Like many people during my 20's I wasn't as careful with my cash as I could have "should have" been. I had a good job, I was young, and strong I thought that I had forever to plan for the future. Too bad I had to find out the hard way that what goes up must come down. By the time I was thirty the economy was beginning to falter construction was at an all-time low and my good job was gone, but I was about to make the best financial decision of my life and I want to tell you about it.
The smartest financial move that I made during my thirties was buying and paying cash for our home. It was really a "we" thing but it is the financial move that I am the proudest of. During the toughest economic times of my life we received a $25,000.00 settlement from an injury that my husband had gotten some time earlier. The money couldn't have been more on time considering our financial situation.
$25,000.00 dollars seems like a large amount of money, but believe me it's not. When we learned that we were going to get the money my husband and I sat down and figured out on paper that if we caught up every bill we owed we would have around $6,000.00 dollars left to live on then we would be right back to the same old struggle. So, we decided to make that money last us for the rest of our lives and we did.
I got on the computer and found us a small fixer upper house to buy for $12,000.00 decent enough that we could live in it as we fixed it up. At the time we were paying $500.00 a month for rent when we bought the house we would have that $500.00 a month for other things such as bills that would never stop coming. Next I got on Craigslist and found us each a used vehicle that we could pay cash for and loose the car payments. Mine was $1400.00 and I found my hubby a nice pick-up truck for $1100.00.
Before that we had paid $700.00 a month for car payments and another $500.00 a month for rent that's $1200.00 a month that we could live on and maybe even save some money. We paid some bills and left several thousand in the bank for hard times. Today we are in better shape financially than we were back then. We made it through the hard times finally and we both credit it to the wisest financial decision we have ever made.
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- Banking & Budgeting