With Christmas just around the corner, you may be dreading the financial catastrophe it’s going to cause for your finances. Even the spend-thrifts feel the pinch around the festive season. Now’s the time to make a master plan to get back on your feet and out of debt after crimbo.
Blowing your budget is one of Christmas’ side effects, and it can give you a financial headache. Assess how your bank account is doing after Boxing Day and set yourself a budget recovery plan. Yes, that means cracking out the excel spread sheets your favourite. You may have been self-indulgent this Christmas, but make it your New Year’s resolution to tackle your financial problems.
Put all your important documents into a carefully filed ring binder and keep them organised. By becoming more structured, you’ll meet payment deadlines in time and make your finances more manageable. You might find some old direct debits or anomalies which you need to cancel.
Use Support Systems
Professional helplines are integral for any debt buster, but don’t overlook the emotional and moral support of your friends and family. There’ll be days when you’ll feel like binge shopping or crying into a pile of unorganised bills, so find yourself a buddy to cheer you on. If your friend has money troubles too, support each other until the end and share your saving tips. Being in debt is a very difficult time and you’ll need your loves ones around you.
Money is there to spend, within reason. Of course, this doesn’t mean living like a miser and having a boring life â€“ far from it! You’ll have more room to enjoy yourself with debt problems off your mind.
Spending less is the obvious remedy to money issues, whether that’s bringing your own packed lunch to work or being environmentally-friendly around the home and cutting your energy expenditure. However you go about spending less, you should be leaving yourself room for savings.
Setting up an emergency fund is a must for everyone. If you suddenly find yourself without a job, you’ll have a nice cushion to fall back on. By paying a little of your monthly salary into your savings, you’ll start to rack up a nice nest egg.
Work Out How Far You’ve Got To Go
By calculating how much debt you currently have and working out a system of paying off this deficit, you can set yourself easily attainable goals, until you’re home free! Use an online debt calculator like www.iva-expert.co.uk/debt-calculator.asp to assess the damage. The only way to tackle debt is to face it head-on.
Finding alternative sources of income can bolster your salary and make meeting debt repayments much easier. There are many ways you can earn a bit of money on the side. From turning your hobby into a lucrative, online business to walking your neighbour’s dog, you can give yourself extra financial padding.