Posted 06 June 2023
Break Up with Debt & Find Financial Freedom
Debt a four letter word that carries many different emotions, also defined as a financial obligation or money owed. For many of us, we are working hard to pay down our debts or working hard to stay out of debt. Below are some tips we want to share to help you kick debt to the curb and find more financial freedom.
Figure out your budget
If you don’t have a grasp of your income and expenses, paying off debts can feel unachievable. If you have never budgeted start by calculating your income, all incoming monies should be accounted for. Next figure out your expenses, which is any money going out. Pro tip: be brutally honest about your spending. Most people significantly underestimate their spending. Once you know your income and expenses, budgeting is a simple math equation. Take your total income, subtract your total expenses and that will equal your budget.
Reduce your expenses
Once you have your budget figured out, it’s time to analyze your expenses. Are there any small changes you can make to free up more money in your budget? It could be as small as canceling subscriptions you barley use, lowering your cable or internet bill, cutting back on dining out or stricter spending at the grocery store. Lowering your expenses can allow you to pay down debts quicker and increase your savings.
Consider a side hustle
Do you have extra time outside of your fulltime job to earn some extra money on the side? Even if it’s for a short time, some part time positions can offer flexible hours, work from home opportunities and so much more. Extra income can mean paying down debts faster, building your savings, and getting you one step closer to financial freedom!