By Charron Monaye
In today’s society, many people live paycheck to paycheck, credit is used as the back-up plan, and there is no money left to save. But, think about it. What were you taught about finances and/or credit? Do you value money or do you live to spend it freely? If life happened right now, are you prepared with at least $1,000.00 in the bank? If you got fired or laid off next Tuesday, do you have at least six months’ worth of expenses saved? I know some of you are reading this and thinking, “Charron, are you crazy? I don’t make enough to save twenty dollars.” In your doubt, I want you to ask yourself, “How bad do I need this freedom?” Are you willing to take your lunch versus buying it in order to save $60.00 a week? Since I am here for your breakthrough, I will offer you six “get-out-of-debt” strategies that I teach my coaching clients and used myself:
· Stop Impulsive Buying ~ You don’t need something just because it’s on sale. Understand the difference between a need and a want.
· Stop Using Credit Cards for Rewards ~ You have to spend more to get any reward that is really worth the process.
· Stop Trying to Keep Up with the Joneses ~ Before you compare yourself to your friends or neighbors, or try to buy everything they have, understand what they had to do to get it or if it’s actually theirs.
· Shopping to Change a Mood ~ Shopping can be great therapy, but it can also lead to great pain when you can’t pay the bill.
· Pay More Than the Minimum Payment ~ Paying the minimum every month doesn’t mean you’re getting out of debt. In fact, minimum payments are often calculated to be about 4-6% your balance, which could mean you’re not only staying in debt, but actually accruing more interest.
· Have a Plan (Budget) ~ Paying off debt is great, but trying to do it without a plan in place can leave you throwing your hands in the air and returning to your bad habits. You have to plan ahead and know where every dollar is going if you want to quit your harmful behavior and start fresh.
Read More in her latest book “Stop Asking For Permission & Give Notice”