When a person has a serious debt problem, they need a plan for how to attack it. The first step in this process is to create budget worksheet that gives them an overview of their financial situation. This can help you get an idea of exactly where your money is going and how you can potentially save for extra money to pay down debt.
The worksheet above is very thorough and provides a good resource for someone trying to get out of debt. It is vital that a person track every dollar they are spending in order to identify areas where they can save. If a person can find just $10 to save each week, that is more than $500 in a particular year. This can be the difference between getting a debt paid off and struggling to get by.
Some people hesitate to do this because they would rather keep their head in the sand about their debt issues. There is an “out of sight, out of mind” mentality amongst some people. This is somewhat understandable as it can be extremely difficult to see exactly how much debt you are in, but it is necessary if you ever want to get your life back on track. Simply ignoring this budget or assuming it will work itself out is not enough – a person needs to create a hard and fast budget and stick to it. Having a strategy can potentially help you get out of debt and the first step in this is knowing exactly where you stand financially.
Westbrook Law Group can discuss your debt problems and help you budget your money, should you need assistance. By closely examining your financial situation, you can determine if bankruptcy is the right option for you and your family. For a free consultation regarding your debt problems, contact our office today.