It's the time of the year where resolutions are on all our minds—especially financial ones! If your goal in the New Year is to get out of credit card debt (especially after those holiday bills arrive!) here are three simple steps that will quickly help you pay off your cards and get your finances in order. Like all New Year's resolutions, it may take some financial discipline, but paying off your credit card debt can be done. Just take it one step at a time.

Step #1: Take a Cold Hard Look at All Your Balances

It's time to face the facts and fear those finance charges (…but more on that next). Whatever you do, don't wait until all those credit card statements start rolling in to figure out just how big of a hole you've dug for yourself! Get that info now by going online or calling your credit card company for your current balance.

Then figure out which of your credit cards has the highest interest rate. This is the card you want to pay off first—not the card with the highest balance as many people assume. Then, stop using this credit card. Go ahead—tear it up… but whatever you do—don't close the account. The more credit accounts with $0 balances on your credit report will increase your credit score.

Not sure what your credit score is after the holidays? January is also the perfect time to get a copy of your credit report. All Americans are entitled to one free copy of their credit report from each of the free credit bureaus: Equifax, TransUnion and Experian. Now, they're not going to give you your credit score—just your credit report. To get your most recent credit score, you'll want to visit www.myfico.com.

Step #2: Fight That Finance Charge!

Now that you've faced your holiday spending demons, go ahead and jot down your current balance. Then divide it by 12. If you have to, take a deep breath and then look at your outstanding balance. This is the principal payment you need to make each month. But to truly dig yourself out of holiday debt, you need to pay this amount plus the finance charge listed on your monthly statement.

So if your minimum monthly payment is $25 and your finance charge is $20, send a payment for $45. This way, since you're paying the minimum plus the finance charge, you're at least making a dent in the principal. If you can afford it, you can use this method with more than one credit card at a time.

Now we all know credit card companies are in business to make money—and we all know they want more of ours! What do you do if your finance charge is keeping you in the red? Call your card company and negotiate a lower rate. Yes, many card holders are being nickeled and dimed to death by exorbitant credit card rates. Nine times out of ten, if you bark… they'll lower their rate. If they balk, don't give them any more business. Transfer your entire balance to a credit card with a lower rate. Bankratemonitor's Credit Card Rate Search and  MSN's Credit card Analyzer are two great tools to help you compare rates.

Step #3: Start Digging Out of Holiday Debt With One Easy Payment

OK, so you've added up those balances, checked your interest rate (or transferred your balance to a card with a lower rate)—now's the moment of truth: If your credit card balance is so high it puts these monthly payments out of your reach, don't despair. Plan to pay off your card over 12 months instead of 24…and next year pay with cash!

For success in 2008, you must create a shield to protect your retirement, your family, your future.  You must know what to do.  You must have a plan.  It's not to late!  Subscribe today to Dan Wiener's Independent Adviser to Vanguard Investors, and receive his new report, Action Plan for Vanguard Investors.  Don't be left in the dark when it comes to your retirement plan.  Join today!