Debt Free Life Hacks

Auto-Pay Blues 😨 I'm a big fan of auto-pay. It ensures that bills are paid on time to prevent late fees and interest. Most of my bills are scheduled for payment using auto-pay, and typically it works just well. Recently, however, I discovered that bills I thought were paid through auto-pay had not been paid. How did that happen? I can only blame myself. You see, setting up auto-pay is great, but that doesn't mean you shouldn't be paying attention; I learned that set it and forget it is not the best approach. Why my utility bill was over $400 ?😱 I received an email from the utility company with the balance of my utility bill. When I saw the number, I nearly lost my mind. It was over $400, the highest utility bill I'd ever received. Yes, it had been freezing, but this couldn't be right, could it? After some investigation, I learned that the bill was 3 bills in one. The previous bill, stacked on top of the current bill, stacked on top of the final utility bill from ...

It’s tax season and for different people, this means different things. For some, tax payments are due😞. For others, a tax refund is owed😊. Hopefully, you’re in that second group. If you are, you are in luck! Proceed with caution though,  it is important to have a plan for the money so that you do not squander it all. The same holds true if you were to receive a stimulus check ; proceed with caution. Recently, I was watching an episode of Shameless. Upon receiving a tax refund check, one of the characters was immediately tempted to spend the money. He felt like it needed to be spent and needed to be spent immediately. Unfortunately, his ideas were to spend the money on wasteful things like the lottery, casino, etc. This is a prime example of what not to do.🤑 There are many ways that you may choose to spend any extra income, and of course, you know your situation best. Below are some ideas to get you started. 10 Ideas on what to do with a tax refund or stimulus check: ...

Time is our most valuable asset, and once lost, we can never get it back. That’s why it’s so important to spend your time wisely and make sure your efforts are not in vain. In order to truly manage your money like a boss, you must be vigilant about knowing what goes in and what goes out. Having auto-bill pay is easy and convenient, just as long as you’re actually looking at the bills. It’s easy to miss a charge or charges otherwise. I recently made a call to my internet provider because a bill that is normally $50, was over two times higher, nearly $130. This HAD to be a mistake. There were charges for items and services that should have not been charged. While valuable time had to be spent calling the company, in the long run it was worth it. When all was said and done, the bill ended up being under $7. Had I not been paying attention,   I would have automatically paid the unusually high bill and that would have been the end. The point is to not be too busy being busy th...

As I mentioned in a recent post, last week I started Financial Peace University (FPU). Ever heard of Dave Ramsey? He is the creator of FPU. FPU is a course that teaches participants how to budget, how to pay off debts, how to save and give.  While not in debt, I knew the program still had lots to offer and that I could only benefit from participating.  The course follows 7 "Baby Steps". While familiar with the program and the baby steps from the books and podcast, I still learned some new things. One thing was that no matter what your financial situation there is always room for growth and room for improvement. I've become even more determined to build wealth and do what is necessary to protect said wealth, once accumulated (when, not if 😁). I went home immediately trying to think of ways to grow my emergency fund (Baby Step 3) and then focus on Baby Step 3b, which is to save 20% for the down payment of a new home. Another thing that I was introduced to wa...

The Credit Score... There are a number of factors that come into play when it comes to the credit score. While I won't go into much detail, I'd like to briefly touch on a few things. There is a lot of importance placed on the credit score, and there's plenty of reasons for that. I argue, however, that one should not be obsessed with their credit score. As long as you're managing your money like a boss, there is nothing to worry about. The score(s) tend to fluctuate and vary depending on where you look and when you check. Often times there is no need to worry.  While the image displayed above shows an increase by 9 points, 8 days later it showed a 2 point drop.  It's important no get worked up over these minor changes.  Good financial habits such as those below often lead to higher scores: Keeping Balances Low -  This means you're not carrying large balances from month to month. You're paying bills in full or paying more than just the minimum.  Cr...

Take a look at this video post on zero-based budgeting. 

You pay $200 a month for cable and have NO savings! 😟 In today's world of streaming media services, it is sometimes hard to believe that some still rely heavily on cable services and satellite TV.  Of course, sports buffs may be hard to convince, but there are other options.  The primary purpose of this post is to get into the heads of those who put nonessential services before creating a safety net for themselves and those they may support.  My goal is not to bash cable but hear me out.  If you have reoccurring services/bills for nonessentials, consider how going without ( even for a short tim e) can help you to build up savings/emergency fund.  Examples of Services and Potential Annual Savings: Service Potential Annual Savings Note Cable/Satellite $1100+ Assuming a bill of between $85 - $100 monthly. Savings will vary based on the actual amount paid. Satellite Radio/Streaming Radio, Game St...

I write about saving often because it really is important. As important, is finding the saving strategy that works for you. Everyone is different and what works for one, definitely will not work for all. The idea is to find what works for you best so that you're setting yourself up for success. I have been a big saver for as long as I can remember. There was never a time in my youth or adulthood where I wanted to spend every dime I had to my name. It's just something I never fathomed. Maybe it was fear of not having or just the comfort of having. I'm not talking huge sums of money, but from a young age, I realized the importance of not spending it all. I'd save change that someone had given me or money earned from being rewarded for a good report card. When I finally started working (McDonald's - Age 16, minimum wage) I tended to save most of each check. The amount I allocated for myself was easily less than 25% of what I brought home. In numbers, a $130 check m...

DEBT- Nobody wants it, nobody likes it, but lots of people have it. According to Debt.org , " American household debt hit a record $13.21 trillion in 2018 ".  That's a whole lot of money! So what does this tell us? This means that if you are in debt or have debt, you are not the only one. While this may not be a reason to celebrate,  it may offer some comfort knowing you're not alone in the battle to be debt free. Some may argue the benefits of "good debt", but that's for another time.  For now, it's important to focus on reducing and eventually eliminating your consumer debt.  There are many sources of debt including but not limited to the following: Credit Card Debt Automobile Loans Student Loans Personal Loans Mortgage  Medical Bills Will I ever get out of debt? As Sherman Klump said in The Nutty Professor "Yes, I can"!  So yes , YOU can ! 😉 Depending on the amount of debt you have, it's sometimes hard to...

Small amounts can add up over time.  It's easy to overlook the small ways that you can protect your finances. Here are a few tips that can help you save money that may otherwise be wasted on fees.  Bank Accounts - Find a bank account that doesn't charge fees or find an account where you can meet the minimum requirements to have the monthly fee waived. Monthly fees vary, however, they can easily add up. Instead of paying the bank, that money could be added to your savings/rainy day fund.  Car Insurance - If possible, it's ideal to pay your full car insurance premium in full. Why? Typically, when you pay monthly (or other split methods) there is usually an extra fee charged to each payment. Many people do not pay attention or notice it, but it's there. Those fees go away when you pay in full and sometimes even with a discount.  Auto Pay Discount - Some cell phone companies (and others) offer a small discount when you sign up for auto pay. You no longer have t...

YOLO (You Only Live Once) We've all heard this phrase, and it definitely holds true. Another is "Life is short". Also, but only sometimes true. While we know that we only have one life to live and tomorrow is not promised, we cannot spend every dime we have to our name today because if we are fortunate enough to see tomorrow we still must be able to "live". This is not meant to be a dark topic, but in life, we must make complicated financial decisions. Because YOLO, you may want to enjoy life to the fullest, and that you should. This, however, is not an excuse to be irresponsible. Enjoying life to the fullest does not mean blowing all of your money on fun and entertainment. Yes, you can have a social life.  Yes, you can go on vacation.  Yes, you can treat yourself. Before you do all these things, just make sure you have some sort of plan in place. Create a budget for the major categories in your life. How much do you want to spend on fun and entert...

The Potential Curse Ever been tempted to purchase an item because they promise 18 months same as cash? Or perhaps you're shopping at your favorite department store and the cashier asks "would you like to apply for a credit card and save 25% percent on your purchase today?". Desperately in need of a new car, have you walked into the dealership focused solely on getting the monthly payment you can afford? Warning!! Proceed with caution.  What sounds like a great way to SAVE money could actually COST you in the long run. The truth is any of these situations can work in your favor or have a totally opposite effect. What comes into play is interest rates. Bankrate.com defines an interest rate as: the proportion of an amount loaned which a lender charges as interest to the borrower, normally expressed as an annual percentage. It is the rate a bank or other lender charges to borrow its money, or the rate a bank pays its savers for keeping money in an account. Why d...