Today I’m sharing an excellent piece from Carrie Willard. Carrie is a homeschooling mother of seven children, ages 2–18, who encourages moms to simplify everyday tasks so they have more time for what matters most on her blog: http://www.CarrieWillard.com. Her newest ebook, The Temporary Tightwad, explains how to drastically cut expenses to reach a transformative financial goal. Below is her article.
In October 2015, my husband and I paid off our last debt and celebrated becoming debt-free. We accomplished this in five years on a single full-time income. During that period we faced health challenges, hospital stays, and the birth of three children. How did we manage to eliminate so much debt while juggling all that responsibility? Here’s what worked for us.
Where the Debt Came From
Neither of us were big spenders when we met—we’re naturally frugal and didn’t have lavish tastes. Our debt didn’t come from lifestyle inflation as much as a sudden collapse in income. In 2008 my husband’s business income dropped by about 75% during the recession. Expenses he previously handled—rent and utilities for a warehouse, payroll for contractors, and a work vehicle—became impossible to sustain. He sold assets and defaulted on leases just to cover personal bills.
When we met, I was a divorced single mom of four supporting my family through internet marketing and blogging. I had become debt-free and wanted the same freedom for my husband. I remember telling him, “Babe, you make too much money to be broke!” Even as his business began to recover, he was chained to collectors and old loans. I introduced him to Dave Ramsey’s radio show and we attended Financial Peace University. By then I was pregnant and felt an urgency to clean up our finances.
Grieving and Depression Over Past Money Mistakes
The first thing we did was list every debt to know exactly how much we owed. That process can be emotionally draining—first shock, then grief and even depression. My husband went through this grieving process after he saw the full picture.
He had followed advice from people he trusted that turned out to be poor guidance—examples of what I call a “poverty mentality.” One pervasive idea was “you’ll always have a car payment.” Repeated new-car purchases and rolled-over loans were a major part of our problem. Some loans were even for vehicles he hadn’t driven but that belonged to his ex.
Once we accepted the time it would take to pay everything off, we realized those years would pass anyway. We asked ourselves whether Future Us would wish Present Us had taken action—and the answer was yes. So we committed to creating a different financial future for our family.
The Importance of Budget Meetings
We made a budget and began tracking every expense. This was crucial because our income varies as self-employed people. Knowing precisely what was coming in and going out let us confidently send substantial payments to creditors each month while keeping the lights on and food on the table.
We held weekly budget meetings at first. We left meetings with small assignments—call a creditor to negotiate, ask the cell phone company for a cheaper plan, etc. These meetings kept us accountable, helped us encourage each other, and ensured we stayed aligned.
Budget meetings also balanced our personalities. I’m the “nerd” who likes structure; my husband is the “free spirit.” Meetings prevented the free spirit from tuning out and kept the nerd from becoming controlling. Knowing your personality types helps you use them to your advantage.
Talking about Money Strengthened Our Marriage
Budget meetings opened the door to deeper conversations—about hopes, dreams, and fears. Working toward a joint goal accelerated our emotional maturity as a couple and strengthened our marriage. When my husband moved from sadness to anger, that new energy propelled us forward and quickened progress.
How We Got Out of Debt
We followed the Debt Snowball method popularized by Dave Ramsey. While we don’t agree with every detail of his approach (for example, we now use a credit card responsibly to earn rewards but always pay it off each month), having a clear plan was essential when we were stressed about finances.
Whether you pay smallest-to-largest balances or highest-interest-first depends on your motivation and personality. The key is choosing a plan and sticking with it.
We Lowered Expenses
I focused on reducing our monthly costs. I clipped coupons and played the “drugstore game” to get personal care items cheaply. I used cloth diapers for babies and worked hard to minimize grocery spending. Over time I found a balance between frugality and keeping the kids happy—too tight a food budget led to complaints and waste. Eventually I relied on a budget grocery store that helped me save consistently.
We cut utility bills by line-drying laundry, washing in cold water, and raising the A/C thermostat during hot months. I bought clothes only at thrift stores and yard sales, and sourced homeschooling materials cheaply through secondhand channels. We avoided restaurants and enjoyed low-cost family activities like hiking and park outings, while still budgeting for occasional treats so the kids didn’t feel deprived.
We Sold Stuff
We held yard sales and sold items online. My husband sold tools; I sold clothing and household goods; the kids even sold cookies and lemonade. When hosting a sale, advertise well, price items, display merchandise attractively on tables, and place desirable items near the road to draw in passersby.
I sold light items on eBay and heavier ones on Craigslist. Media and books sold well on Amazon. When deciding whether to keep something, I asked, “Would I go out today and buy this?” If not, it went on the selling pile. We also used consignment shops for higher-quality clothing so we could shop on store credit later if needed.
We Increased Our Income
Working toward debt freedom had the side effect of boosting income. My husband read business books, analyzed his workflow, cut low-profit jobs, and raised his prices. He worked extra hours at times but we still prioritized family and rest.
I returned to my blog, wrote an ebook for Amazon, and saw it gain traction. The extra income allowed me to hand my husband a meaningful check toward our debt—an encouraging moment.
Staying Motivated Over the Long Haul
Paying off a large amount of debt takes time, and staying motivated is critical. We boosted each other’s morale during low moments and kept our minds filled with positive, practical financial education. My husband listened to podcasts and radio shows; I read books about frugality and smart money management.
I created a large poster with a line graph showing our debt and savings progress and hung it in the kitchen. Updating it after each payment made our progress tangible and kept the kids engaged.
We Celebrated Milestones
Each time we eliminated a significant debt, we celebrated with simple treats like banana splits or a takeout meal. Small celebrations kept morale high and made the sacrifices feel worthwhile.
Getting the Kids on Board
We explained our goals to the children so they understood that temporary sacrifices would create long-term benefits for the whole family. We were changing the financial legacy for our kids and their future families. We were honest about past mistakes and still budgeted for occasional fun, including affordable vacations. Being transparent inspired support from extended family and friends, though we also prepared for some people to be unsupportive.
Life’s Challenges Along the Way
Our journey wasn’t without setbacks. We added three children, needed two used vehicles, faced higher tax bills as our income grew, and had unexpected medical expenses. There were surprise debts and a few frugal failures—like a homemade laundry soap that ruined clothes and a regrettable DIY haircut. Despite these bumps, we remained focused on the end goal.
Those years of budgeting and habit-building paid off. Once we became debt-free, the skills of tracking expenses and intentional planning stuck with us, making future financial goals much easier to reach. This spring we used our savings to buy our first house—proof that disciplined sacrifice and teamwork can transform financial life. All the effort was absolutely worth it.