If you’ve ever been deep in credit card debt you’ve probably dreamed of just starting over and living the cash only lifestyle. It’s never too late to start. Here’s a few tips on how to get it done.
1. Create a budget. You’ve got no choice. You can only spend what you earn. So make a list of all your necessary expenses and your bills. Then see how much you have left to spend and/or save.
2. Coupons. When you live cash only, you tend to look at prices more. This happens because you see the financial impact of your spending immediately. Thus you look for coupons and discounts more because you want as much cash left in your pocket as possible.
3. More money. Living the cash-only lifestyle means no more paying interest, no more annual credit card fees, no more late payment fees and no more overdraft fees.
foobar on 01/11/11
That’s just the beginning of the benefits of living with cold hard cash. I’ve not used a check of credit of any kind in over 20 years. Everything I own is paid for and I have no mortgages and have zero debt. Last fall I purchased 2 houses at auction and have restored them into rental properties. The cash just keeps flowing in after a certain point and it took me years got get out of heavy debt back in the 80′s. That’s when I learned (the hard way) cash is the only way to go. If you don’t have the money available to you from your earnings, don’t spend what you don’t have. While it does take a bit of adjusting, the payoff is soon apparent.