How to Prevent Debt
My dear Thinette
Don’t lead my into temptation!
Do you really need or want the stress accompanied by not having enough money till the end of month. You might need more fuel in the car to get to work or can’t buy food, etc? Then you might not have a money problem my dear … it could be an income problem! Let’s try and solve it.
Having the freedom you gained with age, brings new-found excitement. You are free to do what ever you want to.
It can at the same time lead you into many temptations. Seeing many of the goods you always yearned for and it is possible now to lay your hands on them, as long as you take responsibility for you actions, it is good.
The urge to buy what you see and want, can cause much grieve and stress when falling into the debt trap. To avoid debt is the outcome everybody wants. To be able to live a debt free life you need good planning.
In this letter we are going to give you tips and hints to guidance you to solve the problem to Become Debt Free.
It will not be the end of the world being in to debt, pick up the pieces and be wiser from the experience.
No no … money is not the monster my dear. The way you manage money or rather the lack of management makes it the monster.
It can ruin your life when landing in debt. The worst thing that can happen to you is falling into the claws of the law.
You are so dear to me, I never want this to happen to you. This letter is to help you prevent seeing the inside of these offices.
Rules to Get Debt Free.
SPENDING LESS THAN YOU EARN.
Try and buy less and less every month. There are many things you buy that are not necessary.
When confronted with a desire to buy, think twice and make sure which will benefit the most, the money staying in your pocket meaning sooner financial freedom or the WANT that is gone by tomorrow and make you poor for the rest of your life.
Make it a rule, listen to the little voice sitting on your shoulder, buying less, and see how it accumulates my darling.
MAKING THE FATAL MISTAKE TO BUY MORE THAN YOU EARN WILL KEEP YOU POOR YOUR WHOLE LIFE. GET RID OF THOSE BAD HABITS.
Not just the young people are guilty of it, but adults who wants to compete with the Jones’s next door falls into this trap too. Being lazy and in the social spiral can drain your funds.
Buying Take-Away and Alcohol are the culprits most people are guilty of. Don’t deprive yourself, but just do everything in moderation. Have a fixed budget according to planning for both those items per month and stick to it.
Without proper planning and discipline when you are earning, you will live from pay check to pay check for the rest of your life and never fulfill your dreams.
Your big dreams are possible to reach with good planning, discipline and dedication. Do it from the start and you will reach your goals much sooner than the rest.
Patience and persistence are the keys to achieving.
It is important to realize a birdie fresh from the nest can’t fly like an eagle. You have to start at the bottom like everybody else and not where your parents are when you left the nest.
Build up your little kingdom step by step to the big Empire you want it, but it is essential to success. There will be times that all is not what you want it to be, just keep going and it will smooth out.
KNOW WHAT YOU WANT
It is time for new habits to fit your dreams and goals. Out with the old lazy habits from your lifestyle as a kid, it will not suite your new life and dreams.
Feeling comfortable for too long is never a good thing. Find new challenges to enhance your exciting life.
• Plan the spending of your money wisely. Planning is the golden rule my love. Find the pivotal point in your life when you realised the value of money and what money means to you. That will help you decide what you want for your money.
Mine came when I was 7 years old. On our way to our annual holiday I left my pretty little bag with all my holiday money in at the table when we left. Needless to say we never found it. My dad was very strict and did not give me more money, I had to learn a lesson. This is when you get to know the meaning of tough love.
Does it mean comfort, luxury, necessity or will it be the vehicle to your dreams? Have a plan of action for the rest of your working life, to fulfill those goals.
• Never waste money. Be honest, we all are guilty of throwing away food, still usable stuff and clothes from a sale. Tell me will you tare up paper money and throw it in the dustbin?
• Have respect for money and it will come to you in abundance. No, not by magic my dear, but by realising the importance of every cent.
• Greed and Envy are two evil monsters as a result of money. Avoid them like the plaque my love. It should never bother you what others own or have. You don’t want to know how deep in dept they are, owning what you envy.
It is best to mind your own business.
Everybody has NEEDS and WANTS.
NEEDS are necessities you cannot function without.
WANTS are what your heart desires.
Never buy on the spur of the moment and never buy what you cannot afford. Make a choice that will fit your purse and budget. Be patient … your time will come but you are not there yet.
STEPS TO SUCCESS
Start off on the right foot, find a foolproof method and try not fall into bad habits ruining your future.
PAY YOURSELF FIRST.
• Have you heard of the saying my dear? It means what it says, in plain words SAVINGS.
Every month when you get paid a salary, have a debit order or do the payment yourself via Internet into a one way savings account. Never have the card of that account around, keep it in a file or better still cut into pieces.
This is money you will never use till your retirement day. Then it might be a million or two to add to your retirement funds.
Just pay and forget! So many older people on pension do not have enough funds to survive. Please prepare for that day.
• To reach your goals you have to climb the steps of success. Getting onto the first step is by helping other people in need. You might be struggling yourself, and have to get assistance from time to time, but by helping someone in need is the first important step.
• With that you distance yourself from your situation of inferiority, by getting out you are building your self-esteem.
You are getting on to the first step of the ladder to success when focusing to help others. You will have a positive feeling that brings new-found confidence.
• The next step is to stay out of Debt. Some people brag about strings of credit cards hanging from their purse. Don’t be fooled my dear those banks owns all their money and they have to beg for some every month.
• If you have a credit card with a limit, never use it to go into debt. Give your employer your credit account number to deposit your monthly income into. Use it as a debit card to purchase, this way you will always be aware of your limit and will save on interest too.
• Pay all your monthly responsibilities with the card, yourself first, your house rent, water and electricity, medical aid, insurance, car payment etc.
In the beginning, until you have formed new habits, decide how much money you will need yourself for personal use and draw your personal money cash.
• Divide it into four equal amounts and put in four envelopes marked week 1, week 2, week 3 and week 4. Every week just use what is in the envelope. Don’t feel tempted to ‘steal’ from the next week or go into debt for a Want.
• The media plays a major role to get you into Debt and the Banks make it so easy to get an over draft. Don’t fall into their money making ploy love.
They add almost and sometimes more that 20% interest on top of the amount you pay, and after months of down payment you pay almost double for the same item.
It becomes a bottomless hole where your money disappears into, leaving you with nothing in the bank.
• Have this golden rule:
NEVER BUY FOOD OR CLOTHES ON ACCOUNT
It is long gone and you are still paying …. bad choice!
Here is an idea. Go on a PHOTO shopping spree with a friend. Take some photos of the stuff you like in the shops, even try them on and let her take a photo. Sit on a couch and take a photo.
Go home and look at all the photos, see what you look like in the top or pants at a neutral place, and make an informed choice according to your budget. You will be impressed and proud of yourself.
When is something a responsibility? It is when something or somebody is placed in your care to give shelter, feed and to clothe, you have to look after their well-being.
If you have a pet, it is your responsibility to clean after them, feed, love and care for them. Take them to the veterinarian when they are sick.
Will you have the money to take on that responsibility my dear? If not, don’t do it how cute it might be, rather go and visit a friend with a cute pet.
Think ahead! Honour your responsibilities no matter what!
My Dear, know what the goals for your hard-earned money will be.
• Do some proper planning though you never have learned it. Have a plan for the future of your money. Start at your end goals, know how you want to live when you have my age and how are going to achieve it. How will you plan the journey.
• Set a goal for every five years, plan how you are going to meet that goal. Will it be with more official studies, self studies, extra relevant courses at work to enhance your position, become an entrepreneur on Internet having a website to market products and writing blogs?
You will know best, make a study and ask help if you are serious, and I do hope you will.
Find the purpose for your money, enjoy a bright future knowing where and how you are going to, and why! Make a decision and Take Control.
•Start saving money from your first pay check. Putting money away at least 10% of your monthly income is ideal. Remember it is still your money but not for everyday use.
• Never buy what you can’t afford. Stay with in your limits. Pass all you buy by the NEEDS and WANTS test. Treat yourself once in a while if it is within your budget.
•Know what you want from your money. Find your goals in life and do some proper planing. Stick to your planning, kick into survival mode for future success my dear darling Thinette.
Find your purpose of why you what to work for the next 40 years? Either working for someone else or for yourself.
How are you going to plan your schedule and finances.
When will you have a Debt Free Life?
Following these guidelines my dear and you will have the debt trap solved. Follow these 7 rules to financial freedom. It is so much easier to solving it, try your best not to fall into this deadly trap my dear!
If you still have not enough money after this exercise, you have an Income problem Love. Either improve your skills to earn a better salary or find another job. You can’t go on like this , it will land you in deep trouble.
Love you and wishing you all the best for the success you want to achieve.