Okay, with a show of hands, who made a New Years Resolution to exercise more this year? Thank you! It’s now March 30, who is still exercising?
I heard a statistic once that said 50% of all New Year Resolutions don’t make it one month. Yikes! The real question is why do we find this so hard to do? What if you made a resolution to get rid of some of your debt this year? Would your resolve outlast the balance of your debt?
There may be a few different approaches to consider and so, above all, don’t get discouraged! Get back in the game because the good news is you can be debt free. All you have to do is tip the scales in your favor and make a realistic plan and stick to it. I know this is easier said than done, but it’s possible.
Let’s get Real
Research studies show that only 12% of the most optimistic resolution participants actually achieved their goals. Men achieve their goals 22% more often when they set specific goals (by defining how much of what by when), while women succeed 10% more when they make their goals public and get support from friends. That’s right, you go girl!
Be Realistic
I suspect those who found success set goals that were achievable. You want to be totally out of debt by Thanksgiving? Really now, did you want to look like a swim suit model by June too?
Don’t take a bite bigger than you can chew (not saying you might not look like a super model). Take a moment to make plan – be realistic and assess the situation. How much debt is there and how money is coming in to realistically get rid of it?
Track Your Spending
As the late great Johnnie Cochran might have said, “If you can’t inspect it, don’t expect it.” If you don’t know where your money is going, how can you possible control it and expect to reduce your debt? My suggestion is to get involved with your financial affairs, even if your spouse pays the bills. We offer a free spend tracking solution called FinaceWorks that I would highly recommend you use.
Save Money
Would an extra $1,500 help you out this year? See my blog about 10 ideas to spend less money. The ideas in the post won’t change your lifestyle, but they’ll get you some cash on the debt free side of the scale.
Also, be prepared to make some hard choices. It may be the best thing for you to do is to focus your energy and time on fewer things. How much time do you spend using your camper, boat, motorcycle, bicycle, 3rd car, second home, camping equipment, guitar, pottery kiln, woodworking shop, etc.? You get the picture. It may be time to liquidate some things you really don’t need anymore.
The key here is to assess the situation, make a plan, set realistic and appropriate goals, track and stick to the plan.
Good luck and please let us know if we can help along the way.
About the Author: Troy Martens is the vice president of consumer and real estate lending for Truliant.
