by: Michael Saunders

Earmark Your Savings for a Payroll Reduction: Select a certain amount to be deducted from your payroll check and deposited right into your savings account. So, before you ever see it, it's already in there. (If you go and withdraw this money each time you say you need it, then you've defeated the purpose.)

If you can, select a certain percentage of your income, for example 20% of your monthly net income or 75% of your monthly disposable income, to deposit. Then, as your monthly debt decreases and your income increases, you should increase the amount going directly into your account. Pretty soon, you will have a nice savings.

If You Get a Loan, Repay It Immediately: If you can go through the rest of your life and never have to get another loan, then do it. This is possible once you've become debt-free and have become accustomed to keeping enough money for unexpected expenses. In the meantime and under limited circumstances, you may have to get a loan. If you must get a loan, make every effort to repay it as soon as possible. By doing so, you will save money because you won't incur any unnecessary interest charges.

Create Your Own Ways to Save: This article has given you a few ways to save, however, there are thousands more. It doesn't matter whether you use all of the techniques that worked for other people or come up with your own. What does matter is that you develop a plan to save and stick with it until you become 100% debt-free.  (continued...)
The Most Effective Ways To Get Out Of Debt and Save (Part 3)
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