“Money is not going to make you happy, but an absence of money can buy you whole lot of miseries.” -Jordan Belfort
Money can’t make you happy, but sometimes money is a good source of momentum happiness. That’s why money can buy you happiness sometimes.
Most people have really bad approach to money. It’s just paper, albeit very needy paper! However, money is paper for survival, not a thing to die for. We have to find what makes us happy and persist in it; money will come anyways, even if the thing that makes us happy is selling colorful balloons.Advertising
Without money we are savages. We will have to go in the jungle and hunt for food, just like the old times. What this world is making us do is forcing us to work, to make money, to pay bills, to have home, and to have food for us and for our family. Without the three basic needs–food, water, and shelter–we are unable to survive as human beings.
Without hydration, a safe place, and a full stomach there will never be happiness, and that’s why money can buy us happiness.
1. Food and water
Breaking down to the smallest things that are inevitable for survival, we jump to the sources of vitamins, minerals, proteins, fats, water, and carbohydrates.Advertising
We have lot of choices of how to digest the basic nutrients our bodies need. More paper (cash) is going to give you the freedom to buy healthier products. We have junk food ($10-25 per day) and the healthy meals ($35-65 per day) depending on the costs of the products per country.
The body functions properly and more energeticly when we inject healthy products, but those healthy products cost more. By the fact that we are energetic and we have the proper satisfaction of the basic nutrients, we are instantly happier.
Since I personally started to spend more money on food and invest in my health, I am a new and happier man. The body needs more care because we have so many things to get sick from. Our bodies cannot fight against bacteria unless we invest in the battle. Money can buy healthy food and water, which brings happiness.Advertising
Some people’s luxury is being able to rest for a day, and some people’s luxury is having one day to go hiking and inhaling the clean air, but people who enjoy living “the good life” will need an excessive number of the expensive paper.
In fact, if you enjoy in the luxury that money can buy, you will never get enough of it. Luxury has so many ways to satisfy a person, that if one enjoys in luxury, one won’t be able to experience all of it. It’s like an endless fight for satisfaction. But to be able to have that satisfaction, we must have excessive abundance of money, which is hard to come by these days.
Money can buy you happiness if you’re the type that gets satisfied from the material things such as yachts, big houses/apartments, golf clubs, Bentleys and Rolls Royce, Hublots, Champagnes (Dom Perignon), caviar and Grey Goose…the list can go for ages.Advertising
3. The choice
I’ve came to a conclusion that money being able to buy happiness is a matter of choice. Some people believe that everything comes from money (love, power, respect, freedom of choice, fun). Others believe that money is a thing for survival and nothing more. The happiness that they strive for comes from the things that can’t be bought with money (love, the small things, the authentic friends, somone to rely on).
It’s a choice that we have to make, whether we go for the money and get all the satisfaction for the things that can be bought from money, or believe that happiness is a choice, and that choice has nothing to do with money.
There is a quote from Albert Einstein that impacts my thoughts on this subject: “If you want to live a happy life, tie it to a goal, not to people or things.” But as I said, everyone is different and the choice you have to make is yours.
Featured photo credit: Dollars An American $100 dollar bill/401(K) 2012 via flickr.com
Published on January 8, 2021
How To Pay Off Credit Card Debt Fast: 7 Powerful Tips
Ever wondered whether your credit card debt is the reason you’re in a bad financial situation? You can’t enjoy any fun activities because a good chunk of your money goes toward debt payment. Heck, you’re even behind on some of your monthly bills.
The effects of clumsy debt management are too many to list here. This guide is going to help you discover how to pay off credit card debt fast and start chasing your financial goals.
Debt problems are the last thing anyone wants to encounter. But things can get out of hand when all the “little debts” you take accumulate in interests.
What if you knew some simple and proven ways to be debt-free quickly? Implementing them would mean better financial health for you. It becomes possible to free up cash for your “wants.” These include taking a trip or buying something you’ve always desired. All that while paying your bills on time!
Let’s not wait any longer. Here are 7 powerful tips for paying off credit card debt fast:
1. Pay More Than the Minimum Credit Card Payments
Many people only pay the monthly minimum on their credit cards. Truly, that’s the right amount for staying on good terms with your credit card company. But you need a different approach if you’re looking to achieve financial independence within a short time.
Most of your payments go toward interest costs when you only pay the minimum amount. A substantial sum of your balance remains standing. As a result, it becomes more expensive to eliminate your debts.
You don’t want to wait more than 10 years to get rid of debt while it’s possible to do it sooner. All you have to do is double that $100 minimum payment to $200 or go higher.
The good thing is that minimum credit card payments are affordable in most cases. By paying a higher amount, you reduce your interest costs, lessen your borrowing period, and boost your credit score.
2. Start With High-Interest Credit Card Debt
If you have more than one credit card debt, prioritize putting the extra money toward the ones with the highest interests. This debt pay-off strategy, known as the debt avalanche method, is essential for being debt-free quickly.
First, you need to list down all the credit card debts you have in the order of their interest rates. Next, you choose the one with the highest interest and pay a significant amount toward it each month. It can be an amount twice or even thrice larger than the minimum payment.
At the same time, you make monthly minimum payments on the other debts. Their interest charges won’t be as costly as that of the first debt on your list. You only move on to the next high-interest debt after the first one is gone. Remember that your focus is on the interest rates and not the balances.
3. Revisit Your Budget
Budgeting is useful for tracking your financial moves. Once you create a budget, some tweaks along the way can make it work for you better. One situation that requires you to revisit your budget is when you’re struggling with debts. It might hurt a bit to slash some expenses. But you also don’t want to miss out on achieving financial freedom in the long run.
You can reduce some variable expenses to free up more cash for credit card debt payments. They’re the ones that change from time to time. Some examples are groceries, fuel, and clothing.
Other opportunities for cutting down your spending lie in non-essential expenses. Instead of dining out all the time, you can cook at home more to save money. You can also share some subscriptions with friends and pay a fraction of the cost.
If you’re determined enough, you can eliminate all your unnecessary expenses and focus on paying off your credit card debt first.
4. Avoid Using Your Credit Cards
Do you want to know how to pay off credit card debt with a low income? One simple way is to stop using them. Having your credit cards everywhere you go means that you’ll be more tempted to buy unnecessary stuff. In this case, you spend money that you don’t really own and get deeper into debt.
The quickest fix to stop the debt build-up is spending with cash. You’ll be more aware of everything you can afford at any particular time. If you decide to keep one or two cards to ease the transition, always make wise choices. For instance, only use them when experiencing financial difficulties.
It’s best to categorize your fun activities under “discretionary spending” in your budget. This way, you won’t need more debt to kill your boredom. By halting your credit debt from accumulating, it’s easy to pay down what you already owe and be happy with the progress.
5. Start a Side Hustle to Boost Your Income
You’re probably turning away a lot of money by not monetizing your skills. Everyone has something that they’re good at doing. And you can use that to generate extra income for attacking your credit card debt.
If you look around your neighborhood, you can find several side hustle opportunities. It can be pet sitting, tutoring, or lawn mowing. You can start an online business by offering services such as digital marketing, content creation, and web development. Such skills go in high demand on freelance sites and job boards.
Finding clients on social media is also a good strategy to utilize your skills and make more money. Facebook groups, Quora Spaces, and subreddits are some places to look for side jobs. You only have to join a niche-specific platform, share your services, and respond to any opportunities.
It’s possible to learn a skill, practice it, and earn from it. Use the free resources online or purchase some e-courses to get started.
6. Sell Your Used Items for Extra Cash
Starting a side hustle isn’t the only way to generate extra money. You can turn unwanted items into cash for paying off credit card debt. Whether it’s an old TV, book, or furniture, there is always someone itching to buy your used stuff.
A garage sale, as much as it’s old-fashioned, is perfect for getting your neighbors and passers-by to buy from you. You keep all the money because there are no business permits or taxes involved. While you may not make much cash, it’s better than leaving your stuff to go defunct in your storage.
Other than that, you can sell your used stuff on online marketplaces. Facebook groups are great places to start if you want quick approvals and hence sales. You only have to ensure that your listing follows Facebook’s commerce policies.
When selling any pre-owned items online, ensure they’re in good shape to avoid problems with your buyers.
7. Know When to Seek Help With Your Debt
Asking for help with your credit card debt can be challenging to do. But letting it drown you is a road you don’t want to take. While you may feel embarrassed at first, it’s the best way to get back on track when you run out of options.
There are tons of non-profit credit counseling organizations that can offer you free guidance on how to escape the debt trap. An example is The National Foundation for Credit Counseling. They simply review your finances and help you determine the source of your financial problems. After that, they match you with an actionable debt management solution.
In extreme cases, the debt solution can be:
- Debt relief – where your debt is partially or wholly forgiven
- Debt consolidation – taking out one loan to repay others
- Debt settlement – the creditor forgives a significant portion of your debt
- Bankruptcy – legal process for seeking relief from some or all your debts
It’s necessary to carefully weigh your options before deciding on the way to go. Find out how it might affect your credit score and any other risks.
Wrapping It Up
Debt is a major setback when you’re trying to prosper in life. Paying off credit card debt is essential if you want to reach your financial goals. That means having more free income, a good credit card score, and even a chance to retire early. You become more productive each day because of the peace in your mind.
So, you now have some tips on how to pay off credit fast. Go ahead and get rid of that good life progress killer!
More Tips on How to Pay Off Debt
- These 6 Practical Solutions Could Help You Pay off Debt Sooner
- 5 Things to Do When You Are Buried in Debt
- How to Pay off Debt Fast Using the Stack Method (A Step-By-Step Guide)
Featured photo credit: rupixen.com via unsplash.com
|||^||The Balance: 3 Reasons to Pay More Than Minimum Card Payments|
|||^||Investopedia: Debt Avalanche Definition|
|||^||Nomoredebts.org: 5 Signs That You Need Professional Help with Your Debts & Not DIY|