Pay off your mortgage in your sleep - #1
Getting rid of your mortgage is a function of four things:
- Structure, and
The same is true for any debt. Seems obvious but if you don't or can't get in front of it, then you have a challenge. And for many people that first step seems insurmountable, unimaginable.
The good news is that most people have ample space to manage it—it just doesn't seem like it. And everything just gets lost in the detritus of life.
Your job is to stop saying "We can't" and start asking "How can we?" and then just make a start.
What's the worst that can happen—you need to make some decisions about what to do next. You could just get on top of what seems to be drowning you right now. Is that such a bad thing?
So the place to start is at the beginning. Work out where things are right now. Treat your life and future like a business. The first thing is to get a high level idea of Assets & Liabilities and Income. The Expenditure part can come later.
If you want just start with a list, write down everything you can think of that you own—and how much you owe. What's the net result.
Then take a look at how much income there is, at a gross [pre-tax] level,
If you want to make the job a little easier, try one of the online tools that are available, or download our Personal Financial Position Review from our website. You can fill it in and save it.
If you want us to take a look at it email it to us and we'll give you our thoughts.
Next time we'll take a look at the flow of money—Cashflow... cash flood, or cash trickle? Where the money is and how to find it.