If you’ve recently gone through a divorce, you’ve probably found yourself struggling with the loss of joint income. You’re used to budgeting for two (or not having to budget at all)…and now you have to find a way to fully support yourself and your kids.
Plus, let’s face it: Divorce itself is expensive, and all those legal fees certainly don’t help matters.
Before you know it, you’re drowning in debt and don’t know how to get out of it.
Ring any bells?
If so, don’t despair. There is a way to recover from this and become debt-free. Here are a few ways you can do that:
Set (and Maintain) a Budget
First, you need to determine how much money you have coming in each month (your income) and how much you are spending. Write down all of your expenses, adding at least a few hundred dollars for forgotten or unforseen expenses. Then subtract that number from your income.
If you find that you have a bit of money left over, you can plan on putting that towards your debt payments (so long as you have some savings to fall back on). Set up automatic transfers so you don’t have to think twice about this.
If you find that you’re spending more money than you’re making, then you’ll have to cut back on some of your expenses. Remember here that it’s all those little things that add up. Spending $2.50 a day on coffee might not seem like a lot of money…but that’s about $75 a month…and $900 a year!
So cut back wherever you can. And even if it means eating just lentils and pasta for a week or skipping out on that weekend trip you’ve been really excited about, do what you have to do to stay within your budget.
Generate Side Income
If your current job doesn’t allow you to pay off your debt, then you should look into generating a little side income. Luckily, there are infinite ways that you can do this. Here are just a few ideas:
- Walk dogs (check out Wag or Rover)
- Perform tasks for people on TaskRabbit
- Drive for Uber or Lyft
- Teach English (or anything) online
The options truly are endless! If you can, find something that you enjoy doing. That way, it won’t feel so much like work.
Get on a Debt Management Program
If you’ve got the cash flow to pay off your debt, but find that the sky-high interest rates prevent you from ever paying it all off, then you might be a good fit for the Debt Management Program.
On average, our Debt Management Program at DebtHelper.com helps our clients to reduce their interest rates down to 1.9%, reduce their monthly payments by more than $300, and pay off their debt much faster.
Over the past 24 years, we’ve helped over 15,000 families get out of credit card debt.
Want to find out more about how our Debt Management Program works? Fill out the form on the right for a free, 100% confidential Debt & Divorce Counseling Session and one of our Certified Credit Counselors will come up with an affordable and personalized plan to get you on the road to being debt-free.