Creating Debt Repayment Plans with AI - GPT Debt Management Know-How

Introduction

"I want to save 10 million won in a year," "I want to travel abroad but how should I budget?"—we all have these goals, right? But with just goals and no concrete plans, it usually ends in "New Year's resolution failure."

Why is budget planning difficult? First, it's hard to accurately track current income and expenses. Second, calculating the amount and time needed to reach goals is complex. Third, it's difficult to judge if it's realistically achievable.

Many people try creating budgets with Excel or budget apps, but it's so complicated they give up midway. "What should I write in this cell?" "How do I enter this formula?" Time wasted figuring things out.

Using AI makes this entire process as easy as a conversation. Tell Claude your goals and current situation, and it creates a perfect plan from monthly budget allocation to action checklists. Like having a personal financial planner helping you!

Goal-Based Budget Design

Real Example 1: 1-Year Goal Budget

My input:

Create a budget plan to achieve goals within 1 year.

Goals:
1. Save 5 million won (~$3,750) emergency fund
2. Japan trip (2 people) 3 million won (~$2,250)
3. Replace laptop 1.5 million won (~$1,125)

Current situation:
- Salary: 3,500,000 won (~$2,625)
- Current savings: 2 million won (~$1,500)
- Monthly fixed expenses: 1,800,000 won (~$1,350) (rent, utilities, insurance, etc.)
- Monthly variable expenses: Average 1,000,000 won (~$750) (food, transport, shopping, etc.)

Current monthly savings: ~700,000 won (~$525)

Claude's response:

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🎯 2025 Goal Achievement Budget Plan

Planning Period: 2025.04 ~ 2026.03 (12 months)

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📊 Goals and Required Amounts

Goal	Amount (KRW)	Priority	Deadline
Emergency fund 5M	5,000,000	Top	2025.12
Japan trip	3,000,000	Medium	2026.03
Laptop replacement	1,500,000	Low	2025.09
Total	9,500,000

Current savings: 2,000,000 won Additional needed: 7,500,000 won

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💰 Income and Expense Analysis

Monthly income:

• Salary: 3,500,000 won

Monthly fixed expenses:

• Fixed costs: 1,800,000 won

Monthly variable expenses:

• Variable costs: 1,000,000 won (current average)

Current monthly savings capacity:

• 3,500,000 - 1,800,000 - 1,000,000 = 700,000 won

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📈 Goal Achievement Simulation

Scenario 1: Maintain current savings (700,000 won monthly)

Period	Monthly Savings	Cumulative	Notes
Current	-	2,000,000	Existing savings
12 months	700,000	10,400,000

Result: Goal 9.5M Achievable! ✅

But no cushion. Slight spending increase risks failure.

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Scenario 2: Reduce variable costs 20% (800,000 won savings)

Variable cost improvement:

• Current variable: 1,000,000 won
• Target variable: 800,000 won (-20%)
• Monthly savings: 900,000 won

Period	Monthly Savings	Cumulative	Notes
Current	-	2,000,000
12 months	900,000	12,800,000

Result: Exceed goal + Extra 3.3M won 🎉

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🎯 Recommended Budget Plan (Based on Scenario 2)

Monthly Savings Allocation Strategy:

Phase 1 (Apr-Sep, 6 months): Emergency fund + Laptop

Item	Monthly Allocation	6-Month Total
Emergency fund	500,000	3,000,000
Laptop fund	250,000	1,500,000
Cushion	150,000	900,000
Total	900,000	5,400,000

End of September:

• Emergency fund: 3M + Existing 2M = 5M ✅
• Laptop: 1.5M ✅
• Cushion: 900,000 won

Phase 2 (Oct-Dec, 3 months): Complete emergency fund

Item	Monthly Allocation	3-Month Total
Emergency fund	666,666	2,000,000
Travel fund	233,334	700,000
Total	900,000	2,700,000

End of December:

• Emergency fund: 5M → Complete! ✅
• Travel fund: 700,000 won

Phase 3 (2026.01-03, 3 months): Complete travel

Item	Monthly Allocation	3-Month Total
Travel fund	766,666	2,300,000
Cushion	133,334	400,000
Total	900,000	2,700,000

End of March 2026:

• Travel fund: 3M ✅
• Cushion: 1.3M

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📅 Monthly Budget Planning Table

Month	Income	Fixed	Variable	Savings	Emergency	Laptop	Travel	Cushion
Apr	3.5M	1.8M	800K	900K	500K	250K	-	150K
May	3.5M	1.8M	800K	900K	500K	250K	-	150K
Jun	3.5M	1.8M	800K	900K	500K	250K	-	150K
Jul	3.5M	1.8M	800K	900K	500K	250K	-	150K
Aug	3.5M	1.8M	800K	900K	500K	250K	-	150K
Sep	3.5M	1.8M	800K	900K	500K	250K	-	150K
Oct	3.5M	1.8M	800K	900K	670K	-	230K	-
Nov	3.5M	1.8M	800K	900K	670K	-	230K	-
Dec	3.5M	1.8M	800K	900K	670K	-	230K	-
Jan	3.5M	1.8M	800K	900K	-	-	770K	130K
Feb	3.5M	1.8M	800K	900K	-	-	770K	130K
Mar	3.5M	1.8M	800K	900K	-	-	770K	130K

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💡 20% Variable Cost Reduction Methods

Current 1,000,000 won → Target 800,000 won

Category	Current	Target	Savings	Method
Food	450,000	350,000	-100,000	Reduce delivery, efficient grocery shopping
Transportation	150,000	120,000	-30,000	Taxi→Public transit
Café/drinks	80,000	50,000	-30,000	Office coffee, tumbler
Shopping	200,000	160,000	-40,000	Reduce impulse buys
Other	120,000	120,000	0	Maintain
Total	1,000,000	800,000	-200,000

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✅ Monthly Checklist

Every 1st:

• Review last month's expenses
• Achieved variable costs under 800,000 won?
• Transfer goal-specific savings (set up auto-transfer)

Every 15th:

• Mid-month check: Variable costs under 400,000 won?
• Check plan vs. actual
• Adjust if needed

Every month-end:

• Create monthly report
• Review next month's budget
• Request Claude feedback

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🎯 Goal Achievement Timeline

2025.04 ─┬─ Start budget plan
         │
2025.09 ─┼─ Laptop replacement (1.5M) ✓
         │  Emergency fund 3M achieved
         │
2025.12 ─┼─ Emergency fund 5M complete ✓
         │  Travel fund 700K
         │
2026.03 ─┴─ Japan trip (3M) ✓
            All goals achieved! 🎉

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💰 Expected Results (End of March 2026)

Item	Goal	Expected Achievement	Success Rate
Emergency fund	5,000,000	5,000,000	100% ✅
Laptop	1,500,000	1,500,000	100% ✅
Travel	3,000,000	3,000,000	100% ✅
Cushion	-	1,300,000	Bonus! 🎁
Total	9,500,000	10,800,000	114%

Exceeded by: 1.3M won

Usage ideas:

• Upgrade trip (flights/accommodation)
• Seed money for next goals
• Emergency reserve

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Prompt Template

For Period Calculation

I want to save [target amount].

Current situation:
- Current savings: [amount]
- Monthly savings capability: [amount]
- Bonuses: [times] per year, [amount] each
- Other income: [if any]

1. Time needed to achieve goal
2. Show monthly accumulation in table
3. Three scenarios for faster achievement
4. Realistic recommended plan

For Monthly Savings Calculation

I need [amount] for [goal] in [period].

Current savings: [amount]

1. How much should I save monthly?
2. Create monthly plan table
3. How to adjust if it's too much?

Conclusion

Budgets are pictures in the sky without concrete plans. Create specific, achievable budgets with AI and move toward your goals step by step!

In the next post, I'll show you how to get recommendations for optimal savings/investment ratios.

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💡 Today's Tip: Ask Claude "Compare budget vs. actual on the 1st of each month" and it will tell you how well you're sticking to your plan!