Budgeting for anyone takes time and a lot of energy. However, in a society where everything is going up and wages are staying the same, you need to know how to budget even when there isn’t much there. Are you ready to take a look at your budget and start inserting some new tips?
:: Look Again
There is always some wiggle room in a budget. How is this? Well, each time you take a closer look at your budget, you might find some available money. Can you call and get another discount on your cell phone? Are you willing to get rid of some channels on your television? In all honesty, if you’re that broke, it may be time to cut the cable bill completely. Are you stopping to get coffee on your way to work because it is “only” $1 (when you can make it cheaper at home). Hitting the vending machine at work for a $0.75 soda?
Every time you take a second look at your budget, you become a little less broke.
:: Pay Necessities First
A lot of people who are on a tight budget are faced with what they should pay first. If your family is going to be suffering financially for a while, you need to pay your main bills first. What constitutes as a main bill? Paying your mortgage or rent first would be an example of paying your necessities first. Of course your heat, water, and electricity can also be considered your main bills.
If you can’t make major credit card payments, loans, and other debts, then it’s time to start calling your creditors. This is a time to look at every bill you have and to take an even closer look at where all of your money is going!
:: Get Creative
Okay, no one likes eating macaroni or ramen noodles for an extended period of time, but if you’re broke, it’s time to swallow your pride. There is no shame in putting yourself on a tight food budget. After all, cutting a food budget is one of the easiest ways to stretch a budget. It’s a little scary to reduce this part of your budget, but you may not have a choice.
Buying just the necessities like milk, chicken, beans, and bread is something you may have to partake in for a while. Don’t get discouraged though because there are a lot of different recipes you can try out thanks to Pinterest and the Internet. (Have to cut the Internet out? No problem, take exclusive advantage of free WIFI in various places in your town.)
Are there other places you can get creative in your budget? Sure! Maybe now is the time to learn how to sew and patch your own clothing. When you are broke, there is never a wrong idea for getting creative with your budget, as long as it’s legal.
:: Increase Your Income
It’s understandable that for some families, increasing the revenue coming in is simply not doable. However, if you can get a part time job, then now is the time to do so. Even if you only have the job for a short period of time, any extra money coming in will help pay down debt and balance out your budget.
Most people have experienced being broke in their lifetime and there is no shame in it. Sometimes being broke is our fault and sometimes it’s not. That’s why you have to reevaluate where your money is going and double evaluate what you can cut. Use these tips to create a lasting budget while you’re broke. Things will get better, but until they do, it’s time to cut back and create a new budgeting plan.
What are your best budgeting tips?