HELP!!! I need some advise on how to get the bills paid and still have money left after I get paid. There just seems to be more bills than money.
One thing that helps me every month is to create a budget. I create a monthly budget, then I create a breakdown for each payday. To get a better idea of your spending, start getting and keeping receipts for everything...EVERYTHING. That dollar soda or daily coffee really adds up. Plus, you will be surprised at what you forget when you actually start paying for things.
When I create our budgets, I round down. My husband is full-time in the Navy, but we also run a small computer repair business from home. When I create our budget, I only account for his Navy pay. That's the only paycheck that is consistent. While we have a decent business, I consider that money extra because some months we have good sales and others our sales are down. If you both typically work 45 hours a week and are paid hourly, I would calculate what you make for 40 hours a week, and subtract out about 20% for taxes and FICA, etc. That extra 5 hours, which hopefully is paid at time and a half, can serve as a small buffer. Also, I would not include the part-time pay into the budget. This will help add to your buffer. As I said round down for your income, I also round up for the bills. If your electric bill is 242 a month, I would round up to 245, or even 250 for your budget. Still pay just the 242, but a few dollars extra will add a lot to your safety net.
If you do a search on the internet for "personal budget" in quotes as I have it here, it should return several different templates to help you.
I hope that helps. I know how hard it is to keep up, especially when you're trying to balance work with family time. Good luck!
Coupons.com is an awesome website that gives valuable savings on things you buy on your grocery store visits. The coupons range in value but usually are $.50-$1.00 on things such as toilet tissue, cereal, cleaning supplies, etc., things you are going to purchase anyway. I would suggest using coupons, looking at ads to buy the things you need when they are on sale, and set your menu for the week. If you are constantly making trips to the grocery store for what you are going to have for dinner tonight, then that really adds up. If you have a menu and do your shopping based on that list and buy only what you need then I guarentee you will save a lot of money. I used to decide what was for dinner in the afternoon and if I didn't have everything I needed then I would run to the store, but since I started making a menu for the week we save a lot and we have even been able to start saving a little. I also buy the more expensive things when they go on sale. I look at ads and buy extra chicken when it is $1.99/lb. When we get a little extra money that we weren't expecting then I put it in our savings account instead of spending it on something else. It is money you are not used to spending anyway, but that $20-$50 can really add up fast in an account. Good luck!
Try to Catch Dave Ramsey on the AM radio, 1520, I think. He has a web site, book and classes. I haven't taken the classes or read the book, I just catch him in the afternoon's on the radio and he has changed our perspective on money. So much so, we will be debt free this November, PRAISE THE LORD!
You can get out from under, it's just whether you really want to or not. But get some help before you start to lose the house and cars. There is peace at the end of the road, I promise.
When I was trying to get a grip on finances, I had to sit down and write all of our monthly bills out so that I was aware of re-occurring items. Then I estimated how much we spent in gas, repairs, clothes, groceries, etc. From there, start looking for areas you can cut back.
Do you really need the highest level of satellite or cable T.V. (i.e. can you downgrade to basic)? Do you have cell phones AND land lines (is it possible/feasable to do away with land lines)? Can you shop at bulk item stores (such as Costco or Sams)? Does anyone else you work with want to carpool?
A really good tool is Maureen's Cash Management Workbook at http://www.cashworkbooks.com and you can get a 10% discount if you use code NEWSIE when ordering. I am not affiliated with Cash Management but I have purchased their kids cash workbooks to give as gifts.
Also, have you thought about doing a little P-T home business? I joined Stuff A Friend last month and so far the response has been phenomenal. It's only $35 to join (you get a kit worth $70 with that) and you get a free website where you can send people to buy stuff directly from the company. OR you can opt to do birthday parties and workshops on the side (or other events). Check it out at http://www.stuffafriend.biz/members/koriani or email me at [email protected] if you want more info.
Good luck.
Michelle :)
Hi my name is Nicole and I am a Sales Director with Mary Kay. I can totaly relate to what you are saying. That is why I started my own business with Mary Kay. I wanted to be able to control how much I was making. If you have an extra bill, you just do an extra class. You are in complete control of how much you make. I would love to share with you how you could make some extra money with a Mary Kay business. You can work Mary Kay around your family. New consultants start out by making an average of $50-$75 an hour, and you are having fun. We have no territories. So if you need to move you can take your business with you. Also my unit is in 12 states, so we can train you at one of our local sales meetings. Let me know if you would like some more information on how to make some extra cash, for those little extras.
Thanks,
Nicole
www.marykay.com/nbrown5
You can go to my website, and click on about the company to learn more.
Yes, as most of the others have said...create a budget to find out what you bring in each month and where it goes. The standards are mortgage/rent, child care, and utilities such as gas, water, trash, electric, cell phone, landline, internet, cable/satellite. Then you've got the harder to estimate...food, gas, child's activities (dance, etc) that you'll need to keep receipts to get a full estimate of how much you pay each month. Keep those receipts or track it through checkbook/credit card. Use a money software program, or you can even just use excel.
Once you see what is going out, it's easier to cut back. If you subscribe to the newspaper or magazines, cancel them immediately (you'll get your $ back on the magazine subscription that's outstanding). Cancel caller ID and call waiting and cancel the landline if you can. Forget digital cable and go to basic or none if you can. Don't do starbucks, movies out, or restaurants. Take your lunch to work. Shop at Aldi's, Sam's, $1 stores. Skip the gifts to hubby for bday, xmas, etc. Little gifts to the girls (val day, easter, etc) can 5-6 $1 items. Only wash dishes/laundry when it's a full load. Adjust thermostat for when you are out of the house. All of this added together decreases the bills quite a bit to help the outgoing match the incoming.
If you carry a credit card debt, look into transferring it to a zero interest for a year type of card. This way your payments are going to the balance and not all interest. When the year is up you just transfer to another zero interest card. The key to this is DON'T charge on that new card at all. Don't even carry it with you. It's only for that balance because new purchases are hit with high interest immediately. If you have a home, look into an equity line to consolidate outstanding debt. The interest will be less than credit cards but more than the zero interests.
Good Luck!
Hello Jami,
I know where your coming from. The best thing I can tell you is to sit down with your husband and the bills (all of them).
Make a list of everything you have to pay. What I do is write down when the pay checks come in when the bills need to be paid. I also use the bill pay through the bank and if you don't have quicken I would invest in the program. Here's a copy of the spread sheet we use.
MONTH:
EXPECTED INCOME:
PAYDAYS: (1) (2) (3) (4)
BILLS: AMOUNT: DUE DATE: PAY ON: AMOUNTPAYED:
RENT
ELECTRIC
GAS
WATER
COX TV & INTERNET
TRUCK/CAR
PHONE BILL
SAVINGS
FOOD
GAS
MISC.
OUR MONEY
Left so space so you could add any other bills you have. Hope everything works out for you and the family.
Rachelle
Jami, I agree with most responses especially checking out the Dave Ramsey way. Put first things first in your families life, TITHE before anything! I have been where you are for years until I started putting God first in everything! I don't know if you attend church already, but it's AMAZING how putting Him first, makes everything else fall where it is supposed to! God bless and I'll be praying for you.
Shelley
www.workathomeunited.com/Shelley
Dave Ramsey Financial Peace really really helped my family. We are not completely out of debt yet, but we are working on it and if we followed the steps he gives, we would be out very soon and doing very well financially and we do not make a lot of money. It really gave me a reality check into what was coming in and going out. I didn't take all of the steps Dave gives, but I tweaked it to our financial situation. Suzie Orman has a good workbook too.
1) My advice is that you need to evaluate your budget? Do you even have one? I would start evaluating your feelings about money. Our feelings about money can determine how we treat money. If money is consisted dirty or unimportant, that we tend to have less of it. If money is very important, that we tend to have more of it one way or another.
The average consumer's budget:
Category-% of take-home pay
Housing: 30%
Utilities: 7-10%
Food: 15%
Essentials: 2-4%
Medical: 5%
Savings: 8%
Transportation: 15-20%
Clothing: 5%
Recreation: 3%
2)Then, start tracking where the money goes. I mean every penny! Both you and your husband carry a small notebook around and everytime you buy something write it down along with what it costs. This includes lunches at work, sodas from the gas station, gas from the gas station, get the point? Everything and how much is costs. Do this by the week over a period of time to determine where your money is going. People tend to spend money on impulusive shopping and this will help to acknowledge that type of spending. I would also consider writing down what you were feeling when you made your purchase. Were you tired, stressed, happy, hungry? This will help put an emotion on your spending habits when you evaluate them.
3) Decide what you can cut from your budget. Make a a family goal to cut so much of unnecessary purchases. It could be you cut back on having the top of the line Internet service, or cable package, or to cut down on getting sodas and cigarettes at the local gas station every time you fill up on gas to spending more time at home and less entertainment out. Check for free entertainment in your city vs. spending to go out. Example: check out the library vs. paying to rent a movie at the video store. Or wait for the new release to come out on DVD for rent instead of going to the movie theatre to see the new release ASAP!
Look at budget cut through another's eyes. What is important to you carries emotional ties that realistically MAY be able to be cut if the emotion wasn't there. I know I find it easier to cut money off of someone else's budget than my own cause I'm emotionally tied to whatever I have. If you would like more input, email me. I have taken a budget class recently and could probably give you some more ideas if we were to talk.
There is consumer credit counseling places out there that can help, but much of it you can do on your own.
Oh and check out some of Suze Orman's books from the public library for FREE. She has some to fit you.
"Young, Fabulous & Broke" by Suze Orman
"Women & Money" by Suze Orman (her new book)
"The Courage to be Rich" by Suze Orman
Website: suzeorman.com
She is on CNBC every Saturday night. Check your local listings for when it airs in your area.
Another financial book I recommend is:
"Mentored By a Millionaire" by Steven K. Scott.
Look forward to hearing from you if you need anymore feedback.
We are going through an awesome program at our church called Financial Peace University. My parents have already done it and they were able to save $1000 and pay off a bunch of debt in 3 months. It's by Dave Ramsey. My church is doing it on Sunday morning as well as Wed. evenings. It costs a little less than $100 for the materials and I think it's really practical and makes a lot of sense on how to get a handle on things financially.
Kendri
Well, speaking from experience, food on the table should always take precedence over bills. Everyone needs to eat. Yes, the other bills need to be paid too, and that shouldn't be overlooked. Sometimes you have to cut corners. Get an older car with lower payments or no payments at all. Get rid of cable for a while. Go out to eat less, or not at all. (These are all of the things we went through--not that you need to stop doing these things, but they might help you out.) Take your lunch to work. Drink coffee from home--no more Starbucks! (We listen to Dave Ramsey and he helps out a lot.) Don't use credit cards anymore. The interest is WAY TOO HIGH! If you do have credit cards and are having trouble making the payments, you could try C.C.C. (Christian Credit Counselors.) They've been AMAZING to us. Our interests rates are WAY LOWER, and we only make 1 payment a month. We have decided to get rid of all credit cards and never use them again. We will only buy things that we have the money for, because otherwise, we can't afford them. Shop at the thrift store--I know, a lot of people think it's creepy, but it's not. They have LOTS of name brand clothing at low prices--and they're in great shape, too. You have to find the right ones, though. Also, you can buy off-brand food and other products. Best Choice makes their products to be comparable to other name brand things now. They're a lot better than they used to be. I shop at Target a lot because they're brand is GREAT and often a lot cheaper than others. I buy my children's diapers and wipes there, and we buy their milk, toilet paper, body wash, etc. (All Target brand).
There are many ways to lower your costs. These are just a few. If you get a chance, go to:
http://www.daveramsey.com/radio/home/index.cfm?FuseAction=dspContent&strMode=dspShowArchives to listen to Dave Ramsy's GREAT advice.
Good luck to you and your family!
Liz W.
Hey Jami,
I understand where you are coming from. I don't know where you live at but where I am from (oklahoma City) we have a company called Consumer Credit Counseling Service and they will actually help you to budget and manage your money. They are a nonprofit agency so they don't charge you for financial counseling. Give them a call. Also I was having that same problem and even though I work full time I was still needing a way to make some more money on the side. I have actually been working from home and earning money partime. Feel free to check out my website www.TheBestDecisionEver.com. Hope this helps.
We are currently attending the Dave Ramsey Financial Peace University. I have learned alot. You can always log onto daveramsey.com or you can listen to him on the radio 710am at noon. Good Luck!
All I am going to say is visit http://www.daveramsey.com/ . It will change your life! Go to the library and read his book then have your husband read it! Everything will get better.
Give Michael Fitkin a call. He is a financial advisor for Country Insurance and Financial Services. His office number is 816.587.4646 and his cell is 816.588.7583. He will sit down with you for free and help put together a financial plan. Hope this helps!
ok, so I know excatly how you feel. If you look at my files you'll see I posted something just like this the other day. It is really very hard and they just keep piling up. we dont make horrible money and I just have one child, but we just can't get ahead. If you ever need to talk just let me know. Plus seriously look at my file because people left some really good advice for me. I just want you to know your not alone, Good luck and God Bless Laura
It sounds like you are getting a lot of good advice here. One thought that I wanted to add, though, is when it comes to using a credit counselor. It is a great program to use if you have absolutely no other alternative. My husband and I used Consumer Credit COunseling Service for about a year. They don't charge for the credit counseling, granted. But once you start making payments through them, there is a charge that they keep. I don't know if it is a flat $10 per month charge, or 10% of your monthly payment. We had a payment of $110 per month, and $10 went to them. We simply weren't getting ahead by using them because so little went to our credit card payments each month. For example, my Visa bill was around $1500 dollars, and CCCS sent them a payment of $45 each month. After the interest, my balance only went down by maybe $20 on that one bill. Plus, they tell you that it doesn't hurt your credit, but it does. We had been looking to buy our first house almost a year after we had enrolled with CCCS. When we went to see if and how much we could qualify for on a loan, they said that the credit counseling service left a big red mark on our credit history, and that using a credit counselor actually hurts your credit more than filing for bankruptcy. So, if you have any plans that you are needing good credit for, do not use a credit counselor. We cancelled their services, and in the last serveral months since we did, our credit scores have shot way up. Just a thought to consider before you decide to use a credit counselor.
I suggest the book "Total Money Makeover" by Dave Ramsey. My husband and I are in the same boat as you. We are now about half way through the book and for the first time in our marriage I can see the light at the end of the tunnel. Dave Ramsey also has a talk show that's on 710am from 11-2pm weekdays. A friend turned me on to him and I'm so greatful for it. He has some real practical advice that really works. You'll finally feel like you really can make it on what you make! Good luck to you. Finances are not an easy journey.
Stacey