Single Mother of Three
Posted by John | Filed under Uncategorized
My best money saving idea is to look at my net worth AT LEAST every two weeks when my mortgage payment comes out (and sometimes more often than that). Watching this figure grow, even by a few dollars, gives me the motivation to resist purchases that would lower my net worth. I am a single mother of three children and I am often stressed out about my debt. One day I decided that I needed to stop focusing on my debt because it was bumming me out (not because I was spending too much, but because it just wasn’t going away no matter what I tried because there was always something that would bring my debt back up again (like needing tires for my car, or a car repair, or a house repair, etc.).
So, I decided to think more positively about where I’m at and congratulate myself daily rather than berate myself for being in so much debt. I wondered if focusing on my net worth would help me keep my chin up. And it has! I have brought my debt way down in just a year, and my net worth is climbing slowly and steadily which lifts my spirits and motivates me to keep going.
I have saved by not buying a new car (I drive a 2001 rusty Mazda Protégé – but no payments!), by putting my income tax refund and any other money I can muster down on my debt, and by making regular payments on my debt. I have gone from $35 000 worth of bad debt (i.e. not including my mortgage) down to under $28 000, which I think is pretty good considering my income and expenses (which rarely include buying or doing anything for myself).
Anyhow, I now have a net worth of $26 624 and climbing. Better than the $16 000 net worth I had just a few months ago! And that’s my tip.
I don’t have any savings yet, as I need to pay off at least another $10 000 and I’m not sure how I’m ever going to be able to do that, but when I see my net worth climbing, it gives me the energy to find a way.
May 30, 2012 at 11:26 am
Congratulations on finding what works for you! I do the same thing– seeing my debts decrease slowly, dollar by dollar, is somehow depressing. But seeing my net worth creep closer and closer to the positive side of the scale makes me so happy!
June 18, 2012 at 1:53 pm
What a great idea and one I’m going to start right now! I’ve been so depressed with debt fatigue it has been eating up my life. Never thought of my net worth. Think I’ll do up a chart so I can see my net worth going up and my debt line going down! Have a GREAT day
Linda
August 4, 2012 at 1:01 pm
Hello?? Net worth of $26,000? That’s amazing considering a lot of people are in the negative. Even when you had a net worth of $16,000, you were still ahead!
A lot of people don’t think of their wealth in terms of their net worth, so congratulations to you for being able to see your true worth. As they say, slow and steady wins the race. Also if you could teach your kids to measure their wealth this way, then they’ll be ahead as well.
Laurel