Saving money is tough but quite interesting at the same time. Once you get into the habit of saving money you will enjoy the whole process even more. If you are experiencing money problems, then you can consider the following 5 proven ways to get out of debt: Make the list of all your debts and pay the ones with high interest first The first and important step you need to start to get rid of debt is to make a list of whatever amount you owe, write down how much interest rate you are paying each month and make you have you will pay down the ones with high interest rate first. Track your spending habit and create a budget The most possible means to get rid of debt is by keeping a right balance between your income and expenses and for that purpose you need to create a budget. You can use the paper and a pen method or can make a spreadsheet using some budget making software to track your spending. By tracking your spending you can get to know about where your funds are going on a daily basis. When you create a budget and stick to it you will know what your spending limit is and where you need to cut down. Always live within your means Most people get into debt when they spend more than they earn. So, it is important to live your life within your means and stick to spend money only on your needs and not on your wants. Diminish your credit card use It is easy to take out card from your wallet to make your purchases now and pay the amount later. This way you will add more items which are not on your budget list. Credit cards are very tempting and most of the time you get many offers. When your temptation becomes too much you end up with credit card debts. So try to limit your credit card use as much as you can. Avoid expensive hobbies Ditch your expensive gym membership, cable television charges and you must also stop going out for lunches and dinners often. This is how you can take step towards saving money and avoiding debts. For your entertainment you can visit the library, can call your friends at your place and can go to the park for a walk with your partner. This could be the best way to save money and stay away from debt.