Posted in credit repair, Debt, Finance, Life, money

Paying Off Debt Quickly Using The Snowball Method

Using this method, paying off debt can be done with fast results and skyrocketing credit scores

A lady exasperated by her debt, trying to figure out how to pay it all
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We are what we repeatedly do. Excellence, then, is not an act, but a habit.

-Aristotle

A debt snowball is not a crumpled up wad of bills for you to throw around in the snow. It is a debt reducing strategy that I learned from financial guru, Dave Ramsey. I have tried almost every financial strategy in existence and this one is the one I recommend to my financial or credit analysis clients.

Using this method, paying off debt can be done a little at a time for faster results and skyrocketing credit scores.

Step 1

Add up all of your debt and allocate them into categories such as credit cards, medical, collections, loans, etc. Then further allocate them by the ones with the highest interest rate down to the lowest. Use the method on each section or, if you can only do one at a time, start with the debt that has interest on it.

Step 2

Pay the minimum payment due on all except the one with the smallest balance or the highest interest rate. I would recommend sorting first by interest rate and then by balance to save the most money in the long run. However you decide to do it, pick the one to pay as much over the minimum payment as you can afford.

Repeat until the first debt is paid off in full.

Step 3

Repeat the first two steps over and over with the remaining debt until everything is paid off and you are one of the rare, debt-free individuals that we hear about so often.

After that final debt is cleared, you will be amazed how fast things got better for you financially and regretful for how long it took you to do it. Suddenly, you’ll be in the position to buy something that you need when you need it and use cash. Being debt free is an amazing feeling to have especially if you have almost drowned from it before.


That doesn’t sound like a big deal to some people, but I know many, many people who pray for only that circumstance to happen in their lives before they die. They just want a chance to not worry constantly about making ends meet for a few moments in their life before it’s over.

I am a definite realist and true unbeliever in fairy tales. So, please believe me when I tell you that this goal is attainable for everyone. Anyone willing to put in the work can make this happen. As with anything else, small changes and/or steps done on a consistent basis will quickly lead to great accomplishments.

My favorite financial quote has always been, “It is not how much money you earn, but how much you don’t spend that determines your wealth.” It is also a quote that I have heard from my brother 1 million times so it has stuck in my head. Which reinforces my point that anything we do repeatedly becomes an action.

Posted in Finance

How To Make Money While Making Money

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Having money in an account is nice, but most financial advisors will tell you that if your money is not working for you, then you’re losing out on wealth.

Keep your emergency fund in your regular savings account so you have immediate and total access to it. Any savings beyond that need to be put to work earning for you.

Beyond that amount in your emergency fund, put everything else in a money making venture or account. Whether that be a CD, stocks, bonds, EFTs, or just an interest-bearing savings account. You want any of your money, that’s not being spent, to work for you. It needs to grow, not lie stagnant like my heart.

Another way to make money while you’re making money, is to invest in a vending machine or other business. Be a silent investor so you don’t have to do any of the work or maintenance. Just sit back and let the money come to you. Then, put your profits in an interest-bearing account or another investment opportunity.

I also like to make money by buying a piece of furniture, flipping it and selling it for a profit. I only buy one piece at a time, so I don’t overextend myself physically, creatively, or financially. I have made good money at this. Custom painted furniture and mosaic furniture is all the rage.

COVID has affected our economy, but not all in bad ways. Now is a great time to buy real estate, if you are able to qualify. Qualifications are a little harder, but it’s a good time to buy and a great time to sell if you need to liquidate some assets.

Also, consider your education as an investment for your money. Take a class, get that degree, get that training, or just become educated. The more skills you have, the better.

Knowledge is power. I firmly believe that. The day you stop improving yourself and your life, is the day you really die.


Posted in Life

Money Taboos We Should Break

Money Taboos We Should Break
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Stop doing stupid things to sabotage your finances.

I can’t put it any more clearly. We can start becoming less uninformed, aka dumb, by breaking some of the taboos that surround the topic of money and finance.

Talk

It has been, in the past, considered taboo to talk about money.

We need to correct this now. The more we talk about money, and what does or does not work for us, the better for everybody.

And I, for one, would’ve appreciated people talking about money in high school. It would’ve been nice to learn about budgeting, saving, and earning instead of the Pythagorean theorem. I wonder how many bankruptcies could’ve been avoided if this had been implemented.

Cost

It has been considered in poor taste or vulgar to ask someone how much they paid for something.

I think that’s ridiculous because how are we supposed to know what a good deal is or if we’re getting ripped off if we don’t know what the normal baseline price is? So, when he asks, tell Tom how much that new lawnmower cost. What does it really matter? If they come asking you for money, just say no.

With this being said, I do not agree with telling people your salary or income information. That is nobody’s business but your own. Yes, I can make up my own rules. America is a democracy, but my house is a dictatorship run by me. Just ask my kids.

Marriage

Okay, ladies and men, please pay attention here. Luckily for us, it is no longer 1952 or even 1989. You don’t have to ask your husband to open a checking account, credit card, or for his input on any financial decision.

And, men, you don’t have to tell your wife about every little thing you buy nor do you have to hand your paycheck over.

I’m going to get in trouble for this comment, but all marriages work differently. You are not required to share financial accounts just because you are married. You are still entitled to your own independence and your own wealth.

My husband and I choose to share expenses, but stay out of each other’s personal accounts. It works for us. It doesn’t mean it would work for everybody. I’m well aware that marriage is an extremely complicated situation and needs to be personally built around each situation.


I cannot go back and yell at the teachers from 1993 to 1997 about not teaching me in high school what I should’ve been taught, but I can break the cycle by teaching my children about finances.

If we fix this now, the next generation will be more prepared to deal with the financial world.


Posted in Uncategorized

Three Apps That Changed My Life

My name is Kylie, and I have a problem. I’m addicted to iPhone apps. I browse the App Store every single day and download at least one or two apps. That means I have tried a whole lot of apps! I tend to gravitate toward the productivity and finance apps the most. However, I do love a good photo app too!

The other day, my son asked me which one of my million apps that I liked the best. After reflecting on this for a very long time, I narrowed my favorite apps down to the following three.

1. Digit – for a small fee, the Digit app will set aside change and save money for you. All you have to do is sign up and link your bank account and let the money pile up. A few weeks later after installing the app, check the app and you’ll be surprised to see a new chunk of savings that feels like it came from nowhere! I love, love this app. (digit.co/r/-J4tyASmH?ab)

2. Tody – I didn’t spell that wrong. My house would be a pigsty without the help with this app. It comes pre-filled with chores but you can add custom ones to fit your specific household needs. It has a meter for each chore. Green means it was done/cleaned recently, yellow means that it needs attention and red means that $&@t is dirty! This app is invaluable to a person like me who functions only with the help of list (another addiction of mine). You can find this app in your play store.

3. Long game – This one is also a savings app but it has games that are scratch off and lotto like that allow you to win money that goes into a savings account set up for you. You can set up these accounts for specific items or goals for your future. So basically, you are playing games to save money instead of playing games to lose money! I have not thrown any money away on lottery since getting this app.(refer.longgame.co/?h=kylie_AT6B8ETIYM6)

I hope these apps help readers like the apps have helped me. I will talk about the one’s that have taken all my money and ruined my budget at a later date.