- Get a handle on your spending. Write down everything you bought for one month. Save the money you have left over after paying your monthly expenses and then use the extra to pay down a debt.
- Don’t fall into the minimum trap. If you only pay the minimum payment on your credit card bill, it will take you years to pay off your balance. And it can cost you thousands more than the original debt.
- Watch where you borrow. Leave your 401K alone or else you can fall short of your investing goals at retirement.
- Some debt is bad. If you can’t afford to pay off your monthly debt in full, you should not charge meals or vacations on your credit card. Avoid interest charges that keep building up and put aside cash every month to pay for them and other items you consume quickly.
- Build a cushion of three to six months of living expenses in case of an emergency. Expect the unexpected.
Have you tried to control your personal debt? Be financially responsible? Work towards meeting your financial goals? These are some of the ways financial experts suggest to get a heads up on financial planning. You’ve heard of all or most of these tips. The experts will tell you to: