Getting Out of Debt

There are numerous books to read, free seminars, consultants, fee-based seminars,and many guru's that cover the in's and out's of getting out of debt. A typical book costs between $10-$20 and is well worth the money, if it provides the motivation you need to get started down the pathway to becoming debt free.

It's a journey. It's a commitment. It may take a few years, but it may take a lifetime.

In my personal experience once you put your mind to doing it, you can pay down a lot of debt in a short time. It's a simple concept, but easier said than done. You can increase your income. You can decrease your expenses. Or...you can turbocharge the process by doing both at the same time.

As an example, I have calculated that in the last 22 years of my working life I have spent approximately $57,000 on eating out for lunches. I am currently saving 60%-70% of that daily by eating leftovers instead of going out for fast food.  Instead of $7.00 at Subway, now I spend $2.50 or so eating leftovers from the previous night's supper time meal.

Likewise, drinking soda's or coffee adds up too over decades. Two 20 oz. Cokes are $2.50 plus tax. Drinking water saves 100%, but even bringing iced tea or coffee from home saves nearly as much on a daily basis. It starts to add up after awhile.

It's also easy for me to spend money on the debit card without realizing how much is going out the door for spur of the moment purchases. I now start the week with $50 cash and when it's gone, it's gone. Any money that is left over, goes in my "reward" fund for larger purchases that I want to make at a later date. Books, magazines, and gadgets fall into the "reward" fund category.

I also never let my gas tank get past 1/2 full. I figure that 1/2 my gas is at lower prices and just 1/2 my gas is at higher prices, since gas prices tend to fluctuate. I'm dollar cost averaging my gasoline, in theory. I don't for certain if it really works or not because I haven't tracked it religiously, but the theory sounds pretty good to me.

Those are just a few of my money saving and get out of debt tips. I'll share more of my experiences with you in future posts.

If you have additional tips, please share them by posting a comment below.