Real Stories Episode 25: Katie’s Story Continues – The Journey to Financial Wellness is Never a Straight Line

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In today’s episode, we’re going to check in with our very first guest. I originally talked to Katie in December 2018. First, we’ll play some highlights of that original interview (↗). Then, we’ll go to a recent conversation with her. Katie’s story is a good reminder that the journey to financial wellness is never a straight line. Katie has and continues to face obstacles, like an unexpected trip after a relative passed away or an income reduction caused by the pandemic. But she has put herself in a better position to navigate these obstacles.

She also gives some practical tips about how she and her husband took control of their budget and her approach to saving and credit cards.

Key Moments

2:00 Katie describes how she originally got into credit card debt in college.

3:47 Her loneliness and depression as a new mom manifest as a shopping addiction.

6:22 Her second child’s medical issues affect her ability to work.

8:12 She goes through a divorce and soon thereafter starts a Debt Management Program.

12:53 Back to the present day, she uses a credit card for a family emergency, but this time, she has a clear plan to pay it down.

14:42 She is thankful that she can fall back on her savings to cover expenses related to legal fees for her custody case.

16:35 When her rent goes up significantly, she is confident that her budget can support this.

18:12 Her car needs to be replaced, but increased awareness of her finances makes it easier to take on this larger expense.

20:23 She loses one of her household’s income sources during the pandemic but knowing her budget numbers allows them to adjust accordingly.

25:00 Katie’s journey with money guides how she creates learning experiences for our audience.

Practical Tips

29:52 Katie talks about her approach using a shared note with her husband on their smartphones to better manage their budget.

32:36 She discusses why she does manual transfers to savings to allow her more control as unexpected expenses arise.

33:57 She devises a creative strategy to set aside funds for her son’s celebration.

35:35 She mostly avoids credit cards but when she does use one, she ensures it is always paid off in full automatically.