Recently I began a new interview series featuring people who have made extraordinary life choices. The first interview was with JP Livingston, who retired at age 28 with a net worth of over $2,000,000. This piece spotlights Claudia and Garrett, a couple who paid off an astonishing amount of debt and are now living debt-free.
Claudia and Garrett sold their 1,500-square-foot house, downsized to a 536-square-foot home, donated or sold roughly 80% of their possessions, took on multiple side hustles, and managed to eliminate $204,971.31 in debt.
Yes — they paid off more than $200,000.
That achievement makes them an ideal subject for this series. Getting out of that level of debt is no small accomplishment, and their story is practical and inspiring for anyone pursuing financial freedom.
Related articles that can help you pursue debt-free living:
- How This Couple Paid off $204,971.31 in Debt
- How My Wife and I Paid Off $62,000 in Debt in 7 Months
- How We Paid Off Almost $10,000 in 10 Weeks
- How I Paid Off $40,000 in Student Loans in 7 Months
I asked readers what questions I should pose to Claudia and Garrett. Below are those reader-submitted questions and several of my own about achieving debt freedom. Follow along and consider submitting questions for future interviews.
Here’s how Claudia and Garrett managed to pay off more than $200,000 in debt and now live debt-free. You can also follow their journey on their blog Two Cup House.
How to become debt free:
Tell me your story and all about you and your spouse. How much debt did you have and what was your debt from?
Claudia and Garrett live in Lancaster, PA. They are millennials — Claudia is 32 and Garrett is 35 — and they love outdoor activities such as camping, hiking, and kayaking.
Their financial path was typical: student loans from college, new cars with auto loans shortly after graduation, and a mortgage on a home they remodeled using credit cards. When they began their debt-free journey in March 2015, their total debt was $204,971.31.
Why did you want to get out of debt fast?
Although they loved the outdoors, their debt-related obligations kept them inside, focused on remodeling and working to pay off what they owed. After honest reflection about how they wanted to spend their time, they realized remodeling and extra work weren’t priorities. They viewed debt as the barrier to the life they really wanted, and in 2015 they decided to eliminate 100% of their debt to reclaim the lifestyle they valued.
How long did it take you to pay off your debt and reach debt freedom?
They started in March 2015 and reached full debt freedom exactly two years later.
How did you manage to get out of debt fast?
The couple made several immediate and significant changes. Claudia left a part-time role for full-time work to increase household income, while Garrett took on extra shifts at his commission-driven sales job. Claudia also launched a side business using her digital marketing and SEO skills, working nights and weekends to grow client work into a substantial income source.
They listed their 1,500-square-foot house for sale and built a smaller 536-square-foot house, moving into it in September 2015 after selling or donating about 80% of their possessions. During the transition, their debt briefly rose to over $240,000, but they paid off $16,515.72 in credit card debt during that time. When their original house sold in May 2016, their outstanding debt dropped to $65,981.97. With the additional income from the side hustle and much lower living costs, they paid off the small house mortgage in November 2016 and cleared remaining student loan debt by March 2017.
Can you tell me about how and why you downsized, and how much money that saved you?
The couple realized they used only about half the rooms in their first house. Large spaces like their eat-in kitchen made their dining room unnecessary, and much of the home remained unused. Their mortgage balance on that home was about $155,000, which they considered too large for the lifestyle they wanted. By downsizing to a home that fit their needs, they cut many expenses by half to two-thirds. After paying off all debts, their monthly expenses are now less than one-third of what they were when they began in March 2015.
What is your response to people who say, “You should invest rather than pay off debt — you’d earn more in the long run”?
Because they still have decades ahead to invest for retirement, they weren’t worried about dedicating two years to paying off debt. Peace of mind was more valuable to them than potential investment returns during that period. Now that they are debt-free, both report significantly reduced stress and are confident they made the right choice for their situation.
What’s the best way for a person to become debt free?
Start with clear goal-setting: define what paying off debt will enable you to do and why it matters. Having a strong “why” helps maintain motivation during challenging stretches. Track every expense, set a budget, and identify areas where assumed “fixed” costs can be reduced — like cell phone plans or groceries — by reassessing priorities and spending habits. Consistent tracking and mindful budgeting make it easier to find savings you might otherwise miss.
What sacrifices did you have to make in order to become debt free?
Claudia and Garrett prefer to frame their changes as intentional adjustments rather than sacrifices. They reassessed their lives to check alignment with their values and goals. Because they often discovered their spending didn’t support their priorities, they made purposeful changes that brought them closer to the life they wanted.
Did you ever “splurge” during the journey?
Yes. After the first year, they took a vacation to the Smoky Mountains. They had been very frugal during year one and had saved and budgeted for that trip, making it a planned reward rather than an impulse expense.
Were there any months you didn’t make extra payments at all?
No. They made extra payments every month, budgeting ahead for planned expenses such as vacations.
How did you stay motivated in a culture that normalizes consumerism and debt?
Motivation grew over time. Initially, many people around them didn’t understand their goals since debt is common in their social circles. They focused on surrounding themselves with people who shared similar values and limited interactions with those who promoted debt. That community alignment made it easier to stay committed to their own financial path.
Was bankruptcy ever considered?
No. They felt responsible for the debt and committed to finding a way out on their own.
What kind of help did you get — family support, side gigs, or other assistance? Do you have kids?
They have no children and received no free rent from family. Both worked full-time jobs while they pursued their goals. Claudia’s digital marketing skills were crucial: turning a side hustle into a full-time business provided the high-income boost necessary for large extra payments.
If you were starting back at ground zero, what would you do differently?
They’d research home staging and the selling process more thoroughly. In retrospect, temporarily moving out or “de-personalizing” their home might have sped up the sale and freed up more funds to pay down debt sooner. Aside from those real estate-related lessons, they wouldn’t change much.
What is your next financial goal?
They are pursuing financial independence: the point where investment income covers living expenses. To that end they are saving to buy real estate that will generate passive income.
What are your best tips for someone who wants similar success?
First, know your “why.” A clear motivation makes the long effort of paying off debt manageable and meaningful. Second, challenge assumptions about what you truly need — things like streaming services or subscriptions often seem indispensable until you evaluate whether they support your deeper goals. Align spending with priorities: doing so can reduce expenses while increasing satisfaction.
What other questions do you have for Claudia and Garrett about becoming debt-free? Are you interested in a debt-free lifestyle?