Paying off debt is a serious challenge. The problem is that you can’t stop your other bills while you are working on reducing or eliminating your debt.
This means you need to do one of two things in order to pay off debt faster and get back on track financially – either make more money, or reduce your bills. This article is going to be focused on the latter of those options.
By doing your best to cut the three bills included below, you can redirect more of your income toward eliminating that pesky debt once and for all.
The Infamous Gym Membership
Having a gym membership that you don’t use is almost like a running joke among many adults – but the money that is wasted is no laughing matter. If you pay $50 per month to maintain a gym membership, and you only use that membership once or twice per month at most, you are wasting money.
Some quick math will tell you that $50 per month adds up to $600 per year, which would have been a nice amount of money to apply towards your debt. There is nothing wrong with a gym membership if it is being used regularly, as it can be a great way to stay in shape. However, if your gym card never comes out of your wallet or purse, consider cancelling and using that money to cut into your debts.
The Cable Bill
It can be difficult to cut the cord on cable. Most people are used to having hundreds of channels available at the push of a button, so cable is a bill that many people pay automatically each month without even considering an alternative.
However, you might be able to consume the same programs that you currently watch for less money through other methods. With subscriptions to services like Netflix and Hulu, it is possible to watch many great shows for a fraction of the cost of cable. Another option, like the Amazon Fire TV Stick, allows you to pay a one-time $39 fee and you get access to tons of content. It is important to note, however, that this plan won’t work for everyone, as things like live sports might require a cable (or satellite) subscription.
Dining Out Bill
This isn’t a ‘bill’ in the traditional sense, but it can cost you just as much money as some of the other monthly bills that land in your mailbox. The habit of going out to eat multiple times per week is something that many people can’t seem to break – and it is costing them big time at the end of the month.
When you look at your monthly budget, be sure to evaluate how much of your money is heading to restaurants. If you are going out more than once or twice per month, your budget would greatly benefit from a reduction in meals out on the town. Generally a meal eaten in a restaurant, even when you try to be frugal about it, will cost you double what it would cost to eat similar food at home, so the savings can be huge when you start to add it all up.
Have you cut any of these bills to help pay off debt faster? What else have you given up to help pay off debt faster?
Photo courtesy of: Icb