May 17th 2019 - by Amanda Huinink
Stressing about money is never fun and building an emergency fund or savings can be difficult. Things continually happen in life that have unexpected costs, and it can be difficult to find the money for these surprises. All of this can add up to high loan or credit card payments, additional struggles in paying your monthly bills and no chance of accumulating savings.
It can become a constant cycle of borrowing money to help get caught up, then struggling to make the loan payments. There are however ways that can help relieve some money stressors.
Create a budget.
Take a hard look at your monthly spending. Track your transaction activity for 2 or 3 months. Determine where it is you are spending the majority of your money and then consider what areas you can make changes. Is your rent too high? Do you need two cards? How do you commute to work? What are you spending on your tv and internet bills? Are you still using your gym membership? Take a look at what is costing you the most each month and find ways to reduce these from your budget while still ensuring you can fit in all the necessities.
Speak with a financial advisor or financial planner for help.
Just speaking with someone about your concerns, financial goals and managing your existing debt is a great way of reducing stress and gaining some peace of mind. Making a plan for your money can help reduce much of the stress you may be building up in your head. What’s the best plan of action for you and your specific needs? Budgeting and financial planning is not a one size fits all plan and speaking to someone that can understand exactly your lifestyle and concerns will be much more helpful in achieving your goals vs. constantly comparing yourself to friends, family or neighbours.
Consider what can change in your life.
Sometimes it’s just a fact of life that we are overspending and that’s what is putting us into a tight financial position and causing us stress. Without actually changing our spending habits, our debt will continue to pile up and our stress will continue to grow, only to get worse over time. Take a look at your lifestyle and your budget. Think about where you can remove costs to make things a bit easier to manage. Lastly consider how you could bring in an additional income to help get you back into the black. Maybe that means taking on a second part time job or turning your weekend hobby into a side hustle to earn some extra cash. Even making small initiatives like holding an annual yard sale to earn some money each spring/summer can help pay down a chunk of debt.