You'll get the biggest bang for each buck by paying off the highest interest rate debt in your portfolio first, while making minimum payments on the remainder. It's called the avalanche method, and it gets you out of debt cheapest and fastest.

Garnishments tend to happen when people hide from their debts and stop making even minimum payments. Eventually, creditors sell the debt to a collection agency.

Too often, we make budget cuts - then blow the savings. Instead, think about your financial picture. Do you have high-interest rate debt? Paying it off faster will save you a bundle.

Automate your savings so that you have money taken directly from each paycheck and deposited into a 401(k) or other workplace retirement account. If that's not an option, automatically have money transferred out of checking into savings each time you get paid.

Simply calling your credit card issuer and asking them to lower your interest rate may yield immediate savings.

When you're setting up a budget, a general rule is to start with your fixed expenses - your housing and insurance payments, and car payment, if you own one.