Debt Free Life Hacks: Managing Money Like a Boss

When it comes to expenses, there are things we have control over and others we do not. The key is eliminating unnecessary expenses whenever possible. Unnecessary expenses are those that we do have control over and that we bring on ourselves. I knew someone who would rent movies from the Redbox and forget to return them. She'd end up having to purchase them. While renting the movies is somewhat inexpensive if you keep them longer than the agreed-upon time, you could end up with some hefty fees. For each day that you keep a rental, you are charged an additional daily rental rate plus tax(if applicable). There is a maximum rental period for each type of rental. When you reach the maximum rental period, you're then charged the maximum charge.  This means that a $2 rental could end up costing you up to $70 dollars ($29.75 for a DVD, $34.00 for a Blu-Ray Disc, and $69.00 for a game). Yes...you read that right. Talk about unnecessary expenses! Just think if you had multiple rentals ...

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...

Check out this week's video post on zero-based budgeting. 

Start yourself off with a clean slate, start each month with a clean slate. $0 Balance Due It's a new day, a new week, a new month. How's your slate looking? Are you carrying a lot of debt over from month to month? 😢After paying your rent do you still have lots of expenses crying for your attention?🙋 Today's post will share a technique I use to start of each month debt-free.  I keep a monthly budget; using zero-based budgeting(Put simply this is you telling your money what to do: Current Month's Income - Current Month's Expenses/Spending = $0 ). I typically update my spreadsheet weekly (sometimes biweekly...trying to do better) with the recent purchases and payments. This helps keep me on track and lets me know how much I have left to spend in each category.  If I see that I've spent 75% of the grocery budget and it's only week 2 of the month, there is a problem and I need to carefully watch my spending in that category for the rest of the month...

When you know better you do better! First, I would like to commend you for visiting this blog and reading this post. Why? It says a lot about who you are and your interest in your finances. A big part of " Managing your Money Like a Boss " and being debt-free is knowledge. If you're reading this, that means you're actively learning and growing or reinforcing the knowledge you may already have. Have you ever heard the phrase "Knowlege is power"? It's true. Now, knowledge without action/activity is somewhat useless, but acquired knowledge gives you the power to make informed decisions.  When it comes to managing your money, you want to be knowledgable and in power. The best way to do this is to learn as much as you can about finances, budgeting, money management, debt management, investing, etc. No one expects you to be an expert in all topics, but knowing a little something can take you far.  Here are some ways to increase your financial know...

Do you live to work or are you working to LIVE ? Are you living or just existing?  I work to live. I enjoy work and my contribution to society and the world, but work is not all there is to life. Life is for living and it is important to live life to the fullest.  Few of us are fortunate enough to have the option of not working. Work is just a part of life, but I argue that work should not be life. While a job pays the bills, there truly must be a balance.  If the budget is tight or money management is not great, one can get into the "I need my job " mindset.  This is a dangerous mindset because everything you do becomes about the job and survival. Individuals begin to put work first at the detriment of themselves, their health, their families, their relationships and more. While I am grateful for every job I've held and while the income earned allows me to provide for myself, not once have I ever felt tied down by any job.  The point I'm making is that ...

Traveling shouldn’t break the bank... While recently watching a movie, a husband and wife were taking a trip to Europe. The wife asked her husband if they could afford the trip and the husband responded that they could, reminding her that he would be getting raise later that year. 😮 That’s not the ideal approach to travel. Have you ever heard the saying, “don’t count your chickens before they hatch”? That’s a prime example of spending money before you have it. In the past, I’ve been promised a nice sum of money for services rendered and never received it (ouch...still hurts😐); had I already spent this money, I would have been in quite some trouble. Traveling should be fun and exciting, and it doesn’t have to break the bank.  Ideally, prior to traveling you would have had an opportunity to save and budget for your trip, but even so,  that doesn’t mean you should be reckless with your hard-earned dough $$. Coming home with some extra cash is NEVER a bad thin...

I'm sure we've touched on this in other posts, but this week I want to talk about the importance of having an emergency fund. Trying to save money when you're drowning in debt is unlikely, but once you can start putting money away, you want to make that a priority. Show me what you're working with. Are you living within your means?  First review your expenses. Do you know what your total expenses are each month?  Next, calculate your net income. How much are you bringing home?  Now, do the math. Subtract your expenses from your income. Do you have a positive or negative balance?  If you have a negative balance, it's important to carefully examine your expenses.  If you have a positive balance, that's great. There still may be room for improvement, but you're definitely on the right track.  Track your spending for a few months. This will help you get a clear picture of what's going out to what is coming in. Create a budget - Once you ...

Got a big bonus? Bills lower this month leaving you with some extra cash? Money burning a hole in your pocket? Wait just a minute!  As consumers, we are constantly bombarded with advertisements, sales, deals, and ways to spend our money. It's easy to get sucked into the moment and go spend crazy... especially when you have some extra money floating around.  Who doesn't love a great deal? I know I do. What is important is knowing when to buy and when to walk away. Sales come and go (SERIOUSLY), but with many advertisements crying "last chance", "lowest price of the season", and other calls to action, it makes it somewhat hard to resist.  The truth is, no matter how good the deal is, if it's something you did not want/need or wasn't on your infamous wish-list, it's still money unnecessarily spent.  I was once the person who received a coupon and just HAD to use it. I would sometimes force myself to find something to buy just to use the coup...

Should have, would have, could have…often these sayings are just a waste of energy.    In life we have choices and for every choice we make there are consequences. When we do things and consider the intent, it really can make a difference in how things turn out.   When you pull up to the drive-thru and order the super-sized, double bacon cheeseburger and then get home and say I “should have” gotten a salad, you’re not being true to yourself. You understood the consequences but made that choice anyway.   We   must   learn to live without regrets,   decide   and then fully commit. If there is doubt, then rethink your decision before committing. If you want a burger, but you’re really committed to los ing   weight (your intent)…DECIDE not to get the burger. Trust your gut and don’t get blinded by what sounds good in the moment.   What does any of this have to do with me saving money?    If you...

I was chatting with a colleague during our afternoon walk and we discussed her AC needing to be repaired and the possibility of it needing to be replaced at some point in the future. Her hope was that it would be years down the line before it would need replacing stating she did not have $5,000 to replace the entire system. My recommendation? Start preparing now. Do some research, price the parts and labor and then start saving specifically for that expense. Do it before you need it so that when it does go out completely you won't have to go long without air, scrape to find the money, borrow the money, or add it to a credit card that's already close to being maxed out.  Even if she doesn't have the full amount saved by the time it goes out, something is surely better than nothing.  This method can work for just about anything. You begin with the end in mind ( a strategy for course design that happens to work in other instances ). Decide what you want, how much it cos...