Money Gal Coaching: Want to be debt-free? Start a budget

Kelly Blodgett started Money Gal Coaching after paying down nearly $50K in debt in 18 months.

Kelly Blodgett launched Money Gal Coaching with a goal of serving people who, like her, were burdened by debt. You can get her tips for paying down debt on a regular basis at Bring Me The News, in addition to the Money Gal Coaching website and Facebook page. In her words, this is how she became debt-free. 

A budget can seem overwhelming, stressful and sometimes, boring! But a budget is the key ingredient to paying off debt and saving for those things in life that matter most - helloooo vacation!

Sponsored: Money Gal Coaching special offer for friends of Bring Me The News.

1. Track your current spending

Look at your spending from the last couple of months and get an average for money spent in each category. Think of categories as buckets your transactions fall in: restaurants, clothing, hygiene, monthly bills, subscriptions, etc.

2. Outline a budget with your new and improved spending habits

After you know how much you currently spend in each category, add up all those categories and see if you are spending more or less than your current income. You may need to do some adjusting. 

If you are spending more than your income, you will need to decrease dollars assigned to categories. If you spend less than your income, where should that remaining money go: saving for a new car, a down payment on a house, a 401K?

3. Start budgeting

Now is the time to follow your new budget with the goal to stay at or below the spending limit for each category. Be sure to track each expense so you know if you are getting close or going over the money assigned to each category. 

A budget is not perfect so continue to track your expenses and adjust your budget each month.

Questions on your budget? Send me an email or DM me on Instagram to get all your money questions answered.


Disclaimer: Bring Me The News will receive a portion of the proceeds from readers who purchase a service from Money Gal Coaching via our articles. 

Next Up


Republicans want to use state budget reserve to pay off debt to schools

Minnesota has borrowed more than $2 billion from its schools to cover recent budget deficits. A group of Republicans says now that the economy is stronger the state should pay off that debt with money in reserve. But Governor Mark Dayton says raiding the reserve fund could leave the state vulnerable if the economy heads south again.