Financial Freedom

Financial Freedom, those words are like music to my ears and something I have been longing for since I graduated from grad school in 1996. Financial freedom means different things to different people. It might mean not having any debt, it might mean having only “good debt,” or it might mean having “extra” money each month that can be spent freely without guilt. Whatever your definition, have you been able to achieve it for you and your family?

My family and I have been on a 13-year-long journey to pay off all of our debt, aside from our mortgage. The debt in our well-educated household is comprised of $60,000 worth of student loans resulting in nearly $100,000 of principle + interest payments. The great news here is that persistence does pay off. In March 2010 my family will be free of the debt burden when final payments are made to our friends at the Direct Loan Servicing Center.

While on our journey to become debt-free God has been our constant guide and comfort. Since being called into ministry and out of a corporate job (and paycheck) God has used this transition to increase my passion for personal finance. My husband and I were both determined to make the financial changes needed to make this significant drop in income work. The part-time job at UPC gave me the time at home with my son I craved while I was working full time as an Architect. We began by meeting with a UPC Financial Counselor who was our personal cheerleader in this effort. I also read a wide variety of finance books, looking for any new trick or tip that might work for our family. During this time we also prayed for creativity, which resulted in finding friends to barter with, new places to shop for groceries, and soon enough our budget was balanced too. God has given my husband and me many ways to stretch our income so that we not only met our debt obligation but also had a little fun along the way, including vacations to Hawaii and Mexico. I thank God for giving us a new way of thinking, and always providing for us.

Now that we are near the finish line, part of me wants to make elaborate plans for spending the income previously earmarked for debt repayment. But the thoughts of extended vacations, maid service, a new car, or jewelry quickly vanish when I remember the gift of freedom I will have just earned and I want to hang onto it as long as possible. The freedom I am talking about is freedom of choice. For me and my family it will mean the freedom to save a significant chunk of money each month and set goals for both the near and distant future. The freedom of choice is not to be underestimated. When you think of your family’s financial goals, what comes to mind? Is it a family vacation? Is it the ability to save money, to eliminate debt, or some combination thereof? Take some time to assess where you’ve been, where you are and where you’d like to go, financially speaking and put your thoughts and goals on paper. A little planning can go a long way and continued persistence CAN make a difference, even just a few dollars at a time.

I look forward to hearing some of the ways you and your family have tackled financial challenges and/or how you are or would like to experience Financial Freedom.