Today on the minute – what’s your biggest money worry?
According to a survey from BMO Group, 31 percent of Americans cite debt repayment as their top financial priority, followed by saving more at 26 percent and investing efficiently at 21 percent.
The major concern is that if you can’t get a handle on your debt now, it could hurt your chances of ever becoming financially free. And, that makes total sense when you stop and think about it. If I’m spending hundreds of dollars each month on debt repayments that may not leave me much to put towards investing for the future. So what’s the answer? A first step would be to minimize debt. If you are already in it – make a plan to get out and if you are contemplating adding debt, be sure that you have explored all other options first.
This might include things like saving the money so you can pay for all or most of new purchases or even looking at ways to decrease your other expenses so you have extra money to pay for any added debt.
Finally, don’t forget that there is a real cost to debt. For example, the $100 jeans you charge today keeps getting interest added on each month until you pay them off – making your jeans cost a lot more than the $100 you thought you were paying. In fact, in many cases, by the time you pay them off, if you used cash you could have bought two or three pairs of jeans.
And that’s the minute for today. I love helping people with all aspects of their financial lives. If you have a question, if debt is an issue or if you just want to get your financial house in order contact me at firstname.lastname@example.org or go to my website at www.psworth.com and sign up for a free Discovery Session.
Thanks for listening and as always remember that minding your money really is the path to a richer life!