If you go to school in the
United States, you KNOW about student loans. If you dare go to graduate school
in this country, you Definitely KNOW about student loans. You pay all this
money, get a certificate, then sit around and ponder how to pay it all back. In
20 years? In 10 years? In 7 months?
It's possible. That's what Harvard Business School graduate Joe Mihalic has
proven. Here's the story in short hand.
Joe Mihalic
graduated from Harvard Business School in 2009 with his M.B.A at 26. He got a
good job at Dell in Austin Texas and was doing so well, he could afford a nice
house, two cars, and a motorcycle. Except he had $101,000 in student debt.
By mid 2011, he
had paid over $22,000 towards his debt but still had over $90,000 because of
interest (its a demon, that thing). Shocked, and realizing if he didn't get
proactive, he would be paying this debt off for 10 years, he decided to commit
to paying off the loan in 8 months by any means necessary.
His two objectives were; (1)
Increase Revenue. (2) Reduce Expenses.
Towards the
first objective, he sold a car, motorcycle, roadbike, drove a pedicab and
started a weekend landscaping business with his buddy. Towards his second
objective, he stopped contributing to his 401k, didn't go home for
Christmas, brought a flask with liquor to bars where he'd order a Coke, didn't
buy any clothing, used duct tape to repair his car, and found two roommates,
among other such sacrifices.
For more
motivation, he chronicled his experience on a blog, "No More Harvard Debt," where
he described each challenge and moment of self-doubt.
On March 29, 2012, he made
his last loan payment. Now he's debt free. He was also lucky...rather blessed
to not experience any major disasters during his commitment period, he is
single, doesn't have a child and lives in texas which is pretty low cost in
living.
Wow.
I don't know about you. but
this is hell (or heaven) of inspiring. Congrats to him.
Lessons Learned:
1. If you commit to something
and put your mind to it, you can make it happen.
2. Discipline & Sacrifice "pays off" (Literally!)
Here's the video
he made about his journey;
Stay Inspired...
2 comments:
Great post. I have a lot less debt and I will be debt free by the end of this year if not sooner but Gods grace. I will plan and pray He blesses my plans!
AMEN! If he can do it, you CAN as well. Good luck!
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