Getting out of debt for good means having a solid plan and sticking to it without wavering. Becoming debt-free must be a top priority. Yes, we all want to take vacations, buy new clothes, and visit the hottest new restaurants but it’s important to break the debt cycle and live within our means. Going into or staying in debt is not what the American Dream was meant to be. Be victorious in the small daily battles of spending. Keep your eye on the prize of being debt-free. Your future self will thank you.

1. Calculate Debt: How much do you really owe? What are your monthly payments, minimums, and interest rates? You’ll want to pay off the higher interest rate loans first. Get rid of any unused cards that charge yearly fees. Refinance and negotiate lower interest rates on cards and loans.

2. Accountability: Record every purchase. Using cash makes it too easy to overspend. Instead, use a debit card which you can track with online banking. Monitor where and when you spend your money. At the end of this first month, add up expenses by category (e.g. grocery/household, clothes, entertainment, gasoline, energy costs, rent/mortgage, etc.).

Recording purchases will show you if there’s a particular area where you overspend. It will also show you the true picture of what it costs to run your household. What is the basic amount of money you need to survive and pay all your bills?

3. Prepare a monthly budget: Now that you’ve seen what your spending habits have been in the last month, make a list of your “necessary” expenses. It’s time to funnel funds away from recreation and entertainment and towards the principal on your debts. Pay for necessities first, then debts, then have fun with what is leftover.

4. Have a plan: Discipline is key to sticking with a plan. Decide ahead of time what you are allowed to spend on each category. If you have a particularly hard time sticking to a budget, then use the jar method. Put the budgeted amount of money in jars, one for each category. When the money is gone, it’s time to quit spending.

Good morning everyone!

Click here to start your morning right with CNNMoney’s morning stock market updates!

Make it a great day, everyone!

If you are looking for a Santa Barbara home, contact JJ Lambert and Julian Michalowski, your experienced Santa Barbara realtors, today!

838 KNAPP DR, MONTECITO, CA 93108

$9,950,000
Bedrooms: 4
Bathrooms: 4 full | 1 partial
Sq. Ft.: 7,775

  Photo Tour         

Listing # 11-97

Page 1 of 1                Prev        Next  

Do you believe you are paying entirely too much on property tax? If the county has overestimated the value of your home, you can seek a reduction. Here are a few helpful tips on how to seek a property tax reduction:

•Contact your county assessor’s office or even visit its website as soon as you possibly can. During this time of year, many  property assessors are beginning the process of updating property values. It is best to address your concerns before these updates have been completed.

•Be cautious of any mail, email or phone solicitations by people or companies offering to contest your property valuation for a fee. Most home owners can do this themselves, aside from a fee needed in some counties to file an appeal.

•Many assessments are based on “comps”, which are recent sale prices of similar-sized homes in your immediate area. If you suspect that inappropriate or incomparable comps were used, make use of websites such as Zillow.com to look for houses sold that might be more appropriate.

•If your home has suffered more than $10,000 worth of damage from a fire or other disaster, you may be eligible in California for a lower taxable value. Contact your assessor’s office to get an application for the discount.

•If you have tried for a reduction and get turned down, you may take your case to your county’s assessment appeals board, a panel independent of the assessor’s office. For information on how to file an appeal, including filing deadlines, call your county assessor’s office.