Featured, Frugality

Why We Are Committed to Living Debt Free

Are there no prisons? Are there no workhouses? – Ebenezer Scrooge

Being in debt is simply no good – and if you lived in the 19th century it meant you went to live in a very unpleasant place where you were forced to stay (and pay rent!) until your family could pay off your debts for you. Today, debt simply sucks. Back then debt killed, literally – well maybe not literally, it was probably the dysentery or the tuberculosis that actually killed you, but it was debt ’s fault for putting you in the stinky death hole of a debtors prison so it deserves some of the responsibility in my book.

In light of debt’s uncanny power to give a person the bloody flux or consumption, my wife and I have decided that we never, ever, ever want to live a life that will put us into debt (except to buy a house). We have committed to:

  • Embrace an attitude that values people more than things (frugal to the max!)
  • Develop an emergency fund for 6 months of our living expenses
  • Save up to buy all our big ticket items before we purchase them
  • Use a budget that balances for everyday and regular expenses
  • Live a healthy and active lifestyle to reduce medical bills and future debilitating illnesses

The main goals of our debt free lifestyle are as follows:

  • Impact as many lives as we can in a positive way
  • Secure a stable and safe future for our children
  • Be happy

We avoid debt because we want to make this world a better place, and it seems funny to me that something as simple as avoiding debt can be such an important part of that equation. But when you consider all the money that you need to earn more of to pay off your debts, and all the time that you need to spend doing so, and all the growth that money could have been doing in a high interest savings account or in the stock market, which might have allowed you to retire earlier, thus giving you more time, it really adds up to opportunities lost to impact the world for the better. There is no bigger time suck and money drain than paying a person for the ability to pay another person for something you want but don’t need and can’t afford.

What are your commitments to living a debt free lifestyle? What do you hope to achieve by living debt free?