How to Get Out of Debt Fast (Without Giving Up Coffee or Your Sanity)
Let me tell you a little secret: The first time I paid off all my debt, I swore I’d never go back. The second time, I was humbler. The third time? I finally figured out what I was doing wrong.
Getting out of debt isn’t just a numbers game—it’s math wrapped in emotion, tied up with a bow of societal pressure, and maybe a little sprinkle of childhood baggage for extra flair. If you’re in debt, it’s not because you’re lazy or bad with money or doomed to financial ruin. Life happens. The trick isn’t perfection—it’s having a plan that actually fits how you live.
Step One: Stop Budgeting (Seriously)
You know what most budgets are? Optimistic lies. You promise yourself you’ll never eat out, never buy another latte, and somehow go from spending $5,000 a month to $2,000 overnight, purely through willpower. Then life happens, you “fail” your budget, and you feel worse than before. Sound familiar?
Instead of setting yourself up for failure, try this: Track your spending for a month. Every dollar. No judgment, no shame—just data. You need to see where your money actually goes before you make a plan.
Step Two: The Spending Plan (Because Plans Actually Work)
Once you have a month of real data, build a spending plan based on reality, not fantasy. If you typically spend $300 on restaurants, don’t pretend you’ll suddenly spend $0. Instead, look at small, sustainable changes that free up cash for debt payments. Maybe you cut that restaurant bill to $200 and put the extra $100 toward your highest-interest debt. Small, consistent wins beat drastic, unsustainable cuts every time.
Step Three: Save While You Pay Off Debt (Yes, Really)
This advice surprises people, but trust me—it’s crucial. Paying off debt without saving money is like bailing water from a sinking boat without plugging the hole. One unexpected expense and you’re right back in debt.
Start small. Even rounding up spare change into a savings account can make a difference over time. One ridiculously simple way to do this? Use an app like Acorns to automatically save a little at a time as you spend. It’s like sneaking vegetables into mac and cheese—you won’t even notice, but you’ll be better off for it.
Step Four: The Debt Payoff Method That Works for You
There’s a lot of debate about whether you should use the debt snowball (paying off small debts first for psychological wins) or the debt avalanche (paying off high-interest debts first for maximum savings). My take? Do whatever keeps you motivated.
- If you need quick wins to stay engaged, start with the smallest balance.
- If you’re laser-focused on saving money overall, attack the highest-interest debt first.
- Feeling unmotivated? Mix it up. Paying off debt isn’t a moral test—it’s a numbers game that needs to work for your brain.
Step Five: Make More Money (Without Burning Out)
Here’s a hard truth: Sometimes, cutting expenses isn’t enough. If you’re drowning in debt, making extra money can be a game-changer. But don’t fall for the hustle-and-grind culture that tells you to sacrifice sleep and sanity for a little extra cash.
- Negotiate a raise if you can (seriously, most people don’t even ask).
- Pick up a side gig that doesn’t drain your soul—something you might actually enjoy.
- Sell stuff you don’t need (unused subscriptions totally count).
The goal isn’t to work yourself into exhaustion. It’s to create some breathing room, so debt stops feeling like a financial chokehold.
Step Six: Automate Everything
Decision fatigue is real. The more often you have to remember to pay extra toward debt, the likelier you are to let it slip. Set up automatic payments for at least the minimums, plus an extra amount toward your highest-priority debt.
Bonus tip: Automate savings too, even if it’s just $5 per paycheck. The earlier you start, the more time works in your favor.
Step Seven: Give Yourself Permission to Live
If paying off debt feels like financial punishment, you’ll give up before you finish. Build guilt-free spending into your plan. A little fun money keeps you from feeling deprived, which means you’re more likely to stick with the plan long-term. (Scarcity mindsets make everything harder, trust me.)
Do You Have a Question You'd Like Help With? Contact Debt Coach Damon Day. Click here to reach Damon.
FAQ: Quick Answers to Debt Questions
How fast can I get out of debt?
Depends on your debt amount, income, and strategy. But even small progress beats none. Start where you are, with what you have.
Should I stop investing while paying off debt?
Nope. If your job offers a 401(k) match, take it—free money is free money. And even small savings now can snowball over time.
What if I mess up?
You’re human. Adjust. Keep going. Progress, not perfection.
You’ve Got This
Debt isn’t forever. With a plan that fits your actual life, some strategic savings, and a little patience, you’ll dig out faster than you think. Want more real-world money advice that won’t make you hate your life? Subscribe to my newsletter and check out the Get Out of Debt Guy podcast. Let’s make this the last time you have to climb out of debt.
