In 2011, my family lost a substantial amount of income when I quit my job as dental hygienist. It was unplanned and abrupt, after the birth of our daughter. In the beginning it was unpleasant, because I truly had ZERO income coming in except for my husbands. We were in a slump! All the while, TMobile still needed their money. Through the years we got our stuff in order. At the beginning of 2019, I made a vow to myself that I will never get this broke again. I was on chase to get my career and coins in check! I am not claiming to be a money expert, guru or budgetnista, but there are a few things I want to tell you that we did in the 8 years while I was out of work that helped us while staying at home with my daughter. SPOILER ALERT! What I tell you may or may not be what you want to do, but doing it will truly spark something in you to do something different and be ready. Whether you were affected or not, you can not afford to wait until tomorrow to start getting it together, you MUST do this NOW! We are the beginning of a new decade, we have to start adopting some new habits. Here are some practical tips.
- Now your numbers. You need to know where every penny and dollar you make is going. Knowing this will give you a clear idea of how much money you are spending, making, and wasting every month. It is simple, keep track of all of these numbers in a notebook or sheet of paper for one month. At the end of the month, figure out how much money you spent, made, and wasted. If you felt like you wasted a lot of money during that month, recycle your waste and put it into a savings account. Knowing your numbers will also help you to create a budget that is family-friendly.
- Open a savings account. Can you imagine depositing $25 every other week into a savings account and what this will add up to by the end of the year? There are a ton of peeps I know who don’t even have a savings. If you are one of them, now is the time. You can easily go online right or to your local banking office and open a saving today. Build to at least $1,000 fast! This is something I was taught by Dave Ramsey, and boy, hitting that $1,000 felt so good!
- Turn in your car payments for a gently used paid-for car. I know you love luxury but when times get hard, you have to get real. We didn’t want to turn in our BMW for a baby but, it was worth not having the $500 dollar car payment. You have to direct the funds to things that you need, not want. There are great used cars that you can buy by shopping online or visit a dealership near you. Trust me, it feels great not having to pay for something that depreciates as soon as it leaves the showroom.
- Think like a salesperson. When a salesman wake up in the morning, the one thing he or she is thinking about is, “how can I sell my product today?”. You have to think of the sleazy word “selling” as “sharing”. When you go see a good movie, the first thing you do is tell your friends on social media how much you loved it! They go watch the movie and you do not get paid for it. So ultimately the movie theater is making a killing off of your free advertisement. You don’t make a dime! I want you to think of a product you currently use and would total rave about it to your friends and get paid for it………..OK you done? I recommend joining a direct sales company that has a product you love using or create a product of your own and would love to share with a friend. This will put an extra stash of cash in your pocket to put towards your bills, savings or childcare. if you need an idea on product creation or direct sales companies, schedule a “pick my brain” session with me( https://tequilacousar.com/pick-my-brain/ ) and I will give you all the deets and more.
- Stick to the list. Whether you have a list of things to do or list of groceries, stick to the list. This will save you time, energy, gas and money. It will help you live within your means. I use an app called Everyday Dollar. I love it the fact that it is a tool to keep me on an accountable budget. You can use this or a simple spreadsheet to help you. But I urge you, to stick to the budget.
- Pay down debt. I do not claim to be a money expert, but when you live on a budget your money has to make sense. Debt is a downer when you are already going through such as tough time. This is the last thing you need to have on your plate. So after you have paid your bills and other essentials, use the extra money to pay towards debt. If you have already paid your minimum payment, and you have extra money left, pay a little more on your debt and save a little. I am reading a book by Dave Ramsey called “The Total Money Makeover” and it has some incredible knowledge and tips on money, you need to grab a copy of this, NOW!
When you go through life experiences it is crucial that you teach others how to not make the same mistakes. These are some of the things I learned when quitting my job without a clear plan of what would be next. If you are a frugal person, I would love to hear some of your tips in the comment below. Also if you found value in this post, I would love to read your thoughts below, and If you know of a friend who could use this information, share it!