I graduated University in the spring of 2015, the end of my academic journey cumulated to a hot, uncomfortable, forgettable graduation ceremony, with a huge pile of debt. Due to being frugal, a little bit of luck, and the ability to make some decent money, I have made some big dents in my student loans. As of today, my net work is only $-849.88, and by the end of August, I forecast my net worth to be a positive value, the first time I’ve been able to say that since I started my academic voyage many moons ago.
The day I walked out of the ivory tower, I had about $34,000 worth of debt – which looking at other people’s journey’s it’s nothing. But to me, that is a lot of money. I had to work a dip-shit job for a bit, in which I made literally no progress paying down student loans. But those days are over, and I’m making more money now and I’ve come back with a vengeance.
Of course, this is really only the penultimate celebration. My cash reserves swell, and are nearly ready to over-take my liabilities, I still have about $20K to pay off in loans. My situation while good, is still precarious. I’m not sure if I’ll have a job come snow fall. So, my natural conservative impulse is to just hoard my money and await the always impending storm on the horizon. But it’s a nice fantasy to be able to think I could wipe out my loans in one swoop. In the mean time, I’ll probably throw anywhere from 6k-10k and halve my remaining obligations – interest hurts, especially if I leave it for too long.
But being shut out of my job, and loosing my income will hurt more if I’m not insulated from that shock.
Anyways just wanted to share this observation with you, until next time Stay Frugal.