Are you stressing out about your 2025 debt and it’s only January? Are you panicking? Feeling high levels of anxiety?
Here’s the thing about all the debt you had in 2024.
That debt followed you into 2025!
Wouldn’t it be nice to start off a new year with a clean slate? All your debt just magically disappears on January 1. Wow! I’d sure like to get on board with that one!
What kind of debt followed you into 2025? Do you have a mortgage? How about a car loan? What about any other types of personal loans? Maybe you did some home improvement projects or consolidated your debt in 2024.
With me, the most troublesome debt was always credit cards. This was due to an ex who couldn’t control his spending and maxed out all his credit cards. Fortunately, my name wasn’t on any of them! He spent hundreds of dollars a month, maybe closer to $1000 just trying to pay the minimum balance due on all of them. That put a strain on our household expenses and too many times I’d have to use my credit card just to cover the basics.
MY JANUARY 2025 DEBT
What debt followed me from 2024 into 2025?
I don’t have a mortgage, car loan, or owe any other money.
My only debt comes from evil credit cards.
In 2023 I retired and became a full time nomad. Guess how I pay for my travel related expenses? Yup, I whip out the credit card.
So saying that, my carryover debt from 2024 is under $500. That’s not so bad.
Even better that it can be paid in full by the due date.
My debt stress level is pretty low. Fortunately for me, because I have enough other stress going on in my life to be worrying about paying off debt, too.
What’s my secret to living a debt-free life?
There’s no real big secret. I’m living off low-income retirement funds and can’t afford to go into debt. That’s why I avoid using my credit card.
FEBRUARY 2025 DEBT
Actually my worst credit card debt happens in February. My BCAA membership is due, around $125. That’s British Columbia’s version of AAA or CAA.
The company that used to host my website for the year, also wanted around $125 every February.
Just around Christmas in 2023 I switched to another company to host my webpage. I paid three years all at once, with a special offer of around $180. So that’s saving me some money, at least until December, 2026. Then I’ll have to reevaluate the service. Renewals don’t usually get the great deals new customers are offered.
So for the time being, I only have one recurring cost in February, and it’s manageable.
WHERE DID YOUR MONEY GO?
OK, I’ve already chatted about my spending.
Your turn now!
What do you regret buying in 2024 that you’re still paying off in 2025?
Buying food and eating out are the biggest regrets most people have when it comes to credit card spending.
A lesson I learned as a teenager is never buy food on a credit card. Once the food is eaten – it’s gone forever. But that credit card debt could take a long time to pay off.
See: Quit Eating your Way into Debt.
If it sounds like you need to plug some leaks when it comes to spending, see these articles for more help:
Track Your Spending using a Backwards Budget
CAN YOU IMAGINE A DEBT-FREE AND STRESS-FREE LIFE?
If you’re always worrying about how you’ll be able to repay your debt, it can take a heavy toll on your life and your body. Heart disease is right up there and that can go hand in hand with a higher risk of stroke. You’ll be dealing with depression and that often leads to overeating. The next thing you know you’re fighting obesity and risk of diabetes.
You can’t sleep at night because you’re worrying about paying your bills. Or you’re crying yourself to sleep for the same reason.
You have trouble dealing with simple life tasks and making money decisions. You’re paralyzed into inaction.
The weight of the world is on your shoulders. Desperation is a helpless feeling. What to do?
The first thing you do is take that first step and seek assistance.
Once you’ve paid off your debt, your life will become less stressful.
Isn’t that something worth working hard to achieve?
When you’re no longer throwing money away at your credit card debt or personal loans, you can use this money to build up an emergency fund, invest in your retirement, take a vacation, and so much more!
In other words – you’ll have most of your money for yourself instead of paying back money to others.
Get your life back on track!
You deserve to enjoy a stress-free life!
It’s time to relax instead of worrying. Use tips and suggestions from the links on this post to make changes to your money and spending habits and get closer to living a life without debt.
Always remember – your credit card is not your friend.
cheryl @ the lifestyle digs
Published by Cheryl @ The Lifestyle Digs on January 15, 2025.
