Is it all over when you find yourself in a financial crisis with so many payments and expenses per month and you cannot pay them all? The answer is NO. It is not all over, but, you will have to do some real soul searching and deep thinking so that you can create a plan.
What to do in crisis mode:
TAKE A DEEP BREATH AND PUT ON YOUR THINKING CAP..
#1 List all of your expenses for the month.
#2 Decide which expenses are to be paid first. These are mandatory.
d. car* (watch this) * if your car payment is making you poor, you need to sell the car and get an affordable ride you can pay cash for until better days. :(
e. gas to get to work
#3 List your debts, credit cards and other payments from smallest dollar amount to largest. If there is money left over after the mandatory payments are made then pay on these.
#4 Figure out what you can get rid of - sell- or terminate. example: cable, satellite radio, etc. As stated above, if the car payment is a problem, find a solution. Trim off all the fat.. This does not have to be permanent, but extras should not be allowed if you are in financial crisis mode.
#5 Do not eat out. Dave Ramsey says you should not see the inside of a restaurant unless you are working there!! :(
#6 Pick up extra shifts or a side hustle. No one wants to work all the time or be away from the family extra shifts or long nights but it may be the only way to recover. Your family will respect the way you have chosen to handle your mess rather than file bankruptcy.
I want to encourage you to pull yourself together and regroup, have a family budget meeting. Remember you are the Chief Financial Officer of your home, there are limits to spending for all people of all budget sizes.
I have created Financial Pacemaker Coaching to help those who need one on one help, whether by telephone, facetime, or face to face in person over coffee. Financial management is not everyone's strength-or talent or gift. However, it is necessary to get ahead, pay off debt, create a savings account for rainy days and begin to save for your children's college and your own retirement.
Please call or email me, I am available. You have to want to change. Step up. Do it.