From heavily in debt to debt free in 2.5 years

This is my version of my November round up.

No budget numbers, no budget amounts spent. That’ll resume for December 2008.

Here’s a quick recap of my assets and liabilities (a.k.a. my balance sheet)

MAY 2006 (when I graduated)

ASSETS: $500

$500 – Bank Account
$500 in Assets

LIABILITIES: – $59,000

– $9500 – Small University Bank Loan (TD)
– $15,000 – Larger Business School Loan (Scotia)
-$5500 – Personal Loan (Other)
– $29,000 – Government Student Loan
– $59,000 in Liabilities

MAY 2006 TOTAL NET WORTH: -$58,500

NOVEMBER 2006 – TODAY – 2.5 years later: $83,480.07


$2000 – Car of what I could sell it right now and just be done with it
$2990 – Cash in Chequing/Savings (Personal)
$26,733 – Company Earnings not taken out in Dividends (No taxes paid yet)
$32,136.78 – Accounts Receivable
$3869.31 – Expenses Receivable
$7,369.89 TD Retirement (Market Value) ($10,850.79 is my Book Value)
$8,381.09 Sunlife Retirement (Market Value) ($12,559.74 is my Book Value)
$83,480.07 (Market Value but before taxes)


No credit card debt.
No other lines of credit debt.
No student debt.
No mortgage.
No loans.
$0 in Liabilities


INCREASE ($ value) OF NET WORTH: $141,980.07 in 2.5 years


*Before August 2008 I earned $65,000 a year.

Not a small amount by any means, but I cleared everything except $15,000 in loans before I started making $110 – $130 an hour. I never used to make this kind of cash.

But I managed to clear the bulk of my loans ($44,000 worth) with a wage of $65,000 a year.

I scrimped, I saved, I budgeted, tracked expenses and I was very lucky in terms of my career, job’s benefits and flexibility especially in the market that we’re experiencing right now.

One day, I will write the whole story out in detail…. I have a post coming up on this, when I get around to writing it.

And I’ll even have pretty graphs!!

About the Author

Just a girl trying to find a balance between being a Shopaholic and a Saver. I cleared $60,000 in 18 months earning $65,000 gross/year. Now I am self-employed, and you can read more about my story here, or visit my other blog: The Everyday Minimalist.