Living 100 Debt Free | Basic Steps

Living 100 Debt Free

Living 100 Debt Free | Basic Steps – Everybody wishes to get wealth, to be wealthy and live a comfortable lifestyle. We are living in a society that dictates our achievement and future by how wealthy we are.

We strive hard to work smart, spend and make positive progress in lifestyle that can lead us to the perfect path as we meet all our goals and objectives in life. We sometimes request soft loans from friends, family members or Sacco group and sometimes apply for loans from banks.

How many of you are now fighting debt? Perhaps it’s from student loans maybe it’s due to credit cards. Whatever the reason might be, this needs to be the year that the debt free living becomes a priority. This needs to be the year which you let debt goodbye permanently.

We can talk about the way we need living, however, it requires more than simply speak. It requires action. Kicking debt from your life is not as hard as you might think. It only requires a good strategy and a great deal of dedication.

Debts can seriously violate your financial progress and enable you to wallow in the swimming of doubts and hiding from your friends or cooperatives that you’re owned. So what do you really have to do to begin your journey to debt free living? It is simple, you have to follow the following eight measures.

Step 1. Understand that you have bills to settle and pay them

So long as you reside in the modern world, you will have bills to repay. When you receive your bills, kindly take a daring step and cover enthusiastically. You must be happy to settle what you are owned.

It is a matter of fact which you should not pay painfully. In the event you pay painfully, you’re just dance to the song that the cash is tough to buy and you aren’t delighted with the turnout of things.

Step 2. List all your debts

Start by listing out all those debts by their interest rate. The maximum speed will be at the top of your list. Why? Because it is the debt costing you the most money each month.

Now you have everything on paper, you have a visual concept of what is before you. You’re able to see which debt you are going to concentrate on the first, second, and so on down the record.

Step 3. Start setting up an emergency fund

Have you got an emergency fund set up for yourself? Otherwise, it is time to acquire a savings account.

Emergencies are certain to happen to all of us. It may be dental function that insurance will not cover. Perhaps your car decided not to start. By having a rainy day fund, all these jolt expenses won’t cause a significant blow to your budget.

So how much should you have in your emergency fund? Some folks will tell you you need three to six months worth of expenditures. Though this is a great long-term aim to have, it’s not reasonable when paying off debt.

Rather, start off little putting away money each month until you have $1,000. This is an excellent place to begin.

Step 4. Put your Accounts on autopilot

Automatic payments are among those ways. Instead of physically making a payment every month on every bill which you have, you may set it and forget it.

There are several benefits to automating your lifetime. Not only are you going to make things much easier on your own, however you’ll decrease the chance of getting a payment. The very last thing you need as you’re working so tough to pay down debt is a wasteful fee.

Step 5. Downsize your own life — forever or temporarily

The last thing a lot of us want to do is eliminate the things we like. But, there are instances when it is the very best action to take.

Start by having a look at the funding you’ve created earlier. Are there any things you could do without, even if it’s only as you’re paying off debt?

What about your cable tv? Did you know the normal cost for DirectTV is approximately $101 a month? With options like Sling TV or even Netflix, you may cut the cable and never return.

Have you been spending too much money eating out? The average American will pay $232 per month eating a meal beyond their residence. Imagine if you cut in half an hour? The extra $116 each month may be quite helpful for your debt investment plan.

Step 6. Move your credit card balances

Most of you have probably ditched your charge cards at this time. But you may be surprised to know that a credit card might really be to your advantage.

If you’ve got many high profile accounts, you can use a balance transfer to transfer everything to a single card. Most balance transfer credit cards may include a introductory 0% APR offer. This can help you pay down your debt without accruing finance charges along the way.

Step 7. Track your spending

The secret to living a debt free life is to definitely understand how much you spend and the amount you conserve at exactly the same moment. You have to track your cash flow and at the end of the day that you will be able to understand and have assurance of your entire fiscal spending.

Step 8. Have a look at your insurance and review it

Financially and debt advisers consistently tell their customers to be keen in their insurance and examine its plans always. You have to appear over your life insurance needs. You want to follow it to check it covers more than 10 occasions of all your earnings. When you have children over ten years, then the life insurance must also pay on debts incurred by the bigger family.


These are the most proven ways which will easily help you get out of debts. You need to come up with a plan and understand that invoices are there to be depended. No matter which money you borrowed, be willing to pay as per the order of agreement rather than about pilling debts because they’ll return to affect you later in life.