3 Bold Moves to Help Millennials Get Relief from Debt Now

Do you feel like it is going to take a bold move to get your finances on track this year?

A significant number of Canadian millennials are starting off this new year feeling overwhelmed by their debt. Large debt loads are not just affecting their bottom line, they are taking a toll on mental health, relationships and life goals. 

Sometimes, though, debt relief isn’t as simple as cutting small items out of your monthly budget. For Canadians in their 20s and 30s, it could take a bold move.

Here are three serious strategies to help you get out of the red and into the black this year.

1. Sell some of your possessions

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Be objective. Are there possessions you can live without? You can start small by selling unused furniture, electronics, sports equipment or clothing on a website like Kijiji.

You might even think about selling your car, especially if you have access to public transit or the option to carpool. Adding up all the costs that go into a vehicle is eye-opening. Cutting those costs can create significant savings in your budget to make bigger payments toward debt.

2. Turn a hobby or skill into a side hustle

Adding part-time or freelance income to your full-time salary has obvious advantages. The extra funds can help you prioritize debt relief and prepare for your future (adding to an RRSP, emergency savings or future children’s education).

The gig economy offers undeniable opportunities. Just ask Canadian personal finance writer Jordann Brown, who increased her income by 44 per cent in three years by applying her skills to freelance work.

3. Reconsider your travel plans

Yes, it is possible to travel even when you are in debt. However, be honest with yourself. If your 2019 travel plans are beyond your budget and will result in even more personal debt, the bold move would be to downsize your vacation. You can find plenty of ideas for travelling frugally on millennial personal finance blogs like this one.

Making serious changes to your lifestyle can positively affect your debt situation. There is also a very good chance you will feel less stress and more relief about debt by the end of the year.

Will you make a bold move this year to help you pay off your debt? Share it on social media along with the hashtags #LeaveDebtBehind and #Millennials.