I’ve been receiving a lot of emails, notes and phone call from people wondering which bill to pay and in what order. I thought to myself that is a good question. Of course, I need to stress that all bills need to be paid but sometime you can be so far behind, you don’t which to pay or should you. Let me put your mind at ease.
I referenced, two credit counselors, and one book and my personal money problems that I’ve had in the past and we came up with this. This should work for the majority of the people but not everyone. We are hoping it will give you at least an idea or a concept to think of what is important to you and no one else.
Pay yourself first; you must start putting money away. I’m not talking about $550 or $110, but you need to put something away. Put a dollar up or a nickel or something. Put it in a jar a can or the bank. But open saving and put money away. Now, a lot of you reading this are going crazy because you might be saying. I don’t have money to put a way. Oh, yes you do. You just need to put something away. How much was that soda you bought? How much was the local newspaper? Why did you buy gum? If you can buy these items, you have money to put away.
Then you need to pay rent or mortgage, this is unexplanatory. You must have a roof over your shoulder at all times. Without a roof, how are you going to sleep and cook and be real to yourself? Some people have leaky roofs or old kitchen sink but without a roof over your head. You will not be able to live.
Grocery bill, this logical, you have to eat. You have to put good nutritional meals in your body. When you eat well, you think well. And this is what helps you be better in everything.
Utilities, such as lights, water and gas. You have to keep warm or cool, be able to cook and bathe. This will help you feel good and if you feel good, you go do more.
Phone or Internet services, this will help you to communicate to the outside world. Now, sometimes, you don’t need these services. But it depends on the nature of what you do. So some thinking is needed here before you pay this.
Car payments, if you have one but if you don’t have a car payment. Great, keep it that way until you find the need for a car. Get rid of this bill fast. I know you can do it. Reduce, cut or get rid of as soon as possible. Now, we put Phone and Internet over car. Because you can go without a car, you can walk. But sometime this is needed. You have to work on this and think well.
Gas & Maintenance money, without a good working car, how are you going to get around? But remember, if you don’t have a car, you don’t need this bill.
Loans, you need to make arrangements to get these loans paid off. Loans are a little harder to get away from paying. But they have to be paid off. Get the loans paid.
Credit Cards, they can threaten you but they can’t take your life a way. So put them on the bottom of your list. If you a dollar left to pay them, then do it. Something is better than nothing.
Now, I’m sure some of you have more bills or fewer bills. You have to work them in order of important. You have to work with yourself and see what will work and what will not work.
Lay all of your bills down and ask yourself, what can you PAY off this month? Which one is more important than the other? What bill can be paid next month? And of course ask yourself, why do I have so many bills?
Look at these questions above, and see where the money goes. Sometimes you can find money without even thinking about it, sometimes you can see you have a lot of money but you don’t see it. I’ve come to the fact that my money is more than I think I have but I don’t see it that way because if goes so fast that I don’t have the time to enjoy it.
I want you to take all of the last 6 months, and add up how much money went out, per month. Now, once you do that. See, you have money….
