Budgeting + Debt Payoff + AI: How I’m Doing It Differently Now

Not the old-school way. Not the shame-based way. Just real, smart, doable. After closing three businesses during the pandemic, I found myself not only emotionally drained — but financially tangled up. Loans. Credit damage. Guilt.

I had to rebuild from scratch — but this time, I wanted it to feel empowering, not punishing.
That’s where realistic budgeting, debt payoff plans, and AI tools came in.

Step 1: My New Mindset Around Budgeting

I used to think budgeting meant restriction. Now, it means freedom — and clarity. I started with two simple questions:

• What do I really need monthly to live, eat, and create space to grow?

• What small habits are silently draining me?

Then I:

• Set a monthly spending cap for non-essentials

• Switched to cash or debit only for “wants”

• Made a bare-bones essentials list and stuck to it for 30 day +

This isn’t about suffering. It’s about structure that supports you — especially when you’re rebuilding.

Step 2: Debt Payoff, My Way

No giant lump sums. Just consistent action. I chose the debt snowball method, but some use consolidation companies, some take money against their retirement / 401K — start with the smallest debt, pay it off, and then roll that payment into the next. Call creditors and see if they are willing to settle. Believe it or not most do.

Why it works:

• Fast wins build momentum - look at the small wins and enjoy the process

• Less emotional overwhelm - if your emotions wont pay debt they why sweat over it just get it done

• You actually see progress - celebrate each debt paid off with something special, why not

I also:

• Called my lenders to ask about interest rate reductions

• Moved one debt to a zero-interest balance transfer card

Step 3: AI Is My Money Sidekick

I use AI tools to help me:

• Track spending with smart apps like Rocket Money or Monarch

• Ask ChatGPT for budget-friendly recipes, free local events, or side hustle ideas

• Create debt payoff calendars and cash flow plans in minutes

• Learn how to invest slowly and safely (more on this soon)

I don’t let AI overwhelm me — I just let it simplify decisions. Even small wins feel big when you’re starting fresh.

My Quick Budget Wins

• ✅ Cancelled 3 small unused subscriptions or if you have a student at home sign up for student plans, for example hulu is $1.99 a month for a student account

• ✅ Made a weekly $50 “life cash” rule (no guilt if I use it, no stress if I don’t)

• ✅ Grocery shopped with a list — and stuck to it, dont shop while hungry and ask yourself what do you really need it or want it. I use Bobby Approved - Food Scanner (here is the link) to locate whats bad for me so i do not spend money food items that are harmful to my family health

• ✅ Prioritized peace over perfection

Final Word

This isn’t just about budgeting or debt. It’s about rebuilding your power, your confidence, and your vision for what’s next. I don’t want luxury without peace. I want smart, simple wins that build a foundation for long-term freedom.

And I want to show you — you can do this too.