I’m 40 And Have Lost Everything ($143K In Debt)

[Music] brought to you by the every dooll app start budgeting for free today hey guys um basically just trying to get some motivation or figure out if if or how I can start over at 40 what does starting over mean uh creating a life again getting a house getting some savings um I mean starting over sounds like there was a a rock bottom like life happened to you is there divorce did you lose everything what happened yeah basically um all the above lost my business uh due to co which left me with significant debts um that also a divorce around the same time um so the ex-wife um sold the house and took the proceeds um still trying to recover all that uh so basically 40 years old now and uh so you lost your business business you lost your marriage you lost the house and now you're going where do I go from here at 40 years old exactly yeah last three years I think I've just been surviving or trying to survive every check sort of goes out the window what have you been doing for work um I'm electrician by trade okay and is that this type of business you had during covid that's right yeah okay and so it sounds like you're starting to rebuild that or are you working for someone else now no I've I've been working for somebody else for the last few years okay is that the way you wanted it or do you want to rebuild the business um I'd like to have my business again I don't know how I I don't know how anything's possible at this point with no credit and um I'm currently whatever debt that I had you don't need credit to start a business true that's true and we're not taking out any loans to do this business so you don't have to worry about any of that so let's walk through some of the numbers here because I think when we are deep in the throws of grief and loss and feelings and emotions sometimes the facts just help us go okay it's not as bad as we think and you're 40 you're not 70 and so you've got a lot of time to build a whole new life and create a new chapter for Matthew and I'm excited about that so tell us some of the numbers um well I make about 80 to 90 a year not bad that's pretty great okay how much debt debt I had 116,000 from the business and some personal debt that was wrapped up now in a consumer proposal so I'm I have to pay back I think 27,000 now on top of the 116 no the it so it's like a debt um consolidation yeah done so they the creditors agree on Lower amounts so it was all agreed to about 27,000 in total that I actually have to pay back okay um so the 116 the 27,000 anything else um not that I'm aware of nope and where are you living there in Canada by mean are you renting a house right now or an apartment oh yeah renting okay now when you said business debt is that on credit cards or is it on a personal loan they they were suppliers uh for my company and they called on their all the stuff that was owed and the company didn't have play I had personal guarantees on on those things so it turned into personal debt um so okay so you're making 990,000 that's not bad for a single guy um are you using a budget or are you just kind of working out the numbers in your head every month yeah know I just in my head it's basically I the bank has this automatic thing where it sort of puts money into a small little savings account automatically but I always find that I have to dip into that survive how much money do you have to your name right now in savings or in your checking account uh savings none uh checking probably like 100 bucks for groceries the next two weeks okay are you doing any investing right now no okay okay good so what I think my guess is and I don't know we can ask you the payments I mean for the 116 and for the 27,000 what is that in payments every month the 460 460 total yeah okay and what's your rent or I'm I'm assuming you're renting 600 yeah okay so what that tells me is there's a lot of money somewhere that's I don't know where it's going only you know where it's going but I have a feeling if you were yeah I have wage garnishment for child support much they take they take 1,800 every month okay we're still not quite there um so now you've outlined about $2,800 a month that you're spending is there anything other major that I should know out um not really just the standard uh vehicle I don't pay anything for my vehicle um I have my insurance for the vehicle is $460 a month as well okay and then I have fuel on top of that okay I have a feeling if you were to plug all of these numbers into an every dollar budget you'd find that there is margin there it's just a matter of being intentional with what we do with it cuz in this case uh I mean the only way out of this is to start paying off the debt and you can start side hustling you can start picking up other clients the good thing about your trade is I don't think anything's stopping you from going out and getting other clients to say okay I can help you with your yeah what's the agreement with your employer for you doing electrician work uh they're fine with it I I don't have a a proper vehicle I can't even call any tools around or material right now I they've been talking about um getting the truck and then if I get a truck I can obviously go and do some service calls and side work and they're fine with that okay that's what I'm wondering if you pick that up even in your own neighborhood and outside of that and start kind of marketing it you know Facebook groups uh Word of Mouth you name it and say hey I'm available here's my rate it's 675 an hour for me to do electric work here's the kind of stuff I do I think you'd pick up some business right there and start making six figures cuz the key here Matthew is margin only way to get it is to spend less and or make more and I suggest you do both with the m of De ahead of you but think about this if you can throw you know Grand a month that's 36 Grand this thing's done in three or four years okay now what what if we could do four grand a month toward the debt well we're going to shave off some time so my goal for you would be to figure out what you need to do to get this debt paid off in less than three years yeah what hey what were you making in your Heyday when you were doing your own business before covid I was paying myself with the family um I was taking home I think 20,000 a year okay here's the thing you're not too far away from that and that's the same guy right like the same Matthew that did that then is the same Matthew that can do that today you're just a little older and truly just a little bit wiser so there's no reason that you can't get you know back into the game Co was such a random probably never ever going to happen in our Again In Our Lifetime again thing and I kind of feel like it just knocked you out but you're down but you're not out you just need to go you know what I've done this before I can do it again hope well all hope I guess I I just see I see my bank like zeroing it every month for the last we're going to change that get a thousand bucks saved savings you know and I had a bankruptcy uh years ago when I was younger for medical reasons and now when that happened um they garnished stuff they went into my bank account They seized assets Matthew you have been through it man but I want to tell you this is a comma not a coma so you can't let it hold you back you got to get back up and just do this thing and that means getting to work create your free every dooll budget today the simplest way to budget for your life