Debt is one of the scariest words for adults.  Between mortgage payments, student loans, and credit card debt it can feel like you will never get ahead or see that zero balance ever appear.  Budgeting seems to be the only way to go, but if you are like me creating a budget doesn't always help or it can be hard to stick with. Don't be discouraged- You can budget.

How to Create a Budget

1. Create a spreadsheet with your monthly expenses and include a space for your monthly income. 

2. Review expenses versus income ratio- if you are spending more than you are making cut out expenses you don't need.  

3. Determining what you can go without- My family cut cable television, having a landline phone, and cut back on eating out. 

Cleaning Up Credit Card Debt

1. Organize your credit cards by highest to lowest interest rate- Pay the highest interest rate ones first.

2. Pay more than the minimum payment- You may not be able to do it all of the time but add an extra $5.00 to each payment and it tackles the balance quicker than paying the minimum.

3. Do not use the credit cards as you pay on them.  Keep them for emergencies.  If you have more than one cancel it once paid off.  This boosts your credit score and will help to obtain higher credit limits for emergencies. If you want to learn how to monitor your credit report, read this: Is Chase Credit Journey Accurate?

4. Make sure to review your statements- sometimes charges applied are not accurate- I had a credit card company enroll me in a program that adds charges to the card if I fall on hard times so they are covered.  I did not authorize this and kept seeing my balance go up instead of down. I reviewed all of my statements and found this extra charge.  I was reimbursed over $2000.00.

Just remember there are steps you can take to see the end of the debt tunnel.  

What steps have you taken to get out of debt?

Any advice you can share?