Unfortunately, a lot of us have experienced money troubles at least once in our lifetime. And thank God that we were strong enough to overcome these troubles. But, looking back now we might understand that we could have handled the situation a bit differently. With that in mind I want to help the future generations with this problem. And, although I sincerely hope that you are never going to have to use them, here are top pieces of advice on how to overcome money troubles.
1. Try and use cash only.
2. Try and follow your spending.
3. Create and follow a plan.
4. Find spending, that you might cut without harming yourself.
5. Seek help of professional advisor.
1. Try and use cash only.
At least for some time try and only use cash. When we don’t see how much money we are spending, it is easier to spend more than was intended or necessary. When we see how much money we are giving away, here is where we tend to stop ourselves. Stop and reflect on our level of spending.
Having actual money in your hand is going to help you decide whether you truly need to buy something or not. Try and see – you are going to start spending much less when you are only using cash.
2. Try and follow your spending.
You need to be more aware of what your money is spent on. You need to increase your spending awareness, so to speak. To our luck, there is a lot of software in the market that can help us with this task. You can make notes every time you buy something.
Say, you are going to make a note every time you are going out for coffee. In the end of the month you will have the opportunity to see how much you are actually spending on it. And if the number is too high, there is the possibility for you to cut down on it.
Try and follow your every spending. This will really help you cut down.
3. Create and follow a plan.
Spending plan or a budget for sure will make your life a bit easier. If you put down the exact amount you need for your rent, utilities and food, you will see how much you actually have left and how much you can afford to spend. Also, do not forget that you are to save some of the money ‘for a rainy day’. This also must be included in your budget – all of the payments you need to make to feel comfortable until the next paycheck are to be included in the plan.
Having a budget is going to make your financial situation more clear for you.
4. Find spending, that you might cut without harming yourself.
For sure, we all spend money on things we do not need. For example, already mentioned cup of coffee every now and then. We go out, take taxi rides and buy expensive clothes when there is just-as-good cheaper alternative. All of these might be cut or substituted. You need to find these things and reduce them to a minimum.
Of course, you have to make sure that you are not going to cut anything that is vital to your well-being. Otherwise, there is no point in all of it.
5. Seek help of professional advisor.
There is no shame in asking for advice from a professional. All you need is a couple of words on your financial situation and on various ways to earn some extra money to improve your situation. Maybe there is an investment opportunity that you can take or something else that is going to help you in the long run. But be sure to seek the advice of professionals only.
I hope that you are never going to have to use any of these. But it is better to be safe than sorry!
