Until a year-and-a-half ago, I always seemed to be under financial stress. I was getting further and further into debt, barely paying my bills, and definitely living paycheck to paycheck (at best). This was all my fault, and I decided to finally do something about it.
I’m not out of debt quite yet, but things are way better. I have an emergency fund, I’ve paid off countless credit card and car loans and have 2 debts left. I plan to be debt free in a few more months. My finances (and my quality of sleep!) are much better off today than they were just a year and a half ago.
One of the biggest keys to not worrying about finances is to “get ahead” by at least one paycheck.
Here’s how I did it:
Track Your Spending…if you can
Many experts recommend starting by tracking all of your spending on a daily basis, which is good advice. I did not do this; I don’t think I had the patience when I first started getting out of debt to do it. I recommend trying, but if you can’t, don’t let that stop you from a journey toward fixing your finances.
If you don’t go ahead and track your spending, at least do this:
After those steps, you are halfway toward not living paycheck to paycheck.
Here’s what you do next:
By the time you have completed these steps, you should be one paycheck ahead of the game. Imagine getting your paycheck and it isn’t already spent? It’s a pretty awesome feeling. Good luck!
Picture by FreeDigitalPhotos
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