As we know, sometimes it's very easy to get a loan ( maybe not that easy nowadays due to world economic situation ) but the facts is, it's not easy to maintain the repayment of the loan. That's why, it is very important we must have a plan how to overcome or handle our financial demands.
Some of the tips to become debt free as follows:
1) Budgeting is a great tool that allows you to plan your finances; therefore, making living within your means an achievable accomplishment. Moreover, having a financial plan that helps you manage your fiances in such a way so you will have money left over when all your bills are paid is very important for your financial future.
2) Pay Yourself First- Bob Ewing wrote an excellent Hub about paying yourself first. Begin by saving five to ten percent in the beginning, then develop more ways to cut expenses and stash more in savings or pay off a debt.
3) Eat All of Your Meals at Home as eating out every night can take a huge chunk out of your income. However, one of the easiest ways to living debt free is cooking all of your meals at home. The USDA creates an annual breakdown of the cost of food for Americans on four levels: Thrifty plan, Low-cost plan, Moderate-plan
and Liberal plan. This is provided that all meals and snacks are purchased at stores at regular price and prepared at home.
4) Borrow Movies - instead of paying to rent movies at the video store, borrow them from the library. Borrowing movies from the local library is an absolutely free service. If you are unable to find what you want there, request it.
5) C
ut Back or Quit Smoking as if you smoke, cut back or quit. A two pack a day habit could be costing as much as $5,200 a year. Kicking the habit will make you and your bank account much healthier in the long run!
6) Never Spend a Windfall - If you receive a bonus, income-tax refund, rebate check, or holiday money—place it in some type of savings account or pay off a bill.
7) Purchase Low Maintenance and look at the bigger picture for every purchase. Always consider quality, price and maintenance costs. Sometimes, paying a little extra for an item will cost less in maintenance in the future.
8) Everything is negotiable - Never be afraid to bargain for a better price or rate on airfares, hotel stays, appliances, vehicles, credit cards, interest rates or anything!
9) Cancel Paid Subscriptions - Cancel all magazine subscriptions that are not free. Get the news from the Internet, radio or television.
10) SimplifyHold a huge garage sale or sell it on an online auction site. If you have not used an item in six months, odds are you can do without it. Donate the items to a local charity if you do not want the hassle of a yard sale, or selling online. It may be tax-deductible and helps others in the process.
2) Pay Yourself First- Bob Ewing wrote an excellent Hub about paying yourself first. Begin by saving five to ten percent in the beginning, then develop more ways to cut expenses and stash more in savings or pay off a debt.
3) Eat All of Your Meals at Home as eating out every night can take a huge chunk out of your income. However, one of the easiest ways to living debt free is cooking all of your meals at home. The USDA creates an annual breakdown of the cost of food for Americans on four levels: Thrifty plan, Low-cost plan, Moderate-plan
and Liberal plan. This is provided that all meals and snacks are purchased at stores at regular price and prepared at home.4) Borrow Movies - instead of paying to rent movies at the video store, borrow them from the library. Borrowing movies from the local library is an absolutely free service. If you are unable to find what you want there, request it.
5) C
ut Back or Quit Smoking as if you smoke, cut back or quit. A two pack a day habit could be costing as much as $5,200 a year. Kicking the habit will make you and your bank account much healthier in the long run!6) Never Spend a Windfall - If you receive a bonus, income-tax refund, rebate check, or holiday money—place it in some type of savings account or pay off a bill.
7) Purchase Low Maintenance and look at the bigger picture for every purchase. Always consider quality, price and maintenance costs. Sometimes, paying a little extra for an item will cost less in maintenance in the future.
8) Everything is negotiable - Never be afraid to bargain for a better price or rate on airfares, hotel stays, appliances, vehicles, credit cards, interest rates or anything!
9) Cancel Paid Subscriptions - Cancel all magazine subscriptions that are not free. Get the news from the Internet, radio or television.
10) SimplifyHold a huge garage sale or sell it on an online auction site. If you have not used an item in six months, odds are you can do without it. Donate the items to a local charity if you do not want the hassle of a yard sale, or selling online. It may be tax-deductible and helps others in the process.
11) Priorities your bills. Select the most important bills and try to pay before due as to avoid any interest or penalty charges.
Hopefully the tips are useful enough for you to start your plan to become debt free.
No comments:
Post a Comment