How I Went From Down And Out Graduate To Debt-Free Nomad In Less Than A Year

How I Went From Down And Out Graduate To Debt-Free Nomad In Less Than A Year

Recalling how my life was 3.5 years ago, I was embarking on a new business venture, creating a self-employed life as a dog-walker and pet-sitter. This was the result of leaving my previous job, and bumming around unsure of what to do with myself for 3 months.

It didn't feel like it at the time, but the spring of 2013 was about to be major turning point, after 2011 and 2012 had been pretty painful.

At the end of 2012, I was in debt and pretending I wasn’t, continuing to spend mindlessly, buying new trendy stuff I didn't need, trying to make myself feel better. I was also kinda lonely, having been single for a good few months. I didn't have the best social life and my whole week was being swallowed up by my crappy job in a bank.

It was a bundle of laughs guys, truly.

My debt wasn't disgustingly huge and ridiculous, but I believe it was around the £3000 mark by the end of 2012. It was mostly credit card debt but also an overdraft from University.

It doesn't sound a lot, but it was for someone who was on a low income, whilst avidly pursuing everything... Literally, trying to consume every single thing.

I gave in to my sadness and disappointment at where I was in life, and continued to build my mini mountain of debt, partaking in window-shopping that turned into a shopping spree. Always having had a weakness for pretty things, I was going beyond that, consuming too much, too often. I would put things on my credit card willy-nilly and worry about it later.

The funny thing is, for the longest time as I entered my early 20's, I never had a credit card, nor even considered it. I spent what I had, and didn't spend what I didn't have.

A (very smart) part of me knew that credit was a bad idea for someone with my mentality. I loved buying clothes and other random things, and I had grown up accustomed to having what I wanted when I wanted it.

God, spoilt much?

Fortunate and well-cared for, definitely. Spoilt? maybe a tiny bit...

Anyway, I knew that as soon as a credit card came into my possession, my eyes would roll into pound signs and I would see it as a free money despite my better knowledge.

Why the hell did I get a credit card then?

I can’t remember the precise reason, but it was mid 2011, and I was going through some big life changes; moving in with a boyfriend and going into my final year of study. I do remember the cherry-popping card had an 18-month-interest-free period, the ultimate clever incentive of essentially free credit for almost 2 years!

That is a dangerously long grace period of being able to let debt mount up without accruing interest on top.

I think that's a key part of consumer debt psychology; people ask themselves, how long can I use credit and not really feel pain from it? How long can I pretend that I'm not living beyond my means whilst not trying to change them? Well, the credit card companies will always have a solution for you.

So the credit companies are the enemy?

Many credit cards are built on solidly decent perks, beneficial to those who know how to use them; people with self-control and probably a decent income, able to make each monthly payment whilst gaining air-miles or whatever. But that wasn’t me, and yet, because my income was of a certain level, it was as simple as filling in an online-form and BAM, a credit card with a £2000 credit limit now had my name on it.

That’s a lot of money to someone who was earning under £1000 a month and was new to this idea of adult financial freedom. For a while after my card arrived, I used it cautiously, paying for small amounts with it near the end of the month before pay-day. I promptly re-paid the full amount when it was due.

It wasn’t until a few months later, when I experienced a fairly traumatic and unexpected relationship break-up (from the boyfriend I had moved in with), that I suddenly looked at my credit card, and it looked at me, and we gave into a full-on passionate affair.

Takeaway meals when I was too depressed to cook, online shopping when I was too sad to leave my house, my credit card was my crutch.

I fell into debt not out of necessity, nor because I had bills to pay or some big holiday planned, I simply used credit for random daily spending, with the full intent to pay it back as and when. Underpinning this spending was a story I was telling myself, that I deserved this 'free' money. This credit card bought me the things I thought I wanted, or needed, in order to overcome my sadness.

In my hazy state I perceived junk-food and new clothing that I wouldn’t even remember in 3 years time, as my treats. I didn't buy self-help books, or invest money in trying new experiences, which sounds like a healthier approach, one I was simply incapable of in my down and out state. Maybe that's a stage you reach a little while after the initial impulse spending blow-outs following a break-up. But I didn't reach that point for months to come...

You’d have thought that the spending would have stopped a few weeks later, when I emerged from my sad girl cave and re-joined the functioning humans, but it was too late, I had already formed bad habits.

A few months later, life was mostly back on track. I graduated Uni with top marks, and I was on the cusp of entering real adult professional life. The first financial decision I made in my new grown-up life, truly was a nightmare dressed as a daydream (I just quoted a Taylor Swift song and it works); I got a brand new expensive car on finance.

I didn’t know anything about car finance until right before I took it on. I truly believe it was a win-win situation and I failed to account for how much of a commitment it was to take on.

I remember the precise moment, when walking through the supermarket car-park, when I fell in love with this little cream car. Sat there, all alluring and feminine, I knew, as soon as I laid my eyes on it, it had to be mine. It was a nippy little cream Fiat 500. So petite! So cute! So out of my price range.

Until someone said, ‘Did you know you can get the same car on finance?’

Interest piqued.

"What is this finance you speak of?"

Okay, so lemme get this straight, I hand over a little bit of money as a deposit, and I get a brand new shiny car. All I then have to do is pay £129 a month for the next 3 years, and then it's entirely mine? I can afford that so it must be a good idea!

Plus, I deserve it, I DESERVE a brand new car.  I was still peddling that woe-is-me story to myself...

I thought this was an awesome turn of events. Car finance was helping me live out a dream of luxury. Little did I know it would be a short-lived buzz that would take me further away from the dreams faltering at my core.

I still feel guilt at the way I fell in love with that car far deeper than I ever did for my starter car, a little blue Vauxhall Corsa. I feel actual sadness that I gave that silly tin can away. But at the time, it was a fun change and it was just another part of my effort to feel better about myself.

The steering wheel on my pristine new baby felt so smooth and agile, and the car was so clean, and just, beautiful. I felt accomplished, like I had stepped up a rung on some invisible ladder of life success. I had a nice, smart card, nd I believed it helped me appear, to the outside, that I was winning at life.

But the reality was more like this:

I was working full-time in the same job I’d had since I was 16, a small supermarket where I jangled my keys as a supervisor and general checkout operator. This little weekend job had stayed with me throughout 3 years of university, and then turned into my main gig.

It wasn’t inspiring or fulfilling, at all, it was convenient, and familiar. I was trying to move into something better, namely, something that earned me more money. Whether the job truly suited me and my core values, was a secondary thought, a bonus in fact.

I wrongly sought out something that would bring me more money to buy more stuff to be more happy. But had my consumption made me happy up to that point?

I ask myself this question a lot...

Was I unhappy because I spent my money impulsively to fill a lonely void, and thus wasn’t planning for a fulfilling future based on real experiences. Or, was I just suffering from a mental illness and using the incorrect tools to fix it.

I'm certain that I was unhappy in myself and perceived buying things to add to my image as a way to attract the right kind of people who could fill the space in my sad ickle heart.

I sound as if I'm making light of my situation, but I was, in fact, headed for clinical depression. I got there eventually and I fell into a dark pit that I tried to escape every time I went to a clothes shop. I was desperately hating my job in a bank, where I had to partake in awful sales stuff as well as be responsible for people's real actual money. To this day I hate sales-y people or anyone who targets me with bull-shit for their own monetary gain.

So that job didn’t work with me, at all. Yes, I had money, I was able to shop more, and show off my nice car to my colleagues, but I wasn't actually a happy or sane individual.

I had some traditional markers of success and yet, I was also deeply disappointed. In the pit of my being, I was asking, is this it? Is this my life, from now on and forever?

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How Did I Change Things For The Better?

Well, I overcame that difficult time through a variety of avenues. Prescribed pills were involved (for a short while), falling in love played a large part, and of course, time was a big healer. I moved through my issues gradually, grew my little business as a dog-walker, and I was finally engaging with the world in a healthy manner. I eventually began making exciting plans.

My exciting plans had no room for debt or financial over-stretching; they were geared to financial freedom.

I got rid of my car out of necessity. My expensive gift to myself was now a chain around my neck on my new low income, and it didn’t suit my business as a dog-walker. So I went through the rigmarole of advertising it, temporarily clearing the finance with a family loan, then repaying that back when my car sold. Yep, a total effort.

I rid myself of that 129 a month and then focused all my energy on debt repayment. I kept a diary of all the amounts I owed and to whom. I decided to clear the smallest debt first, because it would be a surmountable goal that would boost my morale. There was no doubt in my mind that I would clear all the debts, because I had a goal for doing so, it just made sense to me to start small.

My exciting plans were that I wanted to travel Australia with Taran. I did the research and got sucked in by the absolute beauty of this very far-away land, and I just knew I had to get there.

I didn’t want to just go away for a year, I wanted to travel for a long time. I decided that being out there in the world, exploring it almost without purpose, would be the optimal way to reconnect with all the best parts of living.

Driven by this goal, I threw literally as much as I possibly could at my debts each week.

I got paid sporadically due to being self-employed so if my money came in drib's and drab's, I threw it at my debt in drib's and drab's. If I had an unexpected booking that led to a lot of extra money, I didn’t hold onto that money for a second, I sent it on a one way debt-clearing journey.

That is certainly one of the difficult parts of paying off debt and an obvious reason for why people delay repayments. We see our pay-check as having a better or more exciting purpose in the present, instead of going into a black-hole that brings nothing. But it does bring something eventually. It brings back financial clarity, control and an ability to plan for the future.

I think even if I hadn’t wanted to save up for travelling, I would have put my new positive financial situation to a good purpose, and I would have developed smaller, every-day goals, centred around family, relationships, and experiences.

When my life lacked greatly in these areas, when my time, money and energy was going purely to consumerism, I was miserable.

Then again, it goes back to my question around shopping addiction as the cause or effect of my depression. It was mental health versus financial health, and neither side was fighting strong.

That's why the true approach to tackling debt goes beyond the common tropes of spending less, working more and going without. Those things help clear the debt, but they don't deal with what lies underneath. They don't prevent debt occurring later on, or alter your mentality away from consumption as self-prescribed therapy.

It’s a truth, not merely a pleasant idea, that we should build our finances around sustainable, long-term and deep fulfilment.

My motivation wasn’t to explore in order to ‘get it out my system’ or escape the trappings of real life, it was about creating a whole new path, based on experiencing far-flung places, doing crazy things beyond what I believed I could and ultimately, discovering myself. I believed that my long-term fulfilment could be built on solid foundations formed from these experiences.

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The Key Is To Not Go It Alone

Many of my peers and fellow graduate millennials often say that they wish they had the money to travel. In truth, some definitely do have the money, they just choose to allocate it to other things, and that's their business.

Many people however are bound by extortionate outgoings and financial commitments, as I was, and are navigating the same personal battle I did. I came through it thanks to the support of friends, family, and of course, Taran. That's why I recommend surrounding yourself with people or positive influences that will encourage you on your journey to being debt-free.

If those around you bolster the behaviours that are the most detrimental to you, then it's time to get real, have some honest conversations, and be clear in your motivations for changing things.

If you lack a supportive circle of like-minded individuals, I get that it makes debt repayment hard. But plenty of people out there are super into these lifestyle ideas, of thrift, frugality, and minimalism. In fact I wrote a whole book on that last topic. And the idea of being 100% debt-free, as in owing zero to anyone and clearing a mortgage earlier, is a major movement.

There is a tribe out there with open arms awaiting you, without a doubt.

Some of my favourite finance-oriented and majorly inspiring people:

• Cait at Blonde on a Budget.
• Jim at Wallet-hacks.
• Ricky at Skint Dad.

My journey from down and out, to who I am now, has been a relatively long one, but I've finally got to where I want to be.

A year into travelling, and 2 since I became debt-free, I’ve worked as a farmer, a cook/receptionist/housekeeper and a cleaner. These are definitely not dream jobs, but they are short-term ventures targeted at a specific goal. But that's just the boring necessary stuff. 

I've also camped on a completely deserted paradise island, with ocean so clear my eyes couldn't believe it. I've jumped out of a plane, held a snake, stroked a kangaroo and rescued a koala (not all at the same time).

I opened myself up to the unpredictable nature of life, embracing what scares me.

The result is that I have lived, and it's been an awfully big adventure.

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What did my debt experience teach me?

I learned in my early 20's, that debt, whilst sometimes unavoidable, can often be prevented if we are open and honest with ourselves and those around us. I lost control of my life because I was suffering alone, smothering my inner truth, and favouring my unhealthy spending habits over the challenge of building new ones.

But I don't do that any-more, and I'd like to think that others can escape that spiral too. We can spend our money mindfully today, in the pursuit of something amazing, someday.

And that someday needn’t be so far away that we can't picture it and keep focus.

We can take stepping stones, steadily moving to the other side, to a place where we can start over again, begin listening to our core values, and live by them, forming new habits that will fulfil our truthful needs.

What motivates you to become unencumbered by debt?

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Thanks for reading!

Hannah here, one half of NomaderHowFar. I love reading, the beach, proper fish and chips, and a good cup of tea. But I mostly like to chat about minimalism, simplifying your life, the beauty of travel and sometimes I get a bit deep. Get to know us here!

Be social and come follow us across the virtual world!

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37 Ways You Can Save Money Every Day

37 Ways You Can Save Money Every Day

How do I save money, if I already lead a frugal life and have no debt; surely I am doing enough?

Well, find out below if you're doing all that you can!

Whether you are saving for travelling like we did, or trying to reach another life goal, or simply wish to make your pennies go further, this advice will hopefully help you.

GENERAL MONEY MANAGEMENT

1. BUDGET, and do it wisely:. Look at a months expenses, fixed and changeable. Split your budget into a week-by-week basis. You might get paid once a month or paid every week (this is less common in the UK where I am from) but if you live week by week, its sometimes easier to break down where you will need to allocate funds on things such as food shopping. It could mean that by the time you reach your next payday you aren't dipping into savings to make the short-fall.

2. BUDGET FOR REAL LIFE: Creating a budget doesn't have to mean you designate every penny of your earnings to particular things with zero room for movement. If you are trying to clear debt or make savings then cutting back or limiting yourself is a good idea, and yet giving yourself no budget breathing space might make you more likely to impulse spend as a rebellious act. Try to budget for your reality, one where you will still want occasional treats, and so including this in your budget will make you more mindful of where you could make savings elsewhere, if you desire a balance of controlled spending, enjoyment, and saving.

3. USE MULTIPLE SEPARATE BANK ACCOUNTS: I name different accounts after the bills which go into them. It means I can easily put aside my expenses and know exactly what my situation is for the next week or month. I currently have two savings accounts, one for rent and one for actual long-term savings. I tend to withdraw the rest of my money for food and transport, as cash, on payday. If I use my bank accounts as piggy-banks, instead of using my debit card for impulse and convenience spending, I feel much more mindful in my consumer choices.

4. KEEP RECEIPTS: I judge how good I am being with budgeting by keeping all my receipts, all the time.  It holds me accountable and means I can't ignore what I am spending. I am acutely aware of every dollar that I give away and it has helped me achieve no-spend days, or weeks, because I like to have as few receipts as possible:

PRO-TIP: Instead of thinking 'I won't spend money this week', think, 'I don't want a wallet full of receipts to read through each week'. Obviously, the two go hand-in-hand.

5. USE A DAY-PLANNER: I love my day-planner for many reasons, but one of the main ones is how it helps me track spending beyond just having a pile of folded up receipts. I write every single thing I spend each day or week, and I also plan ahead for up-coming bills. This helps me spot the times where I spend more, and I can link it to how I am feeling that day, or what else I was doing. If I know why I spend more, I can better give attention to those areas of my life that clearly need some re-thinking.

FOOD

6. BUY CHEAPER VERSIONS: I think sometimes this is a challenge when you are trying to buy organic or healthier food products. But even when you are buying healthy food, you can still get cheaper versions of your favourites. I buy lots of fruit each week, which can be expensive, but to save some pennies, I will buy which ever apple type is the cheapest per kg that given day. It doesn't save as much as if I forewent the fresh fruit altogether, and bought a pack of 6 fruit-filled and sugar-laden breakfast bars, but the cost to my health isn't worth it in my opinion.

7. SWITCH SUPERMARKETS: We often shop at the stores that are the most local or convenient to us. We know the lay of the land, which aisle has what, and we develop a real sense of familiarity with a shop. Sometimes this blinds us to whether that is the cheapest or best value place to buy our weekly food shop. I like Aldi and Lidl (in the UK) with Aldi growing its reach in Australia right now.

8. GO IN KNOWING EXACTLY WHAT YOU NEED: Make a shopping list, based on a meal plan, and buy only ingredients for this. I buy foods to feed me for a week of breakfast, lunch and dinner with a few snacks. I don't get into buying stuff to fill up the freezer or the store cupboard, as I believe this just leads to waste.

PRO-TIP: Write on your shopping list a brief run-down of what's in your fridge or pantry, so that you aren't forced to make random extra spending decisions because you can't remember what you have at home.

9. DON'T BUY ONLY FRESH: Dairy and bread are often an unavoidable exception, but just be wary of filling up the refrigerator with foods that go out of date within a week; these foods are often the most wasted. When you create a meal plan you can make sure to designate your fresh foods to particular meals to prevent this waste. I buy frozen fruit and vegetables (berries for smoothies and veg for curry's) as it can be cheaper as well as waste-reducing. I just make sure the fruit says 'No added sugar' on the pack.

10. RESIST TEMPTATION TO BUY EXTRA FOOD: You might live near a little corner shop and get tempted of an evening to go looking for yummy snacks. Try to anticipate this by including some nice food in your weekly shop so that you don't end up spending over-budget on food.

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FUN AND SOCIAL LIFE

11. HAVE AMAZING NIGHTS IN: A social life is the foundation of a fulfilling life based more on experiences and relationships, not material spending. But do consider cutting back on eating-out, cinema visits and day-trips. These experiences can actually become habitual, meaning you continue to regularly spend on these activities without much consideration for doing something else new. Suggest cheaper alternatives to friends or family, like a dinner party where everyone has to bring their own home-made speciality dish. Or introduce a weekly movie night where you each bring a movie from your own collection, or go in together on renting something.

12. GO OUT ONCE A FORTNIGHT: Resolve to have one evening/day out every 2 weeks. This might sound hard but you can actually get quite used to a routine of not going out. If you reduce your expensive outings you will save more money but you will also come to view them as more rewarding and enjoyable if you don't do them so often.

13. GET CREATIVE: I nurtured my creative side by beginning this blog, a place to come and guide others as I too cleared debt and refined my spending habits. It helped me stay on my path to a debt-free future as a nomad, and it opened me up to a world of writing I had been too afraid to pursue before, too consumed by my consumption and other distractions. I'm not saying blogging is for everyone, but you may have other inner creative abilities that might come out in other forms and interests which you might have previously ignored in favour of your habitual entertainment escapes. 

14. EMBRACE WHAT YOU LOVE EVERY DAY: What do you do most when you go on holidays or when you have a relaxing Sunday? Do you read a book, take a walk or try a new recipe? Our hobbies do not have to be confined to just one part of our week. We can try to build on our true loves and engage in them more often, or see what other hobbies we might like that derive from them.

PRO-TIP: Get ideas from Pinterest or YouTube, awesome online spaces where you can find like-minded thrifty people ready to introduce you everything you can imagine.

SHOPPING

15. GET RID OF STUFF: If you are craving the buzz of buying a treat for yourself, sell something on Ebay, or donate a few items. Whatever you make you can spend on something new. But be careful, try to only acquire quality things out of need. The process of saving is also one of de-cluttering and simplifying, you don't want to get excited and accumulate too much.

16. BE CERTAIN BEFORE YOU BUY: When shopping online, add the item you have your eye on to the basket, and then leave it. Go back the next day and if you still want the item, question if you need it and what value it will bring. The more you think about it, the more likely it is you will talk yourself out of it and not give into that impulse-buy feeling.

PRO-TIP: Calculate the cost of the item versus what that amount of money could otherwise get you. Could it go to your debt repayments, your saving goals or your holiday plans?

17. HIT THE CHARITY SHOPS: I honestly love the challenge of finding a new outfit in a charity shop. Not only does this encourage recycling and lengthening the life of trendy items, but it is going to be a fun money-saving challenge. Consider that not all the stuff in these shops is junk, think of all the unworn clothing sitting in your wardrobe and how nice that is, you are bound to find something which meets your tastes.

18. RE-STYLE YOUR EXISTING CLOTHING: When I go through all my clothing to donate some to charity and make space, I always find things I had forgotten about. I then try to come up with new outfit combinations and it's a fun little task to re-imagine and re-appreciate the things I already have.

LIVING EXPENSES

19. CONSIDER FINDING A CHEAPER HOME: Are you paying exorbitant rental fees? If you aren't bound by a contract, look around for cheaper rental rates, either by focusing on a cheaper area, or just a smaller property. If you are trying to save for a forever home consider that a small and unsightly home that costs less will get you to your goal sooner.

20. MONITOR WATER AND ELECTRIC USAGE: Don't just pay your bills, study and compare them. Be aware of what you are using and try where possible to lower consumption in the home to lower your bills. Set a timer on your showers and flush the toilet less (ew but true). Never leave appliances or computers plugged in and turned on when you aren't using them.

21. RENT OUT A ROOM: My brother and his partner rent out a small room in their home to a lodger who essentially pays their mortgage (or some of it). If you don't like the idea of sharing your home, look at temporary lodgers, people who only need a room during certain periods of the month or year. This is quite a common thing; I know of a family who have a lodger who pays a fixed monthly rate but is only there 2 or 3 day's a week.

22. CANCEL ANY T.V. SUBSCRIPTIONS: Sky TV in England is incredibly popular for its numerous channels, so lots of choice for programmes, but in reality you can only watch one thing a time, so why pay a premium for reams of channels you will never use. So much TV and entertainment is available online these days too, and for much cheaper.

23. LOOK FOR WHERE YOU CAN SAVE MONEY: Is your home insurance set to automatic renewal? If so, could you get a better deal? How about your energy supplier, are they giving you the best prices? Don't just accept your current outgoings as fixed, savings can always be made if you try.

SPECIAL OCCASIONS

24. BIRTHDAYS: Dread when it comes to spending on presents when it feels like you only just went bankrupt from Christmas? Consider second-hand gifts. Yet again charity shops are great for finding unopened items perfect for giving. Or alternatively make your own gift considering how special it is to receive something that has taken time and effort.

25. CHRISTMAS: When I was living in England with family, I would make a list of all the things that reminded me of each family member or person I intended to buy a present for. This brainstorming helped me decide on the perfect gift instead of leaving it to last-minute overspending.

26. ANNIVERSARIES: Luckily Taran and I more or less forget important dates/valentines day and they go by without us noticing, ha! But if you are more into celebrating them, try to go for home-made gifts. Pinterest is perfect for ideas which cost between 5 and 10 £\$. Or make vouchers with promises of things, little gestures and treats you will give to your significant other, like a coupon for a 30 minute massage.

27. DON'T WORRY ABOUT APPEARING TIGHT: If your family and friends know you well, they will most likely know about your saving plans and thus won't expect you to spend a lot of money on them on special occasions. Be clear with them why you are choosing to do so, so as not to build confusion or resentment. In return be clear to people you also do not expect much either and that you would rather they saved their own money!

RANDOM

28. DRINK WATER: Its free, really good for you, and as I said, it's free!!

29. DON'T BUY NEW BOOKS: A shelf full of unread books which drew you in with their synopsis and pretty cover? Well, it's time to actually read them! Try to trade in old books if you are seeking new ones to read!

30. WATCH YOUR CAR MILEAGE: Do you get a lot of miles for your fuel money? I noticed my fuel economy decreased and so I did simple things, like checked tyre pressures and paid for an interim service to check her out. If you drive more than you need to, swap the car for some walking shoes, and get out there!

31. MAKE YOUR OWN TAKEAWAY FOOD: Do you crave a curry or a pizza but bulk at the bill? Well experiment each week with making a dish which closely resembles your favourites, and save lots of money. Taran makes a delicious feta and mozzarella pizza with cheap ingredients, meaning he not only knows exactly what's in his food but it saves money each week for the rest of the food budget.

32. CANCEL SUBSCRIPTIONS: Do you use your Spotify, Netflix etc? I mean, are these key things in your life? Do you use them every day or week? If not, cancel, and save the money. If you don't use them much now, you won't miss them.

33. ALWAYS MAKE A PACKED LUNCH: The days on which I neglect to pack food and drink, I inevitably spend money because a girl's gotta eat!

34. USE UP ALL YOUR COSMETIC PRODUCTS: Resist the temptation for a whole new beauty regime before you have finished your current one. Use up all that shampoo, lipstick and face cream. Save waste and money.

35. AVOID THE SHOPS: Plenty of people while away the weekend meandering around the local high street or shopping centre. And when they might intend to only window shop/people watch, they are bound to be tempted to spend which over a month can add up to a lot of mindless spending.

36. QUESTION EACH AND EVERY PURCHASE YOU MAKE: I will compare prices endlessly when buying something, if it is something I need. But if I get distracted and look at other things, whether it be on e-bay or in the supermarket, I pick it up, and think, why am I wanting this? Will it get utilized, used, or wasted? Will it add value to my life? If the answer is not clearly a yes, I put it back.

37. BE POSITIVE AND CELEBRATE YOUR ACHIEVEMENTS: Each time you resist spending money or save yourself a cost, let that feeling wash over you. When in the future all the money you save comes into use on your travels, you will be even more proud of your thrifty and restrictive choices. Your whole approach to living will change; value will be placed more on experiences, friends, family and suddenly spending will seem like an annoyance, not a short-cut to happiness.

MORE MONEY-SAVING GOODNESS:

• Saving On A Low Income
• 5 Financial Traps to Always Avoid

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Thanks for reading!

Hannah here, one half of NomaderHowFar. I love reading, the beach, proper fish and chips, and a good cup of tea. But I mostly like to chat about minimalism, simplifying your life, the beauty of travel and sometimes I get a bit deep. Get to know us here!

Be social and come follow us across the virtual world!

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LATEST POSTS:

5 Tempting Money Traps to Avoid: Simplifying Your Finances.

5 Tempting Money Traps To Avoid: Simplifying Your Finances.

I might only be 25 but I am no stranger to consumer debt.

I am no stranger to the feeling of being weighed down by financial burdens, and the accompanying guilt of knowing I more or less created them on my own.

But how many of us want to admit, out loud, or to ourselves, that we are in debt?

How many of us want to admit why and how we got there?

Some of us can't blame our debts on having too many bills to pay. Some of us just let things get a bit out of control in the pursuit of entertainment, escapism and the thrill of acquiring new things. I was doing the latter and that's how I got into debt.

You can read my full debt story, but here's a brief breakdown of my situation:

• 3 1/2 years ago I had credit cards nearly maxed out.
• I was 900 pound into an overdraft.
• I had a brand new car on finance.
• I was in a job I wasn't enjoying.
• I was headed for financial disaster.

I was stressed and miserable. I had left one job for another, hoping it would be a fresh start of some kind. It turned into a fresh nightmare.

I worked quite hard but didn't earn a lot of money for what I did. I didn't feel like I could repay my debts from the previous year and maintain a good standard of life on that income.

And eventually I just gave up on the job, and that made my situation even worse.

I had created my own stress and problems. I was the maker of my own misery.

To this day I blame no-one, not even my manager at that shitty job, for the fact I ended up unemployed, direction-less and with my savings going depleting by the day. I didn't feel poor however. I still believed in the 'free money' of credit cards and continued to add to my established debts.

I went out and spent money buying things I neither needed nor truly wanted.

But at some point I questioned, why should I have a wardrobe full of pretty things if I was actually being buried alive by them.

Having an abundance of stuff served as evidence of what my debts had funded, the happiness those things hadn't brought me, whilst I had very little in the bank to show for my months of enduring a crappy job or to even make ends meet.

It really seemed like an impossible situation with no way out.

It's time I don't remember fondly, but I do remember and share, because it taught me a lot about financial sense.

Travelling was a goal that drove me to pay off debts and save, but you don't need a big life change to motivate you.

You might be embarking on a new career path, or trying to save for a big holiday, but first you want to start afresh and be financially solvent.

You can seek freedom from the stress and weight of debt by avoiding these 5 tempting money traps.

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CREDIT CARDS

I think people often use these to cover shortfalls during times of difficulty, but I also think people get these when they actually have a good income.

They feel safe in the belief that credit spending is a debt they can repay easily each month.

What we often forget is that rent, food and bills is often enough of a financial commitment, and can already create a lot of stress each month. Bringing a credit card into the mix may lead to unnecessary hardship at some point down the line.

Then again having a credit card that you aren't using may be an essential at some point in your life...

It's a game of 'What If's':

What if you lose your job?

What if you decide to change your career?

What if a major financial drain occurs, like a car repair or health issue?

If you already have high credit card debts, then you can't use that credit card to help you in the above scenarios.

If your income suddenly drops, your existing debts will still continue to rise. If you happened to get one of those credit cards with a deal of no interest for a certain period, eventually that period will end, and your debt could get out of control.

I only advise this cautious approach to credit because I myself was stung by improper credit card use. I lost my job, I had a health issue and I had bills to pay, so I really could have done without a large lingering debt.

OVERDRAFTS

Much like credit but more often used to cover everyday spending, I really believe these can be 100% avoided with a little forethought.

Do you manage to make your general expenses every month on your current income?

If not, is your overdraft your only option, or could you make some minor cutbacks here and there to avoid it?

Do you need subscriptions to all those film/music streaming sites?

Do you buy food off-brand and avoiding eating out?

Could you temporarily use a small part of your savings to cover an unexpected short-fall, replacing that money as and when you can?

I think people see an overdraft as a much lesser evil than a credit card. In which case they can be extremely helpful, especially the nearer to payday it gets. But they aren't a long-term solution because in continuously using one you are allowing yourself to live beyond your means and taking yourself further away from your main financial goals.

My overdraft was the pre-cursor to my credit-card so it really can be a gateway to more financial over-stretching.

CAR FINANCE

A few years ago, I wanted a brand new shiny car.

I decided that being a graduate, in a job, in my mid-20's, I deserved one.

I knew nothing about car finance and when I did find out about it I wasted no time in ordering a little fiat 500.

I loved that car, but I didn't love the fact I had to get rid of it a year later, since I was unemployed, starting a new business and no longer able to afford it.

I had to find someone who would buy it, but first I had to find money to pay off the finance and then wait out a car buyer.

I have learnt from this, and in the future, I will only ever purchase a car out-right with savings.

I know that my approach as a minimalist means I no longer value having the latest and most expensive thing, over just having something solid that works, but with car finance, you need to weigh up the value a brand new car brings versus the cost and commitment long-term.

Could you purchase a perfectly attractive and safe car with your cash savings, instead of paying a large amount of money each month in repayments to a car company?

Might it be more important to have something reliable and cheap, if it means you can live your life how you want to, without exorbitant financial stresses added to the equation?

If you haven't got the savings and see finance as the only way to overcome that, could you look at buying a cheaper car and borrowing money from a close family member?

Could you temporarily seek alternative means of transport, until you do have the savings to buy a car outright?

In my experience, car finance can work out, but only in ideal circumstances, where your lifestyle or priorities don't suddenly change.

I couldn't have foreseen that I'd go from gainfully employed, to unemployed, and then self-employed. If I hadn't taken out car finance, my sudden life changes wouldn't have mattered so much.

I would have had more freedom to quit the crappy job that paid the bills and chase my self-employment goals.

PAYDAY LOANS

We all believe we have a valid reason for taking out a loan, be it for a new car or holiday.

In recent years there's been the more worrying rise in the use of payday loans specifically, which often come with unbelievable APR rates. People can end up repaying 3 times what they originally borrowed.

Traditional loans come from our culture of wanting something we can't afford, immediately, without much time or effort to acquire it.

Payday loans are very much routed in that desperation people feel toward the end of the month, nearing payday, when they have a bill to pay that they either didn't budget for or didn't expect.

A loan might give you something quickly, but the debt it leaves you will not be so quick to deal with. It will take time to clear and whilst you are clearing it you will be financially limited and restricted.

A payday loan will be a slippery slope, not merely because of the steep APR rates but also because you might end up not repaying it as soon as your salary comes in. It very much feels like a credit card, e.g., free money.

You might delay repaying it because when your salary does arrive, you will feel a lot richer than you normally do, but its not reality; the reality is that you can't escape the payday loan, because it's just that, only designed to get you to payday and then be returned.

Fundamentally both types of loan will add to the stress you experience on a monthly basis, especially around more expensive times of the year, or if your income is unpredictable.

BUY NOW, PAY LATER

There are deals these days that allow you to put off paying for something, creating this kind of illusionary purgatory, where you get to enjoy something without financial repercussions.

But quite often these deals involve a fair bit of interest and high charges if you miss a payment.

You could end up even forgetting about these financial commitments due to the delayed repayments and that could lead to unplanned short-falls.

There are sometimes fee's attached to making full repayments early.

It seems like a really great option, but you need to look at the fine print, the figures and the negatives.

Can you source the thing you need 2nd hand, cheaper, or even for free?

Is the item you want worth the long repayment commitment?

If you are looking for a household item, look online first to try and find affordable options that don't require this kind of financial commitment.

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The common thread that runs through all these financial traps is our culture of wanting things that are beyond affordability, but are made so thanks to credit deals etc.

Once upon a time people lived within their means, and would save for months on end to buy luxury items.

One argument against this is that life is short and we should try to enjoy it, whatever way we wish to, right away. Then again a life built around instant gratification and material obsession is a never-ending (and stressful) endeavour.

Our society is built around creating new wants and desires constantly, so you won't just get into debt once, for that one special object or life goal; it will probably happen again and again as new things and options appear in front of you regularly.

You could end up spending most of your life owing money. Thus you'd spend most of your life committed to creating the income to serve those debtors, not to serve your personal dreams and goals.

If you want more inspiration for living a life where debt and material obsession is a thing of the past, read this, this and this.

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Thanks for reading!

Hannah here, one half of NomaderHowFar. I love reading, the beach, proper English chips, and a good cup of tea. But I mostly like to chat about minimalism, simplifying your life, the beauty of travel and sometimes I get a bit deep. Get to know us here!

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Material Desire

Material Desire

Since coming travelling me and Hannah have both had to live with less, mainly because of that fact that having less in your bag means its not so heavy on your back, but I had started living this way in a sense before we left home.

Back in the UK I had things, in fact my bedroom was filled with stuff I had collected over the years.. Most of it was sat in draws not doing anything, including a hell of a lot of old clothes!

Deciding to come travelling was kind of like a release from from it all, in the months before we left I managed to give away almost all of my clothes, saving only a few things in case I was to visit home at some point and need more layers :P We sold dvds, gave old games and toys to charity shops, handed on items to friends and family, by the end of it my room was completely bare!

Whilst we have been travelling I have maintained this lack of material desire, I can probably count on 1 hand the amount of 'things' I have bought over the last 10 months on the road! I have the exact same clothes that I packed 10 months ago, in fact I have less than what I packed as I have left things behind along the way in an effort to make my bag lighter..

We have been fortunate to have had paid jobs for 2 months of our travels so far and thus we both were able to use the money to buy something we both wanted, I bought a camera and Hannah bought a small net-book. Living this way really does allow us to have more time to travel and spend less time working for those travel funds :]

My small backpack has been through the wars out here but instead of buying a new one I fixed the straps to make sure it would last a lot longer, I also had a pair of shoes that were fighting a losing battle, I fixed them about 10 times with glue but in the end they were too far gone.. but leaving them behind certainly saved me some space and weight in my bag :D And who needs shoes in Australia anyway!

Not only does living this way save you money but it also makes you free from the clutches of your things.. I feel far less worried about where my stuff is because I have hardly anything!

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Thanks for reading!

Taran here, one half of NomaderHowFar. I'm fond of psychedelic rock, photography & videography, forcing Hannah to do crazy things, and I'm also partial to the odd gaming session. Oh and I love to travel :P Get to know us here!

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5 Essential Steps to Travel

5 Essential Steps to Travel

When I think about how much really fulfilling living I have done in the past 1.5 years of travelling, its overwhelming.

So many days have gone by that have been actually pretty life-changing. From being super relaxed in the tranquil heaven of Whitehaven Beach to having an adrenaline overdose jumping out of a plane recently, its been exciting and challenging.

That's not to say its been months of constant awesomeness.

There's been some real moments of difficulty. We have had to deal with a horrible boss in a stressful job, and there was 3 months where we worked outdoors on a farm, and that was definitely a major leaning curve.

Either way, I wouldn't swap a moment of it for having been at home, where the days always passed too quickly and too routinely in a way that left us both lacking vitality and passion for life.

Travel has reignited something within us both, and we want people to have the chance to experience the same.

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Here are 5 essential steps on how to bring the magic of travel into your life:

Fix Your Finances

Before you embark on an adventure, be it 6 months or be it forever, you want to have your finances neatly tied up.

I don't mean writing a will, I mean paying off all your debts. In the year before Taran and I left England, I cleared around 1500 pounds in credit card debts. I did this through sheer determination. I made it so that my income was directed at my debts straight away, throwing as much as I could at them each week.

Unexpected income meant unexpected extra debt clearing!

I used the snowball method whereby I cleared the smaller debts first, which spurred me on. It helped that I was living at home, and was thus able to keep expenses low.

If you really want to get out of debt, then you do need to consider cutting back wherever possible. Sometimes it means 2-3 months of absolute suffering and then maybe 2-3 months of mild discomfort, but it is worth it for the sense of freedom and relief when you can finally say that you no longer owe any companies any money.

Building A Savings Account

Once you have paid your debts, this is when you can focus all your energy on building a healthy savings account to allow you to begin your travels.

Taran and I set up premium bonds, which meant our savings were kept entirely separate from our bank accounts. It also meant we got entries to the draw that means you can win anything from 25 to 25000 pounds. 

It goes without saying that of course you need money to go travelling but you don't need as much as you might think.

We took around $10000 dollars between us, which when broken down was about 7000 from me and 4000 from Taran. That 7000 when back into pounds is around 3500. It really isn't an unreasonable figure to save. And the reason I say this is because I was running my own business, earning between 700-1300 a month (and one month only 400). My job was very changeable and so my income was unstable. And yet I was able to clear my debts and save up a good portion of that money within around 6 months.

I could have saved more, had I taken on new clients or got an extra job, or even just spent less. Where there's income, there's a way. It certainly is possible to save up a decent fund for any trip length, if you are willing to adjust your spending habits and make small sacrifices.

De-cluttering Your Home

My favourite part of the run-up to travelling was getting rid of my possessions and organizing my bedroom.

This was a really logical step for me, in getting prepared for my future, one that would be far more minimalist and frugal. I loved rifling through old photos and mementos, and found it super satisfying ridding myself of clothes and random things that I never used. I even did a car boot sale which gave me a little bit of pocket money, but was mostly just a fun way to give my stuff a new home.

I found that this step was integral to helping me see why I was making this big life change; why I was throwing hundred of pounds at debts I had previously avoided and why I was going without things in favour of saving.

I was steering my mind away from a path previously marked by materialism and a focus on acquiring things that I believed would make me happier. Thus this step was therapeutic and calming. I couldn't wait to actually pack my bag and walk away from the lifestyle of excess that had entrapped me in the past.

Making Peace With People

So this is a rather unconventional step not revolving around money. In the lead-up to our travels I made a conscious effort to leave my friends and family on solidly good terms.

I wanted to mend rifts and reconnect with those who mattered most to me. I wanted to feel like I was leaving behind people and relationships that were healthy. I wanted to go out into the world feeling that I could be free but also have people that I could talk to and share this life-phase with.

I was conscious of people understanding that I wasn't abandoning them or unable to relate to their life choices any more, I was simply following my heart.

Your life can't always revolve around the routines of family and friendships because if you, at the centre of it, are not content with your lifestyle, then you are foregoing the chance the fix that by staying with them.

Travel doesn't have to be permanent and home will always exist, but instead of a weighty anchor it can be a place you think of fondly and return to when you have experienced what you need to in order to feel fulfilled.

Plan Where To Go

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You don't need a 5 year travel plan, but maybe a 6 month one is a good place to start.

Deciding on the first destination is important for many reasons, not simply for getting excited about all that there is to see.

You do need to plan for medical and insurance, as well as maybe topping up your vaccinations. I had to organize for some mandatory medical tests that I get for free on the NHS in England, so I made sure I was in tip-top condition before we left.

We knew that we wanted to see all of Australia, and so we found out what was the best way to get the maximum time out there. It worked out that us being aged 25, we were able to do a working visa which gave us 1 year, and if we did specified work, we could get a 2nd year. So we planned for maybe 2 years in Australia, and that is what we told all our families and friends much to their initial horror.

We worked out where was cheapest to fly into and when was cheapest to fly via kayak (and nowadays we'd use google-flights). We got a vague idea of hostel prices and food, to predict how far our savings might stretch. But in reality you can't be sure how well you will go financially until you are there. If your a hotel kind of person, checking rates is an essential part of travel planning, HotelsCombined provides awesome accommodation deals to help manage your travel finances.

Australia has obvious appeal but also the ability to work as we travelled, and in short-term positions, was a key part of why began there.

The most important thing is to figure out what you want out of the places you plan to visit, and launch from there when deciding where to visit and for how long.

Travelling isn't ever a perfect journey of endless smiles, although there are many days where I have felt so deeply happy I just wish I could bottle the feeling and sell it. Instead I just come here and blog about it.

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Thanks for reading!

Hannah here, one half of NomaderHowFar. I love reading, the beach, proper fish and chips, and a good cup of tea. But I mostly like to chat about minimalism, simplifying your life, the beauty of travel and sometimes I get a bit deep. Get to know us here!

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4 Steps To A Minimalist Life: Nomadifying Your World

4 Steps to A Minimalist Life: Nomadifying Your World

*This is one of our first post's about Minimalism from way back in 2014. We have come a lot further down the road of simplifying, and we did indeed follow our nomadic dreams, and currently live in Australia. For more recent and expansive reading on this topic, check out the minimalism section*

Life is somewhat defined by accumulation; gathering memories of special experiences, meeting people and forming loving relationships.

We accumulate these connections when we are living our lives to the fullest and they are part of what constitutes happiness and fulfillment for most people.

The flip-side to this, is the accumulation of things, material goods and random accoutrements; many people also associate being wealthy and acquiring 'things', with happiness.

I disagree on that point, and so do followers of the minimalist movement. Many steadfast simplifiers come from big money backgrounds, who traded in the corporate lifestyle when they realized it wasn't the key to deep and lasting fulfillment.

An article written by Rebecca J. Rosen of The Atlantic interviews people who changed their lives radically and improved their all-round happiness and stress levels tenfold...

How did they do this? By adopting a minimalist style of living.

I had been thinking about making a blog post about de-cluttering your surroundings and your life, for quite a while, and happened upon this article which perfectly highlights the ideas behind my own changing relationship with consumerism.

The interviewees are consciously selective about what they do acquire, and seek to add only things with meaning and true usefulness.

That's only further spurred on my desire to Nomad-Ify my own life.

Nomad-ify?

Apart from seemingly inventing a word, I really mean, simplifying your surroundings and belongings, so that you are truly prepared for a nomadic travel lifestyle.

And if you aren't planning to travel any time soon, you can still follow these ideas, and achieve the same positive effects for your own life.

Wouldn't it be nice if every time you moved home, it wasn't such a stressful process, because you simply had less stuff to move?

How pleasant might it feel if your cleaning routine took half the time and you suddenly created a more productive day with time to spare?

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Step 1: Time To Off-Load

1. Pick a drawer. Pick a cupboard. Pick a whole room in your house if you like. Just begin somewhere. Choose the space which is stressing you out the most, or, select the smallest space.
2. Question your possessions. For example, go to the kitchen cupboard and question, why do I have 40 mugs, when I only have one mouth? Now go up to the bathroom. Why do I have 8 varieties of shower gel on the go, when all I do is wash it down the drain?
3. Before you try and fix everywhere in your home, really focus on the space you either spend the most time, or the place you go to feel relaxed. For me, that is the bedroom... I love having a minimalist and tidy feel to mine, it creates a really relaxed feeling in there. I have cultivated that by spending months slowly getting rid of stuff. Go over to the wardrobe or drawers....it's time to tackle the clothes. Get some plastic bins or baskets, and label them Charity, Donation and Bin. Charity for the charity shop, donation for those huge bins they have in supermarket car parks where you can donate clothes that are not quite good enough for resale, and then the bin, well, that's for the stained pair of comfy jogging bottoms you can't bear to part with. Of course the clothes you want to keep, put to one side. Also, if you wish to sell some things, create a separate pile for this. Bear in mind that we often set aside clothing we believe will make us some money back and we just never set aside time to actually list them for sale!

We're not just discarding stuff without thought here, we are reassessing it's value in OUR lives and whether these items are useful to US. When the answer is no, then this stuff becomes useful to others, or is just junk, and it's time to say goodbye to it.

RULES: HAVE I USED THIS ITEM WITHIN THE LAST 6 MONTHS? WOULD I BUY THIS IF I SAW IT IN A SHOP TODAY?

If you answer No, then put it in the chosen pile.

Pheww! you are already nearer to the minimalist life.

Step 2: A Shopping Detox

Is it a big hobby of yours to peruse local supermarkets or head into town to the shopping centre, just to mull around, even though you always end up buying SOMETHING. Well, you are now on a shopping ban. Don't worry, you can still buy food, we aren't talking about de-cluttering our bodies here (food is my one spending vice, it keeps me sane).

1. If you are shopping to quell boredom, find escapism or seek that momentary buzz associated with acquiring something new and shiny, could you be using that time and money more healthily?
2. Do you struggle to pay bills or are you unable to repay your debts because of what you spending on random things?
3. Confront yourself. Are you guilty of needless and impulse spending? Are you one of those people who comes home with several shopping bags a few times a month? STOPPPP ITTT. For a while at least. It's more of a bad habit, not a fun hobby; you need to see it that way in order to realize you can stop doing it so much.

RULES: DO I REALLY NEED THIS DRESS? IS IT OF SUPERIOR QUALITY TO ANYTHING I ALREADY OWN? DO I NEED THIS PAIR OF HEELS WHEN I LIVE IN FLATS? DO I NEED ANOTHER THROW CUSHION WHEN ALL I DO IS LITERALLY THROW THEM OFF THE BED EACH NIGHT?

Be honest with yourself, nobody needs eight cushions. 

Step 3: Make Money, Make Room

So you've tidied up, and thrown lots away. Now it's time to tackle the stuff you could make some money out of.

1. List items of quality on Ebay or gumtree (craiglist if you are American) and set yourself a target of how much extra money you want to make selling your things. If you a figure in mind you will feel more motivated to follow through on listing, advertising and selling.
2. Go to a car boot sale (or have a garage sale), and let your things find a new home. Just because you no longer need this item, doesn't render it useless or unappealing to someone else.
3. Consider if some of your things could be repurposed, like old furniture or decorative items, that you could then re-sell at a decent value.

RULE: WILL I BE USING THIS AGAIN ANY TIME SOON? WILL I BE ABLE TO REPURCHASE IT IF I EVER DO NEED IT AGAIN? DO I SOURCE ANY DAILY ENJOYMENT OUT OF THIS OBJECT?

Step 4: Envision A Simpler Life

When I clean or tidy, or throw stuff away, I feel physically and mentally lighter.

Whether it's all in my head or whether its my energy responding to something different in my surroundings, it brings a sense of calm and peace. I feel so much more prepared for my nomadic dreams knowing my clutter footprint is reduced.

The idea of travelling becomes even more exciting to me and the thought of leaving behind what belongings remain, incredibly easy.

As I witness myself saving money and not buying more random stuff, I imagine enjoying a day on the beach in Australia, where my last concern will be for the stuff I threw away; it will just be Taran, me, a towel and the sea.

What do you see when you imagine a simpler life?

What steps do you need to take to reach that? Maybe begin with the above 3.

Possibly it's about changing your attitude towards consumerism.

Maybe you need to take up some hobbies which don't rely on accumulating stuff or spending much money. If we can develop passions that are independent of our financial state, that can withstand times of difficulty, we will learn to be happy with less; less stress, less push for money and less financial commitment, but, more joy.

It's not just about throwing things away, it's a re-imagining of your relationship to material things; your happiness can come from so much more than what's in a shop window. When I felt lost and passionless, I also had massive debts and a huge shopping addiction. I was miserable and misguided in how I used my money. When I fully embraced the multiple benefits of a minimalist life, I did indeed find my dreams, follow them and start afresh.

Your bank balance does not define how full your life can be. It's how you use your money, your time and your energy that will lead to long-lasting fulfilment.

So take control, de-clutter, and Nomad-ify yourself.

Why? Because it feels really, really, good.

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Hey, before you go...

In 2016 I released my Book: Minimalism: Cleanse Your Life, Become A Calmer Person

If you're into minimalism or reducing stress, its really worth a read!

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Thanks for reading!

Hannah and Taran here. We hail from Southern England, where we met online and are now realizing our mutual passion for travel here at NomaderHowFar. We discuss Nomadic Living, Simplifying your Life and Long-term Travel, to empower, motivate and inspire our readers. Get to know us here!

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