These days, going into debt is almost unavoidable. With the rising costs of housing, post-secondary education, cottages, vehicles and the like, it can be a challenge to live debt-free. But too much debt can become a problem, especially when it’s used for purchases that depreciate quickly, such as clothes, household items, and electronics.
Sliding into debt is unfortunately very easy – a little here – a little there – and suddenly, the majority of your income is going towards monthly payments instead of helping you enjoy life now or setting aside money for tomorrow.
That’s where a debt management plan comes in. This financial roadmap can help you move from simply servicing debt, to paying it off and saving for your future. We’ll start by taking a look at your monthly income and expenses and help you prepare a budget, ensuring you’re not spending more than you earn.
As part of your monthly budget, we’ll suggest you start a reserve or ‘emergency’ fund, so you can pay for unexpected expenses without going into debt. We can help you free up money by discussing if options like debt consolidation and a monthly debt reduction plan are right for you.
And with debt under control, you can begin working towards your long-term goals, such as protecting your family against the financial impacts of illness or disability, affording post-secondary education for your children, or securing the retirement you’ve always dreamed of.
With the reality of mortgage payments, car loans, credit card balances, and other demands on your hard-earned money, it’s no wonder you may feel weighed down by debt. With a plan in place, we can help you regain control of your finances, ease cash management stress, generate savings, and find peace of mind.
Are you ready to take the next step? Use this simple calculator to discover how much money we can potentially help you save and how quickly you could be out of debt.
Time to panic about the housing market, online: Macleans www.macleans.ca, 2012.
Investors Group’s “Gain and pain poll,” April/May 2011, online survey conducted by Harris/Decima.