I just sold my 2016 Honda CR-V! I bought it brand new and still owed about $21,650 but I felt like it was time. Car payments make a huge difference in any debt free journey especially when they are around $400 a month! That's not taking into consideration the taxes, maintenance, insurance, and gas. I decided that to make my goal of being debt free by 30, I needed to cut this expense. The car dealership was looking at me like I was sick or something was wrong but I told them I am completely fine. I just have a goal that I need to get to and I am determined! They admired me for being so young and thinking long term. It was an easy decision for me and it all happened in less than a week. I bought a 2010 Mazda CX-7 for $5,850. I paid most in cash and the rest I financed. Just like that I got rid of over $15,000 in debt! My new balance is $51,748.91! #debtfreeby30
One word: underrated. Retirement is key to your wealth building. Yes, you can be frugal and save as much as possible. Yes, you can aim to be debt free and be intensely paying off your accounts but what are you doing for your future self. Is your future self broke while your current self is comfortable? The good news is you can start saving for retirement at anytime. The bad news is the longer you wait the harder it is going to be on your current self to build a comfortable nest egg.