Paying off your debt can seem like a lifetime chore. In fact, taking years to pay off debt is the #1 reason most people quit in frustration and never ditch the burden.
Here, you’ll have the nine-step process to get out of debt no matter what your income or how much you owe.
Making Your Debt Payoff Goals
Write out this story on a piece of paper. Then start making your debt payoff goals. How much do you want to pay off in three months, in six months? These smaller goals are going to feed into your longer-term one-year goal.
Easy Budgeting for Debt Payoff
With your goals done, it’s time to write out your monthly budget, where your money is going. We’re not going to be spending time skimping and cutting from your budget but we need to know where the money is going.
Using Spending Challenges to Pay Down Debt
The way a spending challenge works is you take one item from your budget. Then you’re going to challenge yourself to cut that spending in half or cut it out completely over the next two months.
Getting Rid of Junk and Getting Rid of Debt
Next is to do a complete clutter cleanse. A clutter cleanse means going room-to-room in the house and pulling out everything you don’t need, everything you don’t use.
How a New Car Makes You a Slave to Debt
The NADA estimates that buying a used car just three-years old instead of buying new will save the average person over $130,000 over their lifetime.