Warning: this post is about a bad 4-letter word and may be considered offensive to some. Today, the word is…are you ready for it? Prepare yourself – DEBT! Ahhh! Okay, it’s out there. Let’s talk about you know, that “D-word.” Who loves talking about it? *crickets – that’s what I figured.
Let’s be real though – do you or do you not want to spend your time and money on things that actually matter to you. I’d be willing to bet that debt is NOT something you want to have to “matter.” So let’s not linger for long because I can feel the tension rising in the room ya’ll and boy is it uncomfortable.
Now, let’s make it clear, just because you are in debt does not mean you did something wrong or you should beat yourself up over it. You’re an amazingly outstanding person who just got behind. Frankly, “the biz” happens at some point or another. What’s done is done, time to move towards the light at the end of the tunnel! – unless it’s a train, don’t go after the train, in that case, run away and find some new tracks.
Here is my list of tips to consider:
#1: Admit you have a problem. Nuff’ said.
#2: Contrary to popular belief, paying down the debt with the highest interest rate may not be in your best interest. When it comes to the “D-word,” put down your old ways of thinking and get into 2014 people! If you have more than one debt hanging over your head, I highly recommend employing the Debt Snowball Plan outlined by the guru Dave Ramsey.
#3: Breathe and work towards building that emergency fund…like yesterday! I know, you’re probably thinking, Miss Heather Lambert, how can I focus on paying off debt AND putting money towards savings – especially this fairy tale Emergency Fund idea?! You can, you just need to understand the importance of it and that every penny counts. If you need to, start by trying to cut down your grocery budget by couponing and shopping store ads and put the extra money towards your savings. Every little bit counts. Just remember to breathe and it will all build up in no time!
Let’s all dream together a little now, if and when you have no more of the “D-word,” what do you plan to do with that extra cash-monies in your wallet?