Putting your debt on a diet could help, tremendously, with getting your finances on track for 2017. Do you have more month at the end of your money? Is it getting harder to “Make ends meet”? Many Americans live paycheck to paycheck and find it very hard to breathe from month to month.
I often compare losing weight physically to fiscally losing the weight of debt. A diet as far as losing weight is defined as a regimen of eating and drinking sparingly to reduce one’s weight. When someone wants to lose weight some of the things you would consider doing are: decide to lose weight, consider eating healthy and exercise. Another thing you would consider before getting started is to weigh yourself. Your starting weight could be used as part of the metrics while working towards your goal.
Decreasing the amount of debt that you have alike, requires a decision to decrease your debt and increase your cash flow; a self-assessment, financial assessment, discipline and determination are also needed. These are some things that you can do to get started:
1) Eliminate waste – Once you have determined where your money is going; continue to track your spending and make sure that every dollar is given an assignment. Letting your money control you could become very costly.
2) Feed your needs – Meeting your needs are a must. Needs are things that are necessary for everyday living. For example, food shopping, water, housing and transportation. Understanding what your needs are will help you to properly set financial boundaries.
3) Starve your wants – Identify and take control of your wants, that WILL scream louder than your needs. Wants are things that you can live without; such as eating out more than cooking at home, stopping by “Fivebucks” for your daily morning cup of coffee, excessive spending when there isn’t any money in the bank.
4) Rid yourself of impulsive spending – Purchasing three or four of a sale item is not a great saving, that feeds your wants and violates your opportunity to meet your needs. Browsing from store to store without any real need; instead purchase something that draws you in, demonstrates a lack of restraint. When you are on a mission to meet a financial goal, or are trying to break certain spending habits, it will take work and the courage to tell yourself “No”.
5) Implement a sound written financial plan – Operating in your finances without a sound written financial plan, is self-defeat. Your spending plan is your blue-print that could lead you out of debt and into financial freedom.
Putting your debt on a diet could cause you to become a better strategist for you and your family for generations to come. Starving your wants should not be viewed as punishment. It will be a little difficult in the beginning, but will get better as exercising restraint, becomes a natural part of your regimen. Deprivation is not the message; rewarding yourself is a must and will boost your morale. Consider a debt diet and rewarding yourself to be like a trip to the gym. There will be a little pain, but you are going to look and feel great as your body adjusts to the change.
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