Finance is Fun September 10, 2013

Updated 1 year ago

Don’t add new debt- It is important that you do EVERYTHING you can to not ADD any more debt. There really are very few emergencies that will come up that you absolutely MUST have money. Many have gone into debt for convenience. To have that thing now instead of when we’d saved up for it. Don’t add any new debt.Make a budget – I think it’s really important to know WHERE your spending occurs. What are you spending you money on? In the years that I’ve been in business, I’ve seen that we may have a hardship or a particular area of debt that is higher than might be best. But we tend to fritter our money away on stuff. We eat out or spend money of groceries that rot before we even cook them. We shop for the kids for way more than they need. We are bored so we amuse ourselves with pals at the mall and buy stuff we don’t ever wear. List your debts- List the total owed and the monthly amounts due and the interest rate. Pick a strategy for paying this off. I think that smaller debts once paid off, will do so much to boost your feelings of awesomeness that starting with the smallest card/debt is the way to start. But for some folks that just irks them as they really want to tackle the highest interest rate debt first. It’s your plan, so just decide on what you want to do.Pay off while saving- Once you have figured out how much you are spending on things by examining your budget and your expenditures, cut back on variable expenses. Variable expenses are those that are not set like food, Christmas shopping, clothing. Rent or mortgage is a fixed expense. Food shopping, etc., is a variable expense. Be sensible but strong with yourself. Use what money can be set aside on bill repayment at the same time you are making a little emergency account for life and all its surprises.Hopefully you will get so happy on the success that you wont want to live any other way., But getting started can seem daunting. I know you can do this, kids!Citations:http://www.stayoutofdebttips.com/http://www.getrichslowly.org/blog/2009/04/08/how-to-get-out-of-debt-stay-out-of-debt-and-live-prosperously/http://www.backwoodshome.com/articles2/campbell67.htmlMarion Syversen, MBANorumbegaFinancial207.862.2952Marion@NorumbegaFinancial.comCheck out our website that includes weekly streaming videosWWW.NorumbegaFinancial.com Disclosure:Only securities and advisory services offered through Wall Street Financial Group, Inc. Registered Investment Advisor. Member FINRA/SIPC. Wall Street Financial Group, Inc. and Norumbega Financial are separate entities, independently owned and operated. CR9425


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