Posted in Finances, Household

How to Make a Plan to Pay Off Debt


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Debt comes in many forms. Mortgage, auto loans, personal loans, credit cards, and medical bills.

If you’ve accrued debt it’s easy to say that you’d love to pay it off.

That’s easier said than done, for most of us. Especially when mortgages run in the 100 thousands, auto loans in the 10 thousands, even personal loans range from 5-20 thousand.

For mortgages, auto loans, and higher personal loans it’s easier to just stick with the payments set by the financial institution and pay it off over time.

You can, however, pay toward principal when you have extra money available, which will help pay your debt off a little faster. To do this, just make another payment after you’ve made your regular payment, but make sure to specify that you want it put it toward the principal.

For this post I’m focusing on smaller debt. Maxed out credit cards, medical bills, small personal loans, or maybe even backed up bills.

It’s always a good idea, even if you can’t pay on it, to have a current list of debt.

Setting up a list of debt can be a hassle, but the point of it is to get a sense of how much you actually owe, which is sometimes not clear until it’s all laid out in front of you.

First, you need to find everything you can on the debt you owe.

You can find these things by looking at bills, statements, online accounts, or working up the courage to call.

Make your list. Arrange your debt how you’d like to try to  pay it off. Big to small, small to big, whatever you think will work for you.

Next, using my plan to pay off sheets, write in the information and come up with a feasible amount to pay.

There are a lot of factors to consider when coming up with a feasible amount. Take into consideration the total of the amount of bills you already have and how much money you are bringing in. Are there things you could cut back on to make payments to your debt?

When you figure out an amount to pay make sure that you figure the payments into your monthly bills. Also contact the company to set up the payment plan.

It’s going to take some work to get your plan to pay off set up, but I can almost guarantee once you start making payments and are able to look at your worksheets and see those numbers dropping, you will feel a huge weight lifting off you.

For your free plan to pay off debt bundle click the links below.

Debt List

Plan To Pay Off

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Author:

I'm a 30 year old stay at home mom of 4. I have been homeschooling for about 2 years now, and am a 2nd generation homeschooler. My oldest 2 children attended public school before we started homeschooling. I am a compulsive organizer and cleaner. I HATE clutter and crumbs! I also love to craft and come up with fun ideas to do as a family! Before staying at home I ran a daycare, then was the bar manager of a members only club. So not only do I have a background with children, besides my own, but I have a background with childhood education and a background in business and financial management.

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