We have been on this journey towards debt freedom and financial independence for a while now and we’d like to share a few lessons that we’ve learned along the way.

We’ve paid off over $120,000 worth of debt up until this point. Accomplishing something like that hasn’t been easy but it has definitely been worth it. This list isn’t in any particular order, but we hope that some of the things we’ve learned can help you with your own journey!

1. Every penny counts.

Our tagline is “Paying off debt & building wealth – One penny at a time” because we truly believe that every penny is important during your journey. We made the majority of our progress while living on one income.

We cut expenses, increased our income, and figured out every way possible to stretch our money to meet our goals. Progress is progress, so whatever we could put towards our debt or savings was an accomplishment, whether it was $100 or $1,000.

2. Make a plan or plan to fail.

It’s hard to achieve a goal without a plan. We came up with “The Basics” to help people get started with their personal finance journey in 3 easy steps: Assess your situation, make a budget and figure out the best method to attack your debt. There are millions of other plans out there, but this is what makes the most sense to us.

The most important part of our plan revolves around our budget. This is truly what gets you on track and keeps you on track financially. Your budget tells your money where to go and helps you stay focused.

3. Personal finance is personal.

We know that some people believe there is only one path to follow in order to achieve financial freedom.

This is absolutely not the case. There are many methods to achieve financial success and you have to find what works for you. No situation is the same so that means there will never be a ‘One-size-fits-all’ solution that works for everybody.

4. Be honest with yourself.

The worst thing you can do is tell yourself that your debt isn’t that bad or that your money habits aren’t that terrible. You have to start being honest with yourself so that you can actually start making real progress.

The first step is admitting there is a problem.

5. Find an accountability partner.

We were lucky enough to have each other during this journey. After Dannie figured out the best way to get me on board with the process, we made real change in our lives.

Find someone to help keep you motivated. This can be a friend on a similar journey, your partner (if you have one), or even complete strangers on the internet!

6. Cutting expenses has the same effect as increasing income.

It’s as simple as that. Cutting expenses, in most cases, is easier as well because you actually control most of these things. We cut out a LOT of stuff at the beginning of our journey.

7. Living below your means is crucial.

We got into debt primarily because we were living way above our means. We were on one income and supplementing with credit cards.

Don’t do that.

If you live on less than you make, you’ll always have money leftover at the end of the month to pay off debt or put towards your goals.

8. If you can, DIY.

We don’t necessarily like to do ‘handiwork’ or projects, but we do like to save money. We have done things like styling our own hair, replacing carpet with hardwood flooring and landscaping our own backyard simply because we didn’t want to pay anyone else to do it. Just by doing things ourselves, we saved over $10,000, you can do the same.

9. Cook at home.

Dannie and I LOVE to eat but eating out all the time adds up quickly. We started cooking more at home and saw immediate savings with our budget.

10. Comparison shop.

Never settle for the first price you see. Shop around and find the best deal. Dannie will actually make spreadsheets for certain purchases we make.

Yes, it’s that serious.

11. Avoid lifestyle inflation.

During our journey, we’ve gotten raises and new jobs. Regardless of that fact, we never increased our spending to match our income.

Just because you have more money doesn’t mean you should spend more money!

12. Don’t compare your journey to anyone else’s.

Seeing the amount of debt other people have paid off or how much they’ve saved can be discouraging. We learned pretty early that you have to stop comparing your journey to everyone else’s.

13. Be nice to yourself.

Newsflash. None of us are perfect! When we made mistakes in the past we’d fall into the habit of getting down on ourselves and making ourselves feel bad that we screwed up.

These days, we embrace the fact that the mistakes aren’t important but the lessons you learn from them are!

14. It’s not a race.

We don’t get caught up in calculating our “Debt Free Date”. Fixing your finances is already stressful enough and adding a time limit to that just adds to it.

Some people use that as a motivation, but it can also lead to overexerting yourself to meet a date you came up with or trying to keep up with someone else’s progress.

Just remember, as long as you’re moving forward you’re still moving in the right direction.

15. Enjoy the process.

At the end of the day, remember to have fun during your journey. Just because you’re paying off debt and saving money doesn’t mean you have to give up having a life. There are plenty of things that you can do for free or a low cost, you just have to get creative.

What have you learned during your journey? We’d love to hear from you in the comments below!

$tay wealthy friends,

— Dj & Dannie