As we’ve mentioned in the past, the easiest way to avoid bankruptcy is to avoid accruing debt in the first place. Millions of Americans live with thousands of dollars in debt, and a single bump in the road like a car accident or the loss of a job can send them spiraling towards uncontrollable debt.

The sooner you form responsible spending habits, the sooner you’ll build a solid foundation that will help avoid the possibility of bankruptcy. If you follow these 7 simple tips, you’ll be able to save money and avoid accumulating debts that you struggle to pay off.

1. Plan all of your meals

Eating out is the biggest monthly expense in most households. If you plan all of your meals each week and cook at home, you’ll save money – and you’ll probably eat healthier as well.

2. Drink coffee from home

If you’re spending 5 or 6 dollars a day at Starbucks, that can add up quickly. You can make delicious coffee at home and save significant money. Try cutting back to just a few days of buying coffee, then cut back to one, and eventually, you’ll only drink your own.

3. Drop cable

Americans spend hundreds of dollars a month on cable television – but with all the streaming services available today, you can still watch your favorite shows without the expensive subscription. For a fraction of the money you’ll spend on cable, you can watch all the same shows and put more money in the bank. Cut the cord and save!

4. Wait 2 days before buying

These days, you can buy just about anything with the click of a button. Set a dollar limit for immediate purchases – if you want to buy anything that’s more expensive than your limit, wait 2 days. If you still want to buy the item after 2 days and it’s within your budget, go for it. By taking a few days to think, you’ll cut back on impulse purchases, which helps avoid accumulating debt.

5. Map out financial goals

Need a new couch? Want to take a vacation? Map out your financial goals – know exactly what you’re saving for and how much you’re wanting to save. If you create a plan and stick to it, you’ll find it easier to save money.

6. Work on your budget once a week

Once you’ve set your budget and plan for saving, dedicate a set amount of time each week to work on your budget. Track your spending and update your records – if you remember to work on your budget each week, it’s easier to stay on top of your spending habits.

7. Track your progress

After working on your budget each week, track your progress towards the goals you set for yourself in Step 5. As you follow these steps and change your habits, you’ll see the money you’re saving. The more money you save, the easier it will be to stick to your plan and save more.

If you follow these simple steps, you’ll learn responsible spending habits and avoid adding additional debt. If you’re already drowning in debt and need more help than these tips can provide, call us at 214-760-7777 for a free debt consultation. We’ll take a look at your financial picture and let you know what your options are – so you’ll be able to start back on the road to financial freedom.