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This is a great list to follow if you're serious about getting out of debt. Learning the habits of people who are debt free is what helped me when I was getting out of debt! #debtfree #budget Awesome Alice 10 life changing habits that will get you out of debt. How to pay off debt fast. Awesome Alice

For a lot of people, debt is a common part of their life. It seems like no matter who you ask; they either have student loans from way back when credit card debt with crazy high-interest rate or a mortgage that will take a lifetime to pay off.

Becoming debt free ultimately comes down to your daily habits. Though it’s not easy to become debt free, there are a few habits of debt-free people that you’ll want to copy starting today.

Adopting better habits when it comes to your finances, can help you both get out of debt and stay out of debt – for good! Once you become debt-free, you’ll be able to save more money and have the freedom to live the life you want.

If you’re serious about getting out of debt, here are the ten habits of debt-free people that you need to adopt right now!


Related: How to Save Money on Groceries and Cut Your Grocery Bill In Half


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1. They have an emergency fund

If you lost your job tomorrow or your roof falls down, will you be able to make it through?

Having an emergency fund is important and something that everyone should have. We never know when something could happen, which is why it’s always important to be prepared. Having a backup plan can keep you from going into debt.

It can seem impossible to build an emergency fund when you first start to build one. The first thing you should do is throw any leftover money you have into your emergency fund and then start to track your spending and look for money leaks in your budget.

Cut back on your spending in the areas where you can, and direct this money towards building your emergency savings instead. The grocery bill is where most people can save a lot of money, so start thinking about how you can save money on groceries.


2. They have a budget

Having a budget doesn’t mean you’re broke. It also doesn’t mean that you need to have a restrictive lifestyle and can’t do things you want to.

This kind of reckless thinking can get you in trouble and in debt.

Budgeting is just a tool that can help you accomplish your goals by making a plan. Wheater your dream is to become debt-free, to buy a bigger home or save up for your kid’s college tuition, having a budget can help you with this.

People who are debt-free understand that having a budget can help them control their spending, stay out of debt, and reach their goals and dreams.


3. They surround themselves with like-minded people

Your environment and the people around you shapes who you are and who you will become.

The fastest way to not achieve your goals is to spend all your time with people that have goals opposite than yours. By surrounding yourself with other individuals, who are on the same path or who have been through similar journeys, makes it easier for you to stay on track with your goal.

If you’re trying to save money or stay out of debt, then it will be very difficult to do so if your friends want you to go out for lunch every day or invites you on expensive vacations every other weekend.

Take a look at the people around you. Do they inspire you to save money or do you need to surround yourselves with like-minded people who are aiming for a debt-free life?


4. They Live On Less Than They Make

People who are debt-free know that they need to live below their means to get ahead financially.

When you’re aware of how much you make and are committed to living within those means, you’ll be able to pay off your debt faster, save more money and will be able to reach your goals.

A good tip is to pretend that you’re making at least 10% less than you do and direct that money directly into your savings account. The remaining 90% is what you have left to budget with.


5. They always save money

People who are debt-free pay enjoy putting money into their saving accounts. The moment they received their income, they keep a percentage of it and save.

Try to save at least 10% each month, but if that’s too much for you, save what you can. Every little bit counts and soon enough you’ll start enjoying the rewards you get for saving money.

If you find it difficult to find room in your budget to save money, you can sign up for Ibotta and get cash when you shop things like milk, fruit, and pasta from your favorite brands at your favorite stores. You even get $10 for just signing up!


6. They don’t care about stuff

People who are debt-free rarely focus on material things. They know that there’s no sentimental value in stuff and that it can never be a replacement for meaningful relationships with friends and family.

Debt-free people realize that experiences make them happier than things and would rather work on creating stronger ties with the people who matter most to them.


7. They are patient

Debt-free people stay patient and focus on their long-term goals. They understand that the actions they take today can affect their future.

They don’t try to keep up with everyone else by driving the newest car or wearing the latest fashion. They are willing to wait and save up before making a purchase rather than using their credit card and risk getting in debt again.


8. They Pay Attention To Their Money

Debt-free people know that tracking their spending is an important part of controlling their finances. They open their bills when they receive them to avoid missing a payment due date.

Because they pay such close attention to their money, they can eliminate unnecessary expenses and are not at risk of having to pay late fees.


9. They do their research

People who are debt-free know that they have to do their research. They think long-term when making any big purchase and always tries to find the best deals. Saving money and finding ways to increase their income is always in the back of their mind.


10. They learn new things

Debt-free people make sure to learn things they don’t understand. If they don’t understand their taxes or what investment strategy that is best for them, they make sure to do their homework and learn what they need to learn.

They are willing to sit down with an advisor if they need help figuring things out. Though they don’t leave it up to others to make important decisions for them, they seek out the education they need to ensure the decisions they make are the right ones for them.


Let’s chat down below! Does any of these habits apply to you?