If you are living paycheck-to-paycheck there are some things you can do about it. You should know that you aren’t alone if this is your current financial situation. In fact, more than half of Americans don’t have any type of emergency savings, 47% of American households don’t save anything & in 2013 it was estimated that 76% of Americans are living paycheck-to-paycheck. If you are included in this majority, stop living paycheck-to-paycheck with some of these suggestions:
Start where you are.
This means check your budget & spending habits. If you don’t understand your current finances, you won’t be able to make them better. Track what you are spending your money on and categorize them into “necessities” and “wants”. Did you know how much you were spending? Are there areas where you can cut out expenses and start saving more money? How many of your “wants” could you go without?
Step back and examine your life.
If you are spending money on things that don’t last, like material possessions, try living a good life a less. Instead of buying things, put your time into building relationships and great moments! Set your priorities in a way that you can be happier and spend less money.
When opportunities come up, take them!
Opportunities are always coming and going.This also means creating your own opportunities. If you are wanting a raise at your work, ask! You never get anything without asking for it. Take advantage of ways to save, work extra hours, and better ways to improve yourself! As you are always looking for these ways to learn and improve your skills, it will open doors to more opportunities and may even create an alternative revenue source for you.
If you are living paycheck-to-paycheck, you can break the cycle! Understand your priorities and examine your expenses to see where you can save. Lastly, take advantage of opportunities that will help you progress. All of these things can help you save and earn more money, to get you off of living paycheck-to-paycheck.