DOLLARS AND SENSE

Common sense answers to questions on personal finance

by Joe Plemon 

Q: Joe, I know the things I need to do in order to get out of debt such as quit borrowing money, take a second job temporarily, have a written cash flow plan, spend less than I make and use the debt snowball.  My problem is that I just get worn down in the process.  Can you give me some encouragement?  

 A:  Three thoughts come to mind. 

1. Give yourself a time line for becoming debt free.  Examine your budget to determine what sacrifices you will need to make in order to get everything other than your house paid off in less than twenty-four months.  Take a deep breath and go for it.  Now that you have established an achievable goal, you will stay encouraged as you put each month behind you.
2. Write out all of your debts from smallest to largest and stick them on your  refrigerator.  Then, as  you move through your debt snowball, mark each one out with a big red marker.  Instead of feeling worn down, you will gain momentum as you chart your victories.
3. Allow yourself the luxury of imagining what being debt free will feel like.  Sit still for a few moments and imagine that you have zero debt.  Soak up that feeling.  Did your shoulders relax?  Did you breathe easier?  Could you taste that liberty?  Capture that feeling and hang on to it.  Having clarity of your goals will motivate you to stay the course.