Let's face it, we live in an instant gratification world now.
We can get literally anything we'd like in a matter of minutes where just 20 years ago, it was unthinkable.
Buying now and paying later has become a mantra for our country.
Our government has run roughshod over being fiscally responsible, by spending more money than most of us can even dream of.
We have run our families much the same way; buying more than we can afford, living beyond our means and incomes and hoping the day to settle up with our creditors never comes; we defer the day of reckoning.
Schools have nearly completely wiped out teaching any basic financial literacy, which leaves us at the mercy of the marketing departments of major financial institutions, Hollywood, and other equally dubious locations who don't have our best interests in mind.
I will begin to demonstrate how to extricate ourselves from this hole and get out ahead of the problem, by being proactive and doing something.
First of all, stop spending! This is the problem Democrats, and politicians in general, have in Congress in the Federal Government and many state and local governments.
They refuse to stop spending money that doesn't exist.
If you have debt, credit card, department store, electronic store, car loan, etc, stop spending money.
By stopping, you allow yourself to take a step backward from your current habits and routines, analyze what is happening, and change the necessary components to pay off your debt.
We must control our money, not let our money control ourselves.
If we are paying 12-25% or more on our debt balances, our money controls us.
Show a little self control and stop your spending.
Budgeting will be covered later.
We can find all sorts of programs out there to negotiate your debt down, reduce your payments and the like.
But doing that without changing your behavior first is like trying to put the fire out on the kitchen stove, and ignoring the rest of the house in flames.
Start with the root of the problem, your spending behavior and work from there.
Changing your spending habits is no easy task.
Don't kid yourself into thinking it is.
It's painful, difficult and hard to become something you've never attempted.
And those words can adequately describe what it may take for you to change your debt pattern and start being wealthy.
The big area I found in my life was this: do not go out to eat.
Eating out is one of the most expensive activities out there that we spend money on daily, that erodes our financial well being.
As Dave Ramsey says, the only reason you should see the inside of a restaurant is if you work there.
Sit down and start a weekly meal plan that you cook and prepare for.
That may take some getting use to and trial and error to come up with, but I can personally attest to how effective it is.
If you want help getting out of debt, this will be a great springboard to start from; by helping yourself and controlling your behavior.
I was amazed when my wife and I stopped eating out all the time and starting planning our meals.
I took my lunch to work and didn't spend a dime.
She came home from work (because she works closely to home) to eat and didn't spend a dime.
Our credit card spending balances showed a huge difference when we got our next bill.
Paying off debt, credit card most especially, is going to be hard, but stay tuned for more.
We can get literally anything we'd like in a matter of minutes where just 20 years ago, it was unthinkable.
Buying now and paying later has become a mantra for our country.
Our government has run roughshod over being fiscally responsible, by spending more money than most of us can even dream of.
We have run our families much the same way; buying more than we can afford, living beyond our means and incomes and hoping the day to settle up with our creditors never comes; we defer the day of reckoning.
Schools have nearly completely wiped out teaching any basic financial literacy, which leaves us at the mercy of the marketing departments of major financial institutions, Hollywood, and other equally dubious locations who don't have our best interests in mind.
I will begin to demonstrate how to extricate ourselves from this hole and get out ahead of the problem, by being proactive and doing something.
First of all, stop spending! This is the problem Democrats, and politicians in general, have in Congress in the Federal Government and many state and local governments.
They refuse to stop spending money that doesn't exist.
If you have debt, credit card, department store, electronic store, car loan, etc, stop spending money.
By stopping, you allow yourself to take a step backward from your current habits and routines, analyze what is happening, and change the necessary components to pay off your debt.
We must control our money, not let our money control ourselves.
If we are paying 12-25% or more on our debt balances, our money controls us.
Show a little self control and stop your spending.
Budgeting will be covered later.
We can find all sorts of programs out there to negotiate your debt down, reduce your payments and the like.
But doing that without changing your behavior first is like trying to put the fire out on the kitchen stove, and ignoring the rest of the house in flames.
Start with the root of the problem, your spending behavior and work from there.
Changing your spending habits is no easy task.
Don't kid yourself into thinking it is.
It's painful, difficult and hard to become something you've never attempted.
And those words can adequately describe what it may take for you to change your debt pattern and start being wealthy.
The big area I found in my life was this: do not go out to eat.
Eating out is one of the most expensive activities out there that we spend money on daily, that erodes our financial well being.
As Dave Ramsey says, the only reason you should see the inside of a restaurant is if you work there.
Sit down and start a weekly meal plan that you cook and prepare for.
That may take some getting use to and trial and error to come up with, but I can personally attest to how effective it is.
If you want help getting out of debt, this will be a great springboard to start from; by helping yourself and controlling your behavior.
I was amazed when my wife and I stopped eating out all the time and starting planning our meals.
I took my lunch to work and didn't spend a dime.
She came home from work (because she works closely to home) to eat and didn't spend a dime.
Our credit card spending balances showed a huge difference when we got our next bill.
Paying off debt, credit card most especially, is going to be hard, but stay tuned for more.