Essential Tips for Making Ends Meet When You are Living on One Income
It is essential to note that only 7% of households in the US live on a single income. This is great news for the economy, gender equality and financial stability in the United States. It is true that families that fall under the single income find it very hard to push through. It is true that living on one income while raising children, dealing with a health issue or because of an inability to find employment can be done though it will need smart sacrifices. By the end of this topic, you will discover more ways of making it through when you are living in single income.
You should start by knowing your budget. It is crucial that you have a strict monthly budget to live successfully on a single income. Meaning that you will have to know how much you will make each month, how much you will put towards debt, rent or mortgage payments, groceries, transportation, and other living expenses. Even though 3 in 5 American households don’t have a budget but you cannot afford this with a single income. Ensure that you identify optional spending that you can cut. Here we have things like subscriptions, eating out often and entertainment outside the home.
In addition, you should also look into your spending options. You find that this is trickier when you have more children or supporting an aging person. For instance, when you need money to improve your skill set, you will have to consider lending options. Here you will have to take a personal loan which you can afford to make minimum payments each month. While if you are part of a structured settlement, and if medical negligence is a part of the reason why only one person in your family can work, ask about lawsuit advances. This way you will get the money that you need without taking a serious loan.
Lastly, you should consider a side hustle. One thing that you should know is that because you or your spouse are struggling to get a full-time gig does not mean that there are no side hustles or part-time jobs available. You should know that knowing how to live frugally one income also means looking for any opportunity that can give you extra cash. For instance, you can become a dog walker, sell crafts on Etsy, start driving for Uber or Lyft or you can start your affiliate marketing blog. No matter how little you get but it will take tons of pressure of the single earner.