5 Steps to Stop Living Paycheck to Paycheck and Start Saving
If the COVID19 pandemic has taught us anything, it’s to prepare for the unknown and stop living paycheck to paycheck. Without a safety net, the loss of a job or business due to unforeseen calamities or emergencies can throw your whole life off balance.
Hopefully, the worst is behind us, but it is time to get off the paycheck-to-paycheck cycle and started saving. Here are 5 ways to do it.
Money-Saving Strategies to Stop Living Paycheck to Paycheck
Make a Budget
The most important thing you can do to stop living paycheck to paycheck is to make a budget. Without a budget, you will have absolutely no idea where your money is going or how much you can begin to save. To start a budget, you will need to write down your income and then subtract expenses. The idea is to have enough left to set aside for your savings fund.
Start with the most important expenses such as utilities, food, shelter (paying for rent, mortgage payment, etc.), and transportation. After this you can move on to other non-essential expenses such as entertainment, eating out, etc. One thing you can do after deducting your essentials is to start by setting aside the desired amount for your emergency fund and fashioning the rest of your budget around it.
Stop the Guesswork
In order to have a meaningful budget and stop living paycheck to paycheck, you need to make sure that it is accurate. Instead of budgeting on a whim, you need to get tangible data to make it work. To do this you can start jotting down your expenses as they come and then group them into categories towards the end of the month.
If you are starting your first budget, track your expenses for a month to avoid leaving anything out. You can use a notepad or one of the many budgeting apps available online.
Track your Expenses
This point expands on the one above. Remember, creating a budget is the easy part; actually following is difficult. In order to ensure that you follow your budget and stop living paycheck to paycheck, you need to track your spending. Keep a tab on every expense especially the little ones, since they can add and hurt your budget.
If you feel like you’re overspending in a category than what you originally accounted for, then it might be time to either cut back or increase the budget.
Cut Back on Expenses
Once you have established a budget and tested it for a couple of months, you can move on to actually cutting back. This will provide you with more money to put into your savings account.
The first thing you need to do is to find ways to save in almost every category, from food to entertainment. Start by cutting small amounts ($20) from every category instead of making a large cut in one category. This will make the whole process easier and allow you to find more ways to reduce your monthly expenses.
Set Aside Money for Your Savings Account
According to experts you need to have at least 4 months of your monthly income set aside if you would like to create a sufficient emergency fund and stop living paycheck to paycheck. Gaining financial stability and a cushion in times of financial distress is the key to financial security. So, if you follow the tips listed, you will be on your way to having an ample emergency fund. Just make sure you do not dip into these funds unless it is absolutely necessary.
Get an Auto Pawn
If you do not have enough set aside in your emergency fund, the fight to stop living paycheck to paycheck will continue. But, if an emergency arises causing financial stress due to a lack of funds in your savings, you can always use an auto pawn.
An auto pawn can be used for a number of emergencies such as sudden medical bills, home repairs, or unexpected travel. In Georgia, you need to check out our website for the same-day cash you are seeking.
Benefits of Georgia Title Pawns
Easy and Fast
The main advantage of title pawns is that they are easy to acquire and ensure fast payment. With Georgia Auto Pawn, Inc., the whole process takes just 30 minutes and you can get up to $15,000. All you need to do is to fill out an online application or call one of our stores. The representative will guide you through the process and requirements needed for approval.
Bad Credit Accepted
Another advantage of auto pawns is that you do not require a strong credit history to qualify.
Keep Driving Your Car
If you get an auto pawn, you will be free to use your car, as long as you are making payments. However, you will have to ensure that the car is in your name and lien-free, meaning there is no outstanding claim against it.
How to Acquire a Title Pawn
In order to acquire an auto pawn, you can either visit a store the old-fashioned way or you can go online.
This is the step-by-step process for acquiring car auto pawns so that you can stop living paycheck to paycheck:
- Go to the GeorgiaAutoPawnInc.com home page.
- Fill out the online form on our website
- Once you are finished, you will get a call from a representative who will ask you to visit a location near you
- You will have to bring the car being used as collateral, the car’s title (in your name), and your driver’s license or state-issued ID
- The representative will check your car and let you know the loan amount you are eligible for
- Once that is done, you will be offered an amount that will be deposited into your account the same or the next day
If you want to stop living paycheck to paycheck, you need to get your finances in order. Sticking to a budget and keeping track of your expenses is a great way to get the job done. If you find that you are short on money and need a quick cash auto pawn from Georgia Auto Pawn, Inc. we are here to help whenever you need it.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.