Took money from my Cash Savings, went into my Bank and paid off my Personal Loan - the last debt I have - I don't owe anybody anything - well apart from monthly payments like mobile phone and Internet but they're not really debt in that I can cancel if I wish.

So... yes... DEBT FREE !!!!!!!!

Note: I am not a home-owner so I don't have a mortgage. I am happily renting a room. I don't WANT to buy a house - in that it's not something that I feel will make me happy, excite me etc etc. Also I'm not 100% certain where I will be living in the next 3, 4 or 5 years and I really cherish my independence and freedom.

So my salary is totally mine at last. My effort is mine.

My Debt-Free Budget looks as follows:

32% into secure Cash Savings (Target 50,000).
10% into Retirement Account for the tax relief.
8% into Shares of my Employer (don't pay Income Tax).

50% - everything else - rent, bills, food, holidays, buying anything and everything. I'm going to put any overtime or any other money that comes my way into this "Spending" side of the budget so that I can treat myself from time to time. Life is for living right ? :-)

But of my basic Work Salary, 50% is to Savings of some sort and 50% is to Spending which I'm pretty happy with as a Single person on an average industrial income.

I feel like I've arrived at the Start Line of the Marathon as opposed to having finished at - as Financial Independence is still a long way away - but at least I'm heading in the right direction !! :-)

"Love Life and Life will Love you back"

I read these words about 10 days ago and still havn't fully processed them yet..... so simple, so powerful and so true.