Steps to Living on LessDebt is the outcome from living beyond our means and wanting it all now. But if you are serious about getting into the black and living a life that makes you happy, there are some simple ways to get back on track.

Evaluate each and every purchase you make – Even if it is a simple question that runs through your head asking yourself if you really need this.

Track every penny – At least sit down and consciously do this for a good 30 days to see where the money is leaking out. I have found that most of my money leaks when it comes to food (vending machines, fast food)

Balance your checkbook – Personally, I check mine every day or two but the main reason to check it regularly is to keep track of any fraud, over-drafts or mis-applied payments.

Pay your bills the day they come in – I have learned through the years that I would rather have $6 left in the checking account and all the bills paid then 2-3 sitting around and they end up being late because I spent the extra money on going out to eat or some other non-essential.

Get some form of a budget together – even if it is a ‘˜left-over’ budget that has you paying all the bills first and moving what is left-over to savings. Make sure essential bills are covered with what you bring in.

Lower your expenses – If you can’t cover the bills with what you bring in then it is time to evaluate your needs from cable TV to memberships to group activities that cost money

Look for free alternatives – From borrowing books, music and movies from the library to picking up furniture through freecycle or craigslist as well as finding community activities that are free to get involved in.

Cut up your credit cards – This causes you to stop using them as a crutch and if you do need the card again, it requires a period of time to wait while a new card is delivered to you since you ‘˜lost’ it.

Stay True – Write down your goals on your calendar or fridge to help you maintain your desire to get out of debt or save towards something special. Re-evaluate this goal regularly to make sure you are on track and if not, determine where you need to adjust.

Make savings a bill – By making savings a bill you are providing for your future self instead of using a credit card which make you borrow from your future self

Set priorities – If you really desire to live on less, then that will mean that you can’t maintain a lifestyle that is above your means. That means sacrifice and delayed gratification.

Just as debt can take you into a depression with the anxiety and frustration, savings and a budget will bring you contentment and more freedom. You will pat yourself on the back for being so smart!!

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Dawn C. is site owner of Frugalforlife.com where this is a repost from: 11 Simple Steps to Living on Less. Dawn is residing in Colorado with her spouse, Teri, of 11 years.