Being broke sucks. Not being able to afford the things or the life you want can be overwhelming. Fortunately, there are several steps you can take to change your financial situation. If you are unsure of what you should do if you’re broke, I’m here to help.
Change The Way You Think About Money
Before you can do anything to change your situation, you need to change the way you think about money. Many people have bad relationships with money. For me, I was scared of money. I was scared of never having any, or having enough. Scared I wouldn’t be able to pay for things like rent, gas, and food. It was so bad that I refused to look at my bank accounts. I’d rather be surprised then to sit down and face my shitty spending habits. The only time I would look at my bank statement is if I had to transfer money.
I had to change the way I looked at money. I Googled ways to save money and rebuild my credit. I read books like You Are A Badass at Making Money by Jen Sincero. I and constantly trying to change my mindset because the more positive I am about money, the more money I will be able to make.
Sit down and evaluate your situation
This was hard for me. First, I made a list of all of my bills, needs, and wants. I looked at all my bank statements. You be surprised to know much money you spend buying coffee or eating out at lunch. All the times I complained about not having enough money. I did have enough, I just spent a good amount of it at Starbucks and Chipotle.
Make a budget and stick with it
This part is hard. You need to set a budget and try to stick with it as much as you can. For example, when I go grocery shopping I make a list and only get what is on the list. The extra stuff makes you spend more than you need. Make sure that every cent in your account is accounted for.
Start saving, look for ways to cut corners
After you figure out your budget, try to figure out how you can save. I take a little bit out of each paycheck every two weeks and keep it in a savings account. Do not touch it after you put it in savings. Let it build. I also have a jar where I keep all the change. It may not seem like much at first but keep adding to it. Last time I did this I had two hundred dollars saved which really came in handy when I needed it.
After calculating my expenses, I learned that I spend most of my money at the grocery store or eating out. What I’ve been doing recently is buying my groceries online and picking them up later. This way I’m able to track exactly how much I’m spending in real time instead of finding out when I’m at the cashier. I am able to actually stick to my budget this way. Of course there are a few things that I don’t like buying online but for the most part it works.
I have apps downloaded on my phone to lets me know when there are sales. I also have apps that pay me to do nothing. For example, Ibotta gives me cash back for groceries I’ve already bought.
Try to find little ways to save some extra cash.
Get a side hustle
The best way to make extra money is to either get another job or look for a side hustle. I used to bartend on the weekends and I make a few extra hundred dollars. I have a friend who thinks cleaning is calming. So on the weekends she cleans houses and gets paid major money. There’s a market for just about everything. Look for something you like to do and do it.
Plan and save for the things you want
Have you wanted to take a vacation but couldn’t? Have you wanted a new pair of shoes but couldn’t afford it? Start saving. If not when? Everything you want in life is within your grasp. You just have to work hard to get it. Set aside a little bit of money to achieve you goals. That side hustle could help with getting the things you want.
Don’t panic. Don’t get discouraged. Shit happens. Roll with the punches and kick ass. You can do this, but first you have to start.