If you’re like millions of other Americans, there is a good chance that you’ve managed to accumulate some debt. Student loans, car loans, mortgages, credit cards – they all add up! Debt can feel overwhelming when you’re dealing with it, but it is possible to get out from underneath that stack of bills and live your life financially free.
Follow the below 8 steps to help get yourself there as soon as possible.
- Write down all your debt, so that you know exactly what you’re dealing with. And then try Dave Ramsey’s Snowball Effect: List your debts from the smallest amount to the largest, and then pay off as much as you can on the smallest debt while making minimum payments on the larger ones.
- Lower your monthly expenses: avoid eating out in restaurants, forgo on the Starbucks visits, cancel your gym membership and run or walk outside for free, clip coupons, cut the cable, rent library books instead of buying them, and if you must shop for clothes, try consignments stores.
- If you can’t afford to pay for something in cash then you can’t afford to do or have it. It’s that simple – quit using your credit cards altogether.
- Find ways to entertain yourself and/or family for free: go to the park, take in a free concert, visit your community’s local website and see what free events are taking place in your neighborhood.
- Create a budget and make sure everyone in your household is aware of it and following it, including your children.
- Consider starting a side gig or getting a second job. Drive Uber or deliver food in your downtime. Or try pet sitting for your neighbors. If you don’t feel that you have the time for more work, at least ask for a raise at your current job – you never know until you try.
- Sell items that you no longer use – clean out your closets and garage and unload all of that extra stuff onto Facebook Marketplace.
- Volunteer your time – nothing will raise your vibration more than giving back to those in need.