How can we budget when we have low income? This is one of the questions many people have. Most times when you here about budgeting it is for people who have extra money, and they want to know to best way to save it. But for many of us this is not our situation. Having to make ends meet and still having money left over can seem like a hard thing to do. So, can we save money on a budget with low income? The answer is yes, we can. It is very important to know where we are spending our money. By knowing what we spend on, it makes it easier for us to know where we can cut corners and save.
Budgeting is the first step in becoming financially stable. Budgeting helps you identify where you are spending your money and where you can start to save money as well. This will help, so that you can start saving for that car or truck that we have been wanting. Plus, in the long run, this will help for prioritize the important things in your life; like buying a home or saving for your retirement. All budgets are comprised of two main parts, what income is coming in and what is being spent. When we think of income, most of us think of our jobs, But there are money sources that you may have overlooked. Some of these would be child support, social security payments and even alimony to name a few. Our expenses are pretty much straight forward, but don’t forget to add the little things, like eating out or even washing your car or truck. These little things can add up.
       First thing in budgeting is making sure there is more income than there are expenses, and this can sometimes be tricky. Best thing to do, is to track your expenses daily. Keep receipts for all purchases no matter how small they seem. The small things are what can add up fast. By tracking the expenses, you will make it easier to see where we can cut corners. Like that coffee we buy every morning. Start making coffee at home. This can save you so much money weekly and even monthly. When seeing where to cut, you need to be very choosey of what are real needs and what are wants. Another way to save is washing your vehicle at home verses going to the car wash. Other area to try to save would be on the fixed expenses, like your mortgage, there are program out there that might help you save on your monthly payments. TV is another, be choosey are the channels you real watch. We can remove the extras that we real don’t use, example HBO and Showtime. Once you have done this, then you can see where you real are and what you can save.
If at this point, we still can not save then there is always credit counseling. Counselors can help us find information on where and what we need to do to help us start our savings.
Credit services of America is here to help.
A Goal without a Plan is just a Wish. Give us a call TODAY at 844-FIX-URCR or click on the following link creditservicesofamerica.com to schedule your FREE consultation and create your personalize plan to achieve your credit and debt GOALS!