DEBT MANAGEMENT 

Dealing with debt at Newfound Wealth Advisors is centered on transforming obligations into manageable, strategic stepping stones within a broader wealth plan. We view debt not just as a liability, but as a financial tool that needs to be optimized. The process begins by prioritizing all outstanding debts, focusing on high-interest, non-deductible liabilities (like credit card balances) that erode your cash flow and net worth. We then analyze your budget to identify available surplus funds and apply proven repayment strategies, such as the Debt Avalanche (targeting highest interest rates first for maximum savings) or the Debt Snowball (targeting smallest balances first for psychological wins), to accelerate repayment while ensuring you still maintain an adequate emergency fund.

The ultimate goal of debt management at Newfound Wealth Advisors is to create financial freedom that allows for aggressive investing. This may involve leveraging secured debt, like a mortgage, for potential tax advantages, or consolidating high-interest consumer debt into a lower-interest line of credit to reduce the overall monthly burden and simplify payments. By implementing a customized, disciplined repayment schedule, we ensure the debt is eliminated efficiently, freeing up your capital to be channeled directly into Registered Savings Plans (RRSPs, TFSAs). This strategic shift transforms money that was being wasted on interest into assets that are building long-term, sustainable wealth.