Staying Motivated in Debt Repayment Journey

Staying motivated while paying off high debt is crucial for long-term financial success, as reducing interest waste fuels progress.

### Strategies to Stay Motivated While Paying Off Debt
* 💸 " You're square in the middle of step three that's high in debt. You're trying to knock out, maybe it's Consumer Debt, maybe it's credit cards, and it's **hard to stay motivated**.
* 📉 " Every month, when you go look at how much interest you are paying, go look at your debt, think about the **interest rate** that's applied to whatever date you're doing, and just **calculate it**.
* 📈 " Think about how much **interest is accumulating every year** and when you think about high in debt, especially on consumer goods, that's kind of like **money that just is getting thrown away**.
* 🔥 " Let that be the fuel that keeps you fired up to keep knocking out that debt because once you get back to zero, then is when the fun starts, then you get to **really start amping up your wealth-building process**.
* 🛠️ " It is important to have a tool or something that **keeps you centered**.
* 📊 " Typically, your credit card debt or whatever debt you're facing in step three, its **interest rate is going to be substantially larger** than even what you are hoping to make off of your investments.
* ⏳ " Stay the course because that's the part you want to **own your time that much sooner** and you're not going to be able to do it with **debt**.

[Music] All right, let's jump into the next question. It's from Derek. He says, I've been listening for a bit and I'm in the middle of step three. Thanks to your advice, but this is hard. How do I keep myself motivated to push through? I know this is good for me long term. It just sucks. So it is true, like when you're on some of those earlier steps, they're super necessary, like good for you. This is great, but they can be tricky. So what would you say to him? Here's what my experience with step three specifically. Because by the way, BR, will you hold the thing up? We have the thing, the financial order of operation. Like you have to ask. I mean, I got a lot of things over here. I mean, it's, you got to be careful, heart palpitations. He forgot about the thing. This is a thing. If you go to, if you go to money.com resource, you can have your copy. You said that you're square in the middle of step.

three that's high in debt. You're trying to knock out. Maybe it's Consumer Debt, maybe it's credit cards, and it's hard to stay motivated cuz there are a couple different ways you can do it. You can do the debt snowball where you attack the smallest balances, or you can do the debt Avalanche where you attack the highest interest rate balances. But sometimes it feels kind of mundane. You're like, okay, every month I'm like doing this and how do I stay motivated? For me, math is motivating and what I do is I would go calculate that's right, seriously, did I really just say that? I would go calculate every month when you go look at how much interest you are paying, go look at your debt, think about the interest rate that's applied to whatever date you're doing, and just calculate it and maybe it's $100, 200, 300. I don't know the number, but think about how much interest is accumulating every year and when you think about high in debt, especially on like consumer

goods that's kind of like money that just is getting thrown away. You're wasting it. It's not armies. It's not soldiers in your army of dollar bills working for you. So what I would encourage you to do to stay motivated is every month that you pay that off, that dollar waste goes down, and it gets smaller and smaller and smaller and smaller. And let that be the fuel that keeps you fired up to keep knocking out that debt, because once you get back to zero, once you get that debt knocked out, then is when the fund starts, then you get to really start amping up your wealth-building process. Derek, I want to because look, I get it, is when you're in debt, there's um, 'cause a lot of times I feel like in America, we have this consumption problem to where we've been fed a lot where, you know, you can afford anything you want at 200 bucks at a time, so you're swimming against the current when you're actually paying down the debt, so I think.

it is important to have a tool or something that keeps you centered. I'd encourage you to go to money.com resources. We have a wealth multiplier tool. Um, there's some downloads there as well, but I like the tool because it lets you play around with what every dollar that or even now. You with the tool, you can actually put in Beyond a dollar. You can put in what your debt is and so forth to figure out what that would be worth for you in the future. But then here's another thing that you can think about. Typically, your credit card debt or whatever debt you're facing in step three. Its interest rate is going to be substantially larger than even what you are hoping to make off of your Investments. So you're not only trying to regain what your money can become. You're fighting against in the good fight to pay off the detrimental punitive effect of that high in debt that's out there. So stay the course because that's the part you want to own your time that much sooner and you're not going to be able.

to do it with debt so stay the course, and you're going to be a better person for it. You're going to own your time sooner. You're going to be able to take a little bit of today for that great big beautiful tomorrow, and that's the main thing that you should be focusing on.

How Do I Stay Motivated During the Financial Order of Operations?

Bring confidence to your wealth building with simplified strategies from The Money Guy. Learn how to apply financial tactics that go beyond common sense and help you reach your money goals faster. Make your assets do the heavy lifting so you can quit worrying and start living a more fulfilled life.

Subscribe today to stay up to date with our latest episodes, livestreams, and highlight videos: https://www.youtube.com/c/MoneyGuyShow?sub_confirmation=1

Are you ready to go beyond common sense when it comes to your money? Check out all the free resources The Money Guy Show provides: https://moneyguy.com/resources/



The Money Guy Show

Staying Motivated in Step Three of Financial Planning

Staying motivated in step three of financial planning, especially when dealing with high debt, can be challenging but crucial for long-term financial health.

Two common strategies for tackling debt are the debt snowball and the debt avalanche, each with its own approach to paying off balances.

One way to stay motivated is to use math to calculate and visualize the amount of interest accumulating with each payment, which can help reinforce the importance of reducing debt.

Paying off debt gradually reduces the "dollar waste" and can serve as motivation.

Overcoming the culture of consumption and the challenge of swimming against the current when paying down debt is a common struggle.

Eliminating debt is the starting point for building wealth and financial stability, allowing for a shift towards a more prosperous future.

Maximizing Your Wealth: The Power of Financial Tools

com offers a wealth multiplier tool to help you understand the potential growth of your money and debt.

It's important to consider the high interest rates of your debt, which may outweigh investment returns.

By staying focused on paying off high-interest debt, you can gain control of your finances and work towards achieving financial freedom.

Managing debt is a path to owning your time and building a better future.

Stay committed to the course to ultimately gain financial freedom.

Focus on the long-term benefits of overcoming debt for a more fulfilling life.