Growing Up with Financially Stable Parents

I grew up with great role models when it came to money. My father was a registered nurse at the VA and my mother was a medical technologist at Boone Hospital. My dad’s paycheck went to paying bills and my mom’s paycheck went to investments. My mom would cash my dad’s check and divvy out money for each of the monthly bills, discretionary funds, vacation money, etc. If we didn’t have it in the envelope it wasn’t purchased, my parents did not believe in putting anything on credit. If we were going on vacation, which typically meant an un-airconditioned car trip to the Rocky Mountains, they would put a small amount of money away each month until there was enough cash for the trip. Their dream was to purchase land and build a house, and as far back as I can remember they saved for that dream. Two years before I started high school, my parents purchased 30 acres of land north of Columbia. My family moved here from Fulton when I started high school and my parents built a house on the land they purchased. They secured a 10 year mortgage and paid it off in seven years.

I practiced that way of thinking about money throughout high school and college. I had two jobs in high school before and after school and graduated with dual Bachelors/Masters degrees in Accountancy from the University of Missouri with no debt. I had Bright Flight, which paid $2,000/year of my tuition, two $500 scholarships, and I worked 30+ hours per week during school and the summer. I lived in the dorms my freshman year, with my parents my sophomore year, and in an apartment with roommates the final three years. My parents gave me $100 a month for expenses and the rest was on me.

In Denial of My Debt

After I graduated, I got my first “real job” at a small accounting firm here in Columbia. In the blink of an eye, quite literally before I knew it I had $36,000 in credit card debt. I had maxed out three credit cards that I had also taken cash advances on, one I got at a St. Louis Cardinals game because it had a picture of Busch Stadium on it that I swore I would never use, and I had no clue how I had gotten to that point. As I said, I had great role models when it came to finances and before then I had always paid attention to my money. I had a job with a decent salary for a person just out of college, I couldn’t believe I had gotten so far in the hole as I had. I remember thinking that I could work harder, maybe get a raise or even make more money somewhere else, somehow that would solve my problems. My issues were not solely with my income and expenses, but more importantly my behavior when it came to money. The breaking point for me was the evening I left a local karaoke bar and tried to purchase a two topping pizza. My card was declined, but when I changed it to a one topping the card was approved. I knew at that point if I couldn’t afford an extra topping of pizza, something had to change. I was in denial for a bit, but I finally got up the courage to walk into a debt counseling service and spill my guts. My credit cards were maxed out, my bank account had been charged off due to multiple overdrafts, and I had just bounced a check to a local restaurant.

Seeking Financial Counseling

The counselor asked me if I had ever followed a budget. I confessed that I hadn’t, that I always had extra money until I didn’t and never considered tracking where my money was going. She told me to go home, write out my monthly income and expenses, factor in a bit of fun money but not too much because apparently I had been having too much fun, and come back and she’d see what she could do. I went home, did exactly what she said, and realized I had $600/month left over. That’s $600 that was being frivolously spent on I didn’t even know what. I brought the piece of paper back, the counselor said we’d close all three credit cards, she’d put me on a $600/month payment plan, and in five years my debt would be paid off.

I left the meeting feeling really good, I actually had a plan in place and saw the light at the end of tunnel. Then I became really mad. I thought about what I could show for the $36,000 in credit card debt that I had. It was for nights out three years ago, and for clothes I don’t wear anymore, and for tires on a car I didn’t even drive anymore. I was determined to pay off my debt as quickly as I could. I was working at Missouri Credit Union by that time, having realized accounting wasn’t for me, and vowed to put every extra penny I could towards my debt. I got a second job at night and on weekends making outbound calls to raise money for nonprofits. It wasn’t fun, working 40 hours a week at my daytime job and 30 hours a week at night and on weekends, but I knew it was temporary. I was able to pay off all my debt in 3 ½ years and I told myself that I would never be in a situation again where I couldn’t control my own destiny, where it was controlled by bill collectors and fear and shame.

Finding Financial Freedom

I currently have no consumer debt because I choose every day to make sure I make wise decisions when it comes to my money. I have an emergency fund and I’m not afraid when unexpected expenses come up. I know I’ll have bumps in the road, but because I am prepared I know that I can handle what comes at me. I am very passionate about using my education, past experiences, and love of teaching people about financial literacy to coach my clients on how to take control of their financial lives. I don’t sell any investments or insurance, instead I provide accountability, encouragement, and education to help you succeed financially. In the end, it is up to YOU to make your money work for you, it is YOUR actions that cause you to succeed, but it is very helpful to have someone who is not in the middle of the storm, who’s been there and survived, to give perspective and guidance. And I’d love to be that person to walk with you and help you achieve goals you set for you and your family.