Get the Hell Out of Debt

What's Get the Hell Out of Debt about?

• Debt Recovery Focus: The book outlines a three-phase method to help individuals eliminate consumer debt and shift their relationship with money.
• Personal Stories and Humor: Erin Skye Kelly uses personal anecdotes and humor to make financial advice relatable and engaging.
• Empowerment Through Action: It emphasizes actionable steps to regain control over finances, encouraging mastery over money.

Why should I read Get the Hell Out of Debt?

• Practical Solutions: Offers step-by-step instructions for managing and eliminating debt, making it accessible for anyone struggling financially.
• Emotional Insight: Delves into the emotional aspects of debt, helping readers understand how feelings about money impact financial decisions.
• Community Support: Encourages joining a supportive community through the author’s online program, aiding thousands in achieving financial freedom.

What are the key takeaways of Get the Hell Out of Debt?

• Three Phases of Debt Elimination: Structured around planning and preparation, paying off consumer debt, and building wealth post-debt.
• Net Worth Tracking: Teaches readers to calculate and regularly update their net worth for better financial understanding.
• Budgeting Techniques: Emphasizes creating a working budget and offers methods to manage expenses effectively.

What is the Quick and Dirty Fund in Get the Hell Out of Debt?

• Emergency Savings: Designed to be the equivalent of one paycheck, serving as a safety net for unexpected expenses.
• Funding Method: Encourages generating this fund quickly by selling unused items and decluttering.
• Purpose: Prevents falling back into debt during emergencies, not for regular expenses.

How does Erin Skye Kelly suggest I calculate my net worth?

• Assets vs. Liabilities: Subtract total liabilities from total assets to calculate net worth.
• Regular Updates: Recommended to update net worth monthly to track progress and maintain financial awareness.
• Emotional Connection: Understanding net worth helps build a stronger relationship with money.

What are the phases outlined in Get the Hell Out of Debt?

• Phase One: Focuses on planning and preparation, organizing finances, and understanding the financial situation.
• Phase Two: Dedicated to actively paying off consumer debt using strategies like the Smallest Balance Method or Highest Interest Rate Method.
• Phase Three: Encourages building wealth and investing post-debt to avoid falling back into debt.

What is the Emotional Mastery Method in Get the Hell Out of Debt?

• Focus on Feelings: Prioritizes debts based on emotional responses for a personalized approach to repayment.
• Motivation Through Emotion: Harnesses emotions as motivation to pay off debts that evoke the strongest feelings first.
• Personal Empowerment: Emphasizes understanding and mastering emotions for long-term financial success.

What budgeting techniques does Erin Skye Kelly recommend in Get the Hell Out of Debt?

• Zero-Based Budgeting: Allocates every dollar of income to specific expenses, ensuring no money is left unassigned.
• Daily Check-Ins: Suggests checking the budget daily to stay aware of spending and make necessary adjustments.
• Squeeze Method: Encourages finding extra money in the budget to apply directly to debt.

What are some common mistakes people make with debt, according to Get the Hell Out of Debt?

• Consolidation Missteps: Believing debt consolidation solves problems without addressing underlying financial habits.
• Ignoring Emotions: Failing to recognize emotional aspects of debt can lead to poor financial decisions.
• Lack of Budgeting: Not having a working budget often results in overspending and further debt accumulation.

What is the Debt Annihilation List in Get the Hell Out of Debt?

• Prioritization Tool: Organizes debts to make repayment manageable and motivating, based on smallest balance or highest interest rate.
• Commitment to Action: Writing out the list solidifies commitment to paying off debts and serves as a visual reminder.
• Focus on One Debt: Advises focusing on one debt at a time while making minimum payments on others.

How does Get the Hell Out of Debt define financial freedom?

• Passive Income Exceeds Expenses: Achieved when passive income surpasses monthly expenses, sustaining lifestyle without active income.
• Budgeting and Planning: Requires diligent budgeting and planning to understand expenses and income sources.
• Long-Term Vision: Emphasizes having a long-term vision for financial health, including investing and building wealth post-debt.

What are the best quotes from Get the Hell Out of Debt and what do they mean?

• “Being broke is expensive.”: Highlights hidden costs of living in debt, like high-interest rates and fees.
• “Your past is not an indicator of your future.”: Emphasizes power to change financial trajectory through informed decisions.
• “Your available balance is not available money!”: Stresses that credit is debt and should be treated as such.