Every month for three years you’ve transferred x-amount of dollars into your debt settlement trust account, now the program is over and your goal of becoming debt free is in the here and now. So what’s next? You certainly don’t want to go back to your old habits of spend everything you make while neglecting your family’s future. But you’re not quite sure what the next move should be.
Let’s say while in the program your monthly draft from your personal account into your Trust Savings was $500. It’s time to make plans for that $500 you did with out for 36 months. Do the math, yes that’s $18,000. You set aside over a three-year period. If you did it once then you can do it again. The differences being you get to keep it all and do the right thing. If putting the full draft amount in savings creates undue hardship, try 2/3 ($333.33) or even ½ ($250.00). Whatever you decide to do, you must be committed to being disciplined with your savings plan just as you were when participating in any debt relief program. Here are three good reasons to do just that.
1. EMERGENCIES: Life will bring plenty of ups and downs that you’ll want to be prepared for. Although you should always carry sufficient insurance, some situations like an emergency plane trip or a last-minute school function will require immediate cash on hand. Depending on what’s going on in your life at the time, even the smallest amount of cash needed can be daunting when an unexpected issue arises.
2. FAMILY PROJECT: Many times you have made the proclamation “I’m going to… ” What happened to the follow through? You had a plan that didn’t have too many moving parts, your spouse was on board and you both felt it was doable. The most common reason given for unfulfilled dreams is due to lack of money. By setting financial goals and meeting them you will build confidence once the goal is achieved. This will also allow you to be ready when a new opportunity comes your way.
3. INVEST: Investing in your financial future, for retirement or whatever your goal may be will require the assistance of professionals. But if you’re not disciplined with building your nest egg, you’ll be like a leaf heading in whatever direction the wind blows.
CONCLUSION: Saving and planning for your financial future is as important as getting out of debt. Whichever vehicle you chose, the completion of your debt relief program is only the beginning of your journey to mastering your finances. The key is to keep the momentum you had going when setting aside funds monthly and save, save and save some more.