A lot of people including myself have debt that we are actively trying to get rid of. We are trying different things such as side hustling or looking for part time jobs to help us pay it off sooner than later. Once it’s paid off I know that I want to stay debt free. If you don’t have any debt I want you to pay attention specifically to this post. I will be going over 4 ways to stay out of debt.
Pay bills on time
Paying your bills on time is one of the easiest ways to keep you out of debt. Late fees are no joke. From experience, I know that they can add up very quickly. If you’re not careful they can get you into a financial bind. By paying attention to due dates every month you won’t have to worry about late fees. I’ve seen late fees range anywhere from $35 to close to $100. Could you imagine having to pay an extra $100 on a bill that is already over $100? That would not be fun. Make sure you pay your bills on time so that you don’t have to worry about those annoying fees.
Ignore the Joneses
I’m sure you’ve heard the saying “Keeping up with the Joneses” before. The Joneses are basically people that buy things to try and impress other people. The Joneses are broke because of that. I don’t want that to be you! There is no reason for someone to be something that they are not. Unfortunately, a lot of people get caught up trying to keep up with the Joneses and end up broke. Don’t fall into that comparison trap.
Create a budget
Creating a budget can drastically keep you out of debt. A budget will help you allocate your spending. By doing that, you will know exactly where your money is going. At the beginning staying on your budget might be tricky. The longer you stay with it the better you will get. Make sure you leave yourself some wiggle room because sometimes things happen such as emergencies.
Watch credit card usage
This could have been the 1st point on this list. In my opinion it is one of the most important things you should pay attention to. If you use credit cards, please use them with care. It is so easy to fall into the habit of always swiping your credit card. You could be in hundreds of dollars of debt in no time. Once you first get a credit card you may have plans of just using it here and there. If you’re not disciplined or careful you may eventually start swiping it for everything. If you have a low minimum payment that could also get you in trouble as well. The credit card debt will continue to add up. If you must use your credit card try to pay it off each month or at least pay more than just the minimum.
Are you trying to stay out of debt? What are you doing to make that happen?