How MyBudget Helped Michelle and Phil Pay Off $40,000 in Debt

Good income but constant money stress? Michelle and Phil were living paycheck to paycheck despite earning well. Here is how they paid off $40,000 in debt, renovated their home, took the holidays they wanted — and why they are still clients more than ten years later.

Life before MyBudget

Michelle and Phil knew they had good incomes. Managing them felt like an endless struggle anyway.

"We had plenty of money but were always robbing Peter to pay Paul. It was a constant juggle. We couldn't see beyond a fortnight." — Michelle

The debt had accumulated across multiple credit cards totalling $12,000, personal loans, a car loan and a university debt — $40,000 in total, which felt insurmountable.

"I was constantly worried every time the phone rang that it was another creditor wanting money we couldn't pay." — Michelle

Phil worked long hours. Michelle bore the brunt of the calls, and the stress.

What changed

From the moment they signed up and had a personal budgeting consultation, the relief was immediate. MyBudget took over the creditor negotiations and achieved successful outcomes, implemented a budgeting formula and savings plan tailored to their situation, and gave them a clear plan that handled the debt while working toward their longer-term goals.

The biggest relief, they both agree, was no longer having to worry about money.

It was not effortless. Michelle, who loves to shop, admits that sticking to a weekly allowance was hard at first. She stayed focused on the longer goals: becoming debt-free, renovating their home, and giving their family a secure financial future.

"MyBudget's process gave us peace of mind. It's not about whether you can afford something, it's about knowing there's a plan, and the money will be there when you need it." — Phil

Within two years they had paid off their largest credit card and were well on the way to renovating their dream kitchen.

What they have achieved since

• Paid off $12,000 in credit card debt and $40,000 of debt in total
• Renovated their entire home, starting with the kitchen in the first year
• Budgeted for holidays including two cruises and a trip to Europe
• Helped their children with unexpected expenses, and gifted a car

Why they say it was worth it

"Yes, it's a service, and you have to pay for it, but it's worth every cent. If you're struggling, there's no shame in asking for help. MyBudget turned things around for us." — Michelle

"Being able to help our kids when they need it most is priceless. That's what financial freedom really means to us." — Phil

For Michelle and Phil, financial freedom was never really about the numbers. It was about opportunities and peace of mind.

A note on results

This is one couple's experience, shared with permission. Results depend on your income, your debts and your circumstances, and are not a prediction of what any other household will achieve.

Important information

This article is general information only and does not take your personal circumstances into account. MyBudget is a budgeting and money management service and is not a licensed financial adviser.

Free, independent and confidential financial counselling is available from the National Debt Helpline on 1800 007 007.

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