Three (3) reasons you should live a debt free life
If you’re reading this, it means you’ve had to owe someone before and/or you don’t wish to ever be at that point. Yes! You really should live a debt free life for so many good reasons. I know the first reason that comes to mind is peace of mind and lesser headache; right! But it really does go beyond that. Here, I’ll be taking you through three (3) reasons why you should live a debt free life.
First off, note that if you are using a loan to fund your lifestyle, you are wrong! That’s like sleeping on a bicycle; you could fall off. The future is undecided and you can only be sure of the now. Having said that, let’s dive right in.
1. A debt free life is a lifestyle protection plan
You should protect your lifestyle no matter how inexpensive it may seem.
You should be in control of your money
A debt free life helps improve your financial security as well as financial control; this means that you will be surer of where your money will go and what will be left. This means that you have control over your money and not some increased interest rate or inflation windows determining what percentage of your income is really truly yours to hold. How do you build a life of your dreams with a cash flow you can’t control?
Leave your family with a legacy
As a debt free-individual, your wards or spouse tend to pick up the habit and it gradually becomes a legacy as they will be used to living within their means. As a debtor, your primary concern will be making ends meet and paying off your debts (that’s if you are responsible enough though) and that way, your lifestyle could encounter a dent.
2. A deb free life is one step to financial prosperity
There are four levels to financial wealth. We have financial dependence, independence, stability and then prosperity. We all can find ourselves at either of these levels even as we aspire to attain the level of financial prosperity.
You should have a positive net worth
Having no debt to pay helps you budget your income easily and this in itself is a primary key to financial prosperity. It also helps you grow your savings, assets, investment and overall net worth. A debtor has no business calculating his/her net worth except he or she incurred a good debt. I bet you don’t want your net-worth reading a minus $100,000. A debt free life gives room to exercise financial wisdom and multiplication.
3. A debt free life is a happy life.
A debt, you’ll agree with me, could make you take on a job you terribly hate. You would literarily always be on the run. You could even be blackmailed into working for someone you owe.
You can post pictures freely if you live a debt free life
Having no debt to pay puts you at emotional liberty to buy the things you want, travel to places you desire and still happily post pictures! I’m sure you’ve heard that love is sweeter with money. A family without debts to pay is minus one tension plus a huge financial relief. How comforting!
It’s high time you cut down on those things you that get you badly indebted in the first place. That you have the money doesn’t mean you should buy that designer bag; can you afford it?
I hoped you have learned one or two as to why you should try by all means to avoid debts. Stay tuned as I will bring to you in a bit, practical steps to living a debt free life.