If used wisely debt can help smooth out cash flow, acquire appreciating assets and in general make life enjoyable. However, as we all know, using debt strictly for conspicuous consumption with little thought of the consequences is the same as stepping into a boxing ring with your hands tied behind your back. In other words it’s a mugs game and budgeting is a simple tool that will help to keep you on track and in control of your finances and life.

Its understandable that some people are jumping at the opportunity to cash out some equity in their homes but remember it’s nothing more than going deeply into debt. So, think this decision through carefully before you entertain a reverse mortgage, comparing its costs to that of a simple personal budget. That’s right a simple personal budget may be all you need to live a comfortable retirement in your own home.

It is “good” for families to holiday together but if this is to qualify as “best,” it should be done without paying for it with money you don’t have. It’s “better” to have a less expensive family holiday in which everyone can be truly relaxed, stress free and happy knowing the holiday was not payed for with borrowed money.