It happens. You went a little overboard on your “treat myself day” or bills seem to never stop accumulating. Although it can be a little daunting to see your lifelong savings go down drastically, especially during the COVID pandemic that left the economy devastated – there are ways to recover from this. Here are some financial tips to help you get back on track with money, budget and spending:

Create a realistic budget plan that you can stick to

The common mistake people make here is that the start planning a budget without really thinking of the actual $$$. You need to consider how much money is coming, actual expenses and bills, a portion that you will have to put away in your savings and some for those emergencies. How to get out debt is really tricky if you don’t do this basic step.

Cut out unnecessary expenses

If you find yourself always with a takeaway coffee in hand, maybe its time to reconsider making it at home which will be way cheaper. Less eating out, more home cooked meals, which frankly is also the healthier option because you know what it in your plate and you know how it is prepared. Find alternative grocery shops as this may come as a surprise but there are cheaper options for the exact same item – just need to find them. If you feel like getting new clothes, take a look at your closet first. And of course, that “treat myself day” doesn’t need to be every other day.

Cancel your credit cards

Most people find that their debt came through their credit cards. Spending more than what they have or what they can afford to pay. This kind of mentality will really leave you carrying out a lot of debts and collectors calling you every minute. Read more here. If you can’t do this, make sure to never bring your credit cards when you go out and just use it for emergency spending.

Start a side hustle

If you find that your main job isn’t really covering your expenses and you have a bit of time to spare – consider taking up another job. You can actually start by decluttering your closet and finding platforms online where you can sell them. You also get to tidy up your place by doing this. Talk about hitting birds with one stone! There are a couple of things you do online, dropshipping, social media management etc – sure, you have to know your skill set to find what works best for you but trust me, there are options out there!

Read Financial Books

If you don’t have time to read, then audibooks will have to do. Nothing better than knowing you are not alone in this journey and you can recover from it. We often find ourselves making so much excuses, but once we figure out what is the cause of the problem and the multiple solutions that we can do to solve them – you are already one step away from getting your spending back on track.