Like many of her graduate-school friends, social worker Emily Anderson, 29, used to joke that college debt would be with her until she died.
But a news report about another Denver graduate who saved $18,000 in a year to pay off college loans inspired Anderson to challenge her thinking about her financial future.
In January, Anderson embarked on a year-long spending fast to aggressively pay off her own student loan debt, focusing first on the highest-interest loan, totaling about $33,000. Paring down her bills and using money only on necessities helped Anderson reach a milestone this month: she has paid off more than $10,000 in college debt.
Cutting out entertaining, avoiding impulse purchases, shopping at thrift stores and blogging about her successes and failures while receiving feedback keep her accountable. Her efforts also won her notice: The Denver Public Libary learned of her debt-busting habits and is having her speak next week.
“My boyfriend (now fiance) and I talked about how my debt would affect him if we got married,” Anderson says. “I wanted to eventually own a home. But I had to get some things under control in my life and take some responsibility.”
Anderson’s plan allows her to see and take advantage of savings others might miss, says Chris Loffelmacher, director of Fresh City Life, which offers programs at the Denver Public Library. “In her blog, she wrote about getting a $10 credit at Jimmy John’s because she was the only one who picked up a card with the deal when others passed right by it,” he says.
Confessing slip-ups on her blog , and routinely tweaking her “Rules to Live By” keeps her focused. And she plans to continue her thrifty ways.
“I feel so much guilt now when I make a frivolous purchase because I’ve made this public commitment,” says Anderson, a community mental health worker at the Jefferson Center for Mental Health.
A major hurdle for Anderson was her tendency to rationalize purchases. Once, she told herself that if she bought a special pair of scissors, she would save money by handcrafting gifts. But she made only a few cards.
One proud moment: walking out of a Kohl’s department store on her birthday with $100 worth of clothing that she paid only 9 cents for, thanks to gift cards and sharing a 30 percent-off coupon with a pal.
Other triumphs include packing her lunch. In the past nine months she’s eaten lunch out only twice, when she mistakenly thought a work seminar would provide food.
She found small changes that added up to big savings. Line-drying clothing saves $10 a month, while turning off lights and unplugging unused appliances saved $22 a month.
She’s even stayed on budget for planning her wedding next month by picking a $100 gown, wearing her great, great aunt’s diamond engagement ring and choosing a venue in Las Vegas where essentials like flowers are included.
She says she spent less than $10 on invitations, after finding 300 blank wedding invites at a thrift store. “They don’t all match, but I don’t assume anyone’s going to be comparing. This is about knowing what I can do myself that’s reasonable and cheap.”
Sheba R. Wheeler: 303-954-1283 or swheeler@denverpost.com
If you go
Emily Anderson will be the keynote speaker at “Going on a Spending Fast,” a free presentation hosted by Denver Public Library’s Fresh City Life. Tuesday, 6:30-8 p.m. Central Library, Vida Ellison Gallery, Level 7. 10 W. 14th Avenue Parkway;
