You can cut all the flowers,
but you cannot keep Spring from coming.
– Pablo Neruda
What’s the Difference Between Good and Bad Debt?
Debt can become a millstone around your neck if you let it, but it can also be a positive factor in your financial life if you know how to use it and what to use it on. Certain debts are better to keep around than others, and using debt strategically can actually help you in the long run.
The main way to check how your debt is working for you is to examine the relationship between money and time. For example, student loans allow you to avoid paying a cost upfront in exchange for a higher cost later, but that higher cost will (hopefully) be met with a higher income on your part. In theory, the same goes for having a mortgage. If your future salary will be able to cut the time you need to pay off the mortgage by half, then it’s better to reap the rewards upfront.
Student loans: If 10% of your income for 10 years will pay off your total loan amount, you’re in a good place. If it would take more than 10%, the debt becomes bad.
Mortgages: mortgages are almost always good debt to have around, because they’re relatively inexpensive.
Car Loans: Car loans are often considered to be bad debt because of their typically high interest rates.
Credit Cards: Credit card debt is almost always bad debt, but it can be manageable until your interest payments start to approach the amount of money you’re able to put into them each month. As long as you avoid that tipping point, your credit debt can work for you.
5 Ways to Get In Shape Without a Gym Membership
As we enter into beach season, the Quotacy staff here in Minnesota is finally starting to see a little bit of sun. Now that the snow’s finally gone, we’re getting back into the swing of things, but we don’t all want to rush outside just yet – you have to introduce a tan slowly up here.
Working on our beach bodies happens indoors just as often as outside, and we’re always looking for ways to shape up without going out, and these five tips are already helping us shed some lbs.
1: Find an Accountibilli-Buddy
2: ACTUALLY USE Your Accountibili-Buddy
3: Take Advantage of the Classified Ads
4: Keep an Eye on Groupon
5: Find a YouTube Fitness Coach
10 Cheap Meal-Prep Ideas
We all know that packing your own lunch is healthier and cheaper than buying lunch elsewhere, but most of us never take the time to do it. The 30 minutes that you use cooking in the morning could be spent sleeping, after all.
However, this article offers cheap lunch ideas that come together in less than 20 minutes, and make enough food to cover lunch for a week. You can keep them at home, or pack them up and take them to work for lunch.
A Simple Financial Spring Cleaning Checklist
Now that summer’s on its way, it’s a great time to open the windows of your wallet and air things out a bit. Financial checkups are always important, and there are quite a few services that help make it painless.
Our friends over at Mint are personal finance experts, and offer a checklist to help you breeze through your regular financial fitness test.
Thanks for Reading
And have a great day! If you need help, here’s the instagram page for P’Bone, a very large, very fluffy cat.
About the writer
Eric moved from sales to communications at Quotacy. His writing is informed by his experience guiding hundreds of people through their own life insurance buying journey. Eric lives in Minneapolis, where his coworkers are trying to convince him to start his own podcast, do stand-up, or take his humor into the spotlight. Connect with him on LinkedIn.