1. Assess your debt situation

Start by listing all your debts, including credit cards, mortgages, and personal loans. Note the interest rates, minimum payments, and remaining balances. Understanding the full scope of your debt is the first step toward getting it under control. 

2. Create a budget

Develop a monthly budget including your income and expenses. Identify areas where you can cut back, like dining out or entertainment. You may want to consider whether you could d redirect those funds toward paying off debt. A simple budget helps you stay focused.

3. Prioritise your debts

Consider targeting high-interest debts first to save on interest in the long run.

4. Negotiate with creditors

Don’t hesitate to reach out to creditors – such as your internet or power provider – to negotiate better terms. You may be able to lower your interest rate or set up a more manageable payment plan. It never hurts to ask!

5. Build an emergency fund

While tackling debt is essential, having an emergency fund can prevent future debt. Aim for three to six months’ worth of expenses to cushion against unwanted financial surprises, such as a car break down, an essential appliance failure, or a vet bill for a sick pet.

Need some help?

Financial planning goes beyond just crunching numbers, it's about providing the answers you need to shape the life you want. As a CareSuper member, you can access expert advice tailored to your needs. Whether you need simple help with your super or more complex advice, our team is ready to help. Call us on 1800 005 166.

This is general information only and doesn’t take into account your objectives, financial situation or needs. Before making a decision about CareSuper, you should consider if this information is right for you. You may also wish to consult a licensed financial adviser.
Any advice is provided by CareSuper Advice Pty Ltd (ABN 78 102 167 877, AFSL 284443). 
Advice is provided by one of our financial planners who are Authorised Representatives of Industry Funds Services Limited (IFS). IFS is responsible for any advice given to you by its Authorised Representatives. Industry Fund Services Limited ABN 54 007 016 195 AFSL 232514.

 
Information correct as at 20 November 2024.