4 Nov
A Year of Financial Changes – From the Bottom to the Top
It was one year ago last week that I was laid off and our financial tail-spin began in earnest. We came financially unraveled so quickly my memories of last November are more vague feelings of swimming in a fog than actual images.
One year ago I was tearing down Halloween, pretending to care about Christmas and sinking into a sense of hopelessness about money and finances.
We had no emergency fund, did not budget our income, had nearly $50,000 of unsecured debt, owed $30k more on our house than it was worth, had a small fortune in medical bills from The Wife’s fight with 400 pounds of falling building materials, and were in a leased 2008 Mazda CX-7.
I live a different life today. This morning I found myself thinking of all things that we have changed in the past year and am humbled and grateful for where we find ourselves now.
In February we found the plan that we embraced to lead us out. The Wife didn’t hesitate to jump in and commit.
So today I offer my list of things changed since that time of financial ruin one year ago.
- we have a plan (this, of course, is the real biggie)
- we communicate often about money (well, okay, THIS is the real biggie)
- we own two paid-for cars; a 1997 with 60k miles and a 2003 with 181k miles
- we have less than half as many cable channels
- we have half as many bank accounts
- my wallet is half as thick
- I bring lunch from home nearly every day
- I get paid (a little) for two of my hobbies and trade graphics work for a third instead of paying for any of them
- “emergencies” are very few and far between now instead of monthly
- we negotiate a lot more both with each other and with retailers
- our children have learned new words like “debt-free”, “savings” and “no”
- there is more room in the garage where the table saw, chop saw, router table and Christmas light controllers used to be
- there is less room in the garage with all the shipping boxes and packing material that I horde for eBay and Craigslist sales
- gas money is now a “thing”
- we write a blog called “Climbing Out”
Oh and to that last point, a year ago no one would have written this about us:
I just wanted to add one other thing….there is someone on the forum who owns the blog climbing out.[net]. I don’t know who you are……but don’t ever doubt you have been a blessing to someone. I came across your blog one evening (following a link to a link to a link) and I spent the entire night reading it from beginning to current. I was so taken with your total honesty…. and for the first time realized there’s no shame in admitting “Hey, I’ve done some STUPID things when it comes to money!”
Thank you so much….whoever you are! You’ve definitely had an influence on my life!
That is The Top so far. Both of us teared up; mostly because we still kind of think we’re idiots but managing to get by anyway.
The Wife, the Dad and the kids here today are completely different people than we were a year ago.
Wonder what next year will bring.
the Dad
Posted by The Long Distance Buddy on 11/04/09 at 4:54 pm
Your path has branched into our path. They are not the same but the scenery is similar. I shall also be rid of this cancer that is debt, then when we are free we will try to connect with what made our ancestors thrive… Thank you for kick starting our journey and helping us with your perseverance.
Let us succeed together!
Posted by jpkittie on 11/04/09 at 5:10 pm
kudos to you all — you truly are an inspiration to all of us… I am so happy to have found your blog & can on some levels relate to your family. (just need to get better about getting the debt down like you have & I will be better!)
Posted by Kelsalynn on 11/04/09 at 6:15 pm
Yup, I agree completely with what that person wrote on the forums. I can’t take credit, but I agree with them!
You are an inspiration! No doubt about it. For a family to make such a radical change like you and The Wife is motivating. And you know, although I’m sure you see things differently, it almost appears easy for you guys.
I love your blog!
Posted by Stacie on 11/05/09 at 4:59 am
God bless you and your family in your journey to become debt free. Our story is similar to yours and it is my hope and prayer that others will read your blog and learn how to achieve financial peace.
Posted by Music Man on 11/05/09 at 7:31 am
Right on Dad…right on!
Posted by Money Funk on 11/05/09 at 8:31 am
That is really neat to see the progress you’ve captured. And you’ve all definitely come a long way in one year’s time. You can sense the peace in your writing. Yes, many Kudos to you and your family!
And that is a really cool piece someone wrote about your journey on ClimbingOut.net
Posted by the Dad on 11/05/09 at 8:58 am
Thank you, everyone, for the very kind words!
@Long Distance Bubby – You’re welcome. What was it that made our ancestors thrive? Beer!
@jpkittie – You had a better October than we did by far! You paid down, what, $1,300? Awesome.
@Kelsalynn – They should name a Crossfit workout after you.
@Stacie – Go get ‘em. You are the bargain queen.
@Music Man – :::highfive:::
@Money Funk – Incredible note, isn’t it. So cool. You, of course, were one of our inspirations!
Cheers, all.
Posted by Sharon on 11/05/09 at 5:47 pm
Wow, I never knew you started out like that. Thanks for sharing your story. It is truly inspiring. I look forward to following your continued success!!!
Posted by The Long Distance Buddy on 11/06/09 at 12:20 pm
Beer too…. but I meant the earth, living closer to and thriving from the earth. Think about it over the entire existence of man, what 10,000 years, only for the last 100 years or so have we not been intimate with the earth in some way. Small scale gardening, hunting, living with the seasons. We have citified ourselves too much. We need to reconnect in smaller towns and villages and get to know and thrive with the land. It will help with the soul.
/philosophy
Posted by dustinc109 on 11/10/09 at 1:12 pm
You guys are awesome! Thanks for hosting my spreadsheet!
Posted by the Dad on 11/10/09 at 9:18 pm
@Sharon – You guys are inspiring too! I cannot wait to be as financially free as you are
@Long Distance Bubby – Ah… I love it. If you knew how small our backyard is (I’ve seen pix of yours!) you would laugh. For a long time. Then you would take a deep breath, snort, and laugh some more. But I agree.
@Dustinc109 – We love it! You always have a home here, friend.
Posted by The Long Distance Buddy on 11/13/09 at 7:07 am
Dad…
It’s not about HOW much you grow, it is the fact that you are growing. I’m not going to take care of all of my family’s needs, I’m too lazy for that. It is the process and the feeling that you can provide some from the earth for your family that makes the difference. And if you want to see how much you can produce in a tiny space, (I would never go this far) check out the Dervaes Family Farm in LA (google it).
Posted by Tam on 11/17/09 at 5:16 pm
The wife set us on this journey almost 9 months ago…eternally grateful doesn’t cover it. There was so much shame for both me and my husband when we finally sat down and added up our debt…but then we made a plan. A thousand times, thank you BOTH for such beautiful inspiration and encouragement.