The recession has been going on quite awhile and many people have been affected. Whether it’s the man who got laid off, the woman whose hours got cut, or the car salesman who has lost quite a bit of commission due to people not buying vehicles like they once did.
It’s no secret that people are hurting financially. Even before the recession many people were struggling. The truth is that our times require us to really sit down and take a look at our financial picture. Whether you have been directly affected by the recession or not, I’m sure that there are areas that you can improve in when it comes to personal finance.
Examine your current status.
Sit down and examine your finances. Write it all out on paper. Be gut-level honest with yourself and take a look at the big picture. Create a budget that works for you. If you are struggling to pay the bills, cut out the unnecessary purchases like Starbucks, clothes, and other things that are not necessities. You will have to practice self-control and discipline for awhile. If you need help, hire a Life Coach or sit down with a person that has some personal finance wisdom.
Many people have beat the recession by downsizing. The 3000 square foot home doesn’t seem to be worth it when you can’t afford squat after paying the mortgage. The $30,000 SUV can easily be sold and an economical vehicle can suffice. It may be difficult to downsize, but it will be well worth it down the road when you can add money to your savings account instead of withdrawing some each month to cover what you can’t afford.
Get a second job.
I know having one job seems quite enough, but sometimes in life, especially if you are struggling to pay the bills, it may be necessary to take on a second job. You can look at it as an opportunity to take charge of your finances and know that it is only a temporary gig.
Get a roommate or move in with family.
If you have an extra room you can get a roommate or if your family has extra room, consider moving in with them temporarily. Many people tend to create quite a tough bond during tough times, helping each other out and sacrificing for one another.
Stop spending money on anything that is not a necessity.
This may sound harsh, but if you really want to beat the recession, decrease your debt, increase your savings account, take a season and don’t spend any money on things that are not necessities. That means staying out of the mall, putting off vacations, and boycotting online stores. You’d be surprised how many broke people somehow find money for that new $100 cute purse or that $75 pair of cool jeans but can’t pay their power bill. This will require much self-control, but you will feel so good about yourself in the long run.
Beating the recession is possible with wisdom, self-control, and perseverance. Educate yourself on personal finance and determine to be a success financially. No one ever said being financially successful would be easy, but is completely worth whatever it takes to get there.