As the breadwinner in a family of six, I am exposed to every kind of financial stress. It's really difficult to handle and entails a lot of determination and clear thinking. But in the process, you have to believe in yourself and stand on your two feet. After all, it's ONLY you whom they (family members) rely to for survival. At least, for the time being.
I have always believed in the saying that "this too shall pass." That's why in every financial problem or dilemma that needs an urgent solution, I get to manage most, if not all. No, I am just like any other breadwinner who occasionally gets headaches from the piles of expenses that need to be paid. I am just like any other breadwinner who gets depressed when experiencing money shortage. And yes, I am just like any other breadwinner who gets happy upon seeing that his/her family is living a good life.
Whenever friends ask me how I handle financial stress, I first answer them with a smile. Then I continue by giving them financial tips based on my personal experience as a breadwinner. Here are some of them:
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1. Make a budget and follow it. A lot of people manage to create a budget but only a few really get around to following it. Start things right by making a budget. The best is to do it on a monthly basis which is almost always in accordance to the period you receive your full salary. By keeping a budget, you'll get a closer look of your finances and have an idea how to manage it better.
Usually, a budget is composed of entities where you allot your money such as food, rent, utilities, education, health, transportation allowance, clothing, miscellaneous expenses and savings, among others. You can always adjust the amount allotted to each entity depending on your present need. Making a budget and following it will surely save you from the hassle of thinking where to get extra cash in case of emergencies.
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2. Take your finances seriously. When you're in charge of the family's budget, you have to take it as a full responsibility. Do this by taking good care of the family's budget. You know you can't commit a mistake that will get your family into a big financial trouble.
Two of the financial problems affecting every struggling family are mismanaged budget and credit card debts. A mismanaged budget is a budget that went crazy. The allotted money for a particular entity is either lost or spent on another entity. The result is lack of funds. On the other hand, credit cards offer a freer and more convenient way to spend. But it could also lead you to more debts. These debts could in turn create serious financial problems that could strain the family's budget. With all this, things could get pretty stressful, right? Turn the situation around by familiarizing your self with the family's budget well.
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3. Keep track of your expenses. This is an old but very effective tip. By doing this, you'll know exactly where your money goes. The next time your family members ask for money, keep note of them, too. These miscellaneous expenses could be of help in guiding your future monthly budgeting.
Photo Credit: http://www.sxc.hu
4. Minimize spending as much as you can. Ideally, you should avoid spending to achieve financial freedom. But it is never easy to do. You can ONLY minimize spending. This is where the battle between luxuries and necessities arises. It is not a sin to splurge sometimes but make sure it won't hurt your budget at all. For instance, I only splurge a bit during "sale" in malls.
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5. Reward or treat yourself once in a while. It could be in the form of a simple gift, a spa treatment, a visit to your favorite restaurant or a new dress. As someone who earns a steady income for the entire family, you deserve fine things sometimes. It need not be expensive, just something that you'll appreciate and enjoy best.
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6. Keep looking for new ways to earn money. It may be a part-time job, an offline or online business, so long as you can fit it in your busy schedule. (I guess time management is key here.) This way, you'll be able to generate additional income for your family and of course, for yourself. But remember, you don't have to force yourself in doing this thing. If you think you can do it, pursue it. If not, drop it. After all, you can always wait for the perfect opportunity to earn more money.
These are just some of the important tips that could help you handle financial stress, whatever financial situation you are in. I hope you find something valuable from them. If you know other tips to handle financial stress, share it with me and my readers (if ever I have some). :)
Have a blessed and productive Wednesday everyone!
I have always believed in the saying that "this too shall pass." That's why in every financial problem or dilemma that needs an urgent solution, I get to manage most, if not all. No, I am just like any other breadwinner who occasionally gets headaches from the piles of expenses that need to be paid. I am just like any other breadwinner who gets depressed when experiencing money shortage. And yes, I am just like any other breadwinner who gets happy upon seeing that his/her family is living a good life.
Whenever friends ask me how I handle financial stress, I first answer them with a smile. Then I continue by giving them financial tips based on my personal experience as a breadwinner. Here are some of them:
1. Make a budget and follow it. A lot of people manage to create a budget but only a few really get around to following it. Start things right by making a budget. The best is to do it on a monthly basis which is almost always in accordance to the period you receive your full salary. By keeping a budget, you'll get a closer look of your finances and have an idea how to manage it better.
Usually, a budget is composed of entities where you allot your money such as food, rent, utilities, education, health, transportation allowance, clothing, miscellaneous expenses and savings, among others. You can always adjust the amount allotted to each entity depending on your present need. Making a budget and following it will surely save you from the hassle of thinking where to get extra cash in case of emergencies.
2. Take your finances seriously. When you're in charge of the family's budget, you have to take it as a full responsibility. Do this by taking good care of the family's budget. You know you can't commit a mistake that will get your family into a big financial trouble.
Two of the financial problems affecting every struggling family are mismanaged budget and credit card debts. A mismanaged budget is a budget that went crazy. The allotted money for a particular entity is either lost or spent on another entity. The result is lack of funds. On the other hand, credit cards offer a freer and more convenient way to spend. But it could also lead you to more debts. These debts could in turn create serious financial problems that could strain the family's budget. With all this, things could get pretty stressful, right? Turn the situation around by familiarizing your self with the family's budget well.
3. Keep track of your expenses. This is an old but very effective tip. By doing this, you'll know exactly where your money goes. The next time your family members ask for money, keep note of them, too. These miscellaneous expenses could be of help in guiding your future monthly budgeting.
4. Minimize spending as much as you can. Ideally, you should avoid spending to achieve financial freedom. But it is never easy to do. You can ONLY minimize spending. This is where the battle between luxuries and necessities arises. It is not a sin to splurge sometimes but make sure it won't hurt your budget at all. For instance, I only splurge a bit during "sale" in malls.
5. Reward or treat yourself once in a while. It could be in the form of a simple gift, a spa treatment, a visit to your favorite restaurant or a new dress. As someone who earns a steady income for the entire family, you deserve fine things sometimes. It need not be expensive, just something that you'll appreciate and enjoy best.
6. Keep looking for new ways to earn money. It may be a part-time job, an offline or online business, so long as you can fit it in your busy schedule. (I guess time management is key here.) This way, you'll be able to generate additional income for your family and of course, for yourself. But remember, you don't have to force yourself in doing this thing. If you think you can do it, pursue it. If not, drop it. After all, you can always wait for the perfect opportunity to earn more money.
These are just some of the important tips that could help you handle financial stress, whatever financial situation you are in. I hope you find something valuable from them. If you know other tips to handle financial stress, share it with me and my readers (if ever I have some). :)
Have a blessed and productive Wednesday everyone!
Get the latest updates on the Life of a Breadwinner by subscribing to my RSS feeds. This entry was posted
on 22 October 2008
at Wednesday, October 22, 2008
and is filed under
Budget,
Credit Cards,
Financial Problems,
Financial Stress,
Financial Tips,
Money
.
