Direct debit add a few extra dollars.
If you’re saving, hide your savings (like in commbank, turn off the account in the settings menu) so you don’t know how much there is. Transfer funds in and you’ll forget they’re in there if you can’t see it.
Spend less than you earn!
Scour bargains before grocery shopping and plan your weekly menu around it. (Like I spent $130 this fortnight for 2 people, but I’ll still need bread, milk, fruit, vegetables next week but all the staples are purchased)
My fortnightly food budget is $250 for groceries and “going out” (again, there’s only 2 of us so I eat left overs dinners most of the week either usually from the freezer)
Anything I haven’t spent on groceries goes straight onto my mortgage.
I place weekly bill money into my savings account (which offsets my mortgage) so when my bills are due the money is there and I have saved a few dollars of interest on my mortgage.
I live tight, I’m a sole income earner. I only have a Netflix subscription and an Apple Music subscription.
When tax time rolls around, If I get a return I split it 3 ways;
1. Savings (my offset account)
2. Mortgage
3. Circus money (yep; whatever I want to buy!!)
And if you have debt, call the company and ask for a lower repayment rate or lower interest rate. Often they’ll say yes and drop it slightly. Means you’re saving money and can pay it off faster. Pay your debts weekly or fortnightly instead of monthly. Easy way to sneak in extra repayments.
Pay off the higher interest rate things first; unless you need to feel like your gaining momentum, then start with the smaller interest rates, then once that’s paid off, move that money to the next debt snd so on and so forth.
Cut up credit cards (or use only for emergencies).
Start small, an extra $10 a week can make a huge difference.
Eat at home, prepare lunches at home and give up any takeaways such as coffee that can be made at home cheaper (buy a reusable coffee cup, my $10 one has saved me hundreds in morning coffee runs)
Contact all the debtors. Tell them you're in a bit of strife but want to get it paid, ask if they can freeze or lower any interest rate or fees applicable to give you a head start. They don't want you to default, most will work with you.
Pay yourself 10% of your income first. This will build up to your "emergency fund" and once that is in place you will kick start your savings. Don't touch it. Park it in a high interest earning account (or I wait until it hits 5k and transfer to my mortgage to reduce the interest there). If you throw absolutely everything at your debt you have nothing to get you out of those sticky spots where the car won't start or the kid needs braces.
Pick the smallest debt. Pay the minimum on everything else and smash that one out. After you've put aside a little for weekly expenses put every last cent on it you can.
When it's paid, go to the next smallest and pay the minimum plus what the repayment was on that smaller debt you just finalised - more if you can, but definitelyno less. The smallest means a quicker win, pays out the fastest and you get that feeling of knowing it's achievable. That feeling is what drives you through the bigger ones.
I got myself into debt with a personal loan, and 2 credit cards. I know it's not a huge debt but at the time it was a big strain on my finances. I contacted my bank. They consolidated my debts at a much lower interest rate dating about 70% in interest.
3 Replies
Direct debit add a few extra dollars.
If you’re saving, hide your savings (like in commbank, turn off the account in the settings menu) so you don’t know how much there is. Transfer funds in and you’ll forget they’re in there if you can’t see it.
Spend less than you earn!
Scour bargains before grocery shopping and plan your weekly menu around it. (Like I spent $130 this fortnight for 2 people, but I’ll still need bread, milk, fruit, vegetables next week but all the staples are purchased)
My fortnightly food budget is $250 for groceries and “going out” (again, there’s only 2 of us so I eat left overs dinners most of the week either usually from the freezer)
Anything I haven’t spent on groceries goes straight onto my mortgage.
I place weekly bill money into my savings account (which offsets my mortgage) so when my bills are due the money is there and I have saved a few dollars of interest on my mortgage.
I live tight, I’m a sole income earner. I only have a Netflix subscription and an Apple Music subscription.
When tax time rolls around, If I get a return I split it 3 ways;
1. Savings (my offset account)
2. Mortgage
3. Circus money (yep; whatever I want to buy!!)
And if you have debt, call the company and ask for a lower repayment rate or lower interest rate. Often they’ll say yes and drop it slightly. Means you’re saving money and can pay it off faster. Pay your debts weekly or fortnightly instead of monthly. Easy way to sneak in extra repayments.
Pay off the higher interest rate things first; unless you need to feel like your gaining momentum, then start with the smaller interest rates, then once that’s paid off, move that money to the next debt snd so on and so forth.
Cut up credit cards (or use only for emergencies).
Start small, an extra $10 a week can make a huge difference.
Eat at home, prepare lunches at home and give up any takeaways such as coffee that can be made at home cheaper (buy a reusable coffee cup, my $10 one has saved me hundreds in morning coffee runs)
Contact all the debtors. Tell them you're in a bit of strife but want to get it paid, ask if they can freeze or lower any interest rate or fees applicable to give you a head start. They don't want you to default, most will work with you.
Pay yourself 10% of your income first. This will build up to your "emergency fund" and once that is in place you will kick start your savings. Don't touch it. Park it in a high interest earning account (or I wait until it hits 5k and transfer to my mortgage to reduce the interest there). If you throw absolutely everything at your debt you have nothing to get you out of those sticky spots where the car won't start or the kid needs braces.
Pick the smallest debt. Pay the minimum on everything else and smash that one out. After you've put aside a little for weekly expenses put every last cent on it you can.
When it's paid, go to the next smallest and pay the minimum plus what the repayment was on that smaller debt you just finalised - more if you can, but definitelyno less. The smallest means a quicker win, pays out the fastest and you get that feeling of knowing it's achievable. That feeling is what drives you through the bigger ones.
I got myself into debt with a personal loan, and 2 credit cards. I know it's not a huge debt but at the time it was a big strain on my finances. I contacted my bank. They consolidated my debts at a much lower interest rate dating about 70% in interest.