From Shopaholic to Debt-Free: How One Woman Cleared £13,000 in One Year
A self-proclaimed shopaholic who accumulated £15,400 in debt through excessive spending on her new puppy and takeaways for a "dopamine hit" has successfully cleared £13,000 within twelve months using a straightforward colour-coding method. Megan Smith Evans, a 33-year-old tattoo artist from Birmingham, found herself spiralling into financial trouble during the Covid pandemic when her income disappeared but her spending habits remained unchanged.
The Spending Spiral That Led to £15,400 Debt
Megan's financial difficulties began during her university years when she normalised using her interest-free overdraft. "Going into my overdraft just felt completely normal, but really, I was in debt," she admitted. By age 19, she had obtained her first credit card and accumulated approximately £5,000 in debt during her early twenties by purchasing tattooing equipment and funding a trip to New York.
Although she cleared this initial debt while working, the Covid pandemic brought new challenges. Unable to earn an income as a tattoo artist during lockdowns, Megan secured a £10,000 loan to keep her business afloat. Matters worsened when she purchased a Cocker Spaniel puppy for £1,000 and began spending £1,000 monthly on training and food for the animal.
The Turning Point: A Costly Christmas and No-Spend January
The situation reached a critical point after Christmas 2024 when Megan had spent £2,000 on gifts using her credit cards. Facing January 2025 with hardly any tattoo appointments booked and contemplating buying food on credit, she realised something had to change.
"I had £15,000 of debt and I was thinking of buying food on my credit card. I thought, 'this is ridiculous, I need to do something about it'," Megan recalled. She decided to implement a radical no-spend January challenge, followed by a no-spend February, where she only permitted spending on absolute essentials like food and travel.
The Colour-Coded System That Transformed Her Finances
To maintain discipline, Megan created a detailed colour-coded calendar to track every penny she spent. She marked no-spend days in green, days where she spent on essentials in orange, and days where she overspent in pink. This visual system provided immediate feedback and motivation.
"I created a colour-coded calendar to track how much I spent each day, it was really motivating," she noted. Megan also established a comprehensive budget for the first time ever, using spreadsheets to monitor her exact outgoings and calculate affordable debt overpayments.
Accountability Through Social Media and Weekly Routines
Megan took her commitment further by creating a TikTok account (@MeganSmithEvans) where she shared regular updates about her debt-clearing journey. "I just thought, if I put this out in the world, I've got to do it," she explained. The positive feedback from followers who commented "well done" on her videos provided additional encouragement.
She implemented a disciplined weekly routine where every Friday she pays herself a salary from her tattoo business earnings, then allocates remaining funds to debt repayment. "Every week is different, if I've made a few thousand pounds, I'll pay off £400 worth of debt, and if I've had a less good week, I'll pay off £50," she explained.
Five Rules That Helped Clear £13,000 in Debt
Megan's successful approach to debt reduction can be summarised in five key rules:
- Go cold turkey on your credit card: Since beginning her debt-clearing journey, Megan hasn't used her credit card for a single transaction.
- Monitor every penny you spend: The colour-coded calendar provided crucial visibility into daily spending patterns.
- Set a budget for everything: Comprehensive budgeting allowed for strategic debt overpayments.
- Implement a no-spend/low-spend month: Starting with strict no-spend months created momentum.
- Share your debt journey with others: Public accountability through social media maintained motivation.
Looking Toward a Debt-Free Future
Now, a year after beginning her financial transformation, Megan has cleared £13,000 of her £15,400 debt and aims to be completely debt-free by March. She has also built up an emergency fund in case she's unable to work in the future.
Reflecting on her journey, Megan discovered an unexpected benefit: "I found that as I was paying off the debt and spending less, it was giving me that little hit of dopamine that I used to get from spending money." Her experience demonstrates that with determination, visual tracking systems, and public accountability, significant debt reduction is achievable even for self-confessed shopaholics.
