Yes, you read that right. I am 22 years old and I’m 100% debt-free. In fact, I’ve never had any debt in my life. Because of that, I often feel “unqualified” talking about money… but I think it is too important not to. The reality is: I’m not debt free on accident. I’m debt-free because I made smart, intentional decisions to get myself where I am today. 

And I want to teach you how to make smarter money moves too! 

A brief disclaimer: my parents taught me a lot about money. They graciously paid for all of my college (though, I made strategic choices that allowed for that to be possible). And I grew up very blessed to always be provided for. I recognize my privilege, and want to use my knowledge to help others. 

Alright, are you ready to make your money work for you?! Let’s dive in. 

Money Mindset 

Society expects us to make smart money decisions, but we’re taught basically no financial literacy in school. It feels like a losing game. 

How do we fix this? Through education and empowerment. 

Money, like food, is neutral. Not good, not bad. Just a tool. It comes and goes, ebbs and flows. Abundance mindset tells us that there’s plenty of money for everyone.

When you approach money with a “lacking” mindset, you will continue to struggle. When you approach money with an abundance mindset and confidence, you start making moves towards your goals. 

3 Things I Did to be Debt-Free at 22 

1. Saved, saved, and saved some more

When I was around 7, I sold some books and toys at a consignment sale. I made 52 dollars and some change. I kept the 2 dollars and change, and put the 50 dollar bill in a safe place “just in case”. 

When I was 12, I opened my first checking account with about $500 of my own saved money. I brought the cash to the bank rolled and secured with hair ties. 

When I was 18, I started investing in my retirement.

And at 20, I paid $11,000 cash for my car. 

I’ve always been a saver. I know it doesn’t come easily to everyone. If that’s you, set up a reward system. Example: for every $100 or $500 I save, I treat myself to X. Make it motivating but still doable and reasonable. 

Another great motivator is a savings chart! Visualization is so important. I love these free pre-made sheets.

2. Worked Multiple Jobs

I started my first job at age 12 babysitting. I continued to babysit, tutor, and sell clothes/items until I was old enough to get a ‘real’ job 😉

I started working part-time at 16 making around $10 an hour. At age 17 I started my photography business. Meanwhile, I still babysat and tutored. 

By 20, I worked full-time while continuing to shoot photography, and babysit. Hustle is the name of the game. I had big goals and I wanted to achieve them, so I worked hard. 

Pro Tip: If you want to make more money without working more jobs, then job hop. Every 2-3 years, move to a new company. You’re more likely to make more money as a new hire than to get a raise. It takes time, but it’s the easiest way to increase that salary. 

3. Made Strategic Decisions

This circles back to mindset. And it may have been the biggest game-changer. When you have a budget (aka a plan) and a goal, AND you commit to sticking to it… you can do anything. 

Think about future you. What does it look like to be debt-free? What does it feel like? Are you ready to make sacrifices to get there? 

Some examples of strategic money decisions I made (and still make):

• Shopping second-hand for as much as possible (clothes, shoes, furniture, cars, etc). It’s better for the environment too! 
• Shopping at discount stores (Aldi, Walmart, TJMaxx, Ross, etc.) 
• Bringing my lunch to work and ordering cheap when at restaurants (still tip big, though!) 
• DIY projects 
• Living at home until 20
• Community college for all general ed courses (⅓ of the cost, 100% of the credit) 
• Not buying ANYTHING unless I had the cash for it. I saved $1900 for my computer I purchased at 17. 
• Treating myself when I really wanted/needed to. 

Here’s the thing: you decide what works sustainably for YOU. Me? I don’t care if I get my nails done. You may need that, and that is okay! I don’t drink coffee, but if you do then go through and get some! 

The point is to look at your life and see where you can make small decisions that add up to bigger savings. 

How to Start Your Own Debt-Free Journey 

Step One: Gather the Data

Let’s get SUPER clear about where you are starting. Pull up a spreadsheet (Google Sheets is free) or get out a pen and paper. 

Write down ALL of your debts, smallest to largest and make a note of your interest rates. 

Dave Ramsey recommends working smallest to largest, while others say largest interest to smallest. Whatever motivates you, do it. Paying down (and eventually off) debt is the bigger goal here. 

Step Two: Make a Plan

If you fail to plan you’re planning to fail. It’s time to get serious. In another spreadsheet, piece of paper, or the Every Dollar App, create a budget. I wrote an entire blog post about budgeting for beginners. 

To recap: list out ALL of your expenses. I’m talking rent, bills, gas, groceries, restaurants, shopping, subscriptions, insurance, etc. Be sure to account for debt payments in this budget. Compare your monthly expenses to your monthly income. Oftentimes, there’s a gap. See where you can spend less and/or make more. 

Set a goal! It may be small, like paying off one credit card. Or, it may be larger like paying off your student loans. Visualizing the end goal is an important part of your plan.

Step Three: Commit to Yourself

I can’t make you want to be debt-free. You have to want this bad enough to put in the work. Make a promise to yourself, and follow through on it. As I’ve mentioned before, managing money is a form of self-care. It is a LITERAL investment in yourself and your future.

You CAN do this, friend!! I am here for you, cheering you on, and ready to help encourage you every step of the way.

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Legal Disclaimer: I am not a licensed financial advisor. I offer education, not prescriptive advice. The information that is found here are my opinions and the opinions of other readers/contributors, and should be taken as such.