Debt-Free Millionaire

Should I pay off my mortgage or keep it? Is this a path to becoming a Millionaire? (W6:D1) Debt-Free

HOW DO I PAY OFF MY TRANSPORTATION?
Strategies for Paying Off Your Car Efficiently
Owning a car is often essential for daily life, but it also comes with significant financial responsibilities. Paying off your car loan quickly can save you money on interest and provide financial freedom. Here are some of the best strategies to achieve this goal, starting from before you even purchase your car to considering major decisions if things get tough.
1. Save and Pay Cash for a Used Car
The journey to paying off your car efficiently begins even before you buy it. One of the best strategies is to save enough money to pay cash for a used car. Here’s why this step is crucial:
Avoiding Interest Payments: By paying cash, you avoid the interest charges associated with car loans, which can add up significantly over time.
Lower Purchase Price: Used cars are generally less expensive than new cars, meaning you need to save less money and can purchase the car outright sooner.
Depreciation: New cars depreciate quickly, often losing a significant portion of their value in the first few years. A used car has already undergone this steep depreciation, making it a more financially sound purchase.
To save enough money, consider using public transportation to get to work, the grocery store, or anywhere else you need to go. This can help you save money on transportation costs, which can then be put towards your car fund.
2. Make Extra Payments
If you already have a car loan, making extra payments towards your principal can dramatically shorten the life of your loan. There are several ways to incorporate extra payments into your budget:
Bi-weekly Payments: Instead of making one monthly payment, split it in half and pay every two weeks. This results in 26 half-payments or 13 full payments per year, effectively making one extra payment annually.
Round Up Payments: Round up your car payment to the nearest hundred dollars. For example, if your payment is $275, pay $300 instead. The extra amount goes directly towards your principal.
Lump Sum Payments: Apply bonuses, tax refunds, or any unexpected windfalls directly to your principal.
Refinance Your Car Loan
Refinancing your car loan to a lower interest rate can save you a significant amount of money on interest. If rates have dropped since you took out your loan or your credit score has improved, refinancing might be a good option. Be sure to consider the new loan terms and ensure the savings outweigh any fees associated with refinancing.
Reduce Expenses and Increase Income
Finding ways to reduce your monthly expenses and increasing your income can provide extra funds to put towards your car loan. Some strategies include:
Cutting Unnecessary Expenses: Review your budget for non-essential expenses you can eliminate or reduce.
Side Hustles: Take on a part-time job or freelance work to earn extra income.
Sell Unused Items: Declutter your home and sell items you no longer need.
Automate Your Payments
Setting up automatic payments can help you stay on track and avoid late fees. Many lenders offer a discount on your interest rate if you enroll in auto-pay, providing additional savings over the life of the loan.
Apply Windfalls to Your Loan
Whenever you receive unexpected money, such as a tax refund, work bonus, or inheritance, apply it directly to your car loan. This can make a significant dent in your principal and reduce the amount of interest you pay over time.
Consider Downsizing if Necessary
If you find yourself struggling with high monthly payments, it might be time to consider a more drastic measure. Selling your current car and downsizing to a more affordable vehicle can help you regain financial stability. Here’s why this can be a smart move:
Lower Monthly Payments: A smaller, less expensive car will have lower loan payments, insurance costs, and maintenance expenses.
Reduced Financial Stress: Downsizing can free up cash flow for other financial goals, such as saving for emergencies or paying off other debts.
Opportunity to Rebuild Savings: Moving to a less expensive car can help you rebuild your savings and create a more sustainable financial situation.
Paying off your car efficiently requires careful planning, disciplined budgeting, and sometimes tough decisions. Starting with saving enough to pay cash for a used car, making extra payments, refinancing for better terms, reducing expenses, increasing income, and even downsizing if necessary are all strategies that can help you achieve the goal of being debt-free. Remember, it’s important to be proactive and not afraid to make difficult choices to secure your financial future.
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Is College Worth it? Strategies for Paying Off Your Student Loan - (W6:D2) Debt-Free Millionaire

Paying off student loans can be a significant financial burden, but with strategic planning and disciplined budgeting, you can reduce your debt faster and save money on interest. Here are some of the best strategies to achieve this goal, along with important considerations about the nature of student loans.
Understand Your Loan Terms
Before you can effectively pay off your student loans, it’s essential to understand the terms of your loan. This includes knowing your interest rate, the length of your repayment term, and whether your interest is fixed or variable. This knowledge allows you to make informed decisions about your repayment strategy.
Make Extra Payments
Making extra payments towards your principal can dramatically shorten the life of your loan. There are several ways to incorporate extra payments into your budget:
Bi-weekly Payments: Instead of making one monthly payment, split it in half and pay every two weeks. This results in 26 half-payments or 13 full payments per year, effectively making one extra payment annually.
Round Up Payments: Round up your student loan payment to the nearest hundred dollars. For example, if your payment is $265, pay $300 instead. The extra amount goes directly towards your principal.
Lump Sum Payments: Apply bonuses, tax refunds, or any unexpected windfalls directly to your principal.
Refinance Your Student Loans
Refinancing your student loans to a lower interest rate can save you a significant amount of money on interest. If rates have dropped since you took out your loan or your credit score has improved, refinancing might be a good option. Be sure to consider the new loan terms and ensure the savings outweigh any fees associated with refinancing.
Reduce Expenses and Increase Income
Finding ways to reduce your monthly expenses and increasing your income can provide extra funds to put towards your student loans. Some strategies include:
Cutting Unnecessary Expenses: Review your budget for non-essential expenses you can eliminate or reduce.
Side Hustles: Take on a part-time job or freelance work to earn extra income.
Sell Unused Items: Declutter your home and sell items you no longer need.
Consider the Degree’s Return on Investment (ROI)
Before taking out a student loan, it’s crucial to consider whether the degree you are pursuing will provide a sufficient return on investment (ROI). Ask yourself if the potential income from your chosen career will be enough to cover the loan payments and support your financial goals. This consideration can help you avoid excessive debt for a degree that may not lead to a high-paying job.
Be Aware of Bankruptcy Limitations
It’s important to know that student loan debt is notoriously difficult to discharge in bankruptcy. Unlike other types of debt, student loans typically cannot be wiped out through bankruptcy proceedings. This means you remain responsible for the debt regardless of your financial situation, which underscores the importance of managing and repaying these loans diligently.
Understand the Risks of Co-Signing
If you are considering co-signing a student loan for someone else, be aware of the risks involved. If the primary borrower fails to make payments, you will be responsible for the debt. This can negatively impact your credit score and financial standing. It’s crucial to consider whether you can afford to take on this responsibility and to communicate clearly with the borrower about repayment expectations.
Paying off your student loans efficiently requires careful planning, disciplined budgeting, and sometimes tough decisions. Making extra payments, refinancing for better terms, reducing expenses, increasing income, and considering the ROI of your degree are all strategies that can help you achieve the goal of becoming debt-free. Additionally, understanding the limitations of bankruptcy concerning student loans and the risks of co-signing are essential aspects of managing this debt responsibly. By being proactive and making informed choices, you can navigate your student loan repayment journey more effectively.
 
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Should I pay off my mortgage or keep it? Is this a path to becoming a Millionaire? (W6:D1) Debt-Free Millionaire

Strategies for Paying Off Your House Efficiently
Owning a home is a significant financial milestone, and while it brings a sense of accomplishment and stability, it also comes with substantial financial responsibility. Paying off your mortgage early can save you thousands in interest and provide financial freedom. Here are some of the best strategies to achieve this goal, starting from before you even purchase your home to considering major decisions if things get tough.
1. Save for a 20% Down Payment
The journey to paying off your house efficiently begins even before you buy it. One of the most prudent strategies is to save at least 20% of the home's purchase price for a down payment. Here’s why this step is crucial:
Avoiding Private Mortgage Insurance (PMI): By putting down 20%, you eliminate the need for PMI, which is an additional monthly cost that protects the lender, not you. This can save you hundreds of dollars each month.
Lower Monthly Payments: A larger down payment reduces the principal amount you need to borrow, resulting in lower monthly mortgage payments.
Better Loan Terms: Lenders often offer better interest rates and terms to buyers who can make a substantial down payment, further reducing your long-term costs.
2. Opt for a Shorter Loan Term
When selecting your mortgage, consider choosing a shorter loan term, such as 15 years instead of the traditional 30 years. While this will increase your monthly payments, it significantly reduces the total interest paid over the life of the loan. The higher monthly payment forces you to budget more rigorously, but the payoff is worth it.
3. Make Extra Payments
Making extra payments towards your principal can dramatically shorten the life of your loan. There are several ways to incorporate extra payments into your budget:
Bi-weekly Payments: Instead of making one monthly payment, split it in half and pay every two weeks. This results in 26 half-payments or 13 full payments per year, effectively making one extra payment annually.
Round Up Payments: Round up your mortgage payment to the nearest hundred dollars. For example, if your payment is $965, pay $1,000 instead. The extra amount goes directly towards your principal.
Lump Sum Payments: Apply bonuses, tax refunds, or any unexpected windfalls directly to your principal.
4. Double Up Payments on a 30-Year Mortgage
If you have a 30-year mortgage, consider doubling up your payments by paying the same amount with each paycheck. Here’s how this works and why it’s beneficial:
Less Interest Accrual: By making payments earlier in the month, you reduce the principal sooner, resulting in less interest accruing daily. Over time, this can lead to significant interest savings.
Pay Off Faster: Doubling up your payments means you effectively make 24 payments per year instead of 12, significantly shortening the loan term and reducing the total interest paid.
5. Refinance Your Mortgage
Refinancing your mortgage to a lower interest rate can save you a significant amount of money on interest. If rates have dropped since you took out your mortgage or your credit score has improved, refinancing might be a good option. Be sure to consider the closing costs and ensure the savings outweigh the refinancing expenses.
6. Reduce Expenses and Increase Income
Finding ways to reduce your monthly expenses and increasing your income can provide extra funds to put towards your mortgage. Some strategies include:
Cutting Unnecessary Expenses: Review your budget for non-essential expenses you can eliminate or reduce.
Side Hustles: Take on a part-time job or freelance work to earn extra income.
Sell Unused Items: Declutter your home and sell items you no longer need.
7. Consider Downsizing if Necessary
If you find yourself house poor, meaning your housing expenses are consuming too much of your income, it might be time to consider a more drastic measure. Selling your home and downsizing to a more affordable property can help you regain financial stability. Here’s why this can be a smart move:
Lower Monthly Payments: A smaller, less expensive home will have lower mortgage payments, property taxes, and maintenance costs.
Reduced Financial Stress: Downsizing can free up cash flow for other financial goals, such as saving for retirement or paying off other debts.
Opportunity to Rebuild Savings: Moving to a less expensive home can help you rebuild your savings and create a more sustainable financial situation.
Paying off your house efficiently requires careful planning, disciplined budgeting, and sometimes tough decisions. Starting with a substantial down payment to avoid PMI, making extra payments, refinancing for better terms, and even downsizing if necessary are all strategies that can help you achieve the goal of homeownership without being overwhelmed by debt. Remember, it’s important to be proactive and not afraid to make difficult choices to secure your financial future.

What's a Credit Score and Why Should I Work to Increase the Number? (W5:D4) Debt Free Millionaire

Understanding Credit Scores: Essential Knowledge for Students and Adults
Credit scores are a crucial part of personal finance, impacting everything from loan approvals to interest rates and even job applications. Understanding how credit scores work and the role of debt repayment in maintaining a healthy score is vital for both students and adults. This article delves into what everyone needs to know about credit scores and how managing debt effectively can positively influence your financial health.
What is a Credit Score?
A credit score is a number that reports your creditworthiness, ranging typically from 300 to 850. It is used by lenders to determine the risk of lending money to you. The higher your score, the more creditworthy you are considered.
Key Components of a Credit Score:
Payment History (35%): Your track record of making payments on time.
Amounts Owed (30%): The total amount of debt you owe compared to your available credit (credit utilization ratio).
Length of Credit History (15%): How long you’ve had credit accounts.
Credit Mix (10%): The variety of credit accounts, including credit cards, mortgages, and auto loans.
New Credit (10%): The number of recently opened credit accounts and inquiries.
How Does Paying Off Debt Affect Your Credit Score?
Paying off debt can have a significant positive impact on your credit score, influencing several key components:
Improved Payment History:
Consistently making debt payments on time builds a strong payment history, which is the most significant factor in your credit score.
Missed or late payments can severely damage your score, so timely payments are crucial.
Reduced Credit Utilization:
Paying down credit card balances lowers your credit utilization ratio, which is the second most critical factor in your score.
Aim to keep your credit utilization below 30% of your total available credit to boost your score.
Length of Credit History:
While paying off and closing old accounts might seem beneficial, it can actually shorten your credit history and reduce your score.
It’s often better to keep old accounts open, especially if they don’t have an annual fee.
Credit Mix and New Credit:
Successfully managing different types of credit (e.g., credit cards, installment loans) can positively affect your score.
Be cautious with new credit applications, as multiple inquiries can lower your score temporarily.
What Can You Do with a Good Credit Score?
A good credit score opens many doors and offers numerous financial advantages:
Loan Approvals:
Higher credit scores increase your chances of getting approved for loans and credit cards.
You’ll have access to larger loan amounts and better terms.
Lower Interest Rates:
A high credit score qualifies you for lower interest rates on loans and credit cards, saving you money over time.
Lower interest rates mean lower monthly payments and less paid in interest over the life of the loan.
Better Credit Card Offers:
With a good credit score, you can access credit cards with better rewards, higher limits, and lower fees.
Housing Opportunities:
Landlords often check credit scores as part of the rental application process. A good score can make it easier to rent a home or apartment.
It can also help you qualify for a mortgage with favorable terms.
Employment Prospects:
Some employers check credit scores during the hiring process, particularly for positions that involve financial responsibility.
A good credit score can enhance your job prospects in these fields.
Insurance Premiums:
Insurers may use your credit score to determine your premiums for auto and home insurance. A higher score can lead to lower premiums.
Utility Services:
Utility companies may require a deposit if you have a low credit score. A good score can help you avoid these extra costs.
Tips for Maintaining a Healthy Credit Score
Pay Bills on Time:
Set up reminders or automatic payments to ensure you never miss a due date.
Monitor Your Credit Utilization:
Keep your credit card balances low relative to your credit limit.
Check Your Credit Report Regularly:
Obtain a free credit report annually from each of the major credit bureaus (Equifax, Experian, and TransUnion) to check for errors and fraudulent activity.
Limit New Credit Applications:
Only apply for new credit when necessary to avoid multiple hard inquiries on your report.
Maintain a Mix of Credit Types:
Responsibly managing various types of credit can enhance your credit profile.
Conclusion
Understanding and managing your credit score is essential for financial stability and growth. Paying off debt is a critical step in maintaining a healthy credit score, which in turn provides numerous financial benefits. By staying informed and proactive about your credit, you can unlock opportunities and achieve greater financial freedom.
 
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How to Get Out of Debt in 6 Easy Ways - Debt Snowball vs Avalanche (W5:D3) Debt Free Millionaire

Best Strategies to Pay Off Your Debt: A Comprehensive Guide
Debt can be a significant burden on both your financial and mental well-being. However, with the right strategies, you can take control of your finances and reduce or eliminate your debt. This article outlines some of the most effective ways to pay off debt, supported by relevant statistics and expert advice.
1. Create a Budget and Stick to It
Strategy: The first step in any debt repayment plan is creating a detailed budget. Track your income and expenses to understand where your money is going and identify areas where you can cut back.
Statistics: According to a 2022 survey by U.S. Bank, only 41% of Americans use a budget, yet those who do are more likely to manage their debt effectively. Budgeting helps you allocate more funds toward debt repayment and reduces unnecessary spending.
Implementation Tips:
List all sources of income.
Track every expense for at least one month.
Categorize expenses into fixed (e.g., rent, utilities) and variable (e.g., dining out, entertainment).
Adjust your spending to ensure more money goes toward paying off debt.
2. Debt Snowball Method
Strategy: Focus on paying off your smallest debts first while making minimum payments on larger debts. Once a small debt is paid off, move to the next smallest, applying the amount previously used to pay off the first debt.
Statistics: A study by the Harvard Business Review found that the debt snowball method is highly effective because the psychological victories of paying off smaller debts first motivate continued progress.
Implementation Tips:
List your debts from smallest to largest.
Focus all extra funds on the smallest debt.
Once the smallest debt is paid, roll over the payment to the next smallest debt.
3. Debt Avalanche Method
Strategy: Prioritize paying off debts with the highest interest rates first while making minimum payments on others. This method saves money on interest over time.
Statistics: The Federal Reserve reports that the average credit card interest rate in 2023 was around 16.30%. By targeting high-interest debts, you can reduce the total amount paid in interest.
Implementation Tips:
List your debts by interest rate, from highest to lowest.
Focus all extra funds on the debt with the highest interest rate.
Once the highest interest debt is paid off, move to the next highest.
4. Balance Transfers and Consolidation Loans
Strategy: Consider transferring high-interest debt to a credit card with a lower interest rate or consolidating multiple debts into a single loan with a lower rate.
Statistics: According to the Consumer Financial Protection Bureau, balance transfer offers often provide a 0% introductory rate for 12 to 18 months. This can significantly reduce interest payments if used wisely.
Implementation Tips:
Compare balance transfer offers and consolidation loan rates.
Be mindful of transfer fees and the duration of the introductory rate.
Avoid accumulating new debt on the paid-off accounts.
5. Increase Your Income
Strategy: Boost your income through side hustles, freelancing, or seeking higher-paying job opportunities to allocate more funds toward debt repayment.
Statistics: The Bureau of Labor Statistics reported that as of 2023, approximately 16.4 million Americans have a side hustle, contributing an average of $686 per month to their income.
Implementation Tips:
Identify skills or hobbies that can generate income.
Use freelance platforms or local opportunities to find side gigs.
Allocate all additional income specifically for debt repayment.
6. Negotiate with Creditors
Strategy: Contact your creditors to negotiate lower interest rates, reduced payment plans, or settlements for a lump sum payment.
Statistics: A study by the National Foundation for Credit Counseling found that 70% of consumers who asked for a lower interest rate on their credit card succeeded.
Implementation Tips:
Prepare a script and be clear about your financial situation.
Be polite but persistent in negotiations.
Keep a record of all communications and agreements.
7. Seek Professional Help
Strategy: If your debt is overwhelming, consider working with a credit counseling agency or financial advisor to develop a personalized debt management plan.
Statistics: The American Fair Credit Council reports that clients who work with credit counseling agencies can reduce their debts by up to 50% over time.
Implementation Tips:
Research and select a reputable credit counseling agency.
Be prepared to share your financial information.
Follow the debt management plan and make regular progress assessments.
Paying off debt requires a combination of strategic planning, disciplined budgeting, and sometimes professional assistance. By adopting the right approach, you can not only reduce your debt but also improve your overall financial health. Remember, the journey to becoming debt-free is a marathon, not a sprint, and every step forward brings you closer to financial freedom.
 
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Why am I Paying Thousands Every Month, That's Not My Bills? (W5:D2) Debt Free Millionaire Podcast

(W5:D2) WHAT IS INTEREST? WHY DO WE PAY SO MUCH?
Interest is the amount of money you pay based on a percentage of what you borrowed. This is typically expressed by Annual Percentage Rate (APR) or the annual amount of the loan you pay as an added fee to what you borrowed.
Let me explain this differently. You borrow $1,000, you have to pay back a $1,000 (principle) plus an added fee, a percentage of the $1,000 (interest). Say you rack up $1,000 on a credit card, the interest rate for your card is 20%, that means that annually, you pay an extra $200 extra to paying back your loan. That is $200 that could have gone somewhere else, or been money in your pocket, but you wanted something or things very badly to borrow for them and you have to pay them back (principle) plus a continuous fee (interest). Principle is the other part of the repayment and basically means an amount you pay back of the actual loan each time you make a payment.
Why is interest so bad to your financial survival? Think of it this way.
The average American owes $6,993 in credit card debt. The average credit card interest rate of repayment is 20% (now 24.8%). Annually, that is an extra $1,238 that goes to that credit card. That’s over $100 a month you could be spending on food, housing, or other necessities. That could also go to so many other things, if you could hold on to it. But it’s even worse. That is just your credit card fees.
What about all your student loans? The average American also has $$37,850 worth of student loan debt at an average of 6.87%. That is an extra $3,273 you could be spending or almost $300 a month you could be spending on other things that you really want.
Now how about any additional personal loans you took for purchases (excluding mortgages). The average American has $1,370 in home equity loans, $4,760 in car loans, and $1,520 in other loans. In total that is $11,989 (was $7,650 in 2022), and these interest rates hover around 71%. Annually, you are paying an extra $765 a month that could be going to other things.(21)
Now, what about the mortgage on your house? The average American, with a mortgage, owes $244,498 (was $172,561 in 2022) and pays about 7% interest more on that debt annually. That’s $6,902.44 in interest, not counting the principle amount you have to pay back.
In total, the average American has $104,215 (was $92,727 in 2020 – 11% increase) then you pay between $7,295.05-$20,843 annually or translated per month, that’s $607.92-$1,736.92 every month you pay for nothing. Now, that is for the average American. For those who have a mortgage, their average total debt is $241,815, translating to about $$24,181.50 annually or $2,015.13. That is an additional fee you pay just because you wanted to buy things on debt.
If you didn’t have a mortgage, it’s not much better. The total, average American without a mortgage is $23,000 in debt at 24.8%. So they pay and pays $5,704 towards interest annually. Per month that comes to $475.33 of extra money you may be paying for money you borrowed to buy something before you had the money to buy it. That is a lot of money when you think of how long it will take you to pay be the principle amount and pay off the entire debt.
The truth is that you can spend the money now on debt and pay it back with interest for a very long time, you can work hard beforehand and make that money for the things you want, or you can be patient and wait until you gather the money, working with normal effort, to pay for these purchases instead of putting them on a credit card or making a loan. In an adult lifetime, before retirement, of 30 years, the average American will pay nearly $300,000 to the credit card companies and banks before retirement on the debt that they have. Now tell me that isn’t bondage. You can buy a very nice house in most parts of the United States for that amount of money, free and clear, without any debt.
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Is there such a thing as Good Debt in your Personal Life? Thoughts? (W5:D1) Debt Free Millionaire

(W5:D1) WHAT IS DEBT AND WHY IS IT SO BAD?
Do you like spending money? ___________________ Do you like paying bills after you already received the gain? __________________ Now, do you like paying for something years after you enjoyed it, meaning you no longer are enjoying it but you are still paying it off. That is debt. When you are paying back an amount of money that was lent to you years before. While somethings you are still enjoying like a new car or a house, some debt sticks with you long after you have had your fun, like a credit card.
Debt is an amount of money you borrow from one party to another. Loans are debts, but also, any financial promise you make with another entity where you pay over a longer period of time, instead of right away.
There are three types of acceptable debt in society. These are investments in your growth and include:
Housing: You need a place to stay and sometimes, it is cheaper to buy a house on a loan than to rent an apartment. You have to live somewhere paying monthly towards your agreed upon amount. When you pay rent, part of that money you give your landlord goes towards paying off their property so after a long period of time, they have paid off their property while you are still paying rent. Instead, if you were able to buy a house, each mortgage payment you would be paying off your property (mortgage) and in the end, you have a paid for house..
Education is the surest investment into your future. While most investments, stocks, commodities, and futures, all depend on someone else’s action; education is an investment that mostly depends on you and how serious you take it and how hard you work. Without a high school diploma your income could be $515 per week, with a diploma is increases to $718 per week, and with a bachelor’s degree it increases again to $1,189. So, education is an investment towards better pay and higher quality of life. 
Transportation is necessary these days to survive. We don’t live in small villages or towns anymore. Most of us live in the urban (in the city) or suburban (areas around the city) areas. Some even live far out in the rural (farmland further away from cities). Wherever you live, it is most likely not next door to the grocery store, your work, and most likely not next to family so that you can walk over to their house for a meal. We are  more spread out recently and so transportation is a necessity, which is why most people borrow to buy a car. But the question is, do you need a new car? Do you need a fancy car? Do you need all the accessories? These are not necessities and only hinder you getting out of debt.
Now, even though the world uses debt to purchase these products/services, you do not. This is why you are reading this book. We will show you ways of thinking outside the box and pay off all your debt and begin stockpiling money for a higher quality of your life. Americans especially, they always want the easy way out. Did you know that most millionaires today had to go without necessities for a while as they amassed their wealth? They lived without AC during the heat of the summer to pay for their business. They lived on rice and beans so they could afford something to pay off their debt. They even worked 80-100 hours per week so they could build their business to get out from under the suffocating pillow of debt that we see most Americans suffering month to month under.
Let me explain: Debt is like a pillow. When you buy something, the debt seems okay and maybe even comfortable. Then it grows, and instead of laying your head on it you end up laying it above your head because its to fluffy and makes your neck sore in the morning. It continues to grow until it end up on top of your face, very heavy and very big until it ends up smothering you. What you thought was a pillow was instead a bag of chains, smothering and weighing you down from things you wanted to do in life and you are stuck trying to pay it off.

Where is all your money going? Every month it seems like I make less? (W4:D3) Debt Free Millionaire

Is your money running out faster than you get paid or at least faster than you want? Where is all that money going? Have you checked your credit card statement? How many of these reoccurring expenses are you paying each month.
Monthly or annually expenses are the greatest way for any company to get a lot of money from you. Because they are only drawing a small amount every month, you feel that they are inexpensive. When a piece of software like Microsoft word was $99.99 for an entire suite of software people thought it was too expensive. Now you pay $6.99 a month for it. One year later, you’ve already paid $83.88 and you are still paying on it every month. At least with the $99.99 program, you could keep it for 3-4 years before needing a new version and upgrades came for free.  
Something that also happens with the mind is that when they are smaller amounts asked for, you mind begins to rationalize it. You see a small amount and you feel you can write it off as a small expense, if you get ten $9.99 memberships, that is $100 a month that is disappearing, whether you use it or not. Gym memberships have run off this model for decades. They sign you up and charge you ever month, you feel because you have a membership you are gaining muscle or losing weight yet are you actually going to the gym? Are you getting your money’s worth? If not, why don’t you quit and save the money, because it is easier to rationalize paying such a small amount instead of taking the time to find out how to cancel that membership. If you have those ten memberships sitting around and you aren’t using them, is it really worth stopping payments?
Streaming services are the worse with this. You sign up for Netflix, Prime, Disney, and Hulu and any other streaming service and you are paying for them as you go, but do you really need all those programs? Since the content is always there, do you really need to keep them all around or should you technically watch everything on Disney one month and then when you have seen everything you need to see, can you quit that plan and start up the next? Do you really need to waste the money on all those services and not really use them?
Remember that like income small streams make raging rivers, just like in expenses, small streams of streaming services make raging rivers or, in other words, small payments each month make for large amounts of money leaving your savings every month.
 
Images came from: https://www.pexel.com Music I Use: Bensound.com/free-music-for-videos License code: AN4MXGI6OALEGJ66Also read these articles: https://finance.yahoo.com/news/consumers-paying-more-ever-streaming-181821039.html https://www.statsignificant.com/p/the-broken-economics-of-streaming