On August 28, 1963 Martin Luther King Jr. delivered one of the most inspirational speeches ever, about a dream and a vision he had for America. That dream was inspired by something inside him that believed it was possible to change something very wrong with his country. His dream was brought on by some truly sad times of racism that I couldn’t possibly begin to understand.

What I do understand, however, is that he never gave up, even though his opposition must have been overwhelming! As he found himself jailed for his activism, he very easily could have given up, but at what cost to his dream? He could have just let his surroundings and his situation deter him from what he knew to be right. Instead of giving up though, when times were difficult, he marched on, thinking not of himself, but of those he was trying to help. He sacrificed so much for what he believed in, which in the end, cost him his life.

Martin Luther King Jr. may not have lived to see the result and impact of what he did so many years ago, but I have to believe that if he had to do it all over again—he would.

Perhaps some will say that my using Martin Luther King, Jr’s story to inspire financial freedom is quite a stretch. Maybe in content, but not in character, principle, or in action.

What I see, and how I relate the two, is very simple.

What you are experiencing today financially, may seem so overwhelming that you just can’t comprehend being able to overcome it. My assumption is that there were likely times when MLK must have thought he was fighting a losing battle, yet I have read nothing to imply that he ever thought of giving up.

“Faith is taking the first step even when you don’t see the whole staircase.” Martin Luther King, Jr

Change comes with lots of hard work and sacrifice. It is not something that just happens because you want it to. Change is not easy, but one thing is for sure, if you keep doing the same things with your money, you will keep getting the same results. You may struggle along your path to financial freedom, but that is precisely what will teach you the most, as well as strengthen you for what is to come. Be strong—do not let your struggles and perceived failures be the reason for your financial demise. We all have struggles, even those of us who have managed to turn our finances around. Financial success isn’t reliant upon the absence of problems, it is reliant upon how you handle those problems you face.

“Change does not roll in on the wheels of inevitability, but comes through continuous struggle. And so we must straighten our backs and work for our freedom.” Martin Luther King, Jr

Your solution, or the solution that society seems to look to first, are not necessarily your best options. It may seem as though they are at first glance, but using a debt consolidation company to manage and pay off your debt, teaches you nothing. It can also cost you more than just the fees they charge for the opportunity to do so. Most people end up right back where they started, because they didn’t learn what needed to be learned to keep from returning to the debt they eliminated. The easiest way is typically not the best way.

Bankruptcy seems like the right thing, because after all, you pretty much get to start all over. Just like with debt consolidation companies, you didn’t really solve the problem that caused the financial mess in the first place. You technically just avoided the problem all together and treated the symptom instead of the cause, which happens to be your behavior.

Think about what is at stake before you make each financial decision.

“Rarely do we find men who willingly engage in hard, solid thinking. There is an almost universal quest for easy answers and half-baked solutions. Nothing pains some people more than having to think.” Martin Luther King, Jr

Martin Luther King, Jr might have been fighting for the rights of blacks in America, but you should be using the same principles to free yourself from the bondage that enslaves you.

• You may not see the light at the end of the tunnel at first, but know that it is there!
• It may be difficult, and at times feel impossible, but know you can do it!
• It may be hard to believe in your ability to turn things around, but keep this in mind—you are your best solution!

You are the one that must step up to the plate. You are the one that must be strong and courageous! It is YOU that will make the difference!

I hope you’re able to take from this story the message of hope and hard work, determination and courage, and above all, the belief in your ability to make great things happen.

You don’t have to be in debt. You don’t have to live paycheck to paycheck. The choice is yours, and your dream is what you make it. If you follow your dream the way he followed his, chances are, your dream will become a reality.

What is your financial dream, and what are you willing to sacrifice to accomplish it? Are you willing to pay the price and sacrifice to become financially independent? If you’re not, what cost are you willing to pay to do nothing?

• How I Saved $10,000 in Six Months – Evolution You
• 20 Signs You Need a Financial Makeover – Budgets Are Sexy
• Life After Bankruptcy: 3 Things That Could Change After You File – Stumble Forward
• Too Much Debt? 5 Steps To Pay Off Your Debt – Free From Broke
• Don’t Let Yourself Drown in a Sea of Financial Stress – Financially Poor
• 10 Guiding Principles For The “New Retirement” – Redeeming Riches
• Avoid the Blame Game—Take Responsibility for Your Financial Affairs - Free Money Finance
• Student Loans: Necessary for a College Degree? – Couple Money
• 11 Ways to Convince Your Boss to Give You a Raise – Out of Your Rut

Enemy of Debt Around the Blogosphere

• Best of Money Carnival #65 – Bible Money Matters
• Best of Money carnival #66 – Personal Finance By The Book
• The Top 30 Personal Finance Bloggers You Need To Be Following On Twitter – Own the Dollar
• Create an emergency fund to avoid costly, unnecessary debt – Personal Money Store
• Emergency Savings – Out of Debt Again

Enemy of Fat Updates

• Workout Hell, The Beginning – P90X Day One
• P90X Workout Update -Day 3
• P90X – Days 4 and 5 (Yoga & Legs and Back)

This is a guest post from a recent series of three from the folks at Century 21. Make sure you are insured, but most importantly make sure you have the right coverage for you!

While there are a plethora of options for auto insurance coverage, it can be tough to find the right provider that works best for you when you need to make that auto insurance claim. But they’re out there. However, the right coverage can’t find you if you don’t go out and look for it.

If you’re not sure what discounts you may deserve on your auto insurance coverage, I have some tips to share with you that might clear up some of your uncertainties and bring you plenty of savings on your auto insurance. First off, you can’t find savings without shopping around. Rates vary from company to company so always get quotes from at least 3 different companies. When you file an auto insurance claim, the deductible is the amount of money that you lay down before your insurance starts up. Remember that higher deductibles can bring substantially lower premiums, but make sure you have the funds to cover it in case you have to make an auto insurance claim.

It’s important to know that how insurance companies decide on your premiums have a lot to do with statistics. Unfortunately, there are some things that are out of your control like the fact that insurance agencies take into consideration your gender. Statistics have proven that males generally drive more recklessly, drive more often, get more speeding tickets and annually drive more miles. All of these statistics will influence agencies to charge men higher premiums for insurance.

But there is no sense worrying about what’s really not in your control. It’s time to focus on things that you can do to lower those rates. It certainly helps to know your car. Do you have an older car? For older models, it might not make sense financially to pay premiums over many years to keep collision and comprehensive auto coverage. You will only receive the book value of the car if it is totaled in an accident. If you’re thinking about buying a new car, remember cars that are expensive to repair or ones with high theft rates will raise the costs of your auto insurance coverage. However, having safety features like air bags and anti-locks might get you discounts, depending on your insurance company.

When you finally find that provider you trust to process your auto insurance claims, ask about their possible discounts for bundling. You already get your auto insurance coverage from them. Why shouldn’t you get your other car insured by them or your homeowners insurance as well? Many insurers will give you a break if you buy two or more types of insurance. Hopefully one or more of these tips will help in keeping your insurance premiums low.

Photo Credit: bubblemonkey

Ahhh, Friday Has Arrived!!

As most of you tidy up your workspace, and prepare for the weekend ahead, the last thing you might be thinking about is how to better manage your money. In fact, some of you may be schematizing (yes, it’s a word) your way into a brand new car, a state-of-the-art plasma, 3D, blu-ray, movie theater-sized television, or some special gadget that is going to take you to the moon. That’s fine if you have your ducks in a row, all accept for the new car of course. (buy used) BUT…what if you’re living paycheck to paycheck and have stress-inducing debt?

Shouldn’t you be trying to find ways to increase your income, pay off your debt, and stop living paycheck to paycheck? I’m not knocking any of the above luxuries, I’d love to go to the moon myself! All I am saying is, are your priorities in order? What’s important to you, and are you doing all you can to fulfill those goals?

They ARE goals, right?

Perhaps you’re looking for that kick in the butt to get you started, or you’re just overwhelmed with your entire situation. The truth is there are answers to all your problems, even if you don’t like what they are, or simply refuse to accept them. I find the Personal Finance Community to be the biggest hope for folks like you. Even folks that have their “ducks in a row” use this community to stay on track.

You can listen to some hot shot, that has an opinion on television, (because maybe he is promoting his new book, or about to release a new course promising “secrets” that only HE knows) BUT the blogging community wants to truly help you transform your life, and most of us know there is nothing secret about how to manage your money! It’s why I started Enemy of Debt, and I know for a fact that it’s why a lot of bloggers do what they do. We care about how you end up financially! Where do you think my passion for debt freedom and personal finance come from? I assure you it’s not because I’m making millions of dollars from Enemy of Debt—because trust me—I’m not.

I’ll stop babbling and get to the point!

Introducing…

This is the mission on MoneyedUp.com—in their own words!

“Most of the content on moneyedup.com will focus on spending and saving money wisely, being financially literate and increasing our income. We are here to help inform on financial matters and help people live the life they want.”

The blog, www.moneyedup.com, is a place where many minds have come together to give you more options, more ideas, and a fresh look at the “big bad world” of personal finance. Finance doesn’t have to be big or bad, it just has to be deliberate and consistent over time.

Maybe this will encourage you to start now!

Want A Chance To Win $500?

Oh, you’re wanting to think about it now huh? I thought so. Even if you have already grabbed the bull by the horns, subscribing to a great financial resource, and winning $500 is pretty irresistible right?

You could put it in your Emergency Fund! Pay off the next debt on your Debt Snowball! Start an Educational Savings Account for your children’s college! You could even get a head start on your Retirement! The options are endless. If any of those things are on your to do list, maybe you should forget about that new boat until you start checking some of them off. Hmmm…

What Would You Do With $500?

So head on over to MoneyedUp and be sure to enter for a chance to win BIG! There is some quality content for you to devour. Check out a few of the articles I have enjoyed the most!

• 5 Reasons Why You Will Never Be Rich
• The Importance of Understanding How Money Works
• How To Make A Budget And Stick To It
• 5 Things You Should Never Say About Money
• 5 Ways To Pay Off Your Mortgage Faster

Take Control, and Get Moneyed Up!

Seriously…what would you do if you won $500? I want to know! Share your thoughts below.

Photo Credit: TedsBlog

Hello everyone, I hope you are all having a magnificent week so far!

With that said, I started this blog to help people, and if I ignored the fact that most people (even those adamantly opposed to debt), will still consider a mortgage to be good debt, I’d be doing a great disservice to many of you. For those of you that do not hold my belief that all debt is bondage and unnecessary, and fully intend on getting a mortgage, I want to help you get the best mortgage you can. Owning a home is often considered the American Dream, but you should know what you are getting yourself into.

That’s why I agreed to do a quick review and giveaway, for a book written by Dale Robyn Siegel, called The New Rules for Mortgages. She is an attorney and licensed mortgage broker with more than 20 years of experience, which includes owning a mortgage brokerage company for more than 10 years. As most of you know, the rules have changed since the colossal free fall of the housing market in 2008. This book sets out to help you understand those changes in the midst of all the chaos.

It is intended to present “just the facts and the vocabulary you need to understand the subject matter.” It provides short explanations for the basics, without confusing you with unnecessary gibberish that you really don’t need. If you want the most current information available, no matter what state you live in, this book is for you. Best of all, it’s less than 200 pages!

I did not read the entire book, but I did pick a few chapters of interest so that I could go ahead and put this book in your hands. In chapter two, the author talks about income, obviously a big part of qualifying for a mortgage in the first place, hence the reason I chose it. Did you know that in 2008, average families were spending as much as 60% of their income on housing. (proof this book is much needed) That only leaves 40% for everything else! Not only should those numbers be flipped upside down, but realistically, you should responsibly try to spend around 25-35% as a reasonable percentage. Once you get over 40% you are entering dangerous territory, and it’s time to start taking drastic measures to either reduce that number by earning more, refinancing, or even selling!

“The More Toys You Have, the Smaller Your House”

Now this is my favorite part of the chapter 2, because we’re talking about behavior and how it affects your decisions, or as I like say, Behavior Versus Reality.

Here’s an excerpt that states something I think most Americans fall victim too—themselves and their bad habits!

“The problem is the the more money you spend on cars, time-shares (YIKES!), and credit cards (TRIPLE-YIKES!), the less you can spend on a house. The more payments you have on stuff you don’t need, the less you have left over for the house with the white picket fence. So think before you spend on stuff you can do without, or knock yourself down a few levels on that car!” Chapter 2: Income, Yeah You Need That! (my emphasis added)

Take away the car payments and the credit cards, and you’ve got yourself the possibility of owning a nice home with a white picket fence—and within your means.

Furthermore, the chapter covers all of the different income scenarios, what you can use, what you cannot, and why, to help you get a mortgage. Another subject of interest for me was in the same chapter, about co-signing and how it can harm your borrowing power. For obvious reasons, if you are going to be held responsible if someone else doesn’t pay (and statistics show you likely will), the risk to the bank increases because it is at least possible you will not be able to make your payments in the future. Anyone that reads EOD knows I think co-signing is one of the dumbest things a person can do financially. If you’ve never done it, DON’T START NOW, and if you have, I’m sorry.

I was planning on covering another chapter, but I think I have said enough. You get the point. If you are going to get a mortgage then you are going to want the newest and most helpful information available, to assist you with the biggest financial decision you may ever make. As I always say, do your own research and understand what it is you are getting yourself into. Once your name is signed, you are obligated.

There are a number of things covered in this book that I would never recommend to anyone, but to be fair, they are written for informational purposes. If you only read about 15 year fixed-rate mortgages (my recommendation), and then hear something about an interest-only mortgage that will reduce your payments, from a shady mortgage brokers perspective, you will at least know what it is they are selling. We have an interest-only mortgage and my advice would be to RUN as fast as you can in the other direction!!! (not kidding) Once you’re in, it’s really hard to get out, and we’re experiencing that right now!

You may even find that owning a home is something you just can’t do right now. No worries though. Just make a responsible and well thought out plan so that you can do it in the near future.

The New Rules for Mortgages Giveaway

I am giving away two copies of this book! Be sure to enter!

All you need to do in order to enter for a chance to win is be a current subscriber to Enemy of Debt and leave a comment below. In your comment answer one of these two questions: (worth 5 entries)

1. Have you ever had too much mortgage, or a bad mortgage loan you regretted getting? What did you learn from your experience?
2. If you’ve never owned a home, why do you think it’s important to buy a house you can truly afford? (Don’t confuse afford with “I can afford the monthly payments”, because there’s more to affording a home than just the payments.)

Want to increase your chances of winning? These can be done at the bottom of this post. (Be sure to leave a comment letting me know about your extra entries.)

1. Tweet this post. (make sure @enemyofdebt is in your tweet.) Worth 5 extra entries!
2. Stumble this post. Worth 5 extra entries!
3. Tip this post. Worth 5 extra entries!

Giveaway Deadline

All entries must be submitted by Saturday August 28th at midnight! I will be selecting the winners via random.org, and will update THIS POST to let you know who the winners are on Thursday.

Good Luck!!

WINNERS!

Jenn and Melissa won a copy of this book! Congratulations for taking the time to leave a comment and participate!

As soon as things improve, some of the very same people will go back to their old routines, not thinking a single second in advance about their family’s future. I’m happy to know that none of those people are you, because you read Enemy of Debt and have decided to nip it in the bud once and for all! Right? Let me get to the point.

Last week, I was waiting in Sears, so I could get the two front tires replaced on our paid for Volvo 940. While I was standing in line waiting to see what my tire choices would be, the lady in front of me seemed to be in a bit of a pickle. (Please know, that I do not intentionally make other people’s conversation my business, but this lady didn’t seem to mind anyone hearing. You should also know that her situation wasn’t so foreign to me, because I had been in her shoes before.) When I give you the numbers you’ll see exactly why I think she should have been a little more discreet about her “pickle”!

Here’s her situation.

Her muffler and exhaust system died on her and guess what? She did not have an Emergency Fund to cover the cost. SURPRISE!!

SIDE NOTE: The savings rate in the United States has been a dismal reminder that Americans do not think saving money is a priority. Perhaps the need for bigger and better cars, fancy televisions, and the ever important need to have the newest Apple product in their hand, has been quite the distraction. To quote an article on CNN Money, it is “worse than we thought“. The article indicates that the savings rate has dropped well below ZERO into the negative. A graph shows that while the savings rate has been a declining trend over the years, it’s worse than it has ever been going all the way back to 1952. SCARY RIGHT? Apparently not, so maybe the recession has taught us nothing after all.

So she had the commissioned salesman rapidly typing in her information for multiple applications of credit so she could fix her car. That’s right, she was going into debt to repair a car that she must have known would eventually have to be repaired. The four letter word of all four letter words, was her only option!

D-E-B-T

After hearing the results, I wasn’t sure if I should grab her head and gently place it on my shoulder, while signaling to the bearer of bad news to bring her some tissues, or just start crying right along with her. I was kind of glad that my long wait in line was cut short as the man that was helping me returned. Here’s what the man helping the lady told her.

“You did not qualify for a Sears card, but you did get approved for another card, which would give you a $400 line of credit. The card comes with a $59 annual fee, and has a 28% APR.”

The bad news was not that she got declined for the Sears card, nor was it that the line of credit she was approved for came with an extremely high interest rate. Nope, it was that she put herself in a situation to have to accept such an offer. To make matters worse, the $400 line of credit wasn’t going to be enough to cover the repairs. I must also point out that while Sears is considered by most to be a merchandising operation, it actually makes more money off of it’s easy-to-become-a-slave credit program. I guess the lady already had a rather large debt-burden to not be able to get a Sears card.

So not only is this lady out of luck, but the only option she has to get her car repaired is to add some more debt to her name! Is that really the only option you want to have? After living most of my life that way, and then turning my financial situation completely around, I can say with confidence that this is not the best way to live your life.

Having an emergency fund in place is the NUMBER ONE best way to avoid debt! If you have an emergency fund, IT DOESN’T MATTER IF THERE’S A RECESSION! It doesn’t matter if your car breaks down! It doesn’t matter if you lose your job, because you will have time to find another one. Anything that can, and usually will go wrong, can be covered by simply planning for the unexpected! By realizing that your financial security is more important than your wants and desires, you will empower yourself and remove a level of stress from your life you wouldn’t believe!

Someone with an emergency fund would probably say there is no such thing as the unexpected, and I would say they have an excellent point. In other words, you should expect things to go wrong whether you know what they will be or not. Expect life to throw a monkey wrench in your debt loving world, and instead give the debt free life a try. I know for a fact that it’s a much easier one!

Wondering where to start? Here’s some tips to get you started:

• STOP borrowing more money! (Stop enslaving yourself.)
• Create a financial goal list (It’s important to know where you want to be.)
• Track your spending (Know where every penny is currently being spent so you can make some important changes.)
• Put yourself on a budget! (Take charge of your money by putting yourself on a plan.)
• Save an Emergency Fund as fast as you can! (Because it’s important!)

Take a financial stand, because you’re future should always be more important to you than the fun things you can buy yourself now. (Especially when you consider that you are going into to debt to get them.) Instead buy them later, and when you do, take solace in knowing that they didn’t come at the cost of your sanity, your financial freedom, or even worse…your family.

Do you currently have an emergency fund? If so, explain why it has been helpful, and if not, give your very best reason for not having one. (I won’t pick on you, I am here to help you. I am just curious as to why.)

Photo Credit: Bunmun

What I do know is, that belief is so completely wrong and misguided, that to believe it is like believing that the sky isn’t blue. The truth is you have within you the strength and the courage to win financially. The only thing standing in your way is your behavior, and your debt!

DO SOMETHING ABOUT IT!!

Well, it’s been a while since my last Debt Free News article, so I thought today was as good a Friday as any!

This Debt Free News edition shares a debt free story from someone I have become good friends with in the last year or so. We really connected due to the fact that we shared the same views on personal responsibility and self reliance. We both believe that if you want something done, you have to do it, and if you make a mistake in life, you have to own it. I believe personal responsibility separates those that deserve from those that do not. In other words, taking responsibility for your actions and responding accordingly usually requires a level of maturity and hard work that someone who feels entitled does not share. Clair and I believe that life, liberty, and the pursuit of happiness are the only things we are entitled to. Other than that it’s up to us to provide the life we desire.

Because of our common beliefs, I joined Clair’s team as a contributor on the Self Reliance Exchange. I no longer write for them because of time constraints, but I highly respect their mission and admire their dedication to help spread the idea of self reliance.

Click here if you are interested in reading more from me on the Self Reliance Exchange.

Clair Schwan has been completely debt free since 2005 and loves every minute of it. Learn more about him and his adventures in frugal living over at Frugal Living Freedom where the motto is, “…living well, and well within your means…”

I hope you please continue to visit Enemy of Debt to stay m0tivated and focused in your DEBT FREE journey!

Check out Clair’s Debt Free News! Please enjoy, but most importantly be inspired!

The Enemy of Debt Questionnaire – Clair Schwan

How much debt did you have and how long did it take you to pay it off?

Well over $250,000 and it took me 8 years to pay it off and place myself in a comfortable financial position. I had about $100,000 associated with a Chapter 13 bankruptcy. I paid that off in 5 years, and then I took on about $150,000 in debt for my home and paid that off in 3 years.

How does becoming debt free actually feel? Does it feel better than you imagined it would?

I’ll be in the minority on this one. It’s a wonderful feeling to be debt free, but it isn’t something that I get all excited about simply because it wasn’t a surprise. I worked hard to make it happen and it happened – not by accident, but through deliberate action. That means good planning, realistic goals, hard work, proper timing and tenacity. So, when I became completely debt free in 2005, it was really quite expected and not the exhilaration that I thought it would be. Nevertheless, it’s a very pleasing place to be.

What were some of the struggles that you had to deal with along the way? Was there ever a time where you almost gave up?

I faced what seemed to be insurmountable odds. I had more debt to pay off than my salary could handle. At the same time, I had alimony payments to make. My monthly payments peaked at $3,000 and stayed there for years. In order to make the payments that I knew were coming down the pike, I had to quit my job and start my own business.

The two big problems associated with that were: funding a start-up enterprise when you’re bankrupt; and, the delay in payments that you experience when you first start a business. It isn’t like getting another job – you pay to get yourself into business and then you wait for months before your first check arrives.

I never thought of quitting. I’m just too stubborn for that. Besides, who ever won by quitting?

What would you consider to be the most important key to becoming debt free? What helped you the most?

The key to becoming debt free is to realize what is important in your life and then keeping your eyes on that. It’s very motivating and allows you to endure a lot of “horse manure” knowing that there’s a “pony” waiting for you at the end of your struggle, and that “pony” will be all yours.

For me, it was the benefit of owning my land and home. When you realize that the house you’re in and the land it sits on can be yours, and not something you’re simply paying for, you get a feel for the financial security that this offers as well as the tremendous amount of money that you can save by paying off the mortgage early – in my case, in 3 years.

It seems a lot of people have bought into the idea that debt is essential in order to prosper, what do you have to say to those people?

If you’re making certain investments, sometimes debt is warranted. Most people can’t afford to pay cash for a house, so getting into debt is a way to have a nice home now instead of “living in a tent” while you save up some money. We need to understand that debt is a ball and chain. It’s a form of enslavement. And, there are more than an ample number of commercial organizations that love to financially enslave millions of people so they have a steady source of income. You don’t have to be one of the slaves. For the most part, debt is a choice that we make, and we either make wise choices or we pay the consequences.

In a way, it’s true that debt is essential to prosper – your indebtedness is essential for banks and credit card companies to prosper.

What was the biggest sacrifice you would say you made in order to become debt free? What about you changed the most?

The single largest sacrifice that I made to become debt-free was to give up my personal life and become focused on my business life. I traveled all over the country and many times around the world – up to 75% of my time each month – just to “make hay while the sun was shining.” I knew that my personal life would have to be put on hold so I could work like hell to build up sufficient financial resources to pay off debt, build a nice financial cushion, and then save enough money to pay off the house.

Such a demanding work and travel schedule made my social life nearly non-existent. But, I knew the sacrifices would be short-lived. The vision in my mind was many years of hard work and frugal living that would lead to a point where I’d be able to throttle back and start my current “more life, less work” program. It took me 8 years in all to make it happen in a very deliberate and well-planned manner.

Did your friends and family give you a hard time about your new mission to eliminate the debt from your life? If so how did you deal with it? Do you think you inspired others by your journey?

I never got a hard time about my mission to succeed. Most people looked at my level of effort and shook their head, glad not to be in my shoes. Now, of course, these same people say “you’re lucky” and I’m very quick to point out that luck had nothing to do with it.

The best comment came from my father who commented to my mother, “I don’t know how that kid did it.” Sometimes I wonder how I did it too. All I know is that I was in the heat of battle and I had to keep pressing forward, taking more and more financial ground, until I had won the war and achieved all of my most important goals. There was nothing anyone could have said to discourage me. There was nothing that anyone could have said to offer me the necessary encouragement either. I was my own best “cheerleader” and that was all I needed.

Consider that no one knew better than me what I was trying to get out from under. No one knew better than me what I was trying to accomplish. And, everything I did was in my own best and long-term interest, so what more motivation did I need?

What is next for you? What financial goals do you plan to accomplish?

Many financial goals related to being debt free have largely already been accomplished. I pay cash for everything, and I don’t really care whether I am credit worthy simply because I never intend to be a debtor ever again. I maintain a credit card only for convenience and because some places won’t (or would rather not) take checks or cash.

There are three larger picture financial goals that still need to be conquered. First, I’m building revenue streams through my own entrepreneurial efforts to completely supplant whatever the Social Security Administration has been telling me I’ll be paid once I reach retirement age. I don’t count on Social Security at all, and I never have. That’s pure foolishness because you’re depending on government to support you – good luck with that approach.

Second, I’m setting about to eliminate recurring costs associated with my lifestyle. These include heat, lights and food. I’m creating my own marketplace alternatives to help chip away at these large and recurring costs. I’m not focused on self sufficiency as that is a full-time job, but I also don’t want to be held hostage over marketplace fluctuations that I have no control over. I realize that some modest investments in these areas will allow me greater independence from the marketplace, so I view it as a type of financial investment.

Third, I’ll continue to live my frugal and self-directed life that includes building and making things myself, buying things at private sales, bartering instead of buying, and continuing to focus on needs instead of wants. I recognize that financial success isn’t a destination, it’s a lifestyle, so I continue to keep the faith and stay focused on the principles and actions that have proven themselves to be so successful for me.

photo credit

Debt Free News From A Debt Free Reader Series

Debt Free News: The Kick Off - yours truly @enemyofdebt
Debt Free News From A Debt Free Reader #1 – Kelsalynn @KelsaLynnFitLog
Debt Free News From A Debt Free Reader #2 – Nick @Nickfro
Debt Free News From A Debt Free Reader #3 – Paul @fiscalgeek
Debt Free News From A Debt Free Reader #4 – Peter @MoneyMatters
Debt Free News From A Debt Free Reader #5 – J Money @BudgetsAreSexy
Debt Free News From A Debt Free Reader #6 – Dustin @EngagedMarriage
Debt Free News From A Debt Free Reader #7 - Fabian @debtfree
Debt Free News From A Debt Free Reader #8 - Don @money_reasons
Debt Free News From A Debt Free Rreader #9 – Deacon Bradley @bradleycoaching
Debt Free News From A Debt Free Reader #10 – Golda
Debt Free News From A Debt Free Reader #11 – Clair Schwan @ClairSchwan
More to come…but only if I get some new submissions!

This is a guest post from the folks at Century 21. Perfect timing too because I just renewed my auto insurance and saved myself by using two of the below methods. My total savings for 6 months of coverage dropped by nearly $50. I raised my deductible and change my coverage to better reflect our situation. $50 may not seem like much, but it brought our final insurance quote below $400 for the six month term. I’ve been paying over $400 since I have been with my provider so I was really excited to hear it dropped some more. I made sure to point out my good driving record to, which also helped lower the price. Every little bit of savings adds up.

I received my insurance renewal quote in the mail, but instead of pay it and move on, I called the company and asked if I was getting the best price.

What can you do to lower your auto insurance cost?

No one really likes to think about auto insurance. It’s kind of boring. But we all need it and it’s expensive. According to the Insurance Information Institute, the average American driver spends about $850 a year on car insurance alone. So it’s a smart move to give it some thought and make sure you’re not paying more than you should. Here are a few tips that will help you save money on your auto insurance

1. Raise your deductible: The quickest, easiest way to save money on your insurance is to increase your deductible. By increasing your deductible from $200 to $500 could save you as much as 30 percent on your collision and comprehensive coverage.

2. Know what your car is worth: Your auto insurance company will not pay more in repairs than your car is worth. So if you’re driving around in an old car that’s not worth more than a few thousand dollars, you should consider dropping your collision coverage. Especially when you factor in your deductible.

3. Make sure your have the right coverage: You may be tempted to get minimum auto coverage to save some money. But you could be putting yourself at risk. If you hit an expensive car, cause a chain reaction pile up, or cause significant property damage, your current coverage may not be enough. The Insurance Information Institute recommends that you have at least $100,000 of bodily injury protection per person and $300,000 per accident. If your net worth is more than $300,000, consider buying additional liability protection today. Higher limits cost less than you might think. You can double and triple the value of your coverage for a small fraction of the cost of your current coverage.

4. Get at least 3 quotes: If you’re only getting one quote to compare with your current policy, you’re probably not going to get the best deal. There are a lot of companies out there and they all have their own unique way of determining rates. Multiple auto insurance quotes will give you a better opportunity to make the right choice. Make sure you have your current policy handy so you can compare apples to apples.

5. Use your connections: Many companies provide lower rates to drivers who get insurance through a group plan. Check with your employer, trade association, business group, alumni group or any other association to see if they offer a discount auto insurance program.

6. Consolidate: Buying your auto insurance and homeowners insurance from the same company can usually save you money on one or both policies.

7. Get what you deserve: When getting a quote make sure you’re getting credit for all the discounts you for which you qualify. Most companies will discount your rate if you have more than one car on your auto policy or if your car has safety features like air bags, automatic seatbelts and anti-lock brakes. Some companies even have discounts for young drivers who earn good grades or complete driver education courses.

Photo credit: Hamad Saber

Have you ever used any of the above methods to lower your auto insurance rates? If so, feel free to share your story in the comments section of this post.

Do you often find yourself repeating the words that so many people spout when referring to their financial abilities?

That is a mistake, and a tragic one!

If you work your butt off at your main job, but you don’t make enough money, why would you stop there? Why accept the fact that you do not make enough money, and instead, go make enough money? The ball is truly in your court, but in order for you to play, you have to get out there and play! You can’t watch from the bleachers and expect to score the winning basket! Go make things happen!!

Don’t settle for mediocrity, do something about it!

There are many ways to make an extra buck, but here are a few ideas to help you surpass your current income. It doesn’t have to be full-time, nor does it have to get in the way of your main job. It just has to be a way for you to make extra money so you can never, ever again say, “I don’t make enough money to do that!”

• What do you love doing? Is there something you are extremely passionate about? Brainstorm on ways to make SOMETHING happen. You may be surprised to learn that your brain is pretty resourceful when you start poking around in there. Brainstorming gives birth to new ideas, and those ideas create the spark for more to follow.
• Have you ever tried selling on eBay? Maybe you should consider it. Sure, at first, it may seem overwhelming or even pretty intimidating, but I assure you it can be learned and you don’t even need a college degree to get started! We have made a boat load of money in the last two years selling on eBay! Whenever we are done using something, we sell it! Whenever we find something in demand at a discount, we buy it, and then we sell it! You could also have a yard sale!
• Ask for a raise! If you are a hardworking employee for your company, and you feel you are a valuable asset, go make the case to your boss. Ask for a meeting, and then go in there prepared to sell your talents. Explain to your boss why you think you deserve a raise. Maybe it’s not possible, but either way, wouldn’t it be better to know—which brings me to my next money making tip!
• Find another job that DOES pay enough! If you don’t make enough, why stay where you are? I can’t think of anything more defeating than working a job you probably hate because you don’t make enough money doing it! Can you? (Unless you are not worried about how much you make which means this wouldn’t apply to you.) Why would you want to continue to work a job that doesn’t pay enough money, AND has no room for growth? Isn’t that a no-brainer? Even if you don’t do that, if anything, give yourself a raise!
• Get an extra job! Deliver pizzas, sell some papers, offer a service to people who need it, but whatever you do, DON’T do nothing!. If you do make enough but want to make more, this post is still for you. Your main job, doesn’t have to be your only job or your only source of income. Think BIGGER!
• Ask for some overtime! You never know, it could be available, but you won’t know unless you ask. There’s nothing a boss likes more than an assertive employee! Even if overtime is not available, it could open up more employment opportunities for you once your boss sees your willingness to work a little harder.
• Lastly, STOP thinking that your options are limited! You could be your own worst enemy in terms of your ability to make more. GET OUT OF THE WAY!

Whether you are looking to save an emergency fund, money for your next vacation, a way to pay off your debt faster, or even earn extra money to steamroll your retirement, it’s worth the extra effort to make things happen! Nothing ever happens to people that sit around waiting for something to fall out of the sky right into their lap. YOU have to MAKE things happen!

Thankfully, I have been able to help many people from this website alone, as well as through other efforts at my church, and the one thing that seems to kill the possibility of financial success more than anything else, is a person’s inability to think outside of the box. If you are not making enough money the last thing you should be thinking is that you have zero options! I have watched more people give up using this excuse than anything else. Believe in yourself and your ability to create the financial security you deserve!

If you don’t make enough, look for a better job, but don’t just sit there and accept your current situation as if it were your fate. Instead, do something, but don’t expect big changes unless you are willing to make big changes!! To get something different, do something different.

Some Ways We Have Avoided the “I Can’t Do That” Mindset!

• GOT OUT OF DEBT!!!!!
• Delivered Pizzas (and made LOTS and LOTS of money doing it!)
• Sold things we didn’t need anymore on eBay, craigslist, or had a yard sale
• Bought things to re-sell on eBay or craigslist
• Enemy of Debt blog
• Wife asking for overtime at the hospital
• Creating logos for websites (Logos 4 You blog)
• Photography (I just did a wedding)
• Upcoming Fall Launch (Inside Charlottesville blog)
• Upcoming eBooks (Enemy of Debt & Self Reliance Exchange)

My point is to stop accepting the way things are—as the only way. I became a stay-at-home-dad the first of the year, which meant a BIG drop in income. My wife is a nurse, has better than great benefits, and a higher income than I did, so it made sense for our family since we were not willing to use daycare. We could have just rolled over and played dead by thinking this is what we make and there’s nothing else we can do…BUT we didn’t! Every single day, we are trying to come up with other ways to increase our income.

I believe that instead of saying “I don’t make enough money!”, you should instead ask yourself, “What can I do to make enough money?”

Most importantly, STOP IT with the excuses!

Photo Credit: Don Hankins

Quite honestly, I’m just as guilty as you are about sometimes ignoring possible savings out of mere inconvenience. I sometimes wonder how much I would have saved if I wasn’t so impatient.

What if finding and using coupons was actually convenient and less time consuming though? How much faster could you pay off your debt, build that emergency fund, or fund that retirement account if you saved money on most of your purchases? Five percent here, or ten percent there can add up to a lifetime of savings. There are many ways to save a buck these days, but I have found a great website that gives you the opportunity to compound your savings and even offers you cash back on your purchases.

With around 3,700 popular stores to save you money, how could you not want to at least check it out? What about the convenience of not having to brave the crowds, and instead shop from the convenience of your own home? Costly shipping doesn’t apply with an alphabetical list of stores offering free shipping. Coupon Cactus will save you time and money! It’s easy to locate your favorite stores, the newest offers, expiring coupons, biggest discounts, clearance items, and even Coupon Cactus exclusives.

My wife loves using coupons so I showed her the site and she loves it! Don’t take my word for it though, go see for yourself. Here’s what they had to say about why using their website to save you money is a great financial decision.

Hi there readers of Enemy of Debt!

We at CouponCactus.com wanted to introduce ourselves and our site to you in hopes that we might help you with your efforts to be debt free. Coupon Cactus is a coupon and cash back site that will help you save money whenever you shop online. We know you’re trying to save, but no matter what, there will inevitably be things you need to buy, and for those times, CouponCactus.com is a great place to start. You can check out thousands of online merchants to see who has the best coupons, and we give you cash back on almost every purchase. To give you an idea, here are some popular online stores and their current coupons and cash back:

Target: $5 Off Orders Over $50 + 1% Cash Back

Sears: $10 off orders over $75 + 1% Cash Back

Super Jeweler: 10% off any order + 5% Cash Back

These are just some examples – and there are new coupons and coupon codes all the time. Signing up for our site is free and easy, and you can start earning cash back right away. In addition to earning cash on your own purchases, when you refer friends you will start accumulating cash back from their purchases too (and they still earn the same cash they would normally).

So come check out the site and start saving right away. We hope we can help you in your mission to be debt free by saving you money every time you have to buy something!

Photo courtesy of alamosbasement

Do you pay full price for everything you buy, or are you coupon savvy?

I hope the title got your blood pumping enough to want to give me a piece of your mind!! I have had this in mind for quite some time, so I think I have waited long enough. I want to introduce a way for you to share your thoughts about anything financially related. A few months ago I acquired a phone number for a new service called Google Voice. Google Voice ROCKS! So the first thing I did was pick a number.

I didn’t get exactly the number I was looking for but the one I ended up choosing was close enough.

The number is: 484-483-3282 OR (484-H8-DEBT-2)

I would like to use it as a way for YOU to share your thoughts with me about finance, or more specifically about debt. You can leave a voice mail comment about a recent post, you can ask a question, share a resource…it’s really up to you. If it’s about personal finance, anything is fair game! Google voice has many features and some people use it as an extra line which is transferred to their cell phone. However, I will only be using it as a voice mail system. No one will answer and your call will never be broadcast on this blog. Your voice mail will be between you and I, but I may choose to use your call as inspiration for a post, but even then, your privacy will ALWAYS be respected!

I want to give you yet another way to engage Enemy of Debt. If you want me to write about a specific topic, call me! If you want to tell me how awesome or inspiring a post was, call me! If you want to share your debt free story, by all means, CALL ME! You can even call me if you want to tell me how much you disliked something. You can’t hurt my feelings, and chances are what’s on your mind could help me improve your experience here on Enemy of Debt. I believe candor is the key to improvement, which is why I am not afraid to tell you exactly what’s on my mind, no matter how politically incorrect, or seemingly harsh it might be. I’m not afraid to hurt your feelings so don’t be afraid to hurt mine!

Let’s Get This Party Started Right!

The truth is I wish I could give every person that called $100 for proclaiming their hatred for debt, but I can’t…NOT YET!

Here’s what I want to do though. It’s teeny, tiny, but it’s something. For every person that calls and simply rants about why they hate debt, I will send you a free IH8 DEBT bumper sticker! Put it on your beater, on a magnet, in your office, in a frame, or on your fridge as a reminder. It doesn’t matter what you do with it, what matters is that you HATE DEBT! Consider it a certificate of financial achievement because that’s truly what it is! Hating debt will gain you financial freedom faster than any other thing you do with your money! I want to hear from you!!

Give me a call, share your rant, and give me a way to contact you so I can send you your free certificate of achievement! (Please know that your privacy is my top priority here, so no need to worry about me sharing your information with anyone. Your call will be completely confidential and any information obtained would strictly be used to keep my end of the bargain!)

I WOULD LOVE TO HEAR FROM YOU!

Help me launch this hotline with a bang, and receive the most prestigious financial certificate available on the web!!

Don’t H8 DEBT?

I wanna hear from you too! In fact, I think your message could give me plenty of inspiration to keep Enemy of Debt going for hundreds of years to come! I LOVE hearing from people who believe debt is a tool! (Don’t you worry, just because we disagree on the subject of debt, your privacy is just as important to me! I must ask that anyone who calls please be respectful and at least coherent. You don’t have to whisper or even keep your cool, get loud, but be respectful.)

If my use of the word ignorance offended you, or wasn’t politically correct enough, call me to give me your VERY BEST reason why that statement is false.

For the record, I have been ignorant too. Luckily, ignorance isn’t permanent, it’s only a temporary state of being! The choice is yours to make!

DISCLAIMER: To the very few of you who have been forced into debt by absolutely NO FAULT of your own, my heart goes out to you. BUT, what are you gonna do about it now that you have it? Start HATING IT so you can get it out of your life!

I Don’t Believe In Beating Around The Bush!

Perhaps some of these articles will inspire you to call my new hotline! Am I on the mark, or off my rocker? You be the judge!

484-H8-DEBT-2 (484-483-3282) CALL ME!

• When You’re Tired Of Being Broke, You’ll Start Saving
• People Need An Excuse To Spend Money, And They’re Eager To Find One
• The Cold Hard Truth: Debt is STUPID and You Might Be Too!!
• Bankruptcy – The Morning After Pill of Personal Finance
• Are Your Priorities Backwards?
• A Destructive Mindset: Is This What You Believe Too?
• Are You Waiting For Washington To Save The Day?
• Personal Responsibility Starts With YOU
• Saving To Buy, Instead Of Buying To Slave!

Are you looking to save lots of money by getting huge bargains on merchandise?

Today, I am going to share something with you that I have found to be a great resource in helping my family and I save money on things we are already looking to buy. I must warn you though, this is not a method that you can just jump into without knowing how it works. As with any major purchase, you must do your homework in order to make the best decision come time to buy, or in this case bid.

I found a really great auction site.

Recently, my wife and I decided to start the very popular P90X workout program. As we have embraced a more active lifestyle, we became interested in a device that would help us track our progress among other things. In taking on such an aggressive workout program my doctor recommended that I purchase some kind of heart rate monitor. As many of you know I also love hiking, and learned about GPS watches that track altitude, GPS location, mileage, heart rate, and much more. Coincidentally, I was introduced to a line of performance tracking watches developed by Garmin. Garmin created the popular Forerunner series so I started looking into purchasing one.

I checked website after website trying to compare and see exactly where I could find the absolute best prices. Anyone familiar with these GPS wrist watches knows that they can be a bit pricey. For what I was looking for, the prices seemed to be anywhere from $150-$500.  That’s when I came across Quibids.com. On the Garmin website, the suggested retail price of the model I ended up buying is $199.99. According to that price, I saved $168.17!!

Important to note: I did my homework on both the GPS watches, and the Quibids website before I was ready to purchase. I cannot stress how important this key component is when buying products, but especially when using an auction site such as Quibids. Even the website stresses this fact!

Here’s How It Works

For starters, I would highly recommend checking out the Quibids 101 tab on the home page to familiarize yourself with how it works. STUDY the information there! I will summarize as best I can but please don’t rely on me completely. My goal is simply to introduce you to the process by giving you the basics.

First things first! DO YOUR HOMEWORK and become familiar with the process!!

When you’re ready to start bidding you go to the site and purchase bid packs as follows:

• Baby Bid Pack – $27.00 (45 Bids)
  
• Beginners Bid Pack – $45 (75 Bids)
  
• Standard Bid Pack – $180 (300 Bids)
• Premium Bid Pack – $360 (600 Bids)
• Ultimate Bid Pack – $480 (800 Bids)

Even though you may feel like you are ready to start bidding I would still recommend (just as the website does) bidding in the beginner auctions. These auctions consist of low dollar items that you can often get for less than $1.00. For instance you can actually bid on bid packs of 25, 50, 100, and 250 bids. There are $10, $15, $25, $50; even $100 and $200 gift cards too, some even giving you the option to choose the card you want after you win. My wife won a couple of gift cards to Target and Amazon.com for VERY CHEAP!

I purchased 45 bids, and won 100 giving me 145 total bids to use in the auction process. It took me 35 total bids to win the Garmin Forerunner 305!

Before the timer reaches zero, and someone outbids the previous bidder, time is added to the clock just like a real auction. (Going once, going twice…sold to the Enemy of Debt for $1.92!) This can go on for a while but it is still worth it to stick it out if you are truly in the market for that item. Almost ALL items go for WAY LESS than value price. You just don’t know. Sometimes a $400 XBOX 360 that is Kinect ready will sell for $33, and other times it will go for over $100.

The site has a great feature that allows you to purchase an item you bid on but lost, by using your lost bids as a credit. Each bid costs around sixty cents so if you are truly in the market for something, and are outbid, you can buy the item at the “value price” minus the cost of your placed bids. Does that make sense? For example, had I lost the auction for the Garmin Forerunner, I could have bought it after the fact for only $140.05. ($160.45 minus $20.40) Remember the retail cost on the Garmin website was $200 so the value price is still a great bargain.

That’s why I think it’s good to go into this with the mindset that you are willing to pay the already discounted price the site has listed. In my case, I wanted a Garmin Forerunner 305 and was perfectly happy paying the $160.45 price it was listed for. This way you don’t waste money bidding on stuff you really don’t need simply because you think you might be able to get a great deal on it. I can tell you that is a huge mistake!

If handled incorrectly, it is possible to lose big. When I won the Garmin Forerunner for so cheap, it kind of gave me “gold fever” for lack of a better term. In other words, it’s like gambling because you start to convince yourself you can win anything. All I am trying to say is be careful and know your limits! There are seasoned bidders that are willing to bid knowing that they may end up paying the value price.

GO HERE to check out Quibids.com for yourself! Good luck getting yourself some great bargains on merchandise you are already in the market for.

DISCLAIMER: If you purchase bids using any of the links in this post I will receive 25 bids for referring you. I am not affiliated with Quibids.com, nor was I paid to publish this post. I simply wanted to share my savings with you, and the site gives 25 bids for each referral which you can benefit from too.

Examples of Won Items on the Site

Here’s a wide range of items you can bid on and win! When I was in the “watching” stage of doing my homework, I painfully watched a Garmin GPS Forerunner 305 sell for thirty-three cents! It took everything I had not to jump right in and start bidding on the very next one, but I forced myself to wait just a little bit longer. The next one sold for over $40! Glad I waited.

Happy Friday everyone!

This game isn’t to be confused with my recent giveaway and fundraiser of the “I’m Debt Free” game.

This is a completely different game, and one that I know you will also enjoy. One of the major differences is the fact that this game is a little more kid-friendly and interactive. It’s also much cheaper and comes with FREE shipping. Total cost: $22.00.

I have to admit, we weren’t making a very great effort to sit around the kitchen table to enjoy a family board game before. BUT since I am the Enemy of Debt, and this is a debt free game, we have had a little more game time at our house recently. I wasn’t sure how my  4 year old would respond to this game but it didn’t take long before I realized that he was really enjoying himself, and so were we. It’s a family-friendly fun time!!

One of my favorite things about this game is that when the game is over, you can allow your kids to keep their “winnings” from the game. We simply put Isaac’s “cut” in his envelopes along with the commission he earns from doing his chores. Isaac is only 4 years old, but I would be willing to bet he knows more about debt, spending, saving, and giving than most kids his age. I have been working with Isaac for a little over a year and am glad to have another tool to use to keep him interested in learning about handling his money responsibly.

It’s tough enough in this world without having to worry about financial stress. Are you doing what you can to teach your kids about money?

Children And Money: Are You Helping Your Children Learn The Basics?
Children and Money: A Basic Plan To Teach Financial Responsibility

This game is very easy to learn. Living debt free is a great way to give you and your family the financial advantage you have been looking for. Make learning about money and living debt free fun. Get this game so the whole family can learn the basics. Not only is this game just $22.00, but shipping is FREE!!! If you don’t win one be sure to pick up a copy for your family!

Learn how to: (from the website)

• Avoiding debt by paying cash
• Budgeting and setting goals to live debt free
• Starting a debt snowball and paying extra on smallest bills
• Having an emergency fund of $1500
• Having a six-month emergency fund in place
• Investing in a 401(k) and Roth IRA
• Educational savings accounts
• Building wealth and financial freedom
• Paying extra on your mortgage

The Giveaway

All you need to do in order to enter for a chance to win is be a current subscriber to Enemy of Debt and leave a comment below. In your comment answer these two questions: (worth 1 entry)

1. When is the last time you sat around the kitchen table with your family to play a board game?
2. Of all your financial mistakes, what ONE MISTAKE would you want your kids to learn the most?

Want to increase your chances of winning? These can be done at the bottom of this post. (Be sure to leave a comment letting me know about your extra entries.)

1. Tweet this post. (make sure @enemyofdebt is in your tweet.) Worth 5 extra entries!
2. Stumble this post. Worth 5 extra entries!
3. Tip this post. Worth 5 extra entries!

Giveaway Deadline

All entries must be submitted by next Wednesday August 11th at midnight! I will be selecting the winners via random.org, and will update THIS POST to let you know who the winners are on Thursday.

Good Luck!!

The Winners!

The winners of The Debt Free Game are Matt N. and Melissa! (Winners were selected via random.org)

Congratulations and I hope you and your family enjoys this really fun game! Thanks for participating and reading Enemy of Debt!

Hey guys! I was planning on writing a post for you today, but as I started writing a really bad thunderstorm hit us. My power is flickering and there’s no telling whether or not we will lose our power. Instead of taking a chance I thought I would share this great guest post from my buddy Chris Moore from Fickle Finance. I am back from vacation and our family has finally fully recovered from bronchitis so I am hoping to post a little more regularly. Things have been crazy to say the least. Show Chris some love and I will be posting a review and giveaway on Friday. Stay tuned!

There are, in so many ways, something wrong with the title of this post. While Brad is (in?)famous for the attention-grabbing headlines often associated with his posts, by the time you read through to the end, it makes sense. Well, strap yourself in, because the story behind my title makes ZERO sense.

First, a clarification: I’m not talking about “free money” as in government grants or the like. That’s a different post for another day. The “free money” — there is a such thing — is in the form of the matching funds that the company I work for gives employees who contribute to an retirement account. By now, you may know where this is going. If you haven’t already done a full-on face palm while shouting “Doh!”, then I’ll give you reason to do so very shortly.

The ugly truth behind the hate

See, yours truly has been working for a community-owned, not-for-profit hospital for the past four years. It’s a job, which I’m thankful for in this economy, and the work is rewarding. Now speaking of the economy, the hospital administration has felt the pinch and employees haven’t been given raises for the past two fiscal years. But, there hasn’t been a mass of layoffs either, which is great.

Now I won’t get into the particulars of what a 403(b) is here; it’s basically the non-profit cousin to a 401k. Interestingly enough, the hospital has not cut the 403(b) part of its benefits package at any time during my employment. The package will match whatever I contribute to the fund, up to 4%. What that means in plain English is that I put in 4% of what I make; they chip another 4% in on on top of that. Quickly, you math majors, break out the Ti-86! That’s 8% building in the retirement account! I only came up with 4%! The rest was… wait for it: FREE MONEY!

Only problem is, I haven’t opened an account. Don’t smack yourself too hard (it hurts, and I speak from experience).

I haven’t bothered to calculate exactly how much money I’ve missed out on. Truthfully, if I did, it would probably make me burst into tears like a schoolgirl. All I know is that several thousand dollars have been left on the table.

So how did this happen?

The root of the problem

For all but fifteen months out of the four years I’ve been at this job, I’ve worked 12-hour night rotations. On top of that, I had a part-time job at a funeral home. So you can see that my time is often blocked off into work, eat, and sometimes, sleep. But that isn’t an excuse. I made it to required staff meetings, classes, ect., yet failed to do what would be best for my future.

Its not like the process would have been difficult. Twice a year, the HR department has their retirement account rep come in and help employees get set up. The announcements would be up next to time clocks, so there would be plenty of notice. So riddle me this: what was really going on?

In short, my problem was procrastination. At the risk of being jumped all over here, as of the time I type this, I still haven’t put a penny into a retirement account. Not one stinkin’ red cent.

So it’s finally occuring to me; as a result of laziness, I’ve become a hater of free money.

How I plan to resolve this

“Procrastination is, hands down, our favorite form of self-sabotage.”

Alyce P. Cornyn-Selby

I’ll tell you this much; it’s not my thing to wallow in self-pity; nor was it easy to come forth with this. I don’t feel too bad, as this puts me right along with most young people, who don’t bother investing into an retirement account. Not to mention the numerous articles that mention that retirement account participation goes way down when it’s opt-in.

However, while some young people might be plain ignorant, I’m fully aware of what I need to do. So with that said, I’m taking this as motivation; from here on I consider myself an enemy of inaction. Because the root of many financial problems, I believe, can be traced directly to putting things off. Whether it’s a repair on the house, the car or a checkup with the doctor, these small things can turn into huge problems. That’s why you have to pay attention to financial planning, budgeting for periodical expenses, and taking care of small issues in a timely manner.

My work is cut out for me, so I’ll be counting on you to hold me accountable to this pledge. Besides, hating free money is just bad form.

Are you down?

Chris Moore is the writer at Fickle Finance, a personal finance blog with a Christian slant. When not saving people from themselves at his day job, he’s doing something that involves kicking butt — just because he’s cool like that. If you liked this post, you can follow his journey to define wealth by subscribing to his blog.