I'm following your plan and trying to get out of debt. Should you have a "blow money" category in your budget before your debt is paid off?
You bet! The key is to make that category very, very small. You shouldn't run around spending money on all kinds of fun stuff when you're trying to get out of debt. I want you to be really focused - gazelle intense - when it comes to getting out of debt. If you reach this level of intensity, there's naturally going to be less wiggle room in your budget, because you'll be squeezing out every dime you can find to kill the debt!
Keep in mind that I'm not saying you can't have any fun at all when you're getting out of debt. But keep that category very small. We're talking about extreme sacrifice for a short period of time. I know it can be tough, but trust me - it's worth it!