An anonymous wise-cracker said, “Running into debt isn’t so bad. It’s running into creditors that hurt.”
And Jackson Browne admitted he was running behind in the song, “Running on Empty.”
You might be nodding your head. As the kids say, “Same.”
Continuing our quest for getting in financial shape for 2020, I offer Action Step #8: Debt Management.
Debt is a part of life. It’s great to live debt-free, but sometimes life throws you a curve ball. You have to do whatever it takes to deal with it.
Get a Clear Picture of Your Debt
One of the most important ways you can tackle any debt is to first get a clear picture of it.
For instance, make a list of your debts and all the relative information such as creditor name, total amount of debt, monthly payment, and due date.
This will give you a complete overview of your debt so you can then create a strategy for payoff. You also don’t want to create this list and then forget about it.
Each time you pay your bills, review your list and update it as the amount of debt changes. As an added incentive, set a reward for yourself when you reach a certain milestone. A little motivation helps!
Create a Monthly Bill Payment Calendar
Here’s one idea for bill payments: use a calendar to record which bills can be paid with which paycheck. For instance, if you get paid on the same days every month, such as the 1st and 15th, you can use those dates to schedule certain payments before their due date. If your income arrives during various days, then create a new calendar every month.
At Matson & Cuprill, we excel at helping you shave down that debt while still saving for your retirement. Let us help you avoid any run-ins with creditors and instead, keep them (and your bank account) happy. Why not give us a call at 513-563-PLAN (7526) or book online, while you’re thinking about it? And get financially secure in 2020!
In tomorrow’s email, I have some debt-zapping strategies for you. Don’t miss it!
Call today.
Regards,
Dan Cuprill, CFP®