While money can be tight for many people even in the best of times, if something happens so you can no longer work, you’re likely to experience a lot of stress. And if you’re not sure when you’ll be returning to work, be it because of illness or personal injury, this stress could last for a long time. Luckily, there are some things you can do that can help you keep your spending in check even if your income is limited. To show you how, here are three tips for maintaining your finances when you can’t work.
Create A Strict Budget
When you don’t have a lot of money to spare, it’s important that you spend what little money you do have on the right things. For this reason, making a budget is critical. According to AOL.com, the first thing you should be spending your money on is shelter, then food, then utilities. As you go down your list of expenses, prioritize them based on importance. And once your money runs out, don’t spend anything more on items lower down on your budget list. This will help you stay afloat even when your finances are lacking.
Find Ways To Cut Back
Another great way to make the most of the money you have is to cut back on things that you don’t need. Similar to budgeting, cutting back is another way to ensure you’re only spending money on the things you need and aren’t wasting money on things that aren’t necessities. Lee Miller, a contributor to Monster.com, writes that some areas you can and should cut back on include eating out, extra entertainment, and various memberships you’re a part of. However, it’s also important that you still have a way to enjoy yourself and blow off steam, which may include keeping one form of entertainment within your budget if possible.
Get Help When You Need It
If you don’t have enough money to even pay for the things you need, you may need to ask for help. If you have family members who could help you make ends meet, you may need to swallow your pride and ask for their financial assistance. In other cases, Erin Peterson, a contributor to BankRate.com, recommends applying for government assistance as soon as you can because the process of getting approved can take quite a bit of time. So if you think you might need help at some point, don’t procrastinate applying for the assistance you need.
If you’re worried about how you’ll manage your finances when you have very limited funds coming in due to illness, injury, or being laid-off, consider using the tips mentioned above to help you keep things functioning financially.