Wednesday, 5 March 2014

How To Make Sure You Don’t Run Out Of Money

For people who are struggling on a low income, this can seem almost impossible. And yet, there are simple things you can do to ensure you don’t run out of money before you are paid. It’s not easy budgeting for an entire month. And for many families, unexpected expenses crop up and it is easy to get into a cycle of being very short of cash in the final week before payday.

It’s common and happens to millions of people who all have different levels of income. So, if it happens to people at all earning levels, what causes this lack of funds as the month draws to a close? Here are some tips to help you stretch your wage right to the end of the month.

Running out of money before the wages come in is not necessarily a sign that you are poor, nor is it a sign that you are very bad with money. It is however, a tell-tale sign that you are not budgeting elsewhere in your financial affairs. The problem is, when we are paid monthly even after all the regular bills are paid, we consider the total amount we are left with. It seems that very rarely do people divide the remaining amount by four to establish their budget for one week. And it’s understandable, family life can result in unexpected expenses, kids need money, and fuel and food need to be purchased. Often bills come in that are not paid monthly and can knock your budget out of synch. However, if you always keep the basic weekly budget in the back of your mind, you will find it much easier to stay within it. If you go slightly over one week, make sure you compensate for it in the following week.

It sounds simple, and it is. By doing this quick calculation when you are paid, you will be able to have a clear idea of what you can spend each week, and then act accordingly. Try it and see how it works for you.


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