(In)Debt Series: Money, Time & Gratitude - Part One: 5 Financial Hacks

(In)Debt: Money, Time & Gratitude

Written By Chantel Soumis and Ginger Johnson

Welcome to part one of our three-part series! This series blossomed through a summer conversation. As business people, financial debt is no surprise and unveiled equal interest in talking about what it means to be “in debt” - in money, time and gratitude. As a community, we need to talk about money and finances to get healthier and more educated. This is our contribution to that goal.

Enjoy. Share. Comment.

Thank you.

C & G

Part One: (In)Debt: Money Health & 5 Financial Hacks

Who among us has ever lost sleep over a financial burden?

Money may be the most common conjured relationship for people - in fact, it is the leading cause of stress in relationships. According to a survey released by SunTrust Bank,

"Some 35% of all respondents experiencing relationship stress said money was the primary cause of friction.

Among respondents with relationship stress aged 44-54, 44% said money was the primary cause."

Financial debt can a primary restricting aspect for individuals across the globe. Consider that in July 2018,

• US consumer debt rose 5.1% to $3.918 trillion
• Credit card debt totaled $1.037 trillion, increasing 1.5%
• It exceeded the record of $1.02 trillion set in 2008

Most of this debt was to cover unexpected medical bills. As a result, health care costs are the No.1 cause of bankruptcy.

Chantel Soumis:

I have been incredibly blessed. My parents illustrate your classic, American Dream, rags-to-middle-class story. We were comfortably middle-class thanks to their business acumen and successful accounting firm my father launched upon his return from deployment in the Vietnam War. They put me behind a desk at their firm by the age of 12.

When most of my friends were playing during the summer and on weekends, I was at the office - crunching numbers, making photo copies, answering phones, and scheduling meetings. My six years with the firm scored me a solid $30k in savings which went straight to college, and my parents assisted me with remaining tuition needs.

I was debt-free when my friends were drowning in student loans… As soon as I had a career leveraging my new college degrees, I discovered just how tight our financial status would be. Car loans, mortgages, and so much more held us back from fun. We’d scrape up whatever food we had in the bottom of the pantry to get by, making sure the dogs would have full bellies before us. I remember living on Ramen Noodles throughout my pregnancy because we couldn't afford fresh produce, and if you've ever been through a pregnancy you'll know how dangerous it is to consume that much sodium.

How were those families on welfare so much more comfortable than us? How did they have the money for luxuries like the newest iPhone and fast food meals and we were fighting over the last potato with the mice in the pantry and chopping mold off of cheese to stop the growling of our stomachs! It didn’t add up. We both had jobs.

It wasn’t until I got sick that I really piled on the debt.

I had a lapse in health insurance and was out of a job. I delayed seeking medical care because we didn't have the money. The stress alone ignited my Optic Neuritis which indefinitely damaged my vision. It took my family forcing me to seek medical care to get a diagnosis and treatment.

With $100k+ in medical bills for diagnostics, imaging, and treatment we would have to kiss our newborn baby’s college dreams goodbye. To this day, that medical debt still holds me back from fully launching my business - there’s just too much risk involved and it isn’t fair to put my family in that predicament since they depend on me financially.

According to Web M.D., "Ongoing, chronic stress, however, can cause or exacerbate many serious health problems, including: Mental health problems, such as depression, anxiety, and personality disorders. Cardiovascular disease, including heart disease, high blood pressure, abnormal heart rhythms, heart attacks, and stroke."

Money Problems = Stress = Illness = Money Problems

It's a vicious cycle in the chronic illness community.

So, how am I chipping away at that debt?

Well, I first and foremost have to thank my family for being supportive and understanding. A close friend threw a benefit for me shortly after my diagnosis and we raised roughly $4k. This was a massive help so we could afford food and medicine during a very dark time. They even purchased and sold T-shirts with #TeamChantie on it to show their support!

Additionally, I am paying the State Collections as much as possible every paycheck to continue chipping away! Does it mean we can't go out to fancy places for dinner? Yes. Does it mean I can't go shopping for new clothes? Yes. But with sacrifice come great reward!

Ginger:

Like Chantel, my growing up was the Great American Existence. Okay, well at least as it was stereotyped for suburbia in the 70’s. And like Chantel, I’m very grateful for a solid upbringing which included learning how to manage money. The very first bankbook (gold plastic cover, paper insert still intact) is a piece of my childhood I keep around. It makes me smile and reminds me of how precious those $10 and $25 deposits were, from earned tasks and pre-high school jobs.  

We were never hungry, were well taken care of and lived within our means. The stories my parents have told me of their having literally $40 a week for groceries, for a family of four, helped inform my budget when I went to college. I too had $40 allotted for my weekly foods. I recall taking a calculator with me in the supermarket, to tally as I went. It’s easy to adjust if you know you have a specific limit and you keep track as you go.

Adult, real-life bills? Oh yea! Those certainly got my attention too and I was very aware of how much money I had, as well as how much, where and how we were saving. The Future can seem like an ethereal dream, a long ways off that you’ll still have “plenty of time” to save for.

The future is every day of your life. To get smart and get help is one of the best ways to manage as you go. Is it always possible? Well, it’s certainly harder sometimes than others. While I’ve been fortunate to be in good health without crushing medical debt, I can only imagine how heavy that cloud can hang above our heads for those who struggle mightily to get out from under it.

I can tell you that as my own business owner, knowing where every penny is all the more real and crucial for me. I too am the family breadwinner (good thing we like bread!) and income and our finances weigh in daily in my mind. Being keenly aware of your finances is, like Chantel states, critical to chipping away at any deficit, to go from red to black in the checkbook.  

So, How Do I Do It?

“There’s nothing magic about this. It’s a universal law: Our state of mind shapes our way of life.” ― Barbara Stanny, Secrets of Six-Figure Women

Use those piggy banks around the house to immediately safehouse coins...they add up quickly! Partially because once they’re in the banks, they are truly out of sight. When we save and our intention is to do it - to put money aside before we pay for anything else - it’s truly out of sight AND out of mind in the best possible way.

A close friend once told me how, as a young mom she struggled to provide for her family on a modest salary. A wise superior of hers insisted on her putting aside even $5 per paycheck, which she did consistently. Today, she’s as sound as any of us would wish to be. Saving money, and not spending money, are habits we can develop and foster. Needs and wants are remarkably disparate when we know the differences. We need to hydrate; we want to drink fancy drinks (we don’t need them though).

Money Health Tactics

The adage, “Money isn’t everything,” is true. When financial debt starts to nag and drag you down, focus on the many incredible gifts surrounding you.

Here are some tactics to implement:

1. Focus. Focus on keeping your money, rather than spending it. The time-tested practices of eating in (v going out), buying carefully previously used items (v new) and foregoing things we really may buy out of habit (is that $4 fancy hot drink satisfying or simply a no-brainer?). A thermos is a one-time expense which you can fill over and over and over with drinks you make yourself (plus the ‘savings of one-use containers is rewarding).

2. Choose. Spend time in activities that are free. Numerous sites like Meetup.com and Eventbrite can shed light on who’s doing what, where, when and frequently for no ticket price. Evaluate what activities you do enjoy, choose to plan them at a frequency that enhances their specialness rather than take them for granted.

3. Seek. Find and build friendship so other people with healthy financial habits. Observe and learn from them. Solid friends who are wise with money are likely great role models who you can perhaps also talk about money with. How do they live like they live within their means?

4. Shift. Join a money education course, listen to credible financial pros’ podcasts, read books from reputable experts. Take your spending one day at a time and be okay with changing your mind. I.e. instead of buying those concert tickets, forego the event or buy a CD instead. Savings can be a simply exercise of reducing the spend, v not spending at all sometimes.

5. Appreciate. Life is a one-way ticket - that is a fact. So, invest the hours of your life in environments where the focus is splendor, beauty, solitude and peace. Hiking and meditation and walking and skipping rocks at the beach all cost nothing. Nature is the ultimate splurge. Get out and about, refresh and remind yourself that the big things are right in front of us and are frequently free. 

Summary

Controlling your debt does wonders for a positive peace of mind. Knowing you can chip away at dept, little by little, is key. Every dollar toward reduction makes a difference, even if it feels insignificant. One day, years down the road (though sometimes sooner than you think!), you’ll wake up and the debt will be completely gone!

Diligence and consistency are fundamental thoughts and actions to reduce dept. Be wise to the fact that financial debt is sure to stay if it’s simply ignored. Like that mold in the basement. Our habits of spending much be changed - we must clean out the mold - with purpose and intentions to keep it away and at bay. Sleeping better at night is a bonus.

*Next week: (In)Debt Part 2: Time*

Chantel Soumis and Ginger Johnson are, among many other things, business owners and active community members. They met via LinkedIn and wanted to share some perspectives on life as they experience it, with the intent of serving others.

DISCLAIMER: neither of these fine people are financial advisers. Any actions by any reader, per this article, are solely the responsibility of the reader. Get professional money and financial advise from a suitably qualified professional - if you are seeking a financial adviser, we have a few extremely qualified, ambitious pro's in our corner that we'd be happy to send your way!

Chantel Soumis, Brand Sorceress | Speaker | Differently-Abled Advocate

Chantel Soumis is the Founder and Creative Director of Stardust Creative, a brand agency focused on embracing differences. As an advocate for the differently-abled community, Chantel spreads awareness, hope, and inspiration to those around the world fighting for acceptance by sharing the hidden struggles of differently-abled community through speaking across the globe. By administering the power of positive thinking, Chantel has overcome severe obstacles and spends a substantial portion of her time coaching others to accept and believe in themselves, and to treat one another with dignity and value, recognizing we are all brothers and sisters of the human race. Learn more at ChantelSoumis.com and LinkedIn as well as @MarcomChantel on Instagram and Twitter.

Ginger Johnson, Connector | Speaker | Author | Coach

Ginger has founded a few companies and keeps answering the doors of opportunity to change the world for the better. As an enthusiastic presenter and solutionist, getting to meet and help people connect on purpose with a service mindset is met with energetic response by audiences across the globe. Oh – she’s delivered a TEDx talk too. Both of her books are available via her websites as well – the Connectivity Canon and How To Market Beer To Women, Don’t Sell me A Pink Hammer. Learn more, preferably with a nibble and sip, at GingerJohnson.com & WomenEnjoyingBeer.com, LinkedIn, Twittering @gingerjohnson Instagram @gingertheconnector and YouTube.