Eliminate Credit Card Debt by Taking Away 10 Expenses

Eliminating credit card debt takes a long hard look at the income that is coming in each month and monthly expenses that exist. This step makes it much easier to decrease debt and free up more cash. When looking at one small cut that is made it can seem very small. However, when grouped together with several others, the difference can be significant. Below are 10 expenses to consider eliminating when the goal is to free up more money each month:

  1. Auto insurance policies – There are several ways a person can save money when it comes to automobile insurance. For those that drive around 7,000 miles each year or lower, there are often low-mileage discounted rates that can be obtained. Insurance premiums can be decreased by a large amount just by raising deductibles from $500 to $1,000. When older cars are driven, it is often much more realistic to completely drop collision insurance.
  1. Cell phones – With the wide use of cell phones, many people find a lot of money can be saved by canceling landline accounts. Rather than paying $60 to $80 each month, consider purchasing a TracFone for $9.88. The usage of these phones is paid by the minute and most of them provide great coverage.
  1. Dining out – On an average, a little over $200 each month can be saved by cutting out restaurants and fast food joints. The cost of food can be decreased drastically just by making a sack lunch to take to school or work.
  1. Satellite and cable television – While it is nice to have the extra channels that come with pay packages, there is a lot of money can be saved by eliminating this added expense. In some situations it is better to do away with cable or satellite altogether and consider renting DVDs or check out free options at the library.
  1. Transportation – There are more and more two car families that are finding it is much more cost-effective to downsize to just one vehicle. Taking advantage of things like car sharing, planning, public transportation, carpooling and riding a bike can help tremendously in this area.
  1. Relief from taxes – A lot of people have extra taxes withheld from their paychecks. While a large refund at tax time is great, it can be more beneficial to re-evaluate taxes being withheld so the cash can be used all through the year.
  1. Monthly utilities – Programmable thermostats are becoming increasingly popular because of the money they save. These devices only cost about $20 and they save as much or more than $100 throughout a year’s time.
  1. Entertainment – Before a family even realizes it a movie night can quickly turn into an expense costing close to $100 for a family of four. When finances are tight it is much better to rent a movie and have family night at home.
  1. Memberships at gyms – Gym memberships can cost a great deal of money. When people figure up how much money each session is costing them, they often realize exercising at a nearby park is much better for their finances.
  1. Dependent health insurance – In drastic financial situations some families will need to check into the possibility of obtaining federal or state health insurance coverage.

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