Paying All Your Debts and Avoiding Them To Find Your Way To Your Financial Freedom

“Pay everyone that you owe him: taxes to whom taxes are due, revenue to whom revenue is due, respect to whom respect is due, honor to whom honor is due. Be indebted to no one,…” – Romans 13:7-8

This is common to us Filipinos: however the amount we earn, our expenses always tend to equal or even surpass our earnings.  The more we earn, the more we look for ways on how to spend the money we have. This is why having a plan for our personal finance is important.  You may have heard the quote from Benjamin Franklin: “If you fail to plan, you are planning to fail!”

A plan like the 10-10-10-70 works pretty well to get out of debt. With the 10% that I set aside for my offerings and giving to charity, I am assured that my offerings are well prepared to give gratitude to my God. The other 10% of my savings will be used to start building a surplus of cash on the side, and the other 10% will be used to pay for the debt. By doing that, I am assured that my debt will be reduced little by little each and every month.

The 70% of my earnings will be the budget I am going to use for the necessities of my household. I should not borrow any amount from the other allocations nor spend beyond this amount.  I have to make sure that I can cover all the expenses using the 70%. If I will spend more than 70%, I will be short of money by the end of the month.  If in case that the 70% is not enough, I have to find ways to reduce the expenses by diminishing my wants. Or, I have to find ways to increase my income through additional source.  Here’s one you can consider as a source of additional income. It would be much better, if I can do both options at the same time.


Having many creditors will give me a lot of trouble. I need to deal with them all every time. It would be easier to manage all my debts if I will consolidate them into one.  This will allow me to make only one payment each month for all my debts.  I will be also be paying lot lesser monthly compared to paying each creditors separately. And I will be accountable with only one creditor. This strategy helped me ease from lots of pressures.

After studying my budget, I negotiated to pay only on how much I can afford.  That amount should be in accordance with my plan to pay only from the 10% of my total earnings. Doing this little payment each month, I am assured that I am slowly paying out and reduce my debt without sacrificing too much my lifestyle. My family and I can still enjoy living within our means.


Being free from your debts makes your life more comfortable. So get out as fast as you can. And once these amounts owed will be paid out, don’t be tempted to take excessive loans.

Be free! Don’t make money your master. You will be a slave of money if you owe an amount to anyone.

Here’s to your success in getting out of your debts and into your financial freedom!

God bless!

JUN PASION – Online Entrepreneur

Connect with Jun Pasion: Facebook Page | Send E-mail | Mobile: +33 6 5009 3916


  • Digna Nates

    Reply Reply June 4, 2017

    Thank you for your advice. I will try that way. God bless!

    • Jun Pasion

      Jun Pasion

      Reply Reply June 4, 2017

      Thanks po sa inyong comment.

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