Pack: Life Skills Pack Answer each question below. Circle the correct multiple choice answer. Write answers for open ended questions.

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Worksheet The Monster of Debt

01/24/2022 Printed:

Lesson: #0187 Pack: Life Skills Pack

Answer each question below. Circle the correct multiple choice answer. Write answers for open ended questions.

1) Being in __________ is like being locked up in chains.

a) a house b) water c) debt

d) I don't know

2) Your debt closes off options and destroys ______________.

a) freedom b) dreams c) thoughts d) I don't know

3) Getting out of debt is not that complicated; it’s just ___________ work.

a) easy b) hard c) basic d) I don't know

4) The first step to getting out of debt is to

___________ spending money you don’t have.

a) stop b) continue c) increase d) I don't know

5) The second step to getting out of debt is to ___________ more money.

a) spend b) make c) waste d) I don't know

6) You can make more money by finding a _____________ job wherever you can.

a) second b) primary c) difficult d) I don't know

7) The third step to getting out of debt is to _______________ your debt.

a) increase b) embrace c) pay off d) I don't know

8) The fourth step to getting out of debt is to _____________ steps one through three until your debt is paid off.

a) ignore b) repeat c) avoid d) I don't know

9) Spending more than you have becomes a ___________, and that’s what brought the monster into your life in the first place.

a) goal b) focus c) habit

d) I don't know

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Have you ever found yourself with too little cash and too many bills? The stress, worry, and restrictions that being unable to pay your bills brings can be simply overwhelming. Do you know this feeling?

• Have you received call upon call from debt collectors?

• Have you ever had to wonder what the landlord was going to do when your rent didn’t make it on time?

• Have you ever had anything repossessed because you couldn’t make the loan payment?

• Have you ever had car problems and you had no idea how you were going to pay to get your vehicle fixed?

Situations like these are simply no fun. Being in debt is like being locked up in chains. You can struggle and fight the chains, but they are stronger than you and they keep you tied up. You no longer have the free- dom to do things you want to do because you are chained to your debt. You have become a prisoner to all the money you owe. Debt can lock you into your job, your apartment, and even a relationship. If you have a job you hate and another position opens up but the money is slightly less, you may not be able to make the move even if you really want to. Your debt closes off options and destroys your freedom. These are not uncommon situations—and it is because debt steals our choices. Many people believe that being able to borrow money is freeing, but in fact, you are just putting the shackles on and accepting the chains that debt brings.

What about You?

Have you ever wanted to do something important and not had the money to do it? Or have you ever had an emergency and not had the funds to cover it? Have you had to cancel or delay plans because your debt was too much? Do you feel like the monster of debt is eating you up? You can get rid of the chains of debt and be freer to make decisions without the monster of debt hunting you down and devouring you. But it isn’t easy.

Getting rid of the chains of debt is not complicated; it is just hard work.

First Step: Stop Spending Money You Don’t Have.

The first step to getting rid of your debt is to stop spending money you don’t have. Here are a few examples:

• Do you smoke? Quit. Get rid of two monsters at the same time.

• Do you have cable TV? Cut the cord. TV is wasting hours that you could be spending working to get out of debt, plus it costs money.

• Can you take public transportation to work? People often underestimate the cost of owning a car. But with gas, maintenance, and insurance, the price goes up drastically. If you are in a city or town with good transportation, get rid of the car.

• Do you really need the Oreos or chips? Cut your grocery bill down. That junk food really adds up, and it adds to your health care costs, too.

• Do you eat out? Stop. When you make your own meals, you are basically hiring yourself to do a job.

You become the cook and the waiter, and the money that would have been used to pay them stays in your pocket.

©2001-2020 True to Life Productions

F act S heet The Monster of Debt

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Second Step: Make More Money

Okay, this is another no-brainer. Of course you want to make more money. The trick is, make more money AND pay off the debt you have. More money with less spending SHOULD EQUAL less debt. And less debt equals more freedom.

It is really easy to say, “Go make more money!” It isn’t very easy to actually do, but it isn’t complicated, either.

Go find a second job wherever you can, such as:

• Start detailing people’s cars or cleaning houses on the weekend.

• If you decide to keep your car, go and deliver food or sign up to be a part of a ride-sharing service.

• Find someone who needs yard work and go get it done. Let people know you are looking for work to pay off your debt and then take what they give you.

• If you have kids you need to watch at home, try to make money at home. Start a babysitting business. Help people list items online and take a percentage when it sells. Or take your kids with you and have them help clean cars or houses.

Third Step: Pay Off Your Debt.

That money you will be earning from extra jobs WILL BE a temptation to spend. Remember, though, you are having to work hard to get free of those chains that are binding you. And if you make the decision to do what is hard now, you won’t have that monster hanging over you for the next decade.

Fourth Step: Repeat One Through Three.

Do that until you are done—even when it is hard and obnoxious and you just want to quit. Do it anyway. It is easy to spend money and much harder to pay it back.

Spending more money than you have becomes a habit, and that’s what brought the monster into your life.

Change the behavior that got you here, and SLAY that monster for good! SLAY THAT MONSTER!

Resources:

1. Houston, M. (2020, September 29). 5 Strategies To Eliminate Personal Debt And End 2020 On A Higher Note. Retrieved November 26, 2020, from https://www.

forbes.com/sites/melissahouston/2020/09/29/5-strategies-to-eliminate-personal-debt-and-end-2020-on-a-higher-note/?sh=6cd02a936e9a

2. Ramsey, D. (2020, November 24). 25 Ways to Get Out of Debt. Retrieved November 26, 2020, from https://www.daveramsey.com/blog/ways-to-get-out-of-debt

F act S heet The Monster of Debt

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©2001-2021 True to Life Productions

Homework The Monster of Debt

01/24/2022 Printed:

Lesson: #0187 Pack: Life Skills Pack

Answer each question below. Circle the correct multiple choice answer. Write answers for open ended questions.

1) Your debt closes off options and destroys ______________.

a) freedom b) ideas c) thoughts d) I don't know

2) Step 1: Stop spending _____________ you don’t have.

a) time b) money c) energy d) I don't know

3) Step 2: Make more money to _______________

the debt you have.

a) pay off b) increase c) ignore d) I don't know

4) Step 3: Pay off ____________. Put the extra money you earn by doing odd jobs toward your debt.

a) dividends b) debt c) friends d) I don't know

5) Step 4: Repeat steps 1 through 3 until you are ___________, even when it's difficult and you just want to quit!

a) the boss b) an expert c) done

d) I don't know

6) What can you do to stop spending money you don't have?

7) What are some things you can do to make more money?

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THE MONSTER OF DEBT S piritual a pplication

If you live within your financial budget you can create safety and security for your family. A bud- get allows you to use your money wisely and build a financial plan. Make a budget and stick to it. Many of the financial struggles you can face – debilitating debt and lack of progress in saving money can be addressed by financial lessons found in the Bible.

God’s Words on Debt Management

• The rich rule over the poor. The one who borrows is a slave to the one who lends. Proverbs 22:7 (ESV)

• Plans go wrong for lack of advice; many advisers bring success. Proverbs 15:22 (NLT)

• The Lord says, “I will guide you along the best pathway for your life. I will advise you and watch over you. Psalms 32:8 (NLT)

Making the Commitment

Seek Godly advice and instruction on how to manage your debt. Pray. Establish a budget. List everything you own. List every debt you owe. Establish a plan to repay debt. Consider earning additional income. Control the use of credit cards. Be content with what you have. Consider a radical change in lifestyle. Do not give up! God loves you and wants you to look to Him by reading the Bible for guidance.

Prayer

Dear God, help me create new habits by not spending money I do not have. I desire to find ways to make more money to pay off my debts. I do not want to spend money on wants instead of needs.

Please guide me and watch over me. Amen.

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References

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