Millions of families across the country are having problems keeping up with their bills and trying to figure out a way to get them paid on time. You probably went through a phase of paying the minimum monthly, when you knew you had money coming in, but just never put it in the bank to spend it. You probably made sacrifices in your life to be able to have a bit more money. You may have left some money on the table so you could catch up. Or, you may have done this too much. It may have been a combination of all of these things.
Whatever the reason you are in debt, you need to get yourself out of debt.
The first step to getting yourself out of debt is to work out what you need to pay. Do you really need to charge another $20 a month for the internet? Probably not. Can you live without cable? Probably. Do you really need to give away another $20 a month? It’s not worth it. You may think it is, but what will you do with that extra money? It’s really not worth it. A better option is to find ways to reduce your expenses. What are you spending money on that is really unnecessary? Let’s see what you can do to get yourself out of debt.
Now, you have made the decision to get yourself out of debt. But, you are not there yet. You have made the decision to reduce your expenses by spending less money on unnecessary things. Once you decide to reduce your expenses by spending less money on unnecessary things, you need to decide how much money you are going to save. How much money can you save that will pay off your debt in a few months? Do you have the cash or do you need to borrow money? How much money are you going to need to get yourself out of debt? You have to take the steps to make this happen. You need to start saving up $200 a month to pay off your debt. You can start by going through your expenses and deciding which expenses are necessary and which expenses are not. Do you really need to go out for lunch or drinks on Fridays? Can you eliminate these expenses? Do you really need to pay for cable television, satellite radio, and Internet?
Is that dinner you have going to last you a week really worth $50?
Once you’ve decided which expenses you want to keep and which ones you are going to eliminate, you need to decide how much money you are going to need to pay for your new lifestyle. You can decide you are going to have a garage sale and sell things you don’t need anymore. You can decide that only a car is really needed, and you are going to sell it. You can decide you are going to trade things with your neighbors and sell stuff that you no longer need. The more money you decide you need to get out of debt, the more money you are going to need to take care of all your new expenses. You need to make sure that you don’t forget any of these expenses, or you will find yourself in debt again.
You need to budget your new expenses in writing. You don’t need to make this handwriting your children, but I strongly suggest it. This will show your real financial situation, and will also help you be able to tell if you are going to have money trouble in the future. This will also be an example of the money you were using for debt actually going to pay off your debt.
You need to stop using your credit cards. It makes your situation worse, and you will need to stop using it anyway, once you start getting out of debt. You need to save up $200 for your debt payoff. You don’t need to buy your kid’s games, but I strongly suggest you buy them something if you plan on going this route. You don’t need to get a $200 Starbucks gift card, but I strongly suggest you get one too, if you plan on going this route.
If you are planning on getting a second job to make money to pay off your debt, I strongly suggest you do so. You will get money in your pocket, and it will help speed up your payoff. You don’t need to do this, but I strongly suggest you give it a try. Your life is going to change dramatically if you don’t get out of debt. So do it! You will become a much happier person if you do it.
As long as you are getting out of debt, you should be giving the money you are saving to your children. It’s an investment for them that will pay off in the long run. Get them that Starbucks card too if you are going to pay off your debt.
Your life is changing, your relationships are changing, and you need to be aware of how your spending is affecting you. If you have money problems, you need to solve them. So get out of debt, and then take some money with you. Just make sure you get it safely. Your debts are affecting your life, and you need to deal with them.
Go out, meet new people, take the money with you, and use it to pay off your debt. The first debt you pay off will make the next debt easier to handle. Do this, and you will soon be out of debt, and that second debt will soon be paid off. Don’t let it get out of control, and you will soon have your life back.