When you’re in the trenches, digging away at getting out of debt, it’s easy to see a lot of dirt. After all, that’s what you’re focused on: the nitty gritty. But it’s ok to look up at the stars too. In fact, it’s imperative, because the stars are where you’re headed.
Once you’re debt free, you’ll have a lot more money available — money that you used to pay to creditors for interest, fees, and payments, but that will now be available for you. Continue to pay attention to your finances, and you can budget in all kinds of fun stuff.
Here are just a few of the guilt-free things you can do when you’re out of debt:
- Go out to eat
- Pay cash for your next new car, and drive it off the lot knowing that you own it
- Buy a Lotus Elise — in other words, pay cash for a fun car that you don’t even need
- Take trips to your favorite places
- Check the mail without dread
- Deposit your check and watch the money stay in your account until you decide to spend it
- Buy a new entertainment system
- Finally get rid of that ratty old couch
- Get that expensive surgery your pet needs without worrying about how you’re going to pay for it
- Send your kid on a field trip to Washington, D.C.
- Go clothes shopping because there’s a fun sale and you have the money
- Contribute to retirement and college funds
- Take the kids to Disneyland
- Have movie night on a regular basis — at the theater, even
And that’s only a start. You can do whatever you plan to do, once your money is all yours.
What would you add to the list?
Haha, I love your #8 – YES, I need a new couch ASAP! Mine is on life support. We’re on the verge of paying off our car loan three years early (we already paid off the loan on our other car a year and a half ago), and once I’m not putting $260 a month to that, maybe I’ll start a couch fund! Can you say leather sectional?
Go couch fund! (And that’s what we got too.)
I love the Lotus Elise! I would buy it if I had the money.
Save up!
Nice list! I like #5 :) No more dreading the mail – besides the junk mail!
Hehe, yeah there is still that junk mail thing to contend with!
Interesting list, but many of these can put us back in debt again.
If you do them willy-nilly by borrowing money, yes. But not if you pay attention to your finances, and budget for them.
I would put #12 higher on the list. If you don’t save enough for retirement, you could easily end up in debt again when you’re older and can’t work. If you don’t save for your kid’s education, then *they* could end up in debt if they have to take out student loans.
But it’s definitely important to spend a little bit on yourself if it makes you happy!
I agree :)
(And I should have said that they were in no particular order.)
I love to take a weekend getaway with just the family. Live in a nice hotel and do nothing.
Sounds fun — if by do nothing you mean swim, eat, read, etc. I don’t do so well with do nothing!
I’m with Tushar. We love to travel so spending a little extra is worth it to us.
I so love to travel :)
I love the first one – being debt free is great because I love eating out!
Me too! (probably why it’s the first one that came to mind!)
My son loves the Lotus Elise. I think it is pretty cool, too. Guess I will be working on that debt. I will let you know when I get one.
Definitely let me know; and on when you get out of debt!
I do 1 sometimes too much.
I love 5.
10 I would revise like this… Send your kids. :)
14 doesn’t appeal to me because I don’t like the movies that are in the theaters. However independent films are fun.
The best thing is you can make your own list :)
Jackie,
Enjoy your articles. I think you should reward yourselves with some of those guilt free purchases but before you start making some of those larger purchases continue to take the extra money you now have each month and establish a 3-6 month emergency fund and make sure you are putting 15% of your income into a company match or Roth IRA or combination for your retirement years. (Your #12) Once you have accomplished the above two then start rewarding yourselves with those guilt-free purchases. Increasing your blow $$ each week is also a possibility. Would love you to consider offering our Free 40-week video series on Becoming Debt Free to your readers.
http://www.debtfreesquad.com/free-40-week-financial-freedom-series/
Thanks,
Jeff
Thanks Jeff, I’ll check out your series. I already have a 9-18 month emergency fund set aside (depending on whether I’m counting by what I normally spend each month or what I could cut back to without a lot of trouble), and I currently contribute 35% of my salary to retirement. Plus we’re getting close to having our house paid off :) The Elise will come after that, along with a trip to Antarctica, but we do a lot of the other things now.
I like the idea of starting up a car fund. I think the important thing is avoiding the potential for falling back into debt. Saving up for unexpected costs is a great way to accomplish that goal.
Yup, that’s exactly the way to do it. Plan ahead and save up for those things that you know will or might be coming up ahead :)
This is a fun post!
I decided months ago that the first thing I’m doing when I’m out of debt is starting myself a new car fund. I don’t NEED a new car but it sure will be nice to buy one someday!
On my own list I’d add get lasik surgery, I HATE wearing glasses and contacts but can’t convince myself that I should get the surgery rather than pay off debt.
Maybe you could make lasik the second thing you do when you’re out of debt :)