Debt free solutions - no magic wand but a simple savings plan requiring perseverance, commitment and saving-wise advice.
We've all been in debt at some stage in our lives.
Debt management advice is relatively simple in theory - save more and spend less - right now.
Student loan debt consolidation, business debt consolidation or even advice on debt consolidation and management all require a proactive approach.
Minimize spending and maximize saving!
DEBT FREE SOLUTIONS
The problem ...
Simply put - we do not save enough, we start saving too late in our lives and our "compulsory savings" are too tempting to dip into every now and again.
The downside - we use our compulsory savings (or potentially even more financially draining ... debt) to finance consumable goods like cars, expensive holidays and kitchen renovations.
Plummeting freefall or a gradual downwards spiral - we're caught up in a web of paying more to service our debt and of course we're left with less money to save.
The result - when we reach retirement age, we will in all likelihood, not be able to maintain our current standard of living.
The plan ...
We have to save to meet:
Our short-term financial needs (not wants) - things like monthly groceries, school fees, replacing broken appliances, utilities and medical aid.
Our medium-term financial needs (not desires) - possibly a deposit for a home, money for a new or used car or an emergency fund up to four times our net monthly income.
Our long-term financial needs (not luxuries) - our retirement!
Proactive prescription ... budget properly for:
An effective, practical and pragmatic budget must detail the following:
Armed with realistic tips on budgeting and an unwavering budget you will be more likely:
to deal with unexpected financial emergencies
to weather increased interest rate hikes
to start reducing your debt levels here and now as part of your debt free solutions
Reduced debt levels means:
you spend less of your disposable income on repaying your debt
you spend less of your disposable income on servicing the interest on your debt
you have more money to save for your retirement.
Debt free solutions - quick fixes don't work. Economize now so that you won't need to compromise in the future.