key. 🔑
The 14-Month Process in Numbers 💯
Here’s a breakdown of what my debt looked like and how I paid it off over those 14 months:
| Debt Type | Amount | Interest Rate | Monthly Payment |
|---|---|---|---|
| Student Loan | $45,000 | 6% | $850 |
| Credit Card #1 | $10,000 | 18% | $400 |
| Credit Card #2 | $8,000 | 20% | $300 |
| Car Loan | $20,000 | 7% | $500 |
| Personal Loan | $13,000 | 9% | $350 |
| Total Debt Paid | $96,000 | – | – |
Here’s a table to show exactly how you made it possible to pay off the $96,000 debt in just 14 months, with clear sources of income and actions taken:
| Source of Income | Amount Earned (Monthly) | Action Taken | Money Paid Toward Debt (Monthly) |
|---|---|---|---|
| Full-Time Job Salary | $3,800 | Continued working full-time | $2,500 |
| Freelance Work (Side Hustles) | $1,000 | Started freelancing on Fiverr, Upwork | $1,000 |
| Weekend Job (Part-Time) | $600 | Took on weekend shifts at a local retail store | $600 |
| Furniture Flipping | $400 | Flipped furniture bought online at lower prices | $400 |
| Sold Unused Items | $200 | Sold old clothes, electronics, and furniture online | $200 |
| Raise at Full-Time Job | $500 | Negotiated a salary raise and allocated to debt | $500 |
| Cut Expenses (Subscriptions, etc.) | $300 | Canceled unnecessary subscriptions like Netflix, gym | $300 |
| Savings (Emergency Fund) | $1,000 | Temporarily paused savings to focus on debt repayment | $1,000 |
Total Income & Debt Payment Breakdown:
- Total Monthly Income: $7,800
- Total Monthly Debt Payment: $6,500
This shows how every bit of extra income you earned, combined with cutting down on expenses, was focused directly on paying off your debt aggressively.
By doing this consistently, you paid off $96,000 in just 14 months!
Last Words: You Can Do This! 🙌
Paying off $96,000 in debt in just 14 months wasn’t easy, but it was absolutely worth it. The sense of relief, control, and freedom I felt afterward was indescribable.
If you’re ready to tackle your debt, follow the steps I’ve laid out:
- Get real about your debt.
- Build a budget that makes you the priority.
- Use a debt repayment strategy (Snowball or Avalanche).
- Find extra income and throw it all at your debt.
- Automate your payments to stay consistent.
- Celebrate every small victory!
- Overcome obstacles with determination and mindset shifts.
You got this! 🏆 Take control of your debt, and soon you’ll be living a life free from that burden.
Start today with Ecomsity —your future self will thank you. 💪
