Josh teaches us how to get out of debt

Today we have Josh from Money Life Wax- a personal finance blog designed for millennials. In 2015 he realized that his financial were in a mess and decided to do something about it, so in February 2016, he put a ring on his girlfriend’s finger and then they decided to get serious about their future.

Together they had over $300k worth of student loan debt so it really took some serious planning for them to start tackling their debt.

Welcome!

[2:33] So, how much debt have you guys paid off to date?
·      $40k in student loans before he met his wife
·      His wife had $155k from grad school, $20 from Navient account and $97k
·      Interest is crazy high so even more than that!

[4:53] What is has been your strategy to tackle the debt? Are you trying to pay off the highest interest rate loans first or tackling loans by value?
·      Read the Dave Ramsey with the Debt Snowball
·      Uses home equity line of credit to make massive payments
·      Ultimately big cash flow strategy focusing on largest amount with the largest interest rate some at 8%
·      Has not refinanced due to federal perks
·      This is not recommended for everybody as it’s a specific strategy.

[9:51] What are some areas you had to cut back on?
·      Deciding to live a different lifestyle- which a lot of people might not want to hear J
·      Focus on what’s important, get rid of cable and gym membership
·      Stop eating out so much and not take expensive vacations

[13:41] Do you have any strategies for planning a wedding on a budget?
·      Decided to put wedding off a bit to try save some money
·      Realization that inviting 200 people to get into massive debt isn’t worth it so invited fewer people and identified their true friends.
·      Used wedding mix instead of a videographer
·      All in all was about a $15k wedding

[16:54] What advice do you have for people who also have a ton of debt or are taking out massive loans for school?
·      If you’re going to assume the debt you should pay the debt
·      You need to claim responsibility
·      Be smart with Colleges and decide if the return on investment is worth it

Sponsors

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Value Link Round (VLR)

[19:29] Why do people struggle to achieve their dreams?
·      Distractions that we see every day like so many ads
·      There are good and bad distractions
·      We live in a world of instant gratification and it’s easy to get distracted

[21:4] Do you have any other books or podcasts you can recommend?
·      Greg Cardone – The 10X Rule
·      Jeff Olson- The Slight Edge
·      Dixie Gillaspie- Just Blow it Up
·      Malcolm Grodwell’s Podcast
·      The Power of Zero
·      Marriage Kids and Money – Andy Hill

[23:25] Do you have a favorite quote?
·      Observe the masses and do the obvious
·      If nothing changes, nothing changes