How I Paid Off $8,000 in Student Debt While Working at Starbucks

In 2021, I was a 24-year-old barista with $8,000 in debt, a nearly empty bank account, and a freezer full of expired cake pops I couldn't afford to replace. I had $6,500 in federal student loans at 4.5% interest, and $1,500 in credit card debt racking up 19% interest monthly. My bank account balance sat stubbornly at $200. Financially, I felt like I was drowning.

I wasn’t living beyond my means — I wasn’t shopping or going out every weekend. But life was expensive, and even surviving felt costly. Rent, groceries, transportation, and small treats like lattes were adding up fast. The minimum payments barely covered the interest, and that credit card was bleeding me dry at nearly $24 in interest every month — enough to feed me for a week.

So, I decided to make a change. Not a big, magical change — I didn’t win the lottery or get a high-paying job. I simply decided to face my situation head-on and build a system I could stick to.

Step 1: List Every Debt and Get Real About It

The first thing I did was sit down with a blank spreadsheet and list every single debt I owed, along with the interest rates. It looked like this:

1. Federal student loans: $6,500 at 4.5% interest

2. Credit card debt: $1,500 at 19% interest

Seeing the numbers in front of me was terrifying but necessary. That credit card debt was clearly the more dangerous one, so I chose to focus on that first.

Step 2: Increase Income Without Burning Out

At the time, I worked 25 hours a week at Starbucks. I liked the job, but it wasn’t enough to make real progress on my debt. So, I looked for ways to earn more without quitting.

Through Facebook Marketplace, I found a gig cleaning Airbnb rentals. The job paid $20 an hour, and I took on about 10 hours every Sunday. That added an extra $200 to my weekly income. I made a commitment: all of this money would go toward my credit card, every single week.

Step 3: Make Smart Lifestyle Cuts (and Hustle Perks)

I also cut back in small but important ways. For example, I stopped buying six lattes a week and started drinking the free coffee that Starbucks gives to employees during shifts. It wasn’t a huge sacrifice, but it added up over time. I still allowed myself the occasional treat — this wasn’t about punishment, but about being intentional.

Additionally, I found another creative way to make money: I sold my 30% employee discount to close friends (with my manager's permission). That earned me about $40 a month. Every bit helped.

Step 4: Attack Debt Strategically

In four months, I paid off the entire $1,500 credit card balance. The feeling was incredible — like I had taken the first big step out of a deep hole. With the high-interest debt gone, I turned my full focus to the student loans.

Using the $200 per week from Airbnb cleaning and the $40 per month from selling my discount, I started paying $840 per month toward my student loans — far more than the $65 minimum. I didn’t touch that money for anything else. If an unexpected expense came up, I found a way to handle it without cutting into my loan payments.

Step 5: Stay Consistent — Even When It Gets Tough

There were hard months. There were weeks I wanted to sleep in on Sundays or splurge on takeout. But I kept reminding myself of the goal. I didn’t want to just manage my debt — I wanted to eliminate it.

In November 2022 — just 14 months after I started — I made my final student loan payment. I was completely debt-free. In total, I saved over $1,100 in interest by paying more than the minimum and staying disciplined.

The Takeaway

There was no magic trick. No windfall. Just a clear plan, an extra job, and a commitment to follow through. I didn’t change my entire life — I added 10 hours a week, cut back on small luxuries, and used every available resource to chip away at the debt.

If you're in a similar spot, just know this: it is possible. Start small, stay consistent, and don’t be afraid to get creative with your income and spending. You don’t need a six-figure salary to become debt-free — just a solid plan and the will to stick with it.