by Amber Gaye

Created on: March 04, 2009

At the age of 23 I found myself in a difficult situation. I was in the middle of a divorce, deeply in debt, and raising a new baby on my own. The stress was intense, but I was determined to provide a good home for my tiny daughter.

I found a small apartment in an old, but artistic part of town where the rent was more than reasonable. I had spent the previous four years in a brand new luxury apartment in the Seattle area. So this tiny collection of rooms, located in a 100 year old building in Downtown Toledo, Ohio, was definitely not what I was accustomed to, but it was home. With only a couple of hundred dollars, and many trips to thrift stores, I was able to turn the drab little place into a real home for my daughter and me. I truly came to love the place, with the addition of my second hand picks, the rooms developed a really warm and inviting feeling. We had a real home of our own for only $300 a month.

Even though I was very happy in my new place, I was still getting several calls a day from collection agencies. I owed so many people so much money! The stress was constant. Something had to be done, but my salary was barely enough to cover our day to day living expenses. I had to figure out a way to pay off my debt and still provide for my daughter and myself.

I knew that I could not take money from that which I use for my daughter, she needs diapers, and food, and clothing, and toys. No matter how I paid off my debt, I would not allow her to pay the price. So, after a long hard look at my finances, I realized the the only way to pay off my debt and end the collection calls was to cut my personal spending to nearly zero.

I realized that the quickest way to cut my spending would be at the grocery store. I scoured the aisles in search of the absolute cheapest meals I could find. What I discovered shocked me. I could survive on about five dollars a week. I bought one box of Ramen noodles (10 packages) for $2, one bag of dried beans for about $1, and one bag of rice for around $2. For the next month, that is what I bought for myself each week. Admittedly, not a very exciting menu, but every dime I saved went to paying off my bills.

Another area I found to save money was in entertainment. I decided that I would not get cable or satellite TV. I figured, why should I pay for 24 hour access to hundreds of stations when my television is usually tuned to PBS? Again, the savings went to paying down debt. Besides the savings, I found that I spent far more time in productive pursuits and playing with my daughter.

I made many little, and no so little cuts to my spending, and without any increase in income I found myself debt free within a period of four weeks. The habits I developed in that time have stuck with me for years. My menu may have improved, but I still know how to stretch a dollar and be happy. I only recently got cable and Internet; my family spent nine year watching only what was available with rabbit ears, and I think we're better off for it. When you have to live on less, sometimes you find that you actually live and love more.

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