Turning Debt Into Wealth in Five Minutes or Less

How can you turn debt into wealth? Today, I want to share some very simple basic ideas that will enable to you to do this.

I realize that having debt sucks. But hopefully, I’ll be able to tell you enough today to help you get out of debt if you are already in it and provide some tips to get you on the road to wealth.

I’d like to share a couple of tips about avoiding – or dealing with -- debt with you.

1. Develop a personal financial plan, and make sure you know where each dollar is spent. That’ll go a long way toward avoiding debt before it even begins.

2. Stop spending money, unless you absolutely have to! Cut out all the extraneous purchases – new clothing, new CDs, new movies, and everything else.

3. Seek the help of a qualified financial advisor. This is a good tip, whether you’re in debt or not.

4. If you’re in debt, don’t panic! Try to lay out a payment schedule for yourself, and make a payment whenever you can. Just don’t spend anything else WHILE you’re in debt.

5. Have a positive mindset. Sure, you’re in debt, and that’s clearly not a good thing, but why let it get you down?

Once you start getting rid of your debt, you’ll need to focus on the next step: Saving Money and building wealth.

There is a very simple concept that you can bank on. There are only two ways to increase your total savings. Spend less or earn more.

Sounds simple, doesn’t it?

But don’t get me wrong – saving money is tough and earning more in this economy is even harder. That’s why I want to stress the power of saving money – not only will it mean that you’ll have more cash to spend, but it *ALSO* means that you’re well on your way to financial independence.

Here are some tips I’d like to share with you on saving money.
1. Develop a concrete plan for saving cash. Write it down in a journal or notebook.

2. Open a savings account at your local bank.

3. Do NOT touch your savings. Don’t spend any of that money.

4. Set a goal – write down a specific amount of money that you want to save.

Now, for our question of the day. What systems do you use to save money? How do you get out of debt?