Spending small amounts of money can make a huge impact on your financial health. It could even mean the difference between deep debt and a nice retirement account. When faced with a budget that isn't balancing you commonly have 3 options: earn more, spend less, or use a credit card. The third option is widely used, but it can also be the most harmful to your financial security.
Take for example if someone saves $10 a day and also spends $10 a day on their credit card for 10 years. After those 10 years, this person would have $46,585 saved in the bank. But taking into account average interest earned and credit card rates, that same person who spent the $10 everyday would be $167,470 in debt.
Instead of using that credit card, think of ways to avoid using it. Being a smart spender is just as important as being a smart saver. Use a Credit Card PayOff Calculator and set a goal to get out of debt. Learn more about paying off credit card debt.
Visit www.FeedthePig.org for more money-saving tips.
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