Segment 1: Learn to Be Content
There is one month left before the new year, so now is the time get a jump start on your goal for 2017 to finally get your finances in the best possible shape.
Running hand in hand with having a new beginning is learning to be CONTENT. It can be challenging with all the temptations that surround you. The first lesson is knowing what God wants us to do in handling money and then being faithful to do it.
Segment 2: Getting Out of Debt
In order to tackle your debt, you need the big picture. List all your debts on this handy spreadsheet. (Remember to save this spreadsheet as soon as you open it.) This list shows the lender, total balance, monthly payment, interest rate and minimum payment. The first priority is to funnel any extra funds to the credit card with the smallest balance while making the minimum payment on all other debts. Once that card with the smallest balance is paid off, tackle the next smallest balance credit card, till you have paid off all credit cards, then continue paying off consumer loans, the car loans and your mortgage and even that loan from good old Uncle Fred.
This process assumes you are using a spending plan. Click on 30 Day Tracking Income and Expense to open a spreadsheet which will help you track your pennies every day. By tracking your income and expenses, you can investigate ways to cut back in order to spend LESS than you make on necessities. The extra pennies can targeted to pay off debt. Be creative and prayerful!
Our recommendation is to stop using your credit cards while you are tackling your debt. If it’s not in the budget, and you can’t pay cash, don’t buy it! One of the best things you’ll learn is the difference between wants and needs.
Paying off debt can be a challenge but being totally debt free is well worth the effort.
Join the Beans for informative and practical discussions about money: how to earn it, spend it, manage it, give it, save it, invest it, and even how to train our children to be money smart.