Read this today in the NY Times Opinion Section...
"Shedding debt is a lot like shedding pounds. It involves slow, steady, disciplined effort before it yields substantial results. It means passing up short-term pleasures for longer-term gains. And getting rid of debt, like getting rid of extra weight, is a do-it-yourself activity for most people. Nonetheless, American’s efforts to reduce debt, like the efforts to reduce obesity, need not be exclusively do-it-yourself."
In her editorial, Barbara Dafoe Whitehead, equates paying down debt with saving. And I think she's right. You can't really start building a strong nest egg if you're being dragged down by debt. Credit card bills, school loans, car payments, mortages--all that draws you down. But if you look at paying them off as making an investment in the future, you're off to a good start.
I've been thinking about this a lot lately. Sonja and I want to build our savings, but we're also faced with the challenge of paying off our debts. We're much better off (in terms of debt) than the average American, but it's still a hill to climb. Instead of thinking every dollar we put towards paying down debt as a dollar not saved, we should probably look at it as a key component of our overall savings plan.
(Okay, I realize this is probably the most boring post I've ever written... but I found the editorial helpful in putting a new perspective on things. If you're in the same boat, I hope you glean something from it as well).
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4 comments:
Can't agree with you more. There's so much power in getting rid of the "debt monkey" first, and then realizing that you can put your money to better uses when you have the freedom to do so.
We lived truly debt-free for a few months and having the freedom to put our money where we needed to and not where we had to was incredible.
Dan and I are working to pay off all debt (minus our mortgage) and have both short and long term goals/plans to do so. We took the Crown Financial class and it was AWESOME. I would highly recommend it if your church offers it! It does a great job of not only talking about debt/savings but learning what the Bible says and gives you very practical advice to meet your financial goals.
Don't get discouraged-just continue being faithful and you'll see results slowly but surely! :)
Thanks for the encouragement, guys!
We're working to pay through the non-school loan related debt we're carrying. The nice thing is, we have a goal in mind... a house (or condo) of our own!
Thanks for the encouragement, guys!
We're working to pay through the non-school loan related debt we're carrying. The nice thing is, we have a goal in mind... a house (or condo) of our own!
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