1. Visit
http://www.debthelp.com
2. Read "Richest Man in Babylon"
I pay myself 10% of any money I receive. This is money going towards my future. It's my money, I earned it, and I finally have something to show for it. Right now it's in an airline's credit union savings account, making interest at the rate of inflation. That's a little bit better than the sock under the mattress. It doesn't matter if I find a nickel on the sidewalk or get a check from working, 10% goes to myself. No pensions, social security, or poor folks checks required for me when I retire.
I pay my previous spending, debts, with 20% of whatever I receive. That's all they get, 20%. I didn't have to listen to them whine, complain, groan, and moan about only getting 20% of my income -- I ceased all creditors. That was 6 years ago when I had no income and little possibility of getting one. The credit card numbers doubled and tripled, one even claimed I owed 'em 4x the original amount.
Now they're back to just the amount owed when I ceased 'em, claiming 50% of that amount would make 'em happy. In one year, they get deleted from my credit history. Two years ago they lost the right to pursue me in court due to the state's statue of limitations. Of course, the court battle is only fought if they think you have something to give up, like assets. The student loans go away in 20 years if I can't repay all of them, locked in with a fixed 3% interest rate.
Then 30% goes towards an emergency fund. I needed the fund last year. I'm almost set if I need it this year. When the fund is full, the rest will go into short and long-term savings and investments.
I live on 50% of the rest. I deal with roommates :uzi: , no social life, a car with 123,000 miles on it, and no IPOD or other toys.
But I'm not broke. I'm working for something. I'm no longer living paycheck-to-paycheck, unable to get ahead.
My income recently quadrupled. I paid myself a bonus (out of the 30%) and spent it on a toy -- still have 10% coming right to me to not spend on toys today.
Good luck!
Jedi Nein