About Me

Hi, I’m Ava – welcome to my personal finance and lifestyle blog!

Full disclosure: I’m blogging under a fake name. The main reason for this is I’ll be talking about very personal, sensitive topics about my life and my family. I would need to sensor much of what I post if I wasn’t posting anonymously.

I’m a 31 year old Consultant. I have an undergrad in business, and an MBA in Finance.

My husband and I live in the state of Nevada. We got married and bought a house last year, where we live with our doggie baby.

I created this blog as a way to hold myself accountable by documenting the process of paying down debt, earning more money, saving and investing more.

On my blog, I’ll talk a bit about my background, my childhood, how I came to owe 160k in student loans by age 25. I’ll also detail my short term plan for paying off all of my debt in 18 months, and then my long term goal of investing/saving aggressively and retiring at 45.

Before you judge me for the outrageous loan amount I accrued, let me explain how I got to that point.

My story is pretty unusual; only close friends know the full details of my background, mainly because it’s hard to believe and I worry people who don’t know me well will think I’m making it up.

My childhood:

I’m a US citizen, but up until 16 I had never been to the US.

I was born overseas into a fundamentalist religious cult called the Children of God (also known as the Family of Love, and now as the Family International), and spent the first 16 years of my life living in over 10 different countries, and traveling through almost 20.

During this time, my parents and other cult members tried to spread the group’s weird version of Christianity to the world.

The group was founded in 1976, and initially spread a message of salvation, apocalypticism, spiritual “revolution” and happiness, as well as extreme distrust of the outside world, which members called “the System”.

The group tried hard to publicly pass themselves off as an active missionary movement. During its first decade, many members left the US to establish mission posts (i.e. communes) in countries around the world.

By 1977, there were almost 800 communes in 73 countries. By the end of ’77, members had distributed over 3 million pieces of cult propaganda, and recruited tens of thousands of new members.

Women within the group (including my mom), were made to take part of a type of evangelism called “Flirty Fishing”. It was basically a form of prostitution where the women were required to use sex as a way of winning new converts.

As you can imagine, this environment was not at all conducive to raising kids.

Life in the cult:

My childhood and that of my 6 siblings was extremely difficult. We lived in abject poverty in communes around the world, and grew up in an extremely restrictive and abusive environment.

I mean this when I say beatings, exorcisms, starvation as punishment, and sexual abuse were everyday events.

The level of abuse depended greatly on the geographical location of the commune, as well as what kind of caretaker was assigned. Those who grew up in Asia, like me, had it far worse than a kid from one of the communes in California, for example.

I barely saw my parents, which was normal in the cult. We were separated into groups by age and placed with an assigned caretaker. Kids were often sent to live in different homes away from the parent, sometimes in different countries.

My mom was a very high profile, senior leader in the group, and was too busy traveling to pay us much attention. On a good week, we saw her every Sunday for “Family Day”. Sometimes we went months without seeing or hearing from her.

She never perpetrated any abuse, but she never stepped in to stop it. She stayed with my dad for years even after realizing how horrible he was to us, and other kids. She’s still in the cult.

My first memory of my dad was pure terror. I was 3 at the time, and I was told he would be coming home later in the evening from a long trip away. I didn’t remember what he looked like or why I was afraid of him, because I hadn’t seen him in almost a year. I just knew he was dangerous, and to stay away.

I learned at a young age to carefully avoid any male above 18 in the group. I gravitated to the ‘safe’ individuals – usually women, the ones who had joined the group innocently at a young age, and were too dependent to leave.

Most of us had zero formal education, and limited connection to relatives or people outside the group. We were required to memorize Bible verses and read the group founders’ writings for hours and hours a day. This brainwashing took the place of formal education, and was how most of us learned to read/write.

Instead of being in school or enjoying our childhood, our days were usually spent cleaning, cooking, doing laundry and other chores for the group members. We also spent hours every day proselytizing for the group to spread the religion, as well as going door-to-door asking for donations (i.e. begging for money) from businesses or homeowners.

No one in the group worked for their money: they survived off of donations that people sent, many of whom falsely believed that group members were Christian missionaries doing humanitarian projects around the world.

There were harsh punishments and frequent beatings from adults if we didn’t do as we were told. There was an unusually high occurrence of child abuse within the group. Not every adult was abusive, but many were.

The group was investigated multiple times for child abuse by Child Services in numerous countries, as well as by the FBI and eventually Interpol. We were constantly moving countries and houses to avoid the “anti-christ authorities”.

Group members, including my parents, referred to these investigations as “religious persecution”. All of us kids were trained on how to react and what to say if anyone asked what our life inside the group was like.

Leaving the cult:

I stayed in the group up until about 14, when shortly after my birthday my brother died unexpectedly and tragically. My brother was my best friend in the world, and his death was devastating to me. To this day his death and the truly insane circumstances leading up to it are all still very hard to talk about.

I had already privately stopped believing in God and any of the group’s teachings at about age 6. But after my brother died, I openly rebelled against the restrictive environment, oppressive group leadership, my abusive parents, and the neglect we all suffered as kids.

I was furious at the cult and packed up my few things and moved out to live with a close friend my age, who also had a rebellious, independent streak.

I lived with my friend for almost 2 years.

I didn’t attend school, of course, but worked several jobs to pay for living expenses as well as to raise enough money for a one-way plane ticket back to the US.

Even at that age, I knew I wouldn’t get far without an education. I wanted to save enough money to move to the US and go to school.

Looking back, I get goosebumps thinking of myself as a naïve 14 year old girl, on my own for 2 years in a 3rd world country, without any adult guidance or supervision.

From the places I traveled to the ‘friends’ I hung out with – hardly any of it was appropriate for a child. I’m extraordinarily lucky I didn’t end up with a similar fate as my brother.

I didn’t have much contact with the group or my parents for those 2 years. Leaving the group meant I was a “spiritual outsider”, and I was viewed with a mix of distrust and disdain.

Life after the cult:

I have an older sister who by all accounts saved my life. She is the reason why I’m a well-adjusted (sorta!), and successful adult after everything I went through as a kid.

She had left the group several years before, moved back to the US, and was working 2 jobs to make ends meet while trying to get her GED.

It was because of her that I when I moved to the US at 16, I had a safe place to live while I went to high school.

She also motivated me to apply for and go to college, no matter what the cost. She was the reason I was able to get an education and drastically improve my quality of life.

Moving to the US on my own was a very isolating and scary experience on the one hand, but on the other, I was SOOOO elated to be free of the cult!

I imagined myself in 10 – 15 years as a successful and happy adult. I could not wait to get to that point in my life, no matter how difficult.

Getting through High School:

I knew nothing about personal finance when I left the group at 14. By the time I moved to the US at 16, I was used to working, paying for all of my living expenses, budgeting, and living frugally.

Right away after moving to the US, I got two minimum wage jobs to make ends meet. I somehow also managed to enroll in high school even though I had no proof of having ever gone to school.

High school was hard at first. I tested into Honors English, but I had to start over in every other subject. Eventually, I excelled in school. made friends, and joined lots of clubs. I tried to be a normal teenager, and didn’t tell anyone (not even close friends or teachers) about my background.

I blended in fairly well, aside from the fact that my friends and teachers thought it was pretty odd that I had lived abroad all my life, that my family lived in a country halfway across the world, that I lived with my sister who was still a teenager herself, and that I worked SO much outside of school.

I worked around the clock in high school to pay for basic living expenses, health and dental insurance, a cell phone, and phone cards to call my siblings. I was also trying to save up money to learn how to drive, buy my first car, and for college applications.

I worked as hard as I could academically to cram many years of missed education into 2 years of school. Somehow I graduated 5th in my class, with Honors.

Attending University: Hello Student Loans!

My sister encouraged me to apply for college. Neither of us were sure how I was going to pay for it since I would be the first one in my family to attend.

It was important for me to not attend community college. I was under the impression that my education wouldn’t be worth much if I did so. Looking back, I can appreciate what a big mistake that was. For someone like myself with ZERO money or parental support, community college would have been the smart choice financially.

I applied to expensive private universities because I mistakenly though the education would be superior and would translate into a high paying salary.

The school I chose to attend had an annual cost between 25-30k.

I chose to live on campus for all 4 years. I couldn’t live with my sister anymore, and I wanted to make friends since I had no other support system.

To this day, I could just kick myself looking back on the financial impact of the choices. I really had no idea what I was getting into!

Since my parents did not pay taxes while living abroad, I had no proof of our low income. Since I was still technically a dependent at 18, I only qualified for high interest private loans.

(Note: there is a difference between qualifying as a dependent for tax purposes vs. for federal financial aid awards. While I worked and filed my own taxes at 18, I was still categorized as a dependent in my financial aid award. See the difference between a dependent vs. independent student: https://www.fastweb.com/financial-aid/articles/federal-financial-aid-and-the-independent-student)

I got two jobs to cover living expenses and books, but even while working 30+ hour weeks in school, I graduated with 75k in student loan debt. The fact that my private student loans were all unsubsidized certainly didn’t help.

Grad School: Even More Debt!

I graduated in 2008 at the height of the financial crisis.

Jobs were scarce, and I was also convinced that my long term career prospects were grim with just an undergraduate degree. I was sure that the entry level salary I commanded at 35k would never be enough for me to live on, and to pay off my hefty student loans.

Of course, my solution for this was to go back to school and rack up even more student loan debt!

I went on to get an MBA in Finance, also at an expensive private university. While in school, I made another big mistake of deferring the interest payments. Because my loans were unsubsidized and private, I continued to rack up staggering amounts of accrued interest.

Even though I worked almost full time in college and through grad school, by the time I finished school I had 140k in student loans.

On the one hand, I was extraordinarily proud of myself for graduating with both my undergrad and masters, coming from a background with almost no education.

On the other hand, I was terrified that I would never pay off this crushing debt.

But wait, there’s more!

All through school, I drove beat-up cars. No joke, in grad school I bought a car for 250 bucks off craigslist. It amazingly lasted for over a year, but I did keep AAA on speed dial. The stupid thing was always breaking down on my way to class or work.

I decided after graduation that no one would take me seriously unless I drove a newer vehicle. I went out and financed a brand new 20k car. At the time, I was pretty pleased with myself, thinking I had made a wise investment.

So at 25, I had managed to rack up 160k in debt. My heart still stops a beat just thinking about it.

Living with 6 Figure Debt:

Fast forward about 5 years later, and I’m now a successful consultant. The car is paid off, however, I still have 111k worth of high interest student loans.

My goal is to pay off ALL of my debt by the end of 2018.

Living with a mortgage sized amount of student loan debt has been an overwhelming experience.

At times, it’s been an emotional nightmare that I would never wish on my worst enemy. I’m determined to get rid of this debt once and for all, and to do it in 18 months or less.

Over the past 5 years, I’ve read every personal finance book, article and blog I can get my hands on. My relationship with money has changed. I am far wiser now when it comes to living frugally, avoiding debt, saving and investing.

Looking back, there are many things that I could have done to avoid getting into this kind of debt.

  • I could have gone to community college for 2 years
  • I could have applied to much less expensive schools, and not lived on campus
  • I could have made it a priority to look for schools that offered more scholarships and student aid
  • I could have worked full time, and attended school at nights part-time
  • I could have paid interest accrued on the loans while in school
  • I could have delayed grad school till I found an employer that would pay for my Masters
  • In hindsight, I could have legally emancipated myself at 16 from my parents. I would have then been considered an independent, and qualified for tons more aid options.
  • I could have made it an absolute priority to learn as much about personal finance as I could.

Even with all the mistakes I’ve made, I’m incredibly proud of what I’ve achieved financially so far.

  • I got the education I wanted!
  • I have my own house, which will be paid off in 14 years
  • I earn a decent six figure salary
  • I’m slated to pay off all my student loans in 18 months
  • Most importantly, I’m able to help my siblings out financially while they transition from the cult, or while they cannot help themselves.

My dream is for all of my brothers & sisters to finish college, be 100% free of the cult, and live independent, happy, successful lives.

My short term goals for the next 18 months include:
  • Paying off ALL of my student loan debt
  • Increasing my emergency fund from 6 months of expenses to 8
  • Maxing out my 401k for 2017 and 2018
  • Continuing to pay down the mortgage at a 15 year payment rate
My goals for the next 14 years include:
  • Saving between 50-70% of income after tax
  • Reach a net worth of 500k by 35 (in 4 years). This is total investments and cash plus equity minus the mortgage.
  • Reach a net worth of 1.8 million by 40.
  • Reach a net worth of 4 million (including the value of the paid off house) by 45.
My long term (after age 45 goals) include:
  • Retire and live on 3% of the passive income which my portfolio generates each year.
  • Start a foundation to help kids who are transitioning on their own from a cult, or even an extremely restrictive religious environment. My goal is to provide a support system and financial help until they can get on their feet.
  • Travel the world!
  • Never worry about money again ;o)

Although I grew up under very grim circumstances and suffered quite a bit as a kid, I was able to achieve my dream of getting an education and forging a successful career for myself.

The next step is to pay off the debt as fast as possible, and start saving for an even better future!

~Ava

P.s. I really love reading financial and lifestyle blogs, and I could waste hours reading comments and discussions from other people. If you’ve read this far and you have a blog, leave a comment so I can check it out and follow you :o)

 

20 thoughts on “About Me

  1. Thank you for having the courage to tell your story. Your ability to transform your own suffering is beyond admirable.

    The world is so fortunate that you’re now using your experience to help others transition out of oppressive environments.

  2. Very impressive life story Ava. Turns out that the student loan mistakes you made are not specific to someone of your background. Even normal people who grow up in the US make the same mistakes as well. There’s a reason why the total student debt in this country is over a trillion dollars.

    Regarding your future goals, I’m curious to learn how realistic you think it is to hit a net worth of 500k before 35 (i.e. in 4 years)? What’s your current net worth right now? I’m assuming it’s still negative? Because you still have pending student loans and a mortgage, that goal sounds fairly challenging and ambitious. Even at a hyper-aggressive 70% savings rate, and assuming you make between $100-200k, you would probably need to save more than $100k a year to hit that number? Would love to see a post outlining your plan for this goal so others (including myself) can learn from your unusual financial savvy.

    Do check out our life story at https://frugalhackers.com. We graduated with ~$0 in student loans because we went to school in Canada where education is heavily subsidized. We’re constantly surprised how few Americans exploit this strategy. We’re not trying to brag or rub it in your face, but simply trying to inspire the new generation of young students (kids who are 18-20) on how much better life can be if you don’t get into the whole student loan debt trap. Having been in that position yourself, I’m sure you would appreciate how much more ahead in life you would be had you not been bogged down by $150k in student loans.

    1. Good question.

      I do plan on breaking down the details in a future post.

      I assure you there’s NO increased financial savvy compared to the next person – it’s just matter of having a high salary vs. expenses ;o)

      I’m married, and my husband and I track our net worth together. The 4 million is what we’ll have when hitting 45 to retire on.

      I realized that is not clear at all from my post, and I should revise that to clarify!

      Obviously, if we aren’t together once we hit 45, that number would be far lower.

      Income:
      • Our combined compensation from work (base and bonus) is 257.5k.
      • I’ve also started consulting on the side to the tune of about 36k per year. I’m trying to encourage my husband to start doing the same so we can bring in even more side income.
      • Infrequent Airbnb rentals in our house bring in another 10k of income per year. We could increase this, although my husband is not a fan of Airbnb at all, so unlikely at this point.
      • At work I’m also eligible for SPIFF awards, which could range from 5k per year to up to 20k, depending on how aggressively I compete for them.
      • I am eligible for stock awards as well, although our company is steering away from that.
      • Both my husband and I also get 401k matches from our employer to the tune of several thousand.

      We are easily OVER 300k in income per year combined counting our consulting income, SPIFFs, Airbnb income, stock awards and 401 matches.

      Once our debt is paid off, our spending is low enough that we’ll be able to easily put 65% of our after tax income on investments. I think we could increase that to about 70% without too much pain.

      We’re both passive investors and favor index funds (I like Vanguard) over active investing. I personally favor Total Stock Market Index Funds.

      On top of this, we also have a 15 year mortgage at a 2.5% interest rate (14 years left). I’d like to pay this off in 10 years, although it makes sense to funnel that additional money into a VTSAX account instead.

      Hope that clarifies. I’m looking forward to posting details in a future post.

      Also, very jealous about your subsidized education in Cananda!

      1. Thank you for the very detailed response Ava! It’s great seeing how much in the same boat your family and mine are in. We’re roughly in the same age range as you guys, and both of us are roughly making the same per year, which is around $300k. Our biggest problem is that $300k easily becomes $200k after taxes (since it’s regular earned income). We save and invest about $130-$140k of that $200 (65-70%) per year which is probably similar to what you guys are currently doing. We also only do index funds. We have no individual stock holdings or mutual funds at this time.

        It’s unfortunate that your husband hates Airbnb. It’s such a lucrative platform! Mind if I ask which city/region you live in currently with your husband? That will help shed some light on your current expense situation.

        Keep up the great work, and hopefully we can meet one day to exchange war stories!

        1. That’s so interesting! I checked out your blog and you have some excellent tips around reaching FIRE early – love it :o)

          I hear you about the pain of high taxes. Our accountant does a pretty good job looking for efficiencies, but we still pay a hefty amount.

          We’re based in Nevada. The cost of living is decently low, and definitely helps with minimizing expenses.

          UGH – don’t get me started about the Airbnb situation! Lol – my husband hates having strangers in the house overnight, no matter how carefully we screen them.

          We only rent about 1x per week. I cry a little on the inside every time we turn down a potential renter ;o)

  3. Thank you for sharing your story! It takes a lot of courage and determination to leave such an abusive environment at a young age, any age really. It is reassuring that you and your sister managed to get out and that you are now looking for ways to help others. I have the utmost respect for you and how you manged turn your live around. Best of luck with your foundation! What a wonderful way to use financial freedom to help others!

    1. Thank you so much!! I really appreciate the kind words.

      I love the Humanist premise of your personal finance blog, btw! AND huge congrats on reaching FIRE. I’ll have to live vicariously through you for the next 14 years ;o)

      1. Thank you, Ava! You will probably get there a lot faster than 14 years!
        I know, you wanted to stay anonymous, but if you ever change your mind, I am sure the Humanist Society of Greater Phoenix would love to have you as a speaker.
        Please reach out to the HSGP program director (or myself and I’ll put you in touch) if you ever consider telling your story in person!

  4. Wow. I’m glad to hear you made it out and have gotten your life together. Don’t beat yourself up too much over the education financing. You did the best you could with the information you had. Hindsight is always 20/20 and it sounds like you still have a bright future.

    I’m glad to see you cast off the shackles of religion too. Far too many people think you can only be a good person if you cow-tow to some invisible spirit and act like that’s normal. That is most certainly not the case as you have demonstrated. I’m glad to hear you are trying to help your siblings get on their feat.

    1. Thanks so much, Mies!

      Agreed – I try not to beat myself up over mistakes. But I do want to talk openly about them in case it helps someone else in a similar spot avoid the same financial pitfalls.

      Yeah, I’m an atheist but I’m not the kind who tries to convert other people to my point of view. That feels a little too resonant of my ‘fake missionary’ childhood ;o) To each their own!

  5. What an awesome article! We grew up in very different circumstances, but sounds like we made very similar money mistakes with regards to student loans! I wish I could go back in time and yell at my 17 year old self before I made such a big decision, that would impact me for so long!!

    Your story is very encouraging!

    1. Haha, I wish I could do the same to my 17 year old self! Hindsight is 20/20.

      The student loan industry really is predatory though. I also have friends that grew up under different circumstances, and still were completely taken advantage by private loan lenders. It was combination of being young and naïve, and just not having the right information on options and impact – similar to me!

      Sigh :o(

      The only upside to my own predicament is that I can help my siblings avoid the same situation. My little sister is in her 3rd year of college, and I pushed her REALLY hard to avoid all the mistakes I made. She’ll be graduating almost debt free, which is an incredible feeling.

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