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You’ve been struggling to pay off your debt but these 5 tips will guide women to aggressively get out of debt in 2021!
Let’s face it. Being on a debt free journey isn’t always easy.
I’ve been there and I know so many “money gurus” recommend cutting all the fun out of your life to achieve debt freedom! They say to stop going out to eat, cut out vacations, and quit having fun.
Well, here’s the deal: In this article I’m going to show you 5 secrets to getting rid of all that negativity! I will show you the five exact frameworks that will transform your debt free journey that will make it enjoyable, successful, and will help you achieve your goals so much faster!
Follow these 5 steps to get out of debt fast in 2021:
- Know Your Numbers
- Get Your Family On Board
- Sacrifice What You Don’t Need
- Treat Your Money Like Business Transactions
- Have Realistic Goals
1. Know Your Numbers
Secret number one is that you must fully know your income and expenses, your cashflow, your net worth… all that personal finance stuff!
Okay, but really, you must be in complete control over what’s going on.
The only thing that is stopping you between your debt freedom goals and you right now, is you.
It is important to be 100% honest with yourself about your income and your expenses. This means not hiding purchases and being open with your partner or spouse!
So I know this sounds pretty basic but without honesty, this is not going to work!
If you want to achieve debt freedom in 2021, this tip is the most important. It all starts here!
Pick up your Free Life Workbook to build the ultimate foundation for your debt freedom journey!
2. Get Your Family On Board
Being on a debt freedom journey affects more than just you!
If you want success with a financial journey, you must have your family on board. This includes your spouse and/or partner, and your children.
Reason being, there is a lot of sacrifice that comes with being on a journey to debt freedom in 2021. You’ll likely give up luxuries or make different types of purchases.
If your family is not on board with your debt freedom journey, there is likely to be problems in the future. This is especially important to note if you are married and your partner is not dedicated to the goal.
How else will you keep up motivation over the many months or years that you may be on this journey?
One secret that I discovered during my own financial journey is to host regular budgeting meetings once a month. During these informal meetings you go over with your family what the last month looked like (regarding spending, income, and expenses) and what this next month will look like.
It is important to be prepared financially for everything spanning from school trips to birthday parties. Set up your sinking funds during these budgeting meetings you can be prepared!
Now, some people don’t really have a strict budget – and I’m not saying that you need a strict budget when you’re on your journey.
However, it is important to put these expected expenses into your sinking funds to avoid needing to go into debt or overuse credit cards.
3. Sacrifice What You Don’t Need
Secret #3 for women to achieve debt freedom in 2021 is to sacrifice what doesn’t matter to you in your life.
So many women on their debt free journey get rid of everything. They look at their budget or their expenses at the beginning of their journey and they think, “Wow! Look at all these things I spent money on!” Then you just get rid of all that and then you make yourself miserable.
Therefore, when it comes to this journey to debt freedom, what you need to realize is that you need to first decide what in your life makes you happy and what in your life you can get rid of.
For example, there are a lot of women who have 5 different streaming services Hulu, Netflix, Disney+ and tons of other subscriptions services.
However, considering this tip, it is important to rethink the necessity of these expenses. What can you actually get rid of, and do you really need all of those extra services?
Let’s take this to the next step. One great way to save more money each month is by changing your fixed expenses.
Check out this article about how to transform your fixed expenses to save hundreds each month!
Fixed expenses are essentially expenses such as your housing, your car, and other expenses that are the same month by month.
This method is very effective because small changes can result in hundreds extra to throw at debt, each month.
Long story short: Your debt free journey does not have to be hard!
There is no need to make debt freedom a complicated process. If you find it to be really hard, check out my FREE budgeting guide for beginners here!
You want your journey to be enjoyable and your lifestyle to not change drastically.
4. Treat Your Money Like Business Transactions
Too many people get really emotional when it comes to their money!
For example, if you’re someone who follows the Dave Ramsey method, they promote using cash for paying expenses because there’s a psychological change that happens when using cash to help you spend less!
When you view your money without the emotion tie, it changes everything for your debt free journey!
To do this, you will start looking at your income and your expenses as a math equation in order to achieve debt freedom in 2021!
When spending money, you’ll begin to simply see it as a tool. “Money in” helps you to achieve your goal, and “money out” slows down the process.
If you want to spend more money, all you need to do is look at your math equation (refer to your budget’s income and expenses) and determine what you need to change to have the money to spend.
This one secret changes your entire perspective!
5. Have Realistic Goals
If you are a woman wanting to achieve debt freedom in 2021, it is important to have realistic goals, a realistic plan, and realistic habit daily habits.
You cannot achieve a goal if you don’t first have a goal.
Goals for debt freedom must be far more than a simple “I want to pay off $50,000”!a
In simpler terms, if you don’t have a plan and you don’t have at least one written goal, achieving debt freedom in 2021 is going to be a daydream.
Without your goals, debt freedom and financial freedom will be a thought, and just that! Days, months, and years go by…
Here are a few options to improve your debt freedom goals:
- Begin with daily journaling
- Have a scheduled monthly budgeting meeting
- Write out your ultimate vision for you life 3 and 5 years ahead
The main concept with this is essentially learning that you have control.
When you know you have control, you will know that achieving debt freedom in 2021 is possible!
With this secret it’s all about having a plan and getting the habits that you need to achieve your goal!
With this in mind, I encourage you to join my exclusive community of Free Life Warriors – a movement of women who are on the same journey as you!
There’s a workbook that I have created to literally take you through this entire debt free and financial free journey. It is filled with over 200 pages of printables, worksheets, the tools you need to get your mindset and motivation on track!
Check out this link to learn more about this fun workbook! I highly recommend the workbook if you have struggled with keep up motivation, if you have gone through a cycle of keeping up with your money then crashing for a few weeks or months.
This workbook was created for you! It’s everything that I needed back when I was on my debt free journey and I know it can make a huge impact on your journey as well!
