Paying Off Debts: Staying Motivated and Knocking Them Out Faster
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Dealing with debt can be a grind, especially if you have a ton of debt or if it is high interest.
Today we’re going to see how the debt lasso method can speed things up with credit card debts and we’ll get tips on how to pay off over six figures of debt without sacrificing fun!
Creating a Plan to Pay Off Your Debts
One of the most popular goals families make when it comes to money is paying off their debts and with good reason.
Even before the pandemic, debts were a considerable chunk of an average American family’s budget.
The median household consumer debt was $67,000 according to data in New York Fed's quarterly Household Debt and Credit Survey.
Getting rid of that debt is not always so easy.
You need something that is realistic so you can stick with it as well as a way to speed things up if you’re deep in debt.
We’re going to look at how you can create a debt free plan that fits your family and budget.
Today’s financial experts are John and David Auten-Schneider and Toni Husbands.
In this episode we get into:
- Deciding which plan would work best
- Getting your spouse on board
- finding that balance between hitting your financial goals still enjoying your life
Let’s get started!
Listen to the episode on Apple Podcasts, Spotify, Android, or on your favorite podcast platform.
Resources to Dump Your Debt Faster
If you’re looking to create a debt free plan that fits your family, budget, and timeline here are some helpful resources to review.
- Money Apps for Families: Personal Capital, Tiller, Mint
- Jumpstart Your Marriage and Your Money
- 5 Days to $5K
- Debt Lasso
- Debt Free Guys
- The Great Debt Dump
- Debt Free Divas
- Debt Free Calculator
If you’d like to chat more about your money system, please join us in our private and free Facebook group – Thriving Families.
We’re families looking to support and help one another out.
Hope to see you there!
Thank You to Our Sponsor Coastal Credit Union!
Support for this podcast comes from Coastal Credit Union. If you’re living in the Raleigh Durham area and looking to bank better, come check out Coastal today!
We’ve been members for years and love their service and competitive rates on checking and savings accounts!
Key Takeaways on Becoming Debt Free Faster
This month's money challenge of tracking your finances really lines itself up well, With today's episode all about paying off your debt.
Seeing the numbers in front of you gives you a clear idea of first of all, how much debt you are looking to pay off and how much room in your budget, you have to hit that goal.
Your next challenge. though maybe deciding which debt payoff method is right for you and your family.
While the debt snowball, avalanche and lasso may have slightly different ways of tackling your debts. There are some key points to them that make them successful tools for many families
The first is that you are making a commitment to get rid of that debt. That might seem like a small step, but it's absolutely necessary when you're dealing with a significant amount or with high interest debt.
You have to be sick and tired of having that debt draining your budget month after month.
And be ready to find ways to adjust your budget so that you can have more money to finally knock that debt out.
The second key to why I believe they work so well is that it gives you a focus target. You are tackling these debts one at a time, you pay the minimum on all but one. And then as you're knocking these out, getting that momentum and having these wins. Then you move it over to the next debt
One point I appreciated with John and David's conversation. They looked at all the numbers including the timeframe
I'm going to include a link to a free debt payoff spreadsheet that allows you to look at the different methods and find one that fits your own plans.
And as Toni pointed out, when you're coming up with your debt-free plan, you may have to make some compromises, at least initially so you can get your spouse on board.
She started off with family activities so that she could show her husband that it was possible to pay off debt without sacrificing quality of life.
As they had these wins, he then joined on board and they were able to speed up the process.
Finally, whatever debt free method you decide to go on, make sure that you get it done by automating all of your payments.
You can go ahead and use bill pay to schedule these payments out which can help you stay on track.
If you need help with ways to find money in your budget to get that debt, snowball, lasso, or avalanche started, please sign up for our free course, five days to five K.
It's a week long email course that shows you some ways that you can readjust your budget. While still enjoying life now. Just head over to simplify and enjoy.com/five K.
Besides the tactics strategies and tips on paying off debt another helpful thing is having the support. So, if you haven't already please join our free Facebook group; it's called thriving families.
We enjoy swapping stories, encouragement, and ideas on how to tackle our family and financial goals.
You can get there by going to simplify and enjoy.com/thriving families. We'd love to see you there!
Support the Podcast!
Thank you so much for listening to the podcast! If you enjoyed this episode and found it helpful, here are some ways to support it.
- Spread the word! If you enjoyed this episode and think it can help a buddy get on the path to dumping debt and become financially free, please share.
- Leave a review. Honest feedback and reviews make a big difference and gets the word out about the podcast. Leave your rating and review on Apple Podcasts.
- Grab a copy of Jumpstart Your Marriage and Your Money. My book is designed for a busy couple to set up their finances in 4 weeks. Get tips and tools that have worked for other couples on their journey of building their marriage and wealth together!
Our theme song is from Staircases. Additional music by various artists from Audiio.