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Debt does not have to be a way of life, like the advertisers would have you believe. In fact, you can control and even reduce or eliminate this with some savvy financial moves and self-discipline.

First of all, you need to know who you owe money to and how much. You can make a paper list or compile a list on the computer. If you are not sure, wait for one month and collect (and pay, of course) as many bills as possible in a basket. Then make your list.

Once you have done that, go through and pay any credit or loans that are hovering near or are over the limit. This is very important to avoid fees.

When you complete this task, or if there are none over or close to the limit, start devising a plan to pay the least amount you owe first. Pay the card or loan off with the smallest balance, if possible. This may take a few months to begin. Think "smallest to largest." If there are home loans or home equity loans, be sure you will not have a penalty for paying off early and that your extra funds go towards the principal, not interest. If you are unsure, contact your lender.

Want to pay your home debt off quicker? Don't sign up for the biweekly plan, instead divide your monthly payment by 12 and tack the extra on each month. Do not send in a separate payment, your lender will not accept that. But they will accept extra principal in most cases.

When you're ready or if you feel the need, sketch out a budget and change it as the month goes on. Keep track of your income. If your income varies, come up with an average over a few months. It doesn't have to be anything fancy, complicated or something that denies you too much. Include your entertainment, travel, meals out and any extras. Be generous with yourself. This will also give you a good idea where you can cut back so you can funnel more of your money towards debt.

Take a look at your insurance policies (auto, home, life, health) and see if you can come up with savings on this. Shop around or check with your employer or group to see if they can get you a better deal. This could also put money in your pocket that will go toward paying down your debt.

If you do not have a car payment, or have a minimal car payment, see what you can do to eliminate this, even if you have to skip a vacation for a year, cut back on gifts, extras or meals out. If you need to purchase a car, try saving for a sizeable down payment if time allows or waiting for tax refund time.

Change all your credit cards to zero to three percent either by calling them and requesting a lower rate or changing companies entirely. This will buy you time paying them down, although balance transfers may incur a slight fee of up to three percent.

Bottom line is you need self-discipline and your family needs to be on board with your plan. If you cannot afford it right now, put it off, do not buy it. Despite what the sales people say, there will be other sales and it will indeed be there another day.

When you put some or all of these practices into place, you'll be on your way to being more mindful of your debt and may eventually find your way off the debt bandwagon so many of us are on.

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