Monday, December 15, 2008

Never Go Back To Your Debt Ways

Paying off debts is like an addict seeking rehabilitation. Once you have paid off all debts, never go back to your old ways, but you can stop living like a pauper.

If you have been saving and earning an extra $3,000 or more per month, when you are paid off, you will have a lot of extra cash on hand.

As long as you don’t need this for another expense, first stop your second job. For a short while, you should be able to handle the extra workload, but there is no reason to overload yourself and diminish the quality of your life for long periods of time.

If you think you can afford it and still be able to put a good amount of money aside to build an emergency fund and then save for retirement, start adding back in some treats such as cable. Most of all stop using credit cards and always spend less than you earn.