Christmas Debt Blues

Hopefully you didn't go overboard and get into debt when shopping for Christmas gifts this year. But if you did, no need to fret. Here are 6 simple steps to help you eliminate that debt.

1. Return any unopened items you purchased for yourself.
2. If you received a gift you don't want donate to charity and write it off on your taxes for 2007 or return the item to the store and use the money you get back to pay towards your debt.
3. Write a list of your monthly expenses and find ways to reduce them, i.e. reduce your cell phone plan, cancel some unwatched premium cable channels, bring your lunch to work, rent movies from netflix instead of going to the movies, etc.
4. Use the extra money obtained from reducing your expenses to pay down debt.
5. Be conscious of how your spend your money during 2007.
6. Buy Christmas gifts throughout the year when items are on sale instead of waiting until December 2007. That way you will save money and won't feel the sting of buying many gifts at one time.
7. Bonus Tip: Buy my book, How to Get Out of Debt: Get an "A" Credit Rating For Free, ISBN 1933949430, as a gift to yourself for less than $20. My book will teach you how to reduce expenses, save money, create a spending plan and eliminate debt. You can purchase it today at Amazon.com, Barnesandnoble.com, Booksamillion.com, and Waldenbooks.com.

Good luck to you in 2007 and I wish you a prosperous New Year!

When Will You Decide to Change Your Spending Habits?

I was recently talking to a woman who is unable to pay her necessity bills (utility, car note, car insurance, food, gas for car, etc.). She is working but is not making a lot of money. I wonder at what point does a person say enough is enough. I am tired of being broke, busted and disgusted. Are you tired of having no food, living paycheck to paycheck, charging groceries and gas, unable to pay for basic necessities?

Times are hard and you have to wake up and realize that you have to change your mindset if you want to stop living paycheck to paycheck. There are many ways to save money and reduce basic expenses. First you have to decide if you want to live a better life, if you do then you have to change the way you think about money, spending money and saving. Saving money is your safety net, your emergency fund in case you get sick or lose your job you can use your savings to hold you for a few months until you can go back to work or get a new job.

Even if you are not making a lot of money you can still save money and reduce your expenses. Here are 10 tips to help you reduce expenses:
1. Cancel you cable service or reduce your services to basic and/or expanded basic service.
2. Reduce your cell phone service down to the cheapest plan and don't use the phone until non- peak time when the rates are free.
3. Turn off lights, televisions, computers, etc. at home when you are not using them.
4. Bring your lunch to work.
5. Catch the bus, subway or carpool to work. If you don't mind walking walk to the subway or walk to the next subway stop (saving a few cents now will add up later).
6. Have a yard sale to sell things you haven't used in the past year.
7. Donate things you aren't using anymore or didn't sell at the yard sale to a charity (you can write the donations off on your taxes).
8. Donate that old abandoned car in the garage to a charity and write it off on your taxes.
9. Shop at superclubs such as Costo, BJ's or Sam's Club.
10. Use coupons when grocery shopping.

This is just a sample of the information I provide in my debut self-help book entitled, How to Get Out of Debt: Get an "A" Credit Rating for Free Using the System I've Used Successfully with Thousands of Clients available online now at Amazon.com and all bookstores in Dec. 2006. I hope these tips help you lead a better financial life!