If you always find yourself struggling to find money near to your next pay day you may need to review your budgets and look for ways to save money and/or reduce your spending. Here are some tips:
Clear off your debts as soon as you can: When we need or really want something it can be difficult to manage our spending. This can lead to people taking out loans or using credit cards more often than is sensible. People sometimes have to borrow money to cover an emergency payment. This is why organisations like pay day loan provider wonga.co.za exist. When borrowing money in this way is unavoidable you need to on repaying it as quickly as possible. Ignoring interest mounting on loans is an easy way to get into financial trouble. So, in order to manage your money put together a strategy to pay off your debts. In general, the quickest way to pay off all your debts is to first pay off the debt with the highest interest rate. Don’t just make the minimum repayments on credit cards. Try and pay as much as possible.
Make a budget: This is easily done but you also must stick to it! Try and be realistic in what you need for necessities such as power, housing, fuel, food and so on. If you can give yourself a little room for a few non-necessities as this will help you emotionally until you are financially back on your feet and help you stick to the rest of the budget.
Review your spending on essential items: Many people get lazy and just stick with the same phone, power and mortgage lender. This is a mistake. Loyalty generally will not get you the best price or rate. Do your research and switch service providers if necessary.
Borrow and share: Friends and neighbours may have things you need or would like to borrow. Likewise you might have things you can share with them – do you all like to read the same magazine? Could you circulate one copy? Has your washing machine broken down? Do your neighbours have one you could use for a while? In return perhaps they could use something of yours? You might find organisations in your area which are already set up to facilitate the sharing of resources. You might also find that you know people that you can trade jobs with – like gardening, babysitting, odd jobs and so on.
Review your hobbies: If your hobby is hanging out in the mall and window shopping this will make it far easier to spend money on non-essential items. Do something else like a walk in a park or spending time with friends.
Shop around: When you need to buy something shop around for the best deal.
Have a garage sale: Have a garage sale or put items on an online auction site. It is amazing how much people will pay for something which is just collecting dust or that you think is just junk.
Save: As soon as you can save. Even if it is only a small amount it will provide you with an emergency fund in the future.
These ideas should get you on your way to sorting out your finances. Remember cut backs will not be forever but may be key to managing your debt.