Skip to main content

Now what?

Guess what we did a couple of weeks ago? We got out of debt. Completely.

We don't have a mortgage. We don't owe any money on any vehicles. We have no student loan debt, nor medical debt.

So now what?

Developments so far.

I haven't delivered pizzas in months. I miss it. Now that I don't deliver pizzas, I qualify for better rates on long-term disability insurance. My bro-in-law is thinking about doing it, and I told him I could help him land a job.

In other news, one of our cars got totaled. Rather than buy another car for a couple thou-, I spent $142 not-thou at the Omaha Community Bike Project and bought a bike.

Image may contain: 1 person, bicycle and outdoor

Now I bike to work. G'head and follow me on Strava.

It feels awesome. Not biking. Well yes biking. But I bike with a little more freedom knowing I'm not carrying around any debt. I also work with that same freedom. I sleep at night enjoying it as well.

What's next?

The next step in the plan is to set up a 3-6 month emergency fund. This helps in the case of any large, catastrophic event and removes further drama from our lives.

The average household spends $2,000-$3,000 in normal living expenses every month. Do the math.

How much are most deductibles? How much are cars? How much are air conditioners, roofs (if not insured) or other such things? If you answered, "Usually less than 3-6 months worth of expenses," then you'd be correct.

Most of us know what it feels like to be hit with a sudden expense. Do you remember how it felt? The pain, the disappointment, the frustration? Even hopelessness? And usually more debt to go with it, because as CBS recently pointed out, most Americans can't handle a $500 surprise bill.

With a big emergency fund in place, stupid drama melts away. Like, more than it already has by not being in debt.

But what about the stories?

I know, right? My pizza adventures were fun, but I still have cool experiences.

The other day I was on the way to work when a stinky garbage truck pulled out into the unpaved road ahead of me. I couldn't smell it yet, but I knew it was coming. A cloud of dust whipped up as I approached.

The man on the back of the truck yelled.

"Sorry about the dust."

The dust? What about smelling it all day?

I waved him off. "No sweat man," I said.

"I guess that's just how life is sometimes," he responded in a loud voice. He put a dirty boot on the ground as the truck came to a stop and reached for a full can. I moved to pass the truck.

"You got it. Have a good day," I said.

He was right. Sometimes life is dusty. Sometimes it smells bad. Sometimes both. But you've got a job to do, so keep moving.


Popular posts from this blog

5 Things Every Pizza Delivery Driver Needs for Success

Updated: 2/1/2016.

“How many times has Dave Ramsey said, ‘Deliver pizzas’?” Said someone on the Dave Ramsey forums.The answer is: lots.I hear it often when I listen to his show. That and ‘sell the car.’ (Car payments KILL people’s wealth-building income every month. )Since first posting this list back in December of 2014, I’ve heard great, quality responses and suggestions. The original list of five things has been updated as follows:A kit for receipt convenienceA fuel efficient car with an accurate GPSA need for speedThe “Wow!” extrasA smileThese tips apply no matter what company you drive for. (No pun intended.)Let’s learn something.1. You need a kit for receipt convenienceDon’t underestimate the power of a simple receipt kit. It is as follows:A clipboard. A suitable pen for your clipboard. A cheap, small flashlight with a clamp or a tether.A clipboard and pen are must-haves. It is easier on you. It is easier on them. Not having one demands more of a hungry customer than is necessa…

Happy Thanksgiving

Happy Thanksgiving.Wanted to talk about being a turkey today. But first, here's a recap of the Baby Steps used in Dave Ramsey's Financial Peace University.Baby Step 1: $1,000 cash in a beginner emergency fundBaby Step 2: Use the debt snowball to pay off all your debt but the houseBaby Step 3: A fully funded emergency fund of 3 to 6 months of expensesBaby Step 4: Invest 15% of your household income into retirementBaby Step 5: Start saving for collegeBaby Step 6: Pay off your home earlyBaby Step 7: Build wealth and give generouslySo we're on step 3. How's it going?It's not.What we're doing now is akin to what happened a lot between baby steps 1 and 2: Save up your $1,000 emergency fundHave an emergencyRepeatExcept we haven't had emergencies. We maintain the $1,000 EF month to month and manage other storms. We've had to repair some vehicles, sure. We also have more income now than we did. We were forking over hundreds to creditors not long ago. Now we can …

We're debt free.

Ladies and gentlemen, we are debt free.