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Why You Should Be Skeptical of Financial “Rules of Thumb”

Prairie Eco-Thrifter

The rule of thumb that states that it makes sense to spend 30% of your income each month on a housing payment doesn’t take into account the fact that you might have other debts, and that taking on more might over-leverage you. If you are buying a home, start with the 30% rule, and then evaluate where that puts you in terms of finances.

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How We Paid off Six Figures of Debt

Family Balance Sheet

Financially speaking, he focuses on building the business and I focus on managing our home and finances. When I first approached him about paying off these debts early, he said to me, “it’s not going to happen by clipping coupons. Living a life focused on paying off debt is not always easy.

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How to Start a Budget (and be successful at it!)

Family Balance Sheet

I came up with strategies to help us pay for yearly bills, large expenses, and we were able to pay off debts. A budget could help you avoid late and insufficient funds fees, find money for an upcoming trip or expense, and ease a disagreement over finances in a marriage. We work through these steps together.

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