Learn how to reach financial freedom; the Dave Ramsey way

When I was about 14 years old I got my first job. It was over the summer and I heard a restaurant was hiring and they didn't check any identification. My mom had been a single mom all of her life and she was struggling to find a job. She usually had two to three jobs to make ends meet. My sister and I had different dads but neither one was in the picture. So we were on our own.  

Once I started working I realized how great it felt to earn my own money. I also thought I was great at managing my money. So when I got a bit older I got another job.I was working two jobs, a fill time one and part time one. Mind you I was also in Junior year of high school.

 I thought I was doing good. I was a hard worker and gained a good reputation with my employers. I was able to get my bills paid with no problems. I was helping my mom pay the bills at home. I had a phone, a car, and was able to eat out every day. In reality I was not very good at managing my money. My account was constantly being overdrafted. I would over spent because I had no idea what a budget was. I also had absolutely no saving what so ever. 

 It took me 25 years to realize I knew nothing about how to manage my money.I spent years working two or three jobs and had nothing to show for it. The only thing I knew about money was how to earn it and spend it. At age 25 I had raked up over $2000 of credit card debt, student loans, a car payment and had no idea how I got there. I made a very good amount of money and I had no idea where it was going. I could pay my rent most of the time but was short on other bills constantly. I also lived with the fear of loosing my job because I had no saving to back me up. 

I don't know about you but in my house we didn't talk about finances. My family mainly talked about the lack if money they had. My family had a negative association about money and wealth. I didn't want to live like that. There had to be more then this catch up game. So,I did what any millennial would do. I went to the internet for some guidance. At the time I kept hearing about Dave Ramsey this money and finance guru. I went on YouTube and looked up all of his videos. I was so amazed at he's teachings. He was talking about money in a way I had never heard before. Dave learned through trial and error how to set his family up for financial freedom. He did this by taking principals from the Bible. OMG my mind was blown!

Dave Ramsey teaches the 7 baby steps for financial freedom. 

1. Have a $1,000 emergency fund
2. Be gazelle intense ans pay off all of your consumable debt 
3. Build an emergency fund of three to six months of expenses 
4. Contribute at least 15% into your retirement
5. Save money for your children's collage education 
6. Pay off your home morgage
7. Continue to build wealth and give back to those in need

At 26 my husband and I started trying to get pregnant. We honestly only tried once and I was pregnant! I Thank God for that. Knowing the Dave Ramsey principals I started a budget. I ate mostly home cooked meals, kept my spending to a minimum, made a list of all my expenses, debts and subscriptions. I canceled all my subscription because I honestly did not need any more make up or TV shows. I went gazelle intense into paying off my debt I followed the debt snow ball. Dave Ramsey uses the debt snowball to help people gain momentum and pay things off.  I started with my smallest debt, paid it off and added what I would have paid to the next smallest debt. 

In three months I had paid off all of my debt, began saving over $2000 and paid my car off completely. By the arrival of our first baby I was debt free and worry free. I was able to be off work for 6 months and when I returned to work I was working part time. I began to change my belives about money and began working towards gaining more financial awareness. 

HELPFUL ADVICE FROM DAVE RAMSEY 

• You are the steward of your money, use it wisely to create the life you want.
• Following the 7 principals (or baby steps)
• Figure out if using the snowball method works best for paying off your debt. Some people use the avalanch method(paying off the loans/debt with the highest interest first and moving down according to the amount of interest on each loan.)
• Live below your means while paying off your debt. Then continue to live within your means afterwards.
• Be gazelle intense about paying off debt.
• Practice gratitude
• Don't be dumb! If you listen to his show you will understand this one. 
• Be weird, if living within your means isolates friends and family from you, maybe they aren't so devoted to your relationship as you think.

Live like no one else so you can give like no one else. 

Wishing you the best!

B.