Chibson1
Valued Contributor
Avoiding debts is one of the ways in which you can use to achieve financial freedom in life. It is quite unfortunate that a lot of people are addicted to Debts and this has actually made their financial lives stagnant.
There are some certain steps in which you need to take with a lot of precision and determination in order to avoid them or get out of it. Some of them includes;
Always make a budget: The importance of making a budget cannot be underestimated. Budgeting helps you to regulate the amount of money you spend and therefore, it will always help you to not to leave above your means.
People who do not make budget always end up spending money they do not plan to spend. But when you make a budget and your back it up with some some level of discipline you will not spend more than your budget.
Live within your means: Living within your means is one of the best ways in which you can use to avoid debt. People who always live above their means always end up accruing debt for themselves which may do a lot of harm to their financial lives on the long run.
So therefore, you must try as much as possible to live within the amount of money you make on monthly basis. If you make about $100 for example you can put 30% into your savings and 30% into investment and use the remaining to live Your Life. this strategy has actually been working for me and I think it will also work for you too.
Save for emergency: Aaving for emergency is very important and necessary. The reason is because we may not predict the events that may occur to our individual lives but when we have some level of savings we will not go into debt. We may not have any reason to borrow from others.
There are some certain steps in which you need to take with a lot of precision and determination in order to avoid them or get out of it. Some of them includes;
Always make a budget: The importance of making a budget cannot be underestimated. Budgeting helps you to regulate the amount of money you spend and therefore, it will always help you to not to leave above your means.
People who do not make budget always end up spending money they do not plan to spend. But when you make a budget and your back it up with some some level of discipline you will not spend more than your budget.
Live within your means: Living within your means is one of the best ways in which you can use to avoid debt. People who always live above their means always end up accruing debt for themselves which may do a lot of harm to their financial lives on the long run.
So therefore, you must try as much as possible to live within the amount of money you make on monthly basis. If you make about $100 for example you can put 30% into your savings and 30% into investment and use the remaining to live Your Life. this strategy has actually been working for me and I think it will also work for you too.
Save for emergency: Aaving for emergency is very important and necessary. The reason is because we may not predict the events that may occur to our individual lives but when we have some level of savings we will not go into debt. We may not have any reason to borrow from others.
