TOP 5 STRATEGIES TO PAY OFF DEBT AND HAVE FINANCIAL FREEDOM
Are you tired of wondering where your money went at the end of the month? Do you want to get out of debt & make your money work for you? Then you have come to the right place. My husband and I paid off around $70,000 in 2 years. It was no easy task and it didn’t happen by doing more of the same. If you are interested in learning more click here where I share my top 5 ways to gain financial freedom […]
Here are my top 5 strategies to pay off debt and have confidence in your financial future
1. Create a monthly written budget. Write down every single expense. You need to see how much money is coming in each month and how much is going out. This can be a huge eye opener. You may find that you have too many expenses and/or you have an income problem.
2. Cut out anything that is non-essential. This may not be forever but just until your debt is gone (yes, student loans and car loans are debt). For example, eating out, cable, subscriptions to random services, getting your pedicures & manicures, ect. Any extra penny you have you want to go towards your debt. This is not going to be easy because you are going to have to change your lifestyle. However, let’s do this as fast as possible so that you can see progress and start making your money work for you.
3. Pay with cash whenever possible. When money leaves our hands our brains respond differently than when swiping a card. The pain centers in our brain are activated when cash leaves our hands.
4. Surround yourself with people that have similar goals. When we were paying off our debt I watched almost every Dave Ramsey Debt Free Scream on YouTube. I also read books and followed other people on social media that were in the process or had gone through it. I cannot stress enough the importance of community when creating a change in your life. It takes a village. Plus, it is not the norm in our culture to live debt free. There are going to be plenty of influences that attempt to get you off track.
5. When you get off course get back on track. Don’t spend the precious time beating yourself up. Analyze where you went wrong and correct it. As with any change in life there will be ups and downs. Don’t view a setback as the plan isn’t working or it’s not worth it. What’s important is that you are headed in the right direction. When you look back in 3 months – 10 years you will see that are you better off than if you had never started and gave up.
So, where are we now that we have paid off debt? My husband and I are currently saving to buy another home. We are also increasing our investments each year. It is finally nice to make our pockets fat rather than a lender’s. Remember, banks and lenders are not your friend and they are not cutting you a deal. Their job is to make you think they are and keep you coming back.
Best of Luck in your financial endeavors. With gratitude, Andrea Jean.