Eliminate debt : Live Life in Moderation

After you’ve consolidated your debt, you need to stop negative cash flow if at all possible. What does this mean? Well, if you see a TV that you really want, don’t put it on a new card, don’t finance it, open up a new bank account, and put away a few dollars every month to save up for it. This is similar to the layaway
option many stores offer. Personally, I would delay the purchase for a month. That way I have all the time I can have to ponder, think and even dream about whether I really need that item. Usually by end of the month, the urge would have dissipated significantly if not at all gone.

Do you like to eat out? I sure know I do, but I only eat out ONCE a week. Why? Because eating out is expensive, really expensive. $20 here $20 there might not seem like much, but it will add up, quick. If you eat out just once a week, you can save quite a bit of money in a very short amount of time. Try to make your own meal and pack it up and bring it to work if you have to. This would both save you money and give you a sense of achievement being able to serve yourself a meal every day.

This last tip seems to break everyone. Stop buying something every time you stop the car. What does that mean? When you fill up your gas tank, don’t buy a Coke. Or, to put it another way, those small purchases add up. $2 for a coffee doesn’t seem like much, but if you buy a $2 coffee every working day for a month that’s $125 that could go to paying off your debt. Trust me, that's a lot of money if count how much time you spent worrying on your debt.