Thanks to credit and debit cards or what most like to call plastic money, many people are living in debts that they can no longer be able to control. Credit cards raise the chances of over spending because they reduce your consciousness on payment since you do not get to do any mental accounting. The route to negatively affecting your personal finances is not monitoring your spending.
On the other hand, debit cards are no better either though you get to spend what is in your bank account; most banks give an automatic over draft when you spend beyond what you have. They just send you an overdraft notice and that is when you realize that you spent what you did not have. Again, this will dent your personal finances.
Write down your budget so that you can keep track of how your spending compared with your net income. If you budget well, you can be able to save for a home instead of getting a mortgage. You can also save up for education and retirement. Budgeting will help you to be a good steward and administrator of your personal resources.
To ensure that you live a debt free life, sit down and write down your debts from the lowest to the highest. Identify whether you can make any extra income by cutting down on your expenditure. Start paying your debts from the lowest and pay a minimum payment on the rest. When you are done with the first, go to second lowest and so on.