Debt Repayment Plans
Another option when you have seemingly unmanageable debt that is below your income is to just create a plan and start tackling it. You don't have to pay it off all at once, so you can just devote as much of your income as you can to repayment and eventually over time you'll start to make headway and your financial picture will begin to improve.
There are a number of different debt repayment plans to consider, and choosing which one is the best way to get out of debt when income is less than debt is a personal decision. One popular method, for example, is the debt snowball method, which is financial guru Dave Ramsey's debt repayment plan. In this method, you begin by paying as much as possible to the smallest debt first. When that debt is paid off, you combine the money you were paying for that debt with the money paid to your next highest debt, and work on the next one until all the debts have been paid off in full.
An important part of any debt repayment plan, however, will be making sure you can stick to it and that you actually have cash to pay towards your debt. To that end, you should generally start by creating a budget. It may also be a good idea to try to consider increasing your income if possible. Take a side job, offer to do overtime, and even sell unused items on the Internet or the classifieds and use all of that money towards repaying the debts you owe.