Top New Year's Resolution: Losing Weight Or Getting Out Of Debt?

Your New Year's resolution was...let me guess.  Weight loss?  Interestingly enough, getting out of debt was one of the top resolutions made this year by Americans. 

It's not surprising given the fact that American debt is on the rise every year.  2011 may not be the year you completely eliminate your debt, but you can take a big bite out of it with some tips that work.

So what steps can you do now to start getting out of debt?

First of all, stop accruing debt.

Sounds simple right? But what you've got to do if you ever want to become debt free is to stop using the credit cards. Cut them up, burn them, do whatever you have to do to stop using them. In your mind you need to consider them closed. Then, start paying for everything, and that means everything with cash or your checking account debit card. If you want a large purchase, do things the old-fashioned way and save up for it. However, if you truly want to eliminate debt, you'll put that large purchase off until a later date. The money you're "saving" for the large purchase could be paying off a credit card.

Now that you've made the decision to go cash, it's time to see where and how your cash is going to go.

Make a budget.

No, it's not fun, but it is necessary to see where each and every dime you make is going. Mark down every single credit card, utility, expenditures that require recurring payments (children's band instruments, Netflix, gym membership) that you are currently responsible for. Some people write it down on a piece of paper, a large poster board or put it on an Excel spreadsheet. Whatever works for you, will work for you. Every month when you pay your bills, mark it off. Any extra money you may have should go to paying down your debt like credit cards or car loans.

Getting your finances in order can be done with discipline and hard work. No one says it will be easy, but with persistence and consistence, it can be done.

To find out how people like yourself are putting themselves in the position to retire without debt and live the lifestyle they design, visit http://retiredebtfreenow.com