Many of us fear making a budget because we feel as though the budget ends up controlling us. We’d rather have it the other way around – to control the budget. And yet many find that their money runs out before the end of the month and they face yet another new month on a bad footing. This is unnecessary and yet many of us have learnt to survive until the next paycheque by getting our respective credit cards to foot the bills.

There is a simple way out of this and yet this is a little-known secret. The trick is to consistently spend less than your earnings. This sounds impossible, especially if you have had a history of bounced cheques but it is possible. The key here is to start slowly. Take it one week or month at a time.

Work out a budget and plot how much money you have coming in. Next you want to plot how much money you spend each month. This includes accommodation, food, entertainment, debt and especially all those small costs that add up far too quickly. Just how much you spend might be a shock to you at first. Do this reckoning diligently and then find areas to prune the spending or find a part-time job. This should help you to cover the surplus – if any – and it should help you to pay off your debt a little bit faster. And finally you can get to the fun part of the exercise.

Put a 2c piece into a jar, piggy bank or real bank account. Do this whenever you get paid, whether it is once a week or once a month. It’s a small amount but this small amount ensures you stay in the black. Think of it as your 'Get out of debt free' card: it’s far more symbolic than anything else but it helps you to realise that it takes small steps to get out of debt. It also helps you to see that your situation is not as hopeless as you’d think: there’s light at the end of the financial tunnel of bad debt.

Soon you may even feel tempted to up the amount from 2c to £20 and eventually to £200.

Debt Management is the beginning of a new way of life. This is possible even after a lifetime of bad money choices. Try it out today. You may just enjoy it.

This is a guest post from Harrington Brooks, a website on debt help and advice for people in the UK struggling with their debt problems