It’s really annoying when half of your paycheck goes to debt payments. It’s frustrating when you want to go on a trip or set aside some money for your kids (college, wedding, first car, help with down payment) and you can’t because it seems like all of your money is gone before you can. It’s also frustrating when your debt balances never seem to go down. When it seems like you’re barely overcoming interest or even when you do make some progress, you end up spending on the credit card again.
Related: 9 reasons why you should cut up your credit cards & divorce them forever
The good news is you can solve this problem on any budget.
First, decide that getting out of debt is worth it. Debt is currently keeping you from your big life goals (spoiler alert, they will require money). Debt keeps you from building wealth.
Next, compute how much total debt you have. Debt is any money you owe anyone for any reason.
Then add up how much you pay in minimums every month. Side note: what else could you do with that amount of money?
Next, figure out how much you can afford to pay extra by creating a budget. Every single time we do a budget with clients, we find ways to pay extra on debt. You can too. You just have to want to.
Once you’ve got these numbers, you can get a rough idea of when you can be out of debt. Most people do it in less than two years. You probably can too.
So, give a try. Don’t be afraid to look at the numbers. Be afraid NOT to look at the numbers. The unknown is more scary, we promise. You’ve got this!
Related: Why your spouse isn’t on board with financial coaching
Ideal Balance is The Life Coaching Facility in Navarre, Florida that focuses on Fitness, Family & Finance. We help our clients create the discipline & habits they need to strip off what’s holding them back from living the life God created them to live. We work with clients in 1-on-1 sessions in person, virtually and in small groups. We offer life coaching, financial coaching, health coaching. We also offer personal training and home organization locally here in Navarre, Florida. Fill out the information below if you’re interested in our help and we will contact you.
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