You have what it takes to flip the cards to change your current reality for the better. In this post, I'll highlight the important small steps I took to stop being broke during a crisis.
Being broke, especially in the course of a pandemic is absolutely nothing to be happy about. The good news is that there are always some things you can do if ever this happens. One of the things you can consider doing in making sure that your situation is better managed and controlled is to prioritize the needs of your family over anything else even before survival sets in. In this post, I'm sharing with you a handful of life-worthy tips to stop being broke and change your financial situation for the best.
Right now, most people have a lot going on in their lives especially in the course of a pandemic when all hell breaks loose for them personally. In most cases at such times, individuals usually get so busy with managing themselves and their families that they forget it isn't just them who's affected by whatever changes that have been triggered at such times. This being said, an individual has no other choice but to take control of his or her life and know what to do in order to get out of the mess.
Tips to Stop Being Broke and Change Your Situation
Everybody wants to be wealthy. Some people want it so bad that they try everything in their power to make more money, but what happens when it doesn't work?
Here are worth-to-read tips to stop being broke that can help you change your situation and end the struggle of poverty.
Reflect On All of YourPast Financial Decisions
Think about whether or not they were good for your future wealth building strategy. Write down a list of things that worked and a list of things that didn't work.
For example, if early in life you had an entrepreneurial idea and turned it into reality, this would be something worth putting on the ‘worked' side of your piece of paper. If instead, however, you took out loans such as college tuition loans and credit cards, this would go on the ‘worked' column.
Identify, Write and Visualize Your Goals
Identify your financial goals. Your short term, mid-term and long term goals should all be written down so that you can visualize them with ease. These goals will help you with planning where to invest your money as well as how much effort needs to be put into reaching those milestones.
Clearly identifying and listing down your goals will help you know what to do at each step of the way.
Prioritize Creating an Emergency Fund
Create an emergency fund so that you can avoid borrowing money or receiving any form of assistance from anyone else. Make sure all your expenses are accounted for and made prior to creating an emergency fund. Living week-to-week would not benefit you in the long run if ever a pandemic occurs, which is why this money making tip is important.
Avoid borrowing money from friends, family or even lending money out because you will feel obligated to pay back whatever amount was given to you which could be unfair for them assuming they aren't wealthy themselves. Also avoid situations where you have no control over how your funds are used such as donating to organizations that do not guarantee transparency.
Think of Other Ways to Generate More Income
Always think about creative ways of generating income without having to step into the office every day, for instance by learning how to build passive income streams .
Remember, it's easy to make money but difficult to keep it because there are always loopholes waiting for greedy people who try to cut corners in their money making efforts.
Invest your time in learning how to create income online. Online income opportunities are growing by the day because of the ever-increasing demand for computer literate people, which is why you should be quick to get yourself trained on how to generate incomes using apps or freelancing.
Stop Being Broke: Reduce Expenses and Learn New Skills
Reduce expenses wherever possible. You need to cut out as many unnecessary costs as you can from your household budget in order to have more money coming in for investment purposes.
In addition, you should also look at ways of making extra income by using skills or talent that you might have such as writing articles online or offering designing services on Fiverr.
Look for ways to increase your income. If you currently have a job and your financial goals can be reached within a year or two, look at additional part-time work that will help you out while you are working full time so that even if it is just an extra $100 per month or even less, it will add up. In addition, there may be opportunities for extra talent such as the example given about writing articles online which would also mean more revenue from what you already know how to do well.
Only Spend Your Energy on Things That Help You Grow and Improve
Be willing to work and learn at all times. The more knowledge you gain about the working world, the more you will be able to understand how much effort you need to put within your means in order not to lose money as well as earn future income.
Do not spend all your money on things that do not produce any form of income for you. If you love shopping so much and can't seem to stop doing it even though it's draining your savings then maybe there's something wrong with that picture.
Don't waste time stressing yourself out over the small stuff in life such as what other people might think about your situation. It will help you save energy which you can then use to focus your energy on bettering yourself when it comes to being financially stable in the future.
Only get into business deals that guarantee success and good returns for both parties involved. It's always important that any form of financial transaction with another person is done without putting either party at risk of losing money especially if there's no plan B should things go wrong unexpectedly.
Find a Good Investment Opportunity and Master It
Find a good investment opportunity. Investing is not something that everybody does but when done correctly can bring in significant returns of money over a short or long period of time. Make sure that the idea is decent enough before investing your money.
In a nutshell, we know that there's no way for us to predict what can happen during such times as an outbreak of a pandemic and it is therefore important to be prepared as early as possible. For sure, some people might think that their situation isn't too bad or they're okay with things as they are but again just like any other individual, you never know what fate has got in store for you so don't wait until it is too late and always do your best to survive through this crisis by following the tips shared above.
Being broke isn't a good feeling and if you have never been in this situation before, it is going to be hard for you to imagine what people go through on a daily basis. However, with the right steps and mindset, you can avoid the struggle of and finally stop being broke. Taking these simple but effective steps will allow you to move forward and change your financial situation for life.
Read the Entire Saving and Investing Series
- 5 Best Ways to Manage your Investment and Savings
- Can I Afford a House? [Dave Ramsey Secret to Saving More]
- How to Get Rich in a Year: 7 Things Worth Investing Your Time
- How Much is Social Security? [The Retirement Savings Crisis Explained]
- Get 150-Times More Interest on Your Savings (Best High Interest Savings Account 2021)
About the Author
Joseph Hogue is a financial expert and investment analyst. After serving in the Marine Corps, he started his career investing in real estate before becoming an investment analyst for some of the largest private investors. He's appeared on Bloomberg and on CNBC as an investment expert and has published ten books in personal finance. Now he helps investors reach their financial goals and invest in the stock market with some of the same advice he used when working for the rich.