debt

7 savvy steps to escape the credit grid

Paying for essentials
Next
5 of 9
Back
Paying for essentials

When you get paid, pay your essential bills such as rent or mortgage and utilities, then take out and allocate what seems like an adequate amount of cash for each budget item, starting with your highest priorities, says Burton.

For more variable costs such as groceries, figure out how much you actually need to spend by carrying a notebook with you to record purchases or using a combination of paying by debit card and tracking your purchases on a website like Mint.com, says Kirchenbauer.

Burton suggests using an envelope system where you stash money in labeled envelopes for each type of expense. But keep in mind, you'll probably need to make adjustments in the amount you put in each envelope as time goes by, especially if you've never worked from a budget, says Burton.


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
CREDIT CARDS WEEKLY NEWSLETTER
Credit cards on a table

Get advice for managing credit cards, building your credit history and improving your credit score. Delivered weekly.

Debt Adviser

Can I quickly boost my credit?

Dear Debt Adviser, I make pretty good money, but my credit score is low. What's the fastest way to raise my score? I've looked for help through credit repair places, but I haven't decided whether they're right for me. I... Read more

advertisement
Partner Center
advertisement

Connect with us