Everyone has all heard the talk about debt consolidation loans and other “debt solutions” but here are 5 easy tips thatanyone can use to reduce debt and get on track to a healthy financial standing .
1) Bag The Lunch
Taking lunch to work instead of buying it will not just save money it is usually a much healthier option also. A sack lunch can be made for a fraction of the cost of eating out and without having to leave for lunch you will also save money on gas. Estimated savings up to $1,300 per year.
2) Freeze The Cards
Buying for “wants” instead of “needs” is a common problem and having a credit card handy can make it so easy to purchase unnecessary items on a whim. Instead of slicing up your credit cards that you may actually need someday , simply put each one in a glass of water or plastic bag and throw it in the freezer . If you want to use it for a quick purchase you are forced to really consider whether it is worth thawing out the card to make thebuy.
3) Create An Emergency Fund
One of the largest ways to save money on credit card interest is to build your own line of credit for emergencies or other purchases through a savings account. By saving at least $500you will have a safety net for unexpected car repairs or other circumstancesthat would otherwise require you to put it on a credit card. Saving money on interest payments will add up quickly over time, but you must remember to replenish the savings !
4) Make Eating Out A Special Occasion
Make eating out a special treat that you do once or twice a week and plan for it in advance by adding it as a line item to your budget. make note of your restaurant expenditures and you will be surprised how the meal, tip, and gas can add up to an expensive night out .
5) Budget With Cash
Using cash to pay for day to day purchases makes you realize how much money you are actually wasting in some cases . Some people refer to it as the “envelope system” which is when you carry enough cash to pay for the everyday items in your budget but no more. This will keep you from overspending because you actually do not give yourself access to additional funds . This concept has grown in popularity in recent years and remains to be a focus for many budget conscious people everywhere.
Everyone can make simple changes to move toward financial independence . For more ideas on Christian debt management and Christian debt consolidation, visit the debt free Christian site at www.debt-free-christian.com and get on the road toward debt free living today!