There is only one sure-fire way to reduce your credit card debt: Spend less money than you make, and use the savings to pay down your debt. The painless way to do this is to make more money, but as that option is rarely available, you need to find other ways to reduce expenses.
Track What You're Spending
It's impossible to spend less before you know exactly where your money is going. Few people have an accurate handle on their expenditures; that daily espresso may seem like a small splurge, but at $4 a day, that's $1,000 a year coming out of your pocket. Use a personal finance program, such as Quicken or Mint.com, to rigorously track every expenditure you make--then decide if those regular treats are worth the stress of not reducing your credit card balance.
Tackle Your Monthly Budget
The juiciest targets for reducing your overall expenses are your monthly payments; a small change to any bill you receive regularly will add up to larger numbers over the course of a year. Unfortunately, most people think of these monthly charges as baseline necessities. Here are some ways you can cut your monthly costs without feeling deprived:
Housing: Most Americans pay between one-fourth and one-third of their income on their rent or their mortgage; a reduction in your housing expenses can make a massive difference in your overall financial picture. If you rent, keep an eye on apartment listings in your area, and plan to move if you find a bargain that isn't too much of a compromise over your current place. If you own, even in a tough lending environment, the interest rate you'll pay on an equity loan is almost certainly lower than what you pay on your credit cards, so watch for lending opportunities that allow you to pay them off--and don't succumb to the temptation to rack them up again.
Cable and telephone: Are you paying premium amounts for your cable television or cellular phone service? Many people paying $100 per month for cable television have access to a local library that lends DVDs for free; alternately, Netflix or online television viewing can be a much cheaper way to satisfy your viewing fix. Pay-as-you-go cell phone service can be as cheap as $10-20 a month, if you don't use too many minutes, or you can use online phone services such as Skype or Gizmo Voice, which let you gab away for pennies per minute.
Redefine Your Relationship With Money
Finally, the best way to budget is to think about money in a new way. Check out the book "Your Money or Your Life" to find out if your debt issues are based on a dysfunctional relationship with your income; if so, follow its suggestions to improve your finances in the long term.
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