9.02.2014

There's No More Money, Now What?

Yes, it happens to the best of us at least once in our financial journey. We plan, budget,  track our spending, scrimp and save, but it just isn't enough and the "well is dry" so to speak.

What do you do?

Unfortunately, the simple answer to most is to find credit.
Credit aside lets look at other solutions for when the moneys all gone.

Use only what you have- time to raid the pantry, deep freeze, that hall closet you never organized, anything that will tide you over until the money comes in. In the situation where your bank account is zero and there is no emergency fund or savings it is important to understand you only need 3 things to survive.

  1. Food/water
  2. House/electric ( this could even be debatable if the length of time there is no money will be an extended period)
  3. A form of transportation to work so the money will eventually come in. If there is no gas money ask a friend and offer to mow their lawn or watch their kids. GET CREATIVE!!
It is not the time to be picky about anything, if you only have water, tuna, and beans to eat so be it. It stinks, ABSOLUTELY! But if you have food and water do not dare use a credit card because you could really eat a pizza!  It may also be a great time to kick a bad habit I.e. coffee, soda, chips. Ideally you do not want to spend any money. 

 So you don't have enough food to last until pay day. Now what? God gave us family for a reason. You know you would help out a family member in the same position so don't be ashamed to ask. Look for local food banks that are not income based. These types of food banks are just for this type of event.  Life happens and it is nice to know there are options like this. Just remember to pay it forward when you're on your feet again!

I am a firm believer that you always pay your mortgage/rent and electric/heating bill above all else! You will then know you have a roof, heat, running water, and a place for food. Know this: during the winter months in states with cold temperatures there are laws against shutting utilities off. Here is the link to get more info, it is called the cold weather law. There are also assistance programs that can help pay or supplement your heating and electric bills while you are trying to get back on your feet.

 It is very important to understand your limits in situation where you are not able to get make enough to break even. Sometimes you have to sell your house, your car, get a third job, downsize or even give up your dream job for a higher paying job to make ends meet.  It is not always pretty but when the money's all gone you have to do what you have to.

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I am writing this post because as a single income family we have seen some hard times. It is always amazing though what you are willing to sacrifice in order to do the best for your family. We did unfortunately at a very low, low point apply for a small credit card to pay for some high,unexpected medical expenses we could not afford and because our family income was too much did not qualify for assistance.  Since then we have been slowing paying it off and learning new and interesting ways to creative pay off debt and still live a fun, frugal, and balanced life!