Life After the Last Payment

When you dream about getting out of debt, it might be hard for you to envision what comes after the initial feeling of relief and freedom that last payment will bring.

For example, Kelandry, member of mytotalmoneymakeover.com, spent three years getting out of debt, but now that the moment of truth has come, Kelandry is asking an unexpected question. “We find ourselves saying, ‘What now?’ I never thought that was a question I would ever be asking myself.”

Security for the Unexpected

The first thing you’ll do after you get out of debt is fully fund your emergency fund. Picture it! No debt and three to six months of expenses in the bank means you’re prepared for disaster. In fact, your definition of disaster has completely changed. A job loss might have sunk you before, but now you have a cushion to get you through—something Kelandry appreciates.

“Thanks to Dave Ramsey and our being debt-free, we are in a much better financial position than others we know who have been laid off or lost their jobs in this economy,” Kelandry said.

Security for the Future

While you were getting out of debt, you spent a lot of time focused on money you spent in the past. Now you can focus on money you’ll spend in the future!

Mytotalmoneymakeover.com member Gmcavana knows what that feels like. According to her post, she was able to retire early, and she and her husband will pay off their mortgage in five years. “We have everything we need and are content. It also makes me feel fantastic to see how our savings, IRA, etc., are growing each month.

“It’s been the opposite of watching interest and bills grow from when we were in debt. It’s a reverse snowball, and it’s happening! It makes me feel so optimistic about life and our future.”