We Are Not Dead

Wow, it has been a while! We have some good news and some bad news.

The good news is, we're still alive.

The bad news is, our debt-killing has slowed a bit.

The month of March was amazing thanks to tax refunds and rapid reduction in debt. Then April hit and things slowed a bit, money-wise.

Don't get me wrong, we've actually been busier than ever. We moved in together and downsized from Kyle's 3-bedroom house to my 1-bedroom apartment. Kyle has been working major overtime, and I have been preparing for art show season as well as the launch of a new product line. With new business ventures comes new business investments and therefore involves spending money. The hope, however, is that it will also lead to increased income in the long run.

Now that we have downsized, the next thing on our list of things "To-Do" is to get Kyle's house all fixed up so that it can be sold or rented. The financial burden of investing in home improvements is completely worth the freedom of no longer having a mortgage to pay. Today we went to Sam's Club and, unfortunately, had to put about $950.00 worth of flooring on a credit card. It felt horrible at first to have made such strides in debt-killing only to have to take a huge step back, but we know that new flooring was a necessary evil in order to eventually get rid of the house completely. So, we dove in.

Along with getting the house fixed up we have a couple more debt-battling plans:

• Minor improvements to my car in order to sell it
• Having another yard sale (if the stupid weather would cooperate), then donating or throwing away whatever doesn't sell. It's amazing how much junk can weigh you down!
• Moving my massage studio to a new, hopefully more lucrative, location
• I will be switching health insurance plans to a lower premium plan beginning in June. I recently received notice that my monthly rate would increase from $169/month to over $220/month (redonkulous!)

So that's what's going on with us these days. We want to thank all of you who have been following our journey and apologize for leaving you all hanging. We will try to do better at keeping you all updated.

Also, we would love to hear what kind of money-friendly steps you all have been taking in your own lives. Share your wisdom!

Talk to you SOON,



P.S. Monthly progress tracking will be updated soon!

Month One Progress: 7 Things We Have Learned

Although we wrote our first official article for this blog in February, the month of March marks the first full month of our new financial journey. We have had some highs and some lows over the past 31 days. We have had days when we felt overwhelmed and days when we felt unstoppable. We have made great strides but still have a long way to go.

Here are a few bits of wisdom we picked up on in our first month of this Love vs. Debt project: 

1. Vicious Cycle of Debt- this may seem like common sense but, as it turns out, debt leads to more debt which leads to even MORE debt. It doesn't take a genius to figure out the cycle: you have no money so you rely on credit cards to buy things, which racks up huge credit card payments that drain your paycheck, so then you are left with no money and you end up relying on a credit card to buy things...Don't let denial facilitate this cycle. Figure out what the cause of the problem is, then kill it.
2. We Are Not Our "Stuff"- It is easy to get caught up in the idea that you are defined by what you have. We are taught to believe that "things" are important. That being successful means having a giant mansion. Then, when you achieve that mansion, you of course have to then fill it with tons of expensive stuff that others will envy, right? Well, here's the thing: when all that stuff is gone, you won't miss it. At least not if your value system is still intact.
3. Two Heads Are Better Than One- Sometimes it takes another opinion to put things into perspective. Do you think you are so far in debt that it is hopeless? Share your fears with someone else and let them offer some support. You'd be surprised how many people can relate to how you're feeling. Don't be afraid to ask for help.
4. Like a Band-Aid- Getting rid of stuff is scary at first but we recommend picking one big item you don't need anymore and sell it. The bigger the item the better since it is that sudden windfall that will totally motivate you. Once you realize that you are still the same person with or without it, and perhaps maybe even a happier person, letting go gets much easier. As an example, Kyle's "band-aid" was his most expensive gun. He decided to "go big or go home" so to speak and sold it as a sacrifice for the Love vs. Debt cause. It was tough to part with, however, the $500 in his pocket made it a bit easier to cope.
5. Take Small Steps When You're Overwhelmed- This whole process is not easy. Sometimes it feels overwhelming. When this happens, it's important to stay away from the big picture. Pick something small to focus on instead. Clean out one junk drawer, cut up one credit card, list one item on Craigslist. You don't have to do it all at once.
6. Take Big Leaps When You're Ready- on the other hand, if you are not overwhelmed and are confident, secure, and ready to make huge strides, DO IT! Don't second-guess yourself or you'll never follow through. For example, at the end of the month, when Megan knew she did not have anymore upcoming bills that needed covered and that she had some extra money in her bank account, she paid $400 toward her credit card. Kyle took his tax refund and immediately applied it directly to his credit card debt, managing to pay off two of them completely. If he had waited, he may have found excuses to use it on other things and would not have been able to make such great progress.
7. Lead By Example- When we first started this blog, we knew we wanted to make it accessible to the general public. Letting total strangers get a glimpse of your financial blunders is scary, but exhilarating. It would be this vulnerability that would also hold us accountable. If we were to look solely at the number of documented "followers" our blog has (currently a grand total of 4) we may feel unimportant. However, what we never could have anticipated is the number of people who have told us directly that we have inspired them to make positive changes in their lives. From random texts that read, "I just disputed an overdraft charge because of your article! Thanks!" to simple "I love your blog" and "I can totally relate" comments at parties, we are blown away by how the simple act of sharing our experience can make others take action as well. 

All in all, the past month has been amazing! We have managed to change our perspective on money and possessions, make connections with other people who are in the same financial boat that we are, and pay down over $6000 of our debt. We continue to be motivated not only by our own successes but by the successes of our readers, fans, and friends and we encourage you all to continue to share them with us. It is through sharing and connecting with others that we are able to accomplish our goals.

"If your actions inspire others to dream more, learn more, do more and become more, you are a leader.”  -- John Quincy Adams

Dream Big , Live Simply , Love Unconditionally : Life According to "Up"

 **Note: This Blog May Contain Spoilers of the Movie, "Up"**

(But seriously, if you haven't seen it yet, get to it!)

I know I'm not alone when I say that every time I watch Disney-Pixar's movie, "Up", I cry my eyes out. Most of these tears happen in the first 20 minutes of the movie when it introduces Carl and Ellie and subsequently documents their love and life in the most beautiful cartoon montage I have ever seen. Sure, the movie has it's silly moments and moments that are mostly geared toward kids, but at the heart of it all there is a touching story about what is most important in life. Here are just some of the things that resonated with me, personally, while watching this charming movie:

Up and Dreams

• Dream Big: Moving your entire house to a different country by tying a zillion balloons to the roof and floating there? Sure, why not??
• Never Give Up on Dreams: Carl and Russell encountered some pretty harrowing challenges on their mission to Paradise Falls, but they never gave up and eventually succeeded.
• Sometimes Dreams Change: This is shown very cleverly during the life montage in the form of a coin jar. Their first dream was to have children but when this did not happen, they decided to focus on living at Paradise Falls. The couple saved up for their South American dream and then had to break the bank when they needed new tires, had a medical emergency, storm damage to the house, etc. Sometimes life just gets in the way and you have to go with it.
• Share Your Dreams: As shown in both Carl and Ellie's relationship as well as Carl and Russell's, it is easier (and more fun!) to accomplish your dreams when you share them with others, support each other, and work together to achieve them.

Up and Simplicity

• Simple is Good: Carl and Ellie are never shown in a giant mansion, or shopping for expensive items. They live in a simple house, one that meant a lot to them from their childhood. They enjoy simple pleasures like going for picnics in the park or reading side by side. The "experiences" are valued more than the "stuff".
• Stand Your Ground: When Carl was slowly being run out of his home by the big business developments around him, he refused to leave. When he was finally forced to leave, he still did not give in and instead decided to move his simple life someplace else. When the world seems to get more and more complicated and materialistic, hold tight to the simple things that mean the most.
• Things Do Not Equal Love: Toward the end of the movie, Carl was forced to throw all of the items out of the house in order to save his new friends. Some of these items were extremely sentimental including his late wife's belongings, photos, and their chairs that lovingly sat side-by-side. It was this gesture that pointed out that although they held great emotional value, these things were still just things and that the people in Carl's life were more important.

Up and Love

• When Life Gets Hard, Love Harder: When Carl and Ellie lost their baby and later in life when Ellie began to get sick, they embraced each other tighter, leaned on each other longer, and loved harder than ever. When bad things come your way, surround yourself with love to get through them.
• Keep Your Promises: When the pair meet when they are just children, it is then that they decide to move their "clubhouse" to Paradise Falls. At the time, this seems like a childish pipe dream but Carl crossed his heart and delivered on his promise as an elderly adult.
• Let Love In: When Carl first met Russell, he was a grumpy curmudgeon who hated the world. He loved Ellie with all his heart and with her now gone, it was as if joy itself had left his life. But after lots of persuading, and likely against Carl's own will, he started to open up and found love in a different form through Russell. Life became an adventure again, proving that even when you have completely given up, just letting a little bit of love in your heart can positively change your whole outlook.
• Love Unconditionally: This is shown in many ways through each of the characters but my personal favorite is through Dug, the talking dog. Some of my favorite lines of the whole movie come from him including, "I was hiding under your porch because I love you" and "My name is Dug. I have just met you, and I love you." While his dedication is shown in a silly light, at the core of the Carl-Dug relationship is genuine, unwavering, unconditional love.

Have you seen "Up"? What did you think? Perhaps there is another movie that affected you in unexpected ways just like "Up" did with me. I'd love to hear from you-- please don't hesitate to share!

Yard Sale: Concerns vs. Reality

This past weekend we held our first yard sale together, not exactly sure what to expect. Let's just say that our concerns were blown out of the water and we couldn't have asked for a better experience.

Since we're a big fan of lists, let's go through our Concerns vs. Reality.

Concerns:

1. Lack of Traffic- The sale was held at Kyle's house and he lives on a cul-de-sac, set back in a subdivision. We were a bit concerned about whether or not people would even know that there was a sale going on.
2. Weather- Just two days prior to our sale date, the 50 degree weather dropped suddenly and we got about an inch of snow.
3. Advertising- We are both procrastinators so buying an ad in the paper, and plastering the town with posters did not happen. We decided to go with Craigslist, but often times on that site, there are so many postings that your ad seems to get lost in the shuffle.
4. Having desirable items- We knew we had a LOT of stuff, we just weren't sure whether people would actually want any of it. 
5. Keeping finances separate- We decided beforehand that whoever owned the item being sold, that person would get the money. Easy as pie, right?

Reality: 

1. Overwhelming stream of customers- Our set sale hours were 10am-4pm and by 9am people started arriving even while we were still setting up. This could have been frustrating, but we just let them know that we were still putting things out but they were welcome to look around in the meantime. Never ever did we expect to see so many people show up!! At one point it was a bit overwhelming, but thank goodness we had family come out to help us interact with customers, collect money, and price some items.
2. Perfect weather- Saturday was beautiful and the weather was perfect for a sale! Luckily we had none of the "few showers" that were predicted earlier in the week. It was sunny, but not hot, and a bit breezy. Plus, it was one of the first nice weekends of the season so people were probably itching to get out of the house. Lucky for us, that meant yard sale hopping!
3. Craigslist is awesome- Since the whole point of having this sale in the first place was to make money to pay off our debt, the last thing we wanted to do was spend money on advertising. We did buy one "Garage Sale" sign to put on the main street to direct traffic, and a couple of stakes to add to our own handmade neon posters to post around the community. In total we had 4 signs. Other than that, we just had two Craigslist ads. The first ad was posted on the Tuesday before the sale and was simply a long list of almost everything we intended to sell. The second ad was just a copy-paste duplicate of the first, except this one contained four pictures of our most desirable items (furniture, electric guitar set, weight bench). We also made sure to include the fact that we could accept credit cards (Megan has a ProPay account that she uses for her art shows), and we had a catchy title, "GIANT YARD SALE Sat. 10-4. We are selling EVERYTHING!!" We are pretty sure that a majority of our customers came in after seeing our ads, some requested specific items (e.g., "Do you still have the Insanity DVDs for sale?"), and one man actually said that it was one of the best Craigslist ads he had ever seen (maybe we should have been marketing execs?)
4. "One man's junk..."- As more and more of our stuff began to sell, we realized that just because we didn't want these items anymore, that didn't mean that others wouldn't want them. We had a lot of items that people seek out to buy, such as living room and dining room furniture, XBOX systems, and TVs, not just knickknacks to stumble upon. 
5. What's mine is yours- The whole "keep our finances separate" idea went out the window about 20 minutes into the sale. The overwhelming amount of people, along with the fast-paced sales, and the extra helping hands, made it difficult to keep track of whose stuff was whose, especially when people would buy some of Megan's and some of Kyle's in one transaction. We decided that it was all going to the greater cause of us, as a couple, getting out of debt so it didn't really matter who got what money.

Overall it was unbelievably motivating for us, not only to make so much money in one day, but to see the amount of clutter whittle down to almost nothing as the day progressed. By the end of the sale, we were drastically lowering some of the prices on things and practically giving stuff away because the feeling of freedom that came from eliminating the extra "stuff" we didn't need was worth more than the money we were getting for it. Let us repeat that very important concept:

The feeling of freedom that came from eliminating the extra "stuff" we didn't need was worth more than the money we were getting for it. 

So, to recap, what did we learn?:

1. Craigslist is better than the paper! Be as detailed as you possibly can, take good, appealing-looking photos, and post it more than once.
2. Get back-up reinforcements. We could not have done it without the help of Megan's mom and two aunts. We are certain that if there weren't extra people to answer customers' questions and take payment, some people may have gotten impatient and left without buying a thing.
3. Be flexible. If people want to negotiate with you, be open to it. That doesn't mean you have to lower the price more than you feel comfortable with, but if someone wants to by six DVD's at two bucks a piece, give them all six for $10. People are more likely to purchase if they think they're getting a deal. Our flexibility also helped make a sale when a customer who lived nearby wanted to buy a piece of furniture, but it wouldn't fit in her car. Megan's mom used her truck to deliver it for the customer. Again, we wouldn't recommend doing this if it is completely out of the way but if it isn't a big hassle, it is worth the $150 they are paying for the item. Another option is to have the customer pay for the item now, and you can leave the item outside for them to pick up later with a better-equipped vehicle.
4. Be friendly and social. Say hello when customers come up to the sale. Ask them if there is anything in particular they are looking for. Tell them a bit about the item they are looking at. Don't follow them around the sale though. Give them space, but make yourself available to answer any questions.
5. Stock up on plastic grocery bags. Luckily, we had a bunch of these all stocked up for poop-control purposes while walking the dogs. People will buy more stuff if they don't have to worry about transporting it. 
6. The sale doesn't end after the sale. We are now in the process of putting some of the larger pieces that didn't sell back on Craigslist. We've already gotten rid of two pieces that were just taking up space by listing them individually in the "Free" section in Craigslist. When we got a response for these items, we simply sat them outside, responded to interested parties with our address, and told them they could come pick it up on a first come, first served basis.

The grand total made for the sale (not including any items sold post-sale): $1,123.68!!

Not bad for one days' work!

 

What's For Sale?

Just a quick note letting you guys in the Cincinnati area know that we just uploaded a few photos to the Love Vs. Debt Facebook Page of some of the items we will be selling at tomorrow's Yard Sale. If you are interested in purchasing anything, just let us know!

Oh, and P.S.- Since we are awesome, we are also accepting credit cards at tomorrow's sale. You're welcome.

 

For all you locals...

What we're selling: Item List

Books: A Love Affair

In an attempt to downsize our lives and live a more minimalist lifestyle, we are attempting to sell everything we own. Okay, maybe not everything, but a lot of it. We will soon be moving in together which will allow us to get rid of at least half of our furniture and we plan to have a yard sale in the spring to sell some of our clothes that are just sitting in our closet.

However, when it came to shrinking our book collection, the process was not so simple. Some of them have lackluster story lines. Most of them we have already read before. And all of them spend a majority of their time collecting dust on the shelf. Which got us thinking... "What is it about books that makes them so difficult to part with?"

Here are some possible answers we've come up with:

"Aw, but that one reminds be of..."

Are there certain books that remind you of your childhood? Books that you remember reading over and over again? Or maybe certain novels that moved you, inspired you, and made you laugh? Books are powerful and letting go of them sometimes feels like letting go of those memories.

"I'll read that someday."

How many times have you said this to yourself? There's something very intriguing about an unread book; not knowing exactly what it will be about or how it will impact your life can be thrilling. Getting rid of unread books seems like a waste.

"I have many leather-bound books."

Having a library in your home is a status symbol. Only the wealthy can afford to have a whole room dedicated just to reading, right? Having that many of anything can make you feel important and having a wide variety of books on your shelf makes you look downright scholarly.

"I might need that one for..."

Are you keeping books around because you think you'll need to refer to them for research? When is the last time you spent 20 minutes skimming through a book instead of taking 3 minutes to Google it? Think about it.

"But they look so pretty!"

Just looking at that box of books in the photo above makes us rethink selling them. All of the different colors, sizes, and shapes of the books stacked next to each other just looks so fun!


All of these things ran through our mind during the sorting process and made our decisions very difficult. Books are more than words on a page. They hit a much deeper nerve; we get attached to the characters, identify with their problems, and want to keep them around like they're our friends. So how did we resolve this problem?

1. We didn't get rid of ALL of our books. We kept a few that were particularly near and dear to our hearts including a book Megan read over and over when she was little ("An American Tail") and a series of books by Kyle's favorite author, Stephen Ambrose (May he rest in peace).
2. We got rid of the books we started and couldn't get in to. If we weren't hooked from the beginning the first time, we aren't going to be hooked the second, third, or fourth times we try to read it.
3. We got rid of the books we read a million times before. We loved them so much that we read them over and over, but we realized that we can still cherish those books without having them in the house permanently. Plus, we like the idea of passing that love on to someone else.
4. Prior to starting this journey, we invested in a Barnes and Noble Nook. When we first started cutting back, we considered returning our Nook and getting our money back. However, we realized that we really do love it and we use it everyday so it's not a worthless expense. Plus, consolidating all of our books into one space-saving device is totally worth the money.
5. THE LIBRARY! Our most underrated and underutilized resource is the public library. Free books, Free DVDs, and Free Music- what's not to love?? Plus, they have recently introduced the ability to check out ebooks for free, so now we can experience all that the library has to offer on our space-saving Nook.

So, friends, if you are working on minimizing your possessions and having problems parting with your literary gems, please know that you are not alone. It might take some mental pep talks to finally cut the cord, but in the end, it feels good to let go and share the love.

 

And So It Begins...

 

 

Today began the actual chipping away process. We both tend to get impatient and want to see major results right NOW, however we know that with something like debt and money, it's the accumulation of a bunch of little actions that will have the greatest impact.

So, what did we do?

1. Kyle already sold his shotgun to a family friend! Hooray for an extra 100 bucks! (He has two others he wants to sell, if anyone is interested)
2. I noticed that I was still signed up for "Credit Protector" on one of my credit cards, charging me a ridiculous $40/ month for the supposed "peace of mind" of knowing that if I were to lose my job, get a divorce, or have babies, my payments could be put on hold for a couple months. It turns out I am self-employed, not currently married, and have no plans to pop out any babies soon, so I figured this could afford to go.
3. I  managed to get my highest credit card interest rate lowered!

Let me just say that I am a huge pushover when it comes to simply asking for something I want, so when it came to calling up the credit card company to ask them for a lower interest rate, I used to think "there's no way I would have the balls to do that". However, "Love vs. Debt" Megan is a new and improved, "I'll tell YOU what I want" Megan, and I was super motivated to get things done today.

So, I did a little research-- I figured out how long I had been a customer with their company, how many times I missed a payment, and what other credit card rates and balance transfers were available to use as leverage.

I took a few deep breaths, then I called them up and told them that "I would hate to have to cancel my card, but I would not hesitate to do it if they couldn't do something to lower my rate." I also (casually) mentioned the fact that I have been their customer for almost 8 years and haven't missed one payment.

The moment they heard the word "cancel" they transferred me to the higher-ups and lowered my interest rate by 6%!

Wow... that was easy.

Moral of the Story: It never hurts to ask. The worst thing that could happen is they say "No" and then you are no worse off than you were before. I only regret that I didn't do it sooner.

Keep you posted on our progress!

Baby Steps

Today we faced our demons and took a few baby steps toward our goals.

Money is always a sensitive subject to discuss but it is also one of the most important. Many relationships end over financial disputes and more often than not, it's due to a a lack of communication  about money. Money is an integral part of our lives, and tip-toeing around the difficult issues won't make them any less present.

Today we laid all of our (credit) cards on the table. We wrote down all of our debts, totaled them up, and got a realistic idea of the size of this mountain we are about to climb.

Was it easy? No.
Was it depressing? Yes.
But was it necessary? Absolutely.

Now that we know what needs to be accomplished, we can finally stop pushing the hard stuff to the side and tackle it head on.

Let the battle begin.

 

Allow Ourselves to Introduce... Ourselves

Hello! We are Kyle and Megan, a young couple from the Cincinnati area. We have been dating for about a year now and have big dreams for our future. We are excited for what's to come,  but we also know that carrying around a bunch of debt will get in the way. With Kyle's mortgage and car payments, along with Megan's mountains of school loans and credit card debt, it was time to get serious about cutting back, saving up, and paying things off.

Here's where we get stuck.

We have done lots of research about how to go about paying things off. We have read others' blogs, checked tons of books out at the library, and listened to the advice of those who continue to live thriftier than we do. We know how it is supposed to go, we just don't know where to begin. We both have the tendency to get very excited about an idea, followed immediately by being overwhelmed, and finally, giving up altogether.

One night recently, Megan was stressing out about finances.  She had finished her taxes early (which is a miracle, given her procrastinating tendencies), however the program she was using was experiencing glitches and kept rejecting her return. She decided to give up for a couple days, defeated after the initial thrill of an upcoming windfall had worn off. She had been sick for the past week and was unable to go to work at her nanny position and therefore, missed that week's check. She decided to check her bank account only to discover that she had overdrawn after her recent doctor visit copay and gasoline purchase. She indulged in a brief breakdown, discussed the situation with Kyle, and together they decided to start a brand new financial journey.

Here is a list of what are goals are for this blog, and what we hope to learn:

1. By keeping a log of all of our efforts, we are held accountable to ourselves and our readers. 
2. We will be more likely to follow through, if only to have something to write about that day.
3. Writing things down serves as a reminder to us to keep us on track.
4. Hopefully we can get some good feedback from readers to learn tips from you about saving, spending, budgeting, etc.
5. By sharing our experiences, maybe we can help others find their way to financial freedom.
6. We will be working toward our goals-- Together.

We hope that you continue with us on this adventure and we encourage you to leave us comments and feedback-- We would love to hear your thoughts!