A few months ago, I wrote about how tight our finances were and how we were barely keeping it together. Since then, we’ve made some serious changes, and while we’re still a work in progress, things are finally starting to feel more manageable. It’s been a mix of big moves, small sacrifices, good timing, and a lot of teamwork between Zac and me. I wanted to share what we’ve done, not because we’ve “made it” (we’re far from it), but because the strategies we’re using have made a massive impact in shifting us out of survival mode and into a more rational, forward-thinking space.
Freelance Writing & Cutting Extras
First up: I landed a small freelance writing job. It’s not a ton of money, but it’s a little extra each month that makes a difference. On top of that, we’ve gone through our budget with a fine-tooth comb, cutting every extra expense we could. No more subscriptions, no impulse buys, and no extras that aren’t essential. I’m talking, Facebook Marketplace everything. Like, I went a month without skincare. Keeping things tight hasn’t been fun, but it’s been necessary. We’re learning to live with less, and to be honest, it’s been freeing in some ways to focus on the things we truly need… but it also kind of sucks.
Passive Income & Paying Down Debts
Zac has been a huge part of this financial shift. He is the current sole provider for our household and that does not come without its stressors. He and I wrote a guidebook that was on brand for his content, aiming to share genuine financial information about freelancing while using Blender. He launched his ebook on his platform, aiming to build some passive income. It’s not an overnight success, but every sale is a step toward more financial security. It’s not a major source of revenue, but it exists and if we’re working our butts off to pay down $100 here and there, then making $100 here or there is a big deal, too.
Anytime we have a little extra money (which is rare, but it happens), we immediately put it toward paying down debt. Slowly but surely, we’re chipping away at the balances, and it feels like we’re gaining ground. We’re constantly looking for ways to cut our monthly expenses too, though some bills are just non-negotiable (looking at you, mortgage, insurance, and daycare). But we’ve stopped being reactive and started being more proactive about our finances, which has helped reduce a lot of the stress that used to hang over us like a cloud.
Pitching & Diversifying Income
One of the major things that’s been a game-changer is Zac reaching out to more YouTubers and companies to pitch his creative services. In his industry, putting yourself out there and building relationships is key. And it’s working. He’s diversified our income streams and made himself incredibly valuable to the people he’s working with. By taking those risks and getting his name out there, he’s opened doors that are helping stabilize things a bit more. Genuinely one of the best pieces of advice I would give any freelancer is to find a creator or company you admire or could add to and reach out, even if there isn’t a job posting. The more irons he has in the fire, the less reliant we are on one source of income, which is a huge relief.
Retirement Fund: A Tough but Necessary Choice, Also a Welcomed Surprise
A couple of weeks ago, I received a letter about my retirement fund from the years I spent teaching. After really talking it over, we decided to pull it out. I’m not rolling it over into another school system, so we figured using it to pay off debts would give us more breathing room and allow us to actually start saving. In case you’re curious or in a similar position, I had $25,000 saved up from my seven years of teaching, but after taxes, we walked away with $20,000. It wasn’t an easy decision, but putting that money toward clearing our debts has been a huge weight off our shoulders.
If I’m honest, getting that letter felt like cheating. Like we won a secret lottery I had entirely forgotten I entered. Zac is the one who reminds me that is simply not the case. In his words I “worked for 7 years and had money taken out of each paycheck paying into my own savings account. No one would call that cheating, that’s working hard for money”. So there it is. A forgotten stash with wonderful timing.
How We’re Spending the Retirement Money
When we made the decision to pull out my retirement fund, we knew we had to be smart about how we used it. It wasn’t just about paying off debt, but about getting our monthly expenses down so we could finally have some breathing room. With $20,000 to work with after taxes, we made a plan to divide that money in a way that would give us the most impact. Here’s how we broke it down:
- High-Interest Credit Cards: We tackled the highest-interest debts first. Zac’s and my credit cards were charging us 30% interest, so those had to be a priority. The goal was to get rid of as much high-interest debt as possible to stop the constant financial drain.
- Monthly Expenses: One of the biggest focuses was lowering our monthly expenses so that we could manage our budget more easily. We paid off smaller debts and bills that were contributing to our overall financial stress. This included things like hospital bills that were already low but still adding up. Reducing these payments gave us immediate relief each month.
- Future Home Costs: Since we plan to move within the next four years, we decided to invest a portion of the money into our home. We’re putting some toward finishing the basement so that it’s a more functional space for the kids and adds value to the house when we’re ready to sell. This wasn’t just about improving our living situation now, but also about setting ourselves up for the future. When we purchased the house in 2021, the basement was “finished”, but later that next year some flooding caused us to start from ground zero in the space.
- Savings Growth: The overall goal is to create space to actually save money again. By paying down these debts and lowering our expenses, we’re giving ourselves the opportunity to grow a savings fund for emergencies and future plans.
In the end, it wasn’t about throwing all the money at one thing—it was about creating a balanced approach that would reduce stress and give us more control over our financial future. By splitting the focus between debt reduction and improving our living situation, we’re making sure that every dollar counts in the long run.
Looking Toward the Future
We’ve also made a big decision: we’ll be moving in the next four years. That’s impacted how we’ve chosen to use the money from my retirement fund. We’re not sinking it all into long-term home improvements or into another retirement fund that we may lose access to if we move abroad, but instead, we’re focusing on debts and a few things that will increase the value of our home when the time comes to sell. Having a clear timeline for the next phase of our lives is helping us stay focused on what really matters and where our money can make the biggest difference.
This financial turnaround has been anything but easy, and we’ve had to make some tough calls along the way. But what’s made the biggest difference is the shift from feeling desperate to feeling like we’re in control of the situation, even if things are still tight. We’ve got backup plans (A through K, honestly) in place for when things don’t go as planned. That alone has helped us manage the stress of the unknown.
We’re still in the middle of this journey, but these changes have brought us some much-needed peace and a clearer path forward. If you’re feeling stuck in your own financial situation, I hope this gives you some ideas or, at the very least, some reassurance that there’s always a way through it—even when it feels impossible.
