The numbers all turn up zero. The finances have been tight the last several months. The outflow is more than the inflow due to a steep decrease in the inflow column. Hours have been spent trying to remove some of the outflow, but a dead end and brick wall seems to spring up around every try.
There are no more creative solutions. The last zero looms in the night and I see little or no way around it. Desperate times call for desperate measures.
Tips for Finding Financial Balance
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1. Sell something – you have been holding on to a special item; a gift, a first car, a piece of land. It could be the answer to your current financial woes. Let it go. Remember anything that you cannot release is no longer a possession but now possesses you.
2. Turn back the clock – there was a day when every house did NOT have a television and phone in every room. It was not so long ago that three channels of television entertainment were all that was provided. Release some of the technology. Cutting out the cell phones (at least some of them) or cutting back to basic service, turning off the cable and television and even turning off the internet could mean lots more time for family and more money in the wallet.
3. Get HELP NOW – the things that have been tried have not worked. No more messing around. Find a financial counselor and get serious advice on how to get the red back into black.
4. Be honest – with your family, with your friends and most of all with yourself. Coming clean will allow you to get the help that you need and repair the damage that has already worked its way into your life.
5. Walk away – mortgages (and equity loans/lines) make up the biggest debts that most people have today. Payments should not exceed more than 25% of income. Once that balance starts to shift the troubles will follow. It may be time to seriously look at walking away from the financially hole that many mortgages cause.
It can be done. It may be scary and it may seem crazy to others around you. In the end, a debt free life does more than turn the ink from red to black. A balanced budget provides your life with comfort, stability and hope.