This is the final part of a four-part series called “Overcoming Debt”. Make sure you’ve read Part I, Part II, and Part III before diving into this one.
By now, you should have a clear understanding of your debt and have come up with a plan that includes a timeline for paying it off. You’ve probably tightened your budget and found ways to increase your income to speed up the repayment process.
So, what’s next?
The key is resilience.
Paying off debt is often a long and tough journey that involves making many sacrifices. There will be times when your patience wears thin and the restrictions on your spending start to feel overwhelming. You might start to doubt your decisions.
Is it actually worth it? Why not enjoy life now? How much longer can you keep this up?
To stay committed and show unwavering determination toward becoming debt-free, here are some things to keep in mind.
Expect Setbacks
Understand that there will be bumps along the way. Unexpected emergencies can come up and throw you off course, making you question if being debt-free is even possible. Don’t give up.
Over our 45-month mission to pay off $45,000 in debt, my spouse and I faced many challenges, like a work injury that led to a two-month income loss, a car accident that cost us $1,000 out of pocket, and another $1,000 in medical bills from a health issue.
It often felt like we were constantly getting derailed, and that our dream of being debt-free was slipping away. But no matter how many times we felt defeated, we always bounced back.
Life is full of setbacks, but don’t let them turn into permanent roadblocks. If you keep going, you will eventually eliminate your debt.
Accept It’s Temporary
One comforting thought in your journey to pay off debt is that it’s not forever. Stick with it, and you will eventually pay it all off. There will come a day when your debt balance hits zero.
Remember, this process is not endless. To stay motivated, you can check out this post on boosting your debt repayment momentum.
Reward Yourself
Becoming debt-free involves many adjustments and sacrifices, meaning you can’t always enjoy what you want or buy what you desire. But this doesn’t mean you should lead a dull life, surviving on instant noodles the whole time.
Celebrate when you hit important milestones. Allow yourself to spend 10% of your monthly debt-related savings on a little treat, or save it for a dream vacation you can take once you’re debt-free.
These rewards can keep you motivated and might even help you fund a vacation entirely with cash. After the debt is gone, you won’t have to go back to a financed lifestyle!
Paying off debt is tough and exhausting, but committing to it ensures a secure financial future. With this four-part series as your guide, you’re ready to begin this journey. Best of luck!
Have you hit any roadblocks on your way to becoming debt-free? Have you had moments where you wanted to give up? What keeps you motivated?