January 19, 2018

Living Paycheck To Paycheck? Learn How To Break The Cycle

 


With all of the financial constraints we find ourselves under, it's little wonder that the vast majority of us are living in a paycheck to paycheck fashion. It seems like soon as we find a way to get on top of our finances the bills come in, and then money that went into your account finds its way right back out. This is a very frustrating the cycle to be trapped in, but how can you break it?


Know Exactly What You Pay For
We all have standing orders, and we set them up, so we don't need to keep track of them all. But, after a while, there may be things you find that you're paying for out of your bank account that you don't need to pay for anymore. Are you still paying out for that computer insurance from three laptops ago?! Get a handle on your finances and your outgoings, and you know exactly how much you spend every month. Look at this in comparison to what you take home, and do the math -- maybe you'll find some unnecessary expenses you can cut out.


Can You Increase Your Incoming Cash?
Are there ways and means for you to earn extra money? If you don't want to compromise your lifestyle, then this may be your only option. Of course, there are options for you to clear your debts, such as acquiring short term loans with no credit check, which is very appealing when you have bills to pay off immediately, but it can dig you into more debt in the long-term. If you need to get a cash injection upfront, something like an extra job will give you the means to pay it off effectively. Remember, we don't always have to go and apply for a part-time job, as it can take a long time to make a positive impact on your finances, you can also attempt freelancing from home. Sometimes freelancing is a more lucrative option, depending on the skills you can provide.


Cutting The Budget
It's usually your lifestyle choices that have an overall impact on how you spend. If you find that you need to live your life a certain way, such as socializing every weekend, then it's your daily expenditure that you need to cut down on. This means saving up your pennies by curtailing your budget during Monday to Friday. A very good example to consider is how much you pay for one single coffee on the way into the office. You may argue that you need that coffee, as most of us do, but the cost of that cappuccino alone -- when you consider the number of times you have it in a week...then in a month...then in a year -- it soon builds up. In one coffee, you are paying a very hefty sum! So instead, consider making your own coffee at home. Look at ways to cut your energy bills, by changing providers or setting your thermostat to a lower temperature when you leave the house. Take a look at the food you buy too; this is usually the biggest expense in our daily lives. You can still live a healthy lifestyle by cutting back on unnecessary food groups, such as sugary foods.


If you are living paycheck to paycheck, these are just a few of the options you have available to try to save a little money. Best of luck to you!

*This is a collaborative/contributed/partnered, compensated post. The copy, content, images & opinions are not my own.