SIP CALCULATOR

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EMI Calculation for Loan Amount | Excel EMI Calculator

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The post SIP Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic of personal finance on Two Wheeler Loan EMI Calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like Excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Two Wheeler Loan EMI Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest.
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed the 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management of Two Wheeler Loan:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in an Excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

Mutual Fund Calculator in Excel | SIP Calculator |Mutual Fund Lumpsum Calculator

Investing in Mutual Funds for Beginners | What is SIP in Mutual Fund?

Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Two Wheeler Loan EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on Bike loan calculation and monitoring. You can easily calculate the loan amount with the help of manual calculation or you can use any software for it like Excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly, you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in an Excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

Mutual Fund Calculator in Excel | SIP Calculator |Mutual Fund Lumpsum Calculator

Investing in Mutual Funds for Beginners | What is SIP in Mutual Fund?

Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Bike Loan EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on loan calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep Visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

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Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Personal Loan EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on Car loan calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issue, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in an Excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep Visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

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Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Car Loan EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on home loan calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Home Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep Visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

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Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Home Loan EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on loan calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep Visiting: financehelps.in

How to Pay off Business Debt Quickly | 6 Tips for Managing Debt

Debt Management Plan Template | How to Eliminate Debt Fast?

Mutual Fund Calculator in Excel | SIP Calculator |Mutual Fund Lumpsum Calculator

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Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post Loan Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to cover the important topic on personal finance on loan calculation and monitoring. You can easily calculate the loan amount by the help of manual calculation or you can use any software for it like excel sheet. In online many calculators are available for loan EMI calculation. If you would like to calculate the loan EMI then go through the below link to calculate the particular type of loan as per your loan category as given below.

Why Loan Calculation is Important:

You are supposed to know below important points before applying for the loan. Below are the important points that you have to keep in your mind.

• Financial Planning
• Budgeting
• Comparison of loan options
• Finance Risk assessment and management
• Loan term, condition, compliance obligation.
• Payment Tracking
• Adjustment
• Rate of interest
• Early detection of issues, etc.

Financial Planning and Budgeting:

Definitely, as a borrower we have to plan our finances and budget that how much we will need to pay each month EMI, to do so, first of all, we have to use the EMI calculator to get an idea of per month loan amount, accordingly you can easily plan your financial budget.

I personally follow my own rules that my monthly EMI loan amount should not exceed 50% of my monthly income. Similarly, for better financial budgeting and loan principal amount decisions you can make your own rules as per your monthly income.

Comparison of loan options:

It’s an important point that debtors can compare loan options by calculating and comparing the monthly EMI amount, total loan payable, interest rate, loan tenure, and total interest amount payable.

Risk Management:

You should evaluate the ability to make monthly EMI and overall financial health by risk management.

Payment Tracking:

Regular tracking of your monthly EMI will help you for smooth loan payments and help you identify potential issues or risks early on.

How to calculate Automatic EMI in Excel Sheet:

Suppose are going to calculate the EMI amount for the principal loan amount of Rs. 500000/- for a tenure of 60 months (5 years). Follow the given below step-by-step guide to do the EMI calculation in excel sheet.

• Open the Excel sheet
• Write the Below Points

• Select any cell of excel sheet and use the below function

=PMT (rate, nper, pv, [fv], [type])

Please note, the rate of interest will be monthly, you have to put “-“ sign before pv value, and finally you have to select “0” end of the period.

Example:

EMI:

Keep Visiting: financehelps.in

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Personal expense tracker excel template | Format |Download

EMI Calculation for Loan Amount | Excel EMI Calculator

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The post EMI Calculator appeared first on FINANCEHELPS.

Hello readers! Today we are going to discuss an important topic how to Pay off Business Debt Quickly with 6 important tips for managing debt. Debt is something which can help a business grow and also can be the reason of business failure. The main reason behind debt resulting in failure is the mismanagement of debt. So today we at financehelps.in are going to explain to you everything about business debt and how one can control the business debt.

First, let us have a clear idea of what is business debt?

Debt by the term means owing money to another party at some rate of interest. Businesses take debt to carry out their business for a certain period. Now business also takes debt in various ways in the form of loan from bank against some rate of interest, borrowing from family or friends on certain terms, Credit from suppliers etc.

Now to manage your business debts one needs to have a proper debt management plan about which you can read our post on Debt Management Plan and How to Eliminate Debt Fast. There you can download the free template. This post is about concept on personal debt management.

How can we reduce business debt is where the question lies. So, these are the points which we need to follow to reduce business debt.

6 Tips for Pay off Business Debt Quickly

1. Identify your debts and prioritize
2. Consolidation of debts
3. Cutdown on your expenses
4. Build relationship with vendor or suppliers
5. Generate more income
6. Manage debtors efficiently

Now let’s understand the above-mentioned points in detail.

Identify your debts and prioritize

To understand the company’s financial status, it’s important for an individual to go through the company balance sheet to check on the outstanding debt. Now, what is important is to identify and differentiate between a good debt and a bad debt. How do one know what a good debt and a bad debt is, the answer to this is if the debt is going to provide profit to the company on a long-term basis it will be considered as a good debt.

For example:-If the company has liability related to office space it could be considered as a good debt due to the potential of increase in the value of the space .Thus any debt that is backed by collateral should be paid of first as failing the same may result in loss of asset .Also any taxes or govt related payments should be prioritized  to avoid additional penalties .Once the good debts are paid off the company can focus on clearing of other creditors .Doing this will help in reducing the overall debt burden of the company.

Consolidation of debts

 By consolidation of debts, we mean to clear off several debts by using a single debt. To simplify it lets understand it this way. Say for example X must pay off to 50 different debts of certain amounts. Now he also will have to pay interest at different rates and different time which not only would be difficult to track but will also may result in missing out any. Thus, it’s always better that X takes up a loan of a bigger amount and try to clear of several debts which will help in reducing the number of debts and also might help in getting loan at a lower interest rate. This will also help in saving money over time.

Cutdown on your expenses

Managing the monthly expenses which is one of the most important factors. Because unless you know what the amount is you will need for your business monthly expense and how much you will be able to save it will be difficult for you to fund for your debt repayment. Thus, one needs to figure out the amount they would be spending for incurring the expenses and where can there be cut down on expense. The best way to keep track of expense is to segregate the expense into recurring (expense which the business will have to incur every month) Operating (Expense which the business has to incur in the process of the functioning which comes up once or twice in a year) With this one would be able to understand the amount required every month for incurring the expense and set aside enough for other operating expenses.

Build relationship with vendor or suppliers

It’s important for a business to form a good relation with the vendors and suppliers because it’s the suppliers who will help the business keep on going by providing credit to the business. Any supplier will only provide credit to the business if both are on good terms. Also, the business should discuss with the supplier on payment terms and also credit limit which will help the business to plan well the payment. If a business enters into any credit agreements should be done with a clear understanding of risk and reward, if need be one should not hesitate in taking up professional help as is required to assure mutually beneficial outcomes to both parties.

Generate more income / funds

To pay off the debts obviously you will need to have enough funds. And if you don’t have enough funds with you then generating more income for the business is something which will help in clearing off your debts. One easy way to generate more income is increase your margin by raising the rates. This can be done by raising the prevailing rates and communicating the same to the customers also if they desire must be provided with the option to buy the product or service before the rise in price. This could help in enhancing one time revenue. Try to diversify your income buy adding products or by investing your existing money in FD or other mutual funds to earn money out of money. Clearing out old stocks at discounted rates can also help in generating revenue.

Manage debtors efficiently

Maintaining payment terms with your clients is important to manage proper funding for the business. One should try to maintain shorter time – period for payment to max of 60 days and 90 days in case of consistent clients. Also, business can provide discounts etc to the ones who agrees to pay larger part of due at a go. Suppose A buyer is ready to pay 70 percent of the amount on the day of purchase if he would be offered with additional 5 percent discount on the amount which can influence other buyers to pay early too.

These are 6 tips for pay off business debt quickly. These are the points which a business can implement to reduce off the debts. Debts are not always a burden for the company its just that one needs to efficiently manage it which would prove as a benefit for the organization in the long term.

Do get back to us with your comments and questions we are more than happy to help. Keep visiting financehelps.in for more such contents.

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EMI Calculation for Loan Amount | Excel EMI Calculator

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The post How to Pay off Business Debt Quickly | 6 Tips for Managing Debt appeared first on FINANCEHELPS.

Hello readers! Today’s topic is going to help you in planning and managing your debts. At some point in time, we all prefer taking up loans for personal use /home/education depending upon our requirements, also there are a lot of entrepreneurs arising be it on a small scale or large scale, to set up a business funding is one of the key factors which most of the times is in form of Debt which sometimes become a hassle for the owner of the business as he/she gets into a juggling position between the business and several other tasks. Amongst these tasks comes debt. So to minimize your worries and save your time we at financehelps.in have come up with a Debt Management Plan Template which will help you to manage your debts (like, home loan, car loan, etc.) in a simplified form. Today we will discuss personal debt management.

Download sample debt management plan template/excel format.

Download the monthly debt monitoring excel sheet.

What is Debt Management Plan?

Debt Management is the process of planning and controlling of your debts. Generally, a credit counseling agency is hired to create a plan for managing debt, but we at financehelps.in are here for you to help in creating one for yourself by using our debt management plan template excel format which is both simple and easy to use.

Using the excel you can plan to pay off debts as per some principle and general rules, specified by us for better managing your debt but you can customize the rules as per your convenience. The rules are given in the excel template as our thought. The best part of this excel is that you will get a clear picture of your funds and also get into a regular habit of repayment which will not only help in lowering your debt but also help you pay off the debt in a particular prefixed span without fail.

Let’s understand it better with the help of the excel we have created.

Say X has four kinds of Loan-Personal loans, Educational loans, Home loans, and Car loans.

He took a personal loan of $4,000 @9.5% for a period of 3 years. Education Loan of $12,500 @7.5% for a period of 8 years. Home Loan of $98,000 @ 6.8% for a period of 20 years and Car Loan of $10,000 @6.5% for a period of 5 years. (Table view attached)

Now if X plans to pay the loan on a monthly basis, we find that he has to pay the following amounts per month.

For Personal Loan -$128 /month

For Education Loan-$174 /month

For Home Loan-$748 / month

For Car Loan -$196 /month

Considering all the total per month comes to $1,245. Here we see that X actually took a loan of $124,500 but on the calculation of the final payment the loan repayment comes to around $2,12,551 which comes to around 70% approx as interest payment.

However, if we increase the per month loan payment by 10 percent, we find that the total per month payment will increase to $1,370/ month and total loan repayment at the end of the period amounts to $2,06,544

Comparing both the cases we find that we are saving around $ 6,006 on total interest payment. Thus, for the above table, we understood that if we increase the amount of debt repayment per month then it will lead to saving in the amount of interest.

Download the debt management plan sample template (excel format) and use it to create your own debt management plan without any hassle.

As we believe that below are some tips or strategies that you may be followed to pay off debt faster

• Deep understanding of Terms and Interest rates

While taking a loan some people generally miss out on the vital points in the contract. Thus, it’s highly important to go through the term and conditions very deeply and not miss out on any point. Also, check on the interest rates properly.

• Pay more than the minimum period.

It is better to pay more amount as monthly repayment than look for the period of payment. You can plan your own strategy or you can follow our above 10% increase plan to better manage your monthly debt.

For Example;

• Pay off your most expensive or highest rate of interest loan first.

While planning the debt payment one should try to prioritize the debt in the sequence of high to low amount and then high to low-interest rate. Using this strategy you will be able to pay off the debt which has higher interest rate first because for the longer time you keep it in your list the more is the amount of interest you will have to pay .

• Shorter the length of your loan.

One should try to take loan for minimum period. As the shorter you keep the time of your loan the lesser amount you will pay on interest. You are supposed to try to increase your monthly amount payment as per your own plan or you can follow our above strategy to shorter the length of your loan.

For Example;

• Track the monthly expenses for better managing of funds.

For managing debt properly, one needs to manage the monthly expenses which is one of the most important factors. Because unless you know what is the amount you will need for your monthly expense and how much you will be able to save it will be difficult for you to fund for your debt repayment. Thus, one needs to figure out the amount they would be spending for incurring the expenses and where can there be cut down on expense. With this you would be able to understand the amount of your requirement.

• Set up a monthly budget.

The best way to track the monthly expense would be to prepare a budget keeping in mind the monthly income and accordingly prioritizing the expenses as per need. Budgeting will give clear picture of the amount which you will be left with to pay off the debt.

• Keep track the monthly debt payment.

While you have started with the debt payment you need to track the amount you are paying as debt and look for possible ways to increase in the amount of debt repayment to reduce the interest amount.

 For Example; sample monthly debt monitoring sheet.

Download-Monthly debt monitoring excel sheet

• Work part time or generate passive income.

As we believe that in many scenarios it’s not easy to sustain only on monthly active income thus it has become important to have a passive income (which means generating income from additional source. For example, now a days there are freelancing, content writing, social media management, blogging, etc. which one can choose to generate additional revenue) this will generate additional revenue apart from the fixed amount. Which as a result will lessen the burden of debt repayment.

Following these strategies you can plan your debt easily and smoothly.

Do comment if you have any queries. We would be more than happy to help you out on the same.              Keep visiting financehelps.in

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