I have been thinking about becoming debt free for a while now but didn’t take it serious until my son arrived. After the birth of my son all I could think about was money and How to payoff your debt quickly and be debt free.
We all make money mistakes in life and the first step is to forgive ourselves in order to move forward.
My money mistakes included credit cards and a personal loan with a hefty 26 percent interest rate.
Last year, I managed to pay off my credit card and store card debt, you can read about it here.
Paying of the credit card and store card debt was really liberating. Paid them off and closed those cards off immediately.
Now besides the mortgage that my husband is aggressively paying off, I have over R 30 000.00 in debt of a personal loan. Which I plan to pay it off my the end of this year no matter what.
Here is how I will be paying off my debt quickly and hope you find expenses you can also cut off.
Have Budget and Stick to It
Not having a monthly budget is asking for financial trouble. I know because I used to be the winging it lady and cost me a lot so stick to your budget and you will see a light at the end of the tunnel.
You can let your hair grow or even learn to trim you own her or if you bold enough go for the big chop. It is for a worthy cause after all your peace of mind and financial freedom.
Do Your Own Hair
I used to spend about 300 on hair in the salon every month that is R3600 a year on hair until I decided to do my own hair and pay the 3600.00 towards my debt.
Take Lunch Box to Work
This is no brainer taking lunch to work saves money and don’t give in to the pay day take out spree happening at your work it is not worth it at the end of the day.
No More Takeaways
Cook your own food at home and I know that cooking can be tiring find easy meals to prepare on lazy days this will save you those rands on takeaways.
Cut Dstv Subscription
Well, here is another thing that is eating your money every month and the prices are always going up every year like clock work. Unless you are paying the full package other packages is just repeats and repeats of show. Now ask yourself is it worth it to pay for repeats?
Learn to say No
Saying to friends and family might rub some people the wrong way but explain to them that you are on a personal journey to become debt free and there cannot afford to spend that extra money. If, they don’t understand then it is their problem not yours.
Find Free Ways to Entertain Yourselves
There are ways to entertain yourself and the kids for free. Play a board game, read a book, and even take a walk to the park.
Reduce Your Utility Bill
When you leave the room or not in the room, switch the lights off. Unplug unused appliances especially phone and laptop chargers. Make sure that your taps are not leaking in order to reduce that bill.
Don’t Buy Clothes
You don’t need to keep up with the latest trends that will make you broke. Rather, find a way to re-purpose items you have in the wardrobe.
Eat Less Meat
Meat is really expensive, have more no meat days do not limit it to only Mondays and January. Doing so will make a huge impact on your grocery bill.
Sell Goods and Clothes You Don’t Use
Stop being a hoarder and sell things that you have not used in a long time and let go of those jeans your wish you will fit back into someday. Sell, sell, and sell.
Use Your Tax Refund and Bonus wisely
When you receive the tax refund or bonus money it is not for you to spend it irresponsibly. If, you have debt put it towards that and if you don’t have debt save and invest it.
Get a side hustle
Got a skill you can get people to pay for? Utilize that, don’t be dependent on only one income stream.
Pay More Than Your Minimum Installment
Paying more than the minimum installment will help you to get closer to the financial freedom goal and save you money on interest.
Build an Emergency Fund
Always make sure you got money saved for emergencies because life is unpredictable. By having an emergency fund helps you not to get into debt in order to take care of your unexpected debt.
Until next time