Are you sick and tired of waking up every day just to go to the same boring ass job and do the same soul sucking routine?! Are you fed up with your bank account being bare ass dry and empty like your soul? Are you finally ready to quit your job and travel the world, to go see those places that you’ve always dreamed of, and to possibly meet the love of your life along the way?
If you answered yes to any of the above, then congratulations on being human and not some mindless zombie off the walking dead… You’re still alive!
Now it’s time to decide.
It may sound scary, or insurmountable, or like climbing mount Everest but I can assure you, just as you got yourself into debt you can get out of it as well. And just like climbing mount Everest it takes time and training to get there.
You can’t just decide one day that you’re climbing Mt. Everest, without training, and actually expect to not to die while doing so… You have to put in weeks, and even months, of grueling work in preparation, in order to get there. And most importantly, you need to commit to doing the work to get there. There’s no hack that will get you out of this one…
In the following sentences I’m going to share 10 reasons why you need to get out of debt in order to truly start living your life.
For more ideas of how to get out of debt quicker or to learn how I paid off $30,000 in just 3 years earning just above minimum wage check out my other article here.
On to the reasons to get yourself out of debt.
Reason #1: You are paying too much for that debt
Interest alone is making you poor, even if you are only paying 3-8% interest that will quickly eat into your returns on your investments. But in addition to interest, most people don’t stop to consider the missed opportunity cost of going into debt.
If you tie up $350 a month in a car payment, and you are paying 10% in interest each month then you are really losing the money that you you could be gaining in interest IN
ADDITION to the money that you are having to pay for that car. So count it as a double tax for being an idiot and buying a car you don’t need…
Stop spending a bunch of money on a fancy cars and instead save up cash and buy an inexpensive car you can afford easily until you have money in excess of your expenses from assets.
And before you start putting money aside into an investment account, thinking that you will get rich by the interest that is in excess to your loan, get your high interest rate debt (credit card and personal loan debt) paid off first so you can truly really reap the rewards of compounding interest. And honestly, I would much rather make 10% on my investments after fees than 4% of a 12% return, after paying the fees and the bank back it’s 8% on the loan.
Reason #2: You Don’t Need That Extra Stupid Shit That You Were Going to Buy
You don’t need to buy that extra crap and waste your hard earned money. You don’t need a new electronic gadget, you don’t need a new car, you don’t need new clothes…
If you want to feel good about yourself go to the gym and lift some weights, or join a team sport, start an investing club, or go on a date.
But don’t waste your money on some fancy trinket that will end up getting you more into debt, break, wear down, or bore you after only a couple of months… Avoid the Debt trap at all costs and avoid fancy gadgets that are only going to depreciate (lose their value).
Reason #3: You don’t need another pair of shoes…
This goes for all the ladies. You. Don’t. Need. Them. Put them back, and don’t. Please don’t spend your man’s money for him. One of the number one causes of divorce is money arguments and being able to both provide for yourselves and come together on large purchases is huge.
You will end up resenting him for giving you money anyway, and buying you crap that you don’t need will only lessen your relation not strengthen it. So put them back and clean your shoes you already have, use them till they break, and then, fix them with some gorilla glue.
Reason #4: You Don’t Need a “Get Out of Debt Free Card”
Unless you plan on skipping out on this country or plan to live as a broke ass teacher for 10 years, then don’t count yourself out from having to pay back your debt. And you don’t really want someone to “forgive” your loans, because that is basically a hand out and the businesses that received hand outs always fail.
The folks that are given piles of money from the lottery always end up broke and on the street, just look at any lottery winner. No, instead figure out a way to get yourself out of debt and get FOCUSED on paying it off as quickly as possible. Stop complaining about how your life sucks so much and get to work speedy.
Oh, and if you think, “hmm that teacher thing sounds like a good idea” guess what? You still have to pay your minimum payment each month ALL 10 YEARS AND NEVER MISS A PAYMENT! There have been countless people that have paid back well over $100k in a short period of time and for you to think that it’s not possible to pay off your debt sounds a lot like you’re just giving up.
Reason #5: You Don’t Need To Go to College Anymore To Make a Good Living
You can find a job, learn a trade, find a local entrepreneur and apprentice under them, or start your own business. Trust me when I say this, go to college IF you truly have an interest in the field of study AND you get funded to pay your entire way (100% funded, we’re talking college aid and not debt).
Don’t rely on debt and loans to get you there because it will cost you more in the long
run than your education is actually worth, and will set you back in your retirement goals.
Don’t believe the guise that you have to spend more to earn more, that’s simply a sales tactic to get you to sign up for their programs.
If you don’t believe me use this free calculator on moneychimp.com and see just how much that $5000 a year loan will cost you in your investing career. http://moneychimp.com/features/cheapskate_calculator.htm
Reason #6: Your Parents are Wrong
Getting a job and having pension in retirement is the way of the past. Pensions are gone (some of you may not even know what that is…) and aren’t the only way to live a good life…
Starting a business, investing young, and creating value are the best ways to fulfilling life. And in today’s day and age you can do almost all of them with free tools downloaded on your smart phone.
That’s right, you can actually earn an income from your phone of all things, you can connect with people on the other side of the world though a site that you can create for free and you can gain investors in your start up or build a tribe using social media.
You can even start a business with nothing like Seth Kneif did from justonedime.com. By asking people to help him double his dime 20x he was able to turn a $0.10 investment into $100,000+. This is the power of compounding interest! There is literally no limit to what you can accomplish if you just avoid going into debt and use your brain to think of ways to create value in the world.
Reason #7: There is More to Life Than Your Debt and You Need That Extra Money Each Month To Begin Enjoying It
Saving an extra $200 a month can pay for your entire vacation that year, and over the course of 10 years can fund the purchase of a new car or if invested at 10% can result in
hundreds of thousands more $ in retirement, or could result in enough saved to buy a new house. The sooner you get out of debt the sooner you can reach your saving and investing goals.
To learn more about how much saving even $3.50 can mean for your retirement check out money chimp’s free resource: http://moneychimp.com/features/cheapskate_calculator.htm
Reason #8: Debt Causes Stress
You may not show it on the surface it can show up in other ways like in your mental and physical health. According to a 2015 survey conducted by Suntrust Bank, money was the leading cause of stress in relationships in America and results in fights and disagreements in more than 1 in 3 family homes (35%), read more here: article from CNBC.
If money was an issue in 2015 you can damn well bet that it’s an issue now. With the growing student loan crisis hitting an all time high we are setting ourselves up for a very unhealthy life america.
So do yourself a favor and reduce that stress by eliminating your debt so that you can live a happy and healthy life and be there for those you love.
Reason #9: You Can’t Get Rich Paying Other People Interest
The only way for compounding interest to work in your favor, the force that Einstein claimed to be the most powerful force in the universe, is for you to be on the receiving end of compounding interest, not the giving end.
If you borrow money from others, you begin to use compounding interest against you
and much like pushing a snowball up a hill, you have to fight the forces of nature (compounding interest).
Instead, wouldn’t you rather be on the receiving end of a money snow ball, assuming that once it was at the end of the hill and had built its momentum it didn’t kill you?
If you like giving people more and more money year after year then that’s great, keep
pushing that Sisyphean snowball up that mountain and enjoy your debt. But the only way to truly use the power of compounding is to loan out the money and have it return you interest and principle. Give the folks a little snowball and watch it come back to you as a snow mountain.
Reason #10: Aren’t You Just Tired of Partying Your Weekends Away?
Having to wake up hung over on a Monday and drag your ass back to work because you’re too broke to leave? Why don’t you commit to getting out of debt and begin saving so that you can finally leave your job and figure out what it is that you ACTUALLY want to do instead of simply paying the bills.
Most people will read this article and brush it off, probably writing off their bad behavior and debt cycle as “lifestyle design” or “their choice”. But I want to challenge that for a minute here. Is it really only your life that you are effecting? Are you really the only person that you touch daily?
Or are you a mother, a father, a brother or a lover? Are you in touch with friends daily and have a legacy that you wish to leave behind some day? Don’t you want to do something more with your life beyond just “enjoying” yourself?
You owe it to everyone in your life who are important to you to get out of debt as quickly as possible and to build wealth so that you can later give it to those deserving.
In this site I’m going to show you the quick way to pay off your debt, create additional income streams, and finally be able to take that dream vacation you’ve always wanted, to quit your job and travel the world, and to finally get that pesky debt monkey off your back. GET OFF ME MONKEY!
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