This is week two of our month-long Four Principles of a Debt Free Life Series! Throughout the month of January 2016, we’re covering each of the four principles we wrote about in 4: The Four Principles of a Debt Free Life. On today’s Queer Money, we’re discussing the second principle of living a debt free life, live below your means.
Week two’s free tool is the Debt Free Guys’ Spending Analysis Worksheet, which is a plug-n-play spreadsheet that mirrors the very first exercise we did to get out $51,000 in credit card debt. You can get your free Spending Analysis Worksheet here.
Principle Two: Live Below Your Means
Live below your means, sounds outdated and old fashioned, but it’s critical to getting and staying out of debt and achieving financial success. On this Queer Money, we talk about how this principle affects everyone, rich and poor, black and white, gay and straight and everyone in between.
Live below your means is such a powerful principle that it brings down many seemingly successful movie, music and sport stars. We share examples of celebrities who famously lost all their riches because they didn’t follow this principle.
We share several keys we learned about how to live below your means while we paid off our $51,000 in credit card debt. We discuss several tricks to help you start to live this principle today.
When We Didn’t Live Below Our Means
We were two thirty-something financial services professionals making decent money, telling people how to manage their money and living in a basement apartment and buried in credit card debt. It wasn’t until we started to respect this principle that we turned our financial lives around.
Don’t forget to download your free copy of the Spending Analysis Worksheet. Once you complete this exercise, you’ll be able to get your spending in order, or close to order, to being achieving your financial goals.
Other articles for you:
- 7 Habits to Make Your Day More Efficient and Money Conscious
- Teach Yourself to be Rich
- Got Money Problems? We’ve Got Solutions.