Dr. Roxanne Arnal, CFP®
Holiday Season often tempts overspending. Realign with your financial goals. Understand and conquer debt by:
- Living Wisely:
- Avoid living beyond your means.
- Define your financial goals.
- Make sustainable choices over impulsive spending.
- Two Debt-Reduction Methods:
- Debt Snowball: Pay off smallest debt first. Then next smallest and so on.
- Debt Avalanche: Focus on high-interest debt first to reduce overall interest costs.
- Which Method is Best?
- Choose based on your financial habits.
- Positive reinforcement matters. Small wins create larger ones.
- High-Interest Credit Card Debt:
- Identify overspending triggers.
- Tackle underlying issues and emotionally spending habits,
- Debt steals from your future and creates stress.
- Good Debt vs. Bad Debt:
- Differentiate between debt types. All debt is bad but some is better than others,
- Bad debt is consumer debt and doesn’t create wealth.
- Good debt builds wealth (e.g., home purchase).
- Best debt, such as practice purchases, offers tax benefits.
Prioritize financial freedom with wise debt management.
Advisory
Circle back to your plan and take an honest look at why your debt exists in the first place. Then make a true commitment to yourself. Growing wealth is really as simple as that.
As your Chief Financial Officer, I’m here to help you understand your money and assist you in making smart decisions about your wealth.
Have more questions than answers? Educating you is just one piece of being your personal CFO that we do. Call (780-261-3098) or email (roxanne@c3wealthadvisors.ca) today to discuss debt reduction strategies.
Roxanne Arnal is a former Optometrist, Professional Corporation President, and practice owner. Today she is on a mission Empowering You & Your Wealth with Clarity, Confidence, & Control.
These articles are for information purposes only and are not a replacement for personal financial planning. Everyone’s circumstances and needs are different. Errors and Omissions exempt.
