When we talk about and think about money, it can evoke very strong emotions. Sometimes we want to avoid it altogether. Even when we earn enough for our needs, we feel like it's still not enough. In fact, 73% of Americans rank their finances as the number one cause of stress, according to a survey from the American Psychological Association (APA). Often, we feel overwhelmed and stressed. When I talk with people, rarely do they feel hope and joy in their financial situations. Today, I want to dive into some of these emotions and how they can present within the context of money addictions.

1. Spending Addiction
Many of us are familiar with the concept of spending addiction. People who suffer from this often feel the need to spend any money they get and more, usually in an attempt to feel better. This can be seen in individuals who have experienced financial abuse in the past, where they weren't allowed to spend. Once they're free to spend, it can get out of control.

For those dealing with spending addiction, it's essential to seek help and begin by creating a realistic budget. But more than that, using tools like the SMART spending method can help you make intentional choices and curb unnecessary spending. George Kamel’s SMART spending concept offers a simple yet powerful framework:

• S - Self-Awareness: Ask yourself, Is this going to add value to my life? Does it have a purpose?
• M - Motive: Consider, Am I buying this for the right reason? Is this retail therapy or an emotional purchase?
• A - Affordability: Reflect, Is this in my budget?
• R - Research: Ensure, Is this the best quality or price? Have I explored all my options?
• T - Timing: Evaluate, Is this the right time to buy this? Could it wait, considering opportunity costs and priorities?

By pausing to ask yourself these questions, you can break the cycle of impulse spending and make better financial decisions. It can also help to have an accountability partner who can talk you through purchases before you make them, ensuring that your spending aligns with your long-term goals.

Did you know? According to a 2023 study, approximately 6% of the U.S. population may struggle with compulsive buying disorder, with women being disproportionately affected.

2. Debt Addiction
Debt addiction can wreak havoc on financial health. It often looks like someone constantly opening new lines of credit—credit cards, personal loans, payday loans—and using one to pay off another. This behavior often leads to a vicious cycle of debt accumulation, poor credit, and in extreme cases, bankruptcy.

For help:

• Debtors Anonymous is a resource offering support for individuals struggling with debt addiction.
• Create a debt repayment plan and make it a priority to avoid opening new lines of credit.
• Seek financial counseling to manage and reduce debt systematically.

3. Financial Codependence
Financial codependence occurs when individuals feel compelled to give money to others, even to their own financial detriment. A person with this addiction might continually provide financial assistance to friends or family members, draining their own resources. This can lead to stress, resentment, and eventual financial ruin.

Overcoming financial codependence involves:

• Setting healthy boundaries and recognizing when financial help becomes enabling.
• Teaching financial literacy to those you help, so they can become self-sufficient.
• Work with a therapist to address the guilt or obligation associated with helping others financially.

Setting boundaries and helping others learn to manage their own finances can be incredibly empowering for both parties. For those in need, it offers hope and confidence as they gain the skills to handle their money independently. Rather than feeling helpless or dependent, they can take control of their situation and build a stronger financial future for themselves. This approach not only fosters self-reliance but also strengthens relationships, as it shows your loved ones that you believe in their ability to succeed.

4. Money Hoarding
At the other end of the spectrum from these mentioned addictions is money hoarding. This goes beyond simply saving towards goals or being wise with your money. It’s an obsession with holding onto every dollar, driven often by fear. People who hoard money may fear they will never have enough, or that financial security is always just out of reach. This fear can prevent them from spending on even small things that would bring joy or comfort. They may avoid social activities, turn down opportunities to celebrate with friends or family, or refuse to invest in experiences—all because of an overwhelming fear of future financial instability. Relationships can strain as they distance themselves from others to protect their financial resources. 

To overcome money hoarding:

• Acknowledge the fear and Create a balanced budget that allows for both security and enjoyment.
• Set aside a portion for experiences and give yourself permission to spend.
• Recognize your financial safety net and that responsible spending won’t leave you without enough.

By assigning some of your money the job of having fun, you can begin to trust that your future needs will be met without sacrificing the pleasures of today. Learning to trust your budget, will give you the confidence that you can spend and still have enough to cover your needs.

5. Deprivation Addiction
Deprivation addiction looks like intentionally living on the bare minimum, avoiding raises, promotions, or investments that could improve your financial situation. People who exhibit this behavior often feel unworthy of having more, or believe that living with less is a moral virtue.

If you struggle with deprivation addiction:

• Seek therapy to explore feelings of self-worth and address any underlying issues.
• Start small by allowing yourself to enjoy small luxuries within your means.
• Develop a mindset of abundance—recognize that you are deserving of financial comfort and security.

6. Money Hunger
On the other end of the spectrum is money hunger—an obsession with constantly seeking more income, new investments, or business opportunities. While ambition is not inherently bad, it can become problematic when it overshadows other aspects of life, like relationships or mental health.

If you find yourself consumed by the pursuit of more money:

• Evaluate your current financial situation: Often, when we take a close look, we realize we already have more than we thought. Instead of constantly seeking new income streams, ask yourself: Is there more I can do to stretch what I already have? By managing your existing resources more effectively, you may find that you’re already in a much better position than you realized, reducing the urge to always pursue more money.
• Prioritize relationships and experiences that enrich your life beyond financial success.
• Practice gratitude for your current wealth and focus on non-financial forms of richness in life.

Studies suggest that beyond a certain point, earning more money doesn’t increase happiness. In fact, research from Princeton University shows that emotional well-being plateaus at an annual income of around $75,000, depending on where you live.

Money addictions, like any other addiction, can be overwhelming and difficult to manage, but they are not impossible to overcome. Whether it’s working with a financial coach, seeking therapy, or joining a support group, there are many ways to regain control. The key is recognizing these patterns and addressing them before they damage your financial future, relationships, or mental health.

If you're struggling with any of these addictions or know someone who is, don’t hesitate to reach out to a professional therapist or to your financial coach. I’m here to help guide you to financial clarity and empowerment.​

We Did a Thing!
At the end of May, we made a long-time dream come true. For years, I've been wanting to take my kids to see the majestic Redwoods. Yet, it never seemed to become a top priority. Other opportunities and priorities for our time and money always seemed to get in the way. But earlier this year, I had an epiphany: this HAD to be the year and the last week of May HAD to be the time.

Why the urgency? Our family is rapidly growing and changing. My oldest will soon be moving into her first apartment (it's in our basement, but it's still a significant change). Our second just graduated from high school and is heading into new and time-consuming adventures in the fall. Our youngest will be starting high school. And my husband, though retired from his former company, is exploring new fulfilling work opportunities outside the home. This was our window, and I knew we had to seize it.

We had some money in our YNAB budget set aside for vacations. So, one afternoon in the midst of our crazy May, my husband and I did some research and decided that driving the 870 miles and camping would be the most affordable option. We booked the campsite and told our kids to request time off work. We were all super excited for this adventure, even our daughter who has an aversion to bugs and dirt!

The weeks leading up to the trip were packed with end-of-school-year events, finals, graduations, and navigating semi-retired life. It was a busy and stressful time, but whenever one of us mentioned the trip, we all got a hopeful look of excitement, knowing that soon we'd be relaxing in the beautiful surroundings of the Redwoods.

Folks, we were NOT disappointed! It was a dream vacation. With minimal phone reception, we had the chance to truly explore and enjoy the area and reconnect with each other without the distraction of devices. We enjoyed some amazing hikes, great food, and the peace and quiet that the area offered. We even drove our SUV through a tree!

The morning we packed up to leave, I got a little teary-eyed. This was probably the last vacation we would have like this with our family as it is now. I didn't want to leave. If you know me, hearing me say I didn't want to leave CAMPING is saying something. The word that keeps coming to mind when I think of this trip is "sacred." The place, the time, the entire experience felt sacred.

So why am I sharing this with you? Many money gurus would criticize our choice to take this trip. We don't currently have a steady family income coming in. That week was the last week we had medical insurance coverage. We don't have a solid plan yet for replacing the steady income we've enjoyed for the last 21 years. To take that time and spend that money could be seen as reckless by many financial experts. We should be saving that money. We should be using our time to find steady income. We should have our priorities aligned with what they view as important for financial success. Nope!

The best way to find true financial freedom is to ensure your spending aligns with your own priorities and values. We value our family time, so that's where we want our money to go – spending time with family. Now, I'm not advocating for the "I value a trip to Italy with my family, so I'm going to go into more debt to pay for it" philosophy. It's still crucial to avoid debt for many reasons, especially because it doesn't add to your financial freedom; it adds to your slavery. So, if it's something you truly value, save up the money, find ways to make it more affordable, and do the thing!

Taking this trip was a priority for us, and it was worth every penny. It reinforced what we value most: our time together. So, as you plan your finances, remember to prioritize what truly matters to you. Spend intentionally, and you'll find both joy and financial freedom.

​Nathan Morris said, “Every time you borrow money, you’re robbing your future self.” In the case of a looming recession, we cannot afford to rob ourselves and our families. 
Once you have your beginner emergency fund, you will want to buckle down and start paying off debt using the snowball method. What is the snowball method? Here it is in a nutshell:
1- Make a list of ALL your debt (except the house) - smallest to largest. 
2 - Find all the “extra” money you can - remember the idea of cutting your budget and finding extra income? 
3 - Pay all that extra money on the debt at the top of the list - pay just minimums on the rest. 
4 - Once that first debt is paid off, take the minimum payment and all the extra you’ve been paying to the first debt and pay it to the second. 
5 - Continue doing that - making your “snowball” bigger and bigger - until you get to the end of the list and you are consumer DEBT FREE!
So, why the snowball method? Shouldn’t I pay off the highest interest first? Many financial coaches recommend the Snowball method because it keeps you motivated. Starting with the smallest and working your way up helps you have quicker wins to keep you going. Often, when you start with the highest interest rate, it takes a long time to pay it down and motivation is lost. 
The second part of this is to avoid adding more debt to the list. With your emergency fund, you are safeguarded from further unwanted debt. Just remember, if you do have an emergency, pause the snowball and fill up your emergency fund again then get right back on track. Keeping your plan and budget in to forefront of your mind will help you avoid those temptations to borrow more for wants - couches being on sale is not an emergency. 
It’ll take time and work to get to the end of your snowball, so start now. You never know when that job could end, and not having debt payments sure will help! Next time we’ll talk about one thing you can do now to prepare for job loss... Stay tuned!

Early on in our financial journey to paying off debt and building our finical future, we had the fun opportunity to be featured in a series that CNN Money was doing on people working to pay off their debt. It made our debt pay off plans a little more exciting. All these years later, people still come across the article and mention it to us. This is the short story of how it come to be:
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After filling out a survey my husband came across one day, we were contacted and interviewed by CNN Money about our goal to pay off our debt. We were featured in a series they did called, Debt Busters. Click here to read the article.

​Nearly a year later, they reached out again to do a follow up article about where we were in our process and how we felt about our journey to debt freedom. To read that article, click here.

Things have changed since then, but we are still doing our best to be debt busters and being in control of our money.