Advice for Anyone Facing Great Financial Hardship
If you are facing great financial hardship, then you should know that you are not alone. Many people face financial hardship at least once in their lives, and within the past few years many people have reported struggling to maintain good financial health as necessary expenses–such as rent and groceries–rise.
The following advice is aimed at anyone who is currently facing great financial hardship.
Make a Budget as Soon as Possible
The first thing you need to do when you are facing financial hardship is to create a budget. You will need an account of all your income and all of your expenses; you will also need a list of all your debts. You can then take this information and create a budget outlining exactly what you need to spend in order to meet the minimum threshold of your needs; this information will also help you create a basic plan for getting yourself out of debt.
Call Service Providers and Debtors
When you’re in financial hardship, it can be tempting to let bills go unpaid month after month because you simply can’t afford them. But know this: service providers and debtors want your money, and almost all of them are more than willing to work with you if–and this is important–you call them when you realize you are struggling. Many service providers will work out payment plants, or may even be able to lower your rates slightly per month; the same applies for debtors. Start to get out of debt.
Take Advantage of Hardship-Related Programs
There are many different financial hardship related programs which can help provide you with necessities and in turn, help you save money which can then be used to get yourself out of financial hardship. For example, look for grocery assistance food programs such as free food programs for school children; food pantries; and similar organizations which can help provide food.
Cut Expenses as much as Possible
If you want to get out of financial hardship, you will need to cut your expenses as much as possible. In addition to utilizing financial hardship related programs, you can cut expenses in many ways, including:
- Getting rid of unnecessary subscriptions (such as paid streaming services) and using free options (such as the free Tubi streaming service; or renting DVDs from the library)
- Going on a “No buy” for unnecessary items (such as trinkets, new clothes unless you absolutely need them, etc)
- Cook food at home instead of buying takeout or going to restaurants
Keep Track of your Income and Spending
Finally, if you want to get out of serious financial hardship, you should keep careful track of your income and spending. It is very easy to find yourself spending a few hundred dollars by making little untracked purchases here and there; but if you keep careful track, you’re less likely to go overboard. Simply try to just stop spending, take a pause.
Conclusion
In addition to the above tips, remember this: you will get through your financial hardship. It may take some time, and it will take both effort and patience, but you will come out on the other side. Start to learn good financial habits.
