The Secret To Eradicating Debt From Your Life - Ep. 164

Mar 27, 2019

This week, we’re talking about the importance of unloading your debt before you transition into retirement.

One of my all-time favorite quotes is from Mark Twain. He said: “The secret to getting ahead is getting started”. What I love so much about this quote is it’s simple truth. As humans, we are naturally opposed to change. Especially if that change is difficult - like making sacrifices to eradicate debt from your life. But Twain was right - the SECRET is just getting started.

So how do you get started on eradicating debt from your life?

The answer is surprisingly simple.

Oh, and by the way, how you get started isn’t dependent on if you have a little or a lot of debt. You might just have mortgage debt. Or, if you’re like many Americans, you’re swimming in debt. Your mortgage will be paid off when you’re 104. You have 2 car payments that if we’re being open and honest here you really can’t afford, and you have a few thousand dollars of high interest credit card debt that you’re paying a whopping 24% interest rate on.

The first step in getting started is to take inventory. And this shouldn’t take you too long, so you don’t have an excuse not to do it.

Here’s how you take inventory: Get out a sheet of paper and create 3 columns:

• First column - Name of the debt. Is this a Macy’s credit card, a car loan, your mortgage? Whatever it is, list all your debts by name.
• Second column - next to each debt, write the current balance that you owe
• Last column - write down the current interest rate. Is it 2%, 12% or 22%? Whatever it is, write it down.

All done! See, that wasn’t so hard, now was it?

That’s it for today! Thanks for listening. Tomorrow, I’m going to explain 2 popular debt reduction strategies that you can choose from, once you’re finished with your inventory.

My name is Ashley Micciche and this is the One Minute Retirement Tip.

----------

>>> Subscribe on iTunes: https://apple.co/2DI2LSP

>>> Subscribe on Amazon Alexa: https://amzn.to/2xRKrCs

>>> Check out our blog: https://truenorthretirementadvisors.com/blog/

----------

Tags: retirement, investing, money, finance, financial planning, retirement planning, saving money, personal finance, wealth management, rachel cruze, getting out of debt, debt snowball, debt avalanche, amortization, amortization schedule, debt free, debt free living, debt free calculator, debt in retirement, dave ramsey, total money makeover